• Categories
  • Archives

Brazil Needs to Invest US$ 88 Billion in Energy Sector to Keep Growing

Hydroelectric plant in Rio Grande do Sul, Brazil The Brazilian Ten-Year Plan (2007/2017) announced this week by the EPE (Energy Research Company), a branch of the Brazilian Ministry of Mines and Energy, foresees the need to build seven new hydroelectric plants in Brazil, assuming a 4.9% yearly growth for the Brazilian economy from now until 20016.

The plan anticipates that hydric energy will be reduced from 84% to 76% in the Brazilian energy matrix. To make up for it the participation of energy originating from thermoelectric sources will raise, during the period, from 16% to 24%.

The viability studies conducted by the EPE have mapped the location of the seven new plants. Five should be built in the Teles Pires river, in Mato Grosso state while the other are planned for the Apiacás river, also in Mato Grosso, and the Tocantins river, in the border between the states of Pará and Maranhão.

The Ten-Year Plan forecasts that Brazil will need to invest, during the period, 167.5 billion Brazilian reais (US$ 87.7 billion) in power generation and transmission, in order to live up to the economic growth.

Out of that total amount, power generation projects should absorb 133.6 billion reais (US$ 69.9 billion), and power transmission projects – including the construction of power lines and sub-stations – 33.9 billion reais (US$ 17.7 billion).

If projects aimed at the oil, natural gas, and biofuels segments are taken into account, the Plan estimates that total investment in the power sector should reach 573.2 billion reais (US$ 300 billion). The survey outlines two possible scenarios regarding the demand for electric power, considering the possibilities of annual economic growth rates at 4.2% and 4.9%.

The forecasts announced by the president at the EPE, Maurí­cio Tolmasquim, indicate that during the next ten years the Brazilian population should increase by 32 million people, reaching 212 million.

During the period, he explained, using more advanced conservation techniques, Brazil should save approximately 15,600 megawatts (MW) of power – the equivalent of the entire forecasted power generation at the Santo Antônio plant, one of the two hydroelectric units to be built on the Madeira River, in the northern Brazilian state of Rondônia.

With regard to power consumption until 2017, the forecasted growth is 5.5%. The country's installed power capacity should leap from the current 92,400 MW of power, to 143,080 MW. These forecasts consider an economic growth scenario of 4.9%.

ABr

Tags:

  • Show Comments (3)

  • Paulo Cunha

    [quote]Paulo. no one is going to “chip in”[/quote]

    You mean to say that we are totally abandoned by the international community? So why is the government coming out with all sort of promises about foreign investments, BOVESPA,etc:-?. Thinking well, you are right. No one is going to chip in.Thanks for reminding me.

  • doggydaddy

    ATC
    Paulo. no one is going to “chip in”. Borrow the money yes! If Brazil does not have the money or foresight to fix the ATC syatem now then how do you think the country will get the money in the future? Not bloody likely Mate!

  • Paulo Cunha

    Brazil Needs to Invest US$ 88 Billion in Energy Sector to Keep Growing
    What is US$88 Billions for us? Nothing.If necessary, we will invite Icelanders or the Swiss to chip in.

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ads

You May Also Like

Expert Advice on Risks and the Best Way to Deal with Real Estate in Brazil

Brazzil Magazine spoke to one of the largest commercial real estate developers in Brazil ...

Bribery Charges Hit Brazil’s Finance Minister and Markets

Latin American markets were mixed to lower on the day, as Brazil posted another ...

We Need to Get Closer, Says Brazilian Minister to Arabs

The minister of Foreign Relations of Brazil, Celso Amorim, stated that the Summit of ...

Brazil Sends Back to UK 1,500 Tons of Dirty Diapers and Used Condoms

The Brazilian government announced it has returned 1,500 tons of hazardous waste that arrived ...

War? We Already Have Ours

Federal troops have been called to maintain order in Rio. In São Paulo, car ...

Organic Farmers from Brazil Show Their Stuff at Nuremberg’s Biofach

The Biofach, the world largest international fair for organic products, gets underway this Thursday, ...

Brazilian Surplus in 2006 Already Close to US$ 6 Billion

The US$ 1.217 billion trade surplus in the fourth week of February was more ...

The IMF Stunted Brazil

Of the five world’s giant countries (the United States, China, India, Russia, and Brazil), ...

Chain and Blood

He chewed his gums for a while deep in thought. Then he spoke laughing: ...

Brazilian Small Mango Farmers Get a Place at Europe’s Table

Small farmers from the  Associação Manga Brasil (Mango Brazil Association) are optimistic about selling ...