9/04/05

Mozambique - U.S Supports Electricity Company

U.S Supports Electricity Company

Agencia de Informaçao de Moçambique (Maputo)

September 2, 2005 -Posted to the web September 3, 2005
Maputo - The American government, through its Embassy in Maputo, has granted 600,000 US dollars to support the Mozambican Electricity company (EDM) in a feasibility study to build two hydroelectric dams on the Lurio river, in the northern region of the country, between Nampula and Cabo Delgado provinces.
An agreement to that effect was signed by Vicente Veloso, on the Mozambican part, and American Ambassador in Mozambique Helen La Lime. The money comes from the United States Trade and Development Agency (USTDA).
The building of these dams is part of the Southern African Energy Plan, through which Mozambique is preparing to face the predicted growth in demand of energy in the region by 2007.
Speaking after the signing ceremony, Veloso said that this money is to be used in a detailed study on technical, financial, environmental and other critical aspects of the project.
"We are confident that this gesture will help us carry out this first step, which is cricial for the project, and will help strengthen the ties between the two countries", he said.
He recalled that EDM concluded with success the extension of the national electric grid to all provincial capitals, which last step was the electrification of Pemba and Lichinga, the capitals of the northern Cabo Delgado and Niassa provinces, respectively.
He explained that the electrification of the central and the northern regions of Mozambique was taken from the center-north line, that was built in the 1980s and that was now extended to become the longest power transport lines in Southern Africa.
He said that EDM is very much aware of the technical disadvantages that the center-north line represents, since it is relying on just a few sources of energy production, and the building of the two power generation dams will help it be more profitable.
"Improving people's quality of life implies finding other sources of energy production besides the Cahora Basa, Chicamba and Mavuzi dams, in the central region, and Corumana, in the south", he said.
EDM and the United States Energy Association (USEA) recently signed a cooperation agreement for training and exchange of experiences between their staff, and the first group of technicians from the United States is expected in Mozambique in January 2006.
On the occasion of the Friday's agreement, La Lime said that this grant represents just one of many of her government's initiatives to support the economic development of Mozambique, and "it is a concrete proof of our commitment with a prosperous and democratic Mozambique".
She explained that her government responded to the Lurio dams project because this was defined by the Mozambican government as a pririty to increase domestic electicity consumption.
(transcrição na íntegra)

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