Business / Economy

Venezuela inks deal with Chinese firm to bolster electricity sector

(Xinhua) Updated: 2015-04-08 13:46

CARACAS - Venezuela Tuesday signed a deal of nearly $6 million with a Chinese firm, seeking to boost the manufacturing of conductor cables and optimize national electricity distribution.

The agreement, signed between the Ministry of Electric Energy and China's CAMC ENGINEERING CO, was part of a government plan designed to guarantee electricity service to Venezuela's extensive plains, said Efren Martin, president of the National Electricity Corporation's industrial division (CORPOELEC Industrial).

The deal calls for manufacturing 470 tons of ACAR (aluminum conductor alloy reinforced) cable using Venezuelan aluminum and labor.

"It will be an opportunity to show the quality of work in national production," said Carlos Azzari, president of CABELUM, the CORPOELEC subsidiary that will work with the Chinese firm.

The project will also "consolidate the sustainable manufacturing of conductors in Venezuela," Azzari added.

According to Martin, Venezuela and China's CAMC are also exploring financing for other projects to bolster the national electricity sector.

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