ANEEL recommends not to extend grant of Xingó hydroelectric plant

Fonte: ANEEL
The board of the National Energy Agency (ANEEL) decided to refer to the Ministry of Mines and Energy (MME), with a recommendation to reject the request of Companhia Hidroelétrica do São Francisco(CHESF) to extend the concession period Hydropower Plant (HPP) Xingó from 20 to 35 years. The decision was taken at the public meeting today (05/10).
 
Despite the possibility of postponing the granting prescribed by law and all the specifics of the grant and construction of HPP Xingó, the board decided not to recommend the extension, since the concessionaire does not fulfill the requirements in law for the extension of the grant for a period of 35 years. These include the presentation of plan completion approved by the granting of participation and commitment of more than 1/3 of private investment in the resources necessary to complete the work and the placing of units in operation. These factors are conditions for the framework of the extension.

HPP Xingó, in the São Francisco river, was awarded to CHESF by Decree No. 19.706/1945, for a period of 50 years. However, the plant started commercial operation, in part, after 49 years, in 1994, and completely in 1997. In 2004, the concession was extended for another 20 years, counted as from 10/09/1995, expiring in 2015, under Law No. 9.074/1995, and also filed a Notification for Reservation of Rights regarding the request for extension of deadline postponement of the concession from 20 to 35 years. The application was reviewed by ANEEL, which understood that the treatment grant of the plant should be similar to those of other generators. (FA/GL)