The electricity companies of Mozambique and Lesotho, EDM and LEC, have signed an agreement, under which EDM is contracted to sell LEC between 10 and 30 megawatts of power between January and December.

This sale is expected to earn EDM seven million US dollars, and will pave the way for a further agreement covering a longer period.

the EDM chairperson, Mateus Magala, says this is not just a transaction, but a development of the relationship between the two countries”.

Asked whether it makes sense for a country which is short of power, such as Mozambique, to be exporting electricity, Magala said the company “needs to invest in electricity infrastructure that's why they are selling power”.

He said that the poor quality of electricity that causes frequent complaints from consumers is often due to the obsolete state of EDM's equipment. To overcome this problem, new investment is crucial, which was the justification for selling power to other members of SADC (Southern African Development Community), such as Lesotho.

Tankiso Mots'oikha, the acting managing director of LEC, says the contract with EDM was of great importance for Lesotho.

Since  the country does not produce enough electricity to cover its own needs, therefore it needs to import adding that  He hoped that the 12 month agreement with EDM can be transformed into a long term arrangement.