July 31 (Renewables Now) - Brazil's power sector regulator Aneel approved today the price ceilings for the power generation auction scheduled for August 31, 2018.
This tender will contract power from wind, biomass and hydropower plants (HPPs), as well as thermal power plants that use natural gas and coal. Among renewables, biomass has the highest maximum bidding price -- BRL 308 (USD 82/EUR 70) per MWh.
In all, the country registered 59,116 MW of projects to participate in the bidding process. Prices can vary based on whether the projects have concessions and contracts.
More details are available in the table below with price caps in BRL.
|Source||Registered capacity||Price cap without contracts||Price cap with contracts|
|Wind||27,142 MW||227 per MWh||171.82 per MWh|
|Large hydro (UHE)||333 MW||290 per MWh||151.68 per MWh|
|Small hydro (PCH)||941 MW||-----------|
|Mini hydro (CGH)||65 MW|
|Biomass||1,040 MW||308 per MWh|
|Natural gas||28,656 MW|
In Brazil, hydropower plants (HPPs) are divided into three groups depending on their capacity. UHE, with capacity exceeding 30 MW, PCH, between 1 MW and 30 MW, and CGH of up to 1 MW.
The government will award power purchase agreements (PPA) with a 30-year term for hydropower, a 20-year term for wind and 25-year for the remaining sources. Power supply is scheduled to begin on January 1, 2024.
(BRL 1 = USD 0.27/EUR 0.23)