Brazil's Mato Grosso do Sul wants next energy auction to include biomass
Forest biomass. Author: Oregon Department of Forestry. License: Creative Commons, Attribution 2.0 Generic.
Brazil's Mato Grosso do Sul state will ask the federal government to include in the next energy auction the biomass projects that were not contracted during the April 29 tender.
In the last week's auction, only one of 13 biomass projects in Mato Grosso do Sul was awarded a deal. The state will make the formal request to the Ministry of Mines and Energy and to state-owned energy research firm EPE, with intentions for the projects to be added to the July 29 reserve energy auction, the government said on Tuesday.
According to the Environment and Economic Development secretary, Jaime Verruck, the megawatt per hour reference value for biomass was below that for coal projects which made the renewable source not competitive for most investors. The state also plans to mobilise the power offering of its biomass projects to the free market.
Brazil's free market permits consumers to buy power directly from generators or traders through bilateral contracts with freely negotiated conditions such as price, time, volume, etc.