Brazilian utility Eletrobras is working with Mozambican power company Electricidade de Moçambique (EdM) to set up the economic and financial package for a project to interlink the Central-South National Energy Grid (Cesul), the company said in a statement.

Under the terms of the co-operation agreement signed in June 2010, Eletrobras, together with its subsidiary Furnas, has analysed the economic feasibility and environmental impact studies of a project for construction of a 1400 km high voltage transmission line linking Tete province, in the central region of Mozambique, to the capital, Maputo in the south.

The studies were carried out by Vattenfall, with funding from the World Bank.