Wind Power

Tractabel, Iberdrola big winners in Brazil's A-5 auction

Brazil's A-5 auction marked the entrance of GDF Suez subsidiary Tractebel in the regulated wind power market and the return of Iberdrola to competitive bidding.

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01/12/2014 13:48
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Brazil's A-5 auction marked the entrance of GDF Suez subsidiary Tractebel in the regulated wind power market and the return of Iberdrola to competitive bidding.

 

At the same time, federal power companies such as Eletrosul, Furnas and Chesf stayed out of the bidding as they have done since last year.

 

Brazil contracted 926MW from 36 wind projects in the auction. Total investment in the projects is estimated at R$3.46bn ($1.35bn), an average of R$3.74m per installed megawatt, according to auction organizer, the Brazilian Power Trading Chamber (CCEE). This compares with R$3.9m per installed megawatt at the reserve auction held in October.

 

In all, foreign companies alone or with partners will control 44% of all new parks contracted.

 

Tractebel sold power from six wind projects in Bahia with a combined installed capacity of 176.55MW. The company, which normally focuses on the non-regulated market, recently bought the projects from local developer CLPW. It will invest an estimated R$689m.

 

Spain's Iberdrola, through the Forca Eolica do Brasil joint venture with local power company Neoenergia, contracted power from three wind projects in the northeastern state of Paraíba with total capacity of 90MW. Estimated total investment is R$205m.

 

Iberdrola had won three wind projects in this years A-3 auction in June after staying out of tenders since 2010.

 

Independent renewables company Atlantic Renováveis was the biggest winner contracting power from eight projects in northeastern Brazil – seven in the state of Paiui and one in Bahia - with total capacity of 195MW. Atlantic said it would invest R$721m in the projects.

 

While federal power companies stayed out of the auction, Copel Renovaveis, controlled by the government of the state of Parana, reaffirmed its intention to increase its presence in renewables.

 

It contracted power the six projects it had recently acquired. The projects will have a combined capacity of 136.4MW. A Copel spokesperson said that the projects would be built with turbines supplied by local machine maker WEG.

 

Copel had won contracts for 195MW in last month's reserve auction.

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