Power-starved South Africa's state utility Eskom is considering purchasing electricity from neighbouring Mozambique, a company spokesperson said on Tuesday.
Mozambique's state news agency AIM reported last week that South African officials had met with the EDM power company in Maputo about its plans for a $1,3-billion gas-fired plant.
"There are several options available to Eskom, including entering into a power purchase agreement with the developers of the power plant," Fani Zulu said.
"We are in discussion with EDM on the project in question. We are interested in the project but may not necessarily be involved in the construction or funding of the plant," Zulu said.
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The station would produce up to 680 megawatts, powered by gas from Mozambique's Inhambane gas fields, according to AIM. It would be built in Moamba, 60 kilometres (35 miles) northwest of Maputo.
Beleaguered Eskom last week signed a $500-million (about R50-billion) loan with the African Development Bank (ADB) to aid its expansion programme.
Eskom's expansion programme seeks to increase generation capacity and strengthen the transmission and distribution grid, to support growth in the region.
Eskom plans to almost double its generation capacity by 2026, as it seeks to ease power shortages that have dented economic growth.
Eskom currently generates about 45 percent of electricity used on the continent and 95 percent of electricity used locally. - Sapa-AFP
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