Mozambican power company Electricidade de Moçambique (EdM) and Portuguese national grid company Redes Energéticas Nacionais (REN) are negotiating a partnership for the Centre-South (Cesul) project, the Mozambican national energy director, Pascoal Bacela said.
The Tete-Maputo project, known as the “backbone” and which is expected to cost US$1.7 billion, includes construction of two high voltage transmission lines;–one with 800 KV of direct current and the other with 400 KV of alternating current – between a new substation in Cataxa or expansion of the existing substation in Matambo, in Tete province, to the Maputo substation, in Maputo province.
Speaking to the newspaper, in Maputo, the national energy director said that negotiations were underway between EdM and REN, but did not confirm the financial involvement of China State Grid Corp in the project.
China State Grid Corp took a stake in HCB by acquiring a 25 percent stake in REN from the Portuguese state, as part of a package of privatisations included in Portugal’s financial clean up programme.
REN taking a stake in HCB was the end of a long process in which the Portuguese state handed over its controlling stake in HCB to Mozambique. Mozambique now owns 85 percent of the dam and an additional 7.5 percent of the company will be sold to an investor chosen by the Mozambican government. (macauhub)