The Brazilian government and the Chinese company State Grid Brasil signed in Brasília the largest energy transmission contract in the history of the Brazilian electricity sector, which had been auctioned by the National Electric Energy Agency (Aneel) last December.

The project represents 18 billion reais in investments, 83% of the total value contracted in the auction, and includes the construction of 1,500 km of direct current transmission lines and the maintenance of another 1,400 km in the states of Maranhão , Tocantins and Goiás. Due to its complexity, the project has an execution period of 72 months, longer than the usual 60 months.

On the Brazilian side, the ceremony held at Palácio do Planalto, was headed by the Minister of Mines and Energy, Alexandre Silveira, while representing the Chinese company, were Sun Tao, president of State Grid Brazil Holding (SGBH), and Jin Wei, vice- chairman of the State Grid Corporation of China (SGCC).

In addition to the contract with State Grid, contracts were signed for two smaller lots, granted in December to Brazilian companies: Consorcio Olympus 16, led by Alupar Investimentos and also integrated by Mercury Investimentos and Celeo Redes Brasil.

“Today’s agenda is the result of the largest transmission auction in the history of our country and these actions directly benefit homes, companies and industries”, stated Silveira. “Our attention focuses on citizens, who need access to electricity at a fair price, without interruptions. That is why we have invested in so many initiatives focused on the energy transition and Brazil has advanced more than ever in this regard,” she added.

The Ministry of Mines and Energy estimates that, by 2027, the Northeast will contribute 13 thousand MW to the installed capacity of the National Interconnected System (SIN), consolidating the region as a vector of security and energy transition. “Brazil is more interconnected, stronger, more united and greener. All of this means energy security for our population. This means combating inequality, taking care of the poorest, seeking social and economic development, generating quality jobs and income for our people”, highlighted the minister.

In the same week, the CEO of State Grid Brasil, Sun Peng, announced the intention to invest 200 billion reais in the Brazilian energy sector in the coming years. The new investments will be made in the transmission, production and distribution segments of the electricity sector, as well as in renewable sources and mineral ventures focused on strategic ores for the transition.

Currently considered one of the largest energy companies in Brazil, State Grid Brazil Holding began operations in 2010 with the acquisition of seven energy transmission companies in Brazil, and has 24 concessionaires.


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