November 20 (Renewables Now) - Eletrosul, a unit of Brazilian state-controlled utility Eletrobras (BVMF:ELET6) on Friday signed an agreement with Shanghai Electric Group Co Ltd (HKG:2727) and Clai Fund about a transmission project in the state of Rio Grande do Sul.
The project includes the construction of new power lines and substations and the expansion of existing substations. Among other things, it will help to enable the flow of power from future wind farms and thermal power plants in Rio Grande do Sul, according to the announcement.
The agreement envisions the creation of a special purpose company, where Shanghai Electric and Clai Fund would ultimately own 69%. It follows a public search, launched by Eletrosul in 2016, for partners for the transmission project.