Gamesa wants USD 64/MWh for wind power at Brazil's auctions - report

Brazil should set a ceiling price of at least BRL 200 (USD 64.6/ EUR 57.3) per MWh of wind power for its next energy auctions to ensure the competitiveness of the renewable source, Gamesa's (BME:GAM) CEO in Brazil, Edgard Corrochano, said Monday, quoted by Canal Energia.

The proposed value takes into account the devaluation of Brazil's real and other variations such as the country risk and the Selic interest rate. The wind power sector is working with state-owned energy firm Empresa de Pesquisa Energetica (EPE) and the Ministry of Mines and Energy to raise the price cap for the next auction, the executive said during the opening of Gamesa's nacelle factory in Bahia state.

Corrochano also mentioned the expansion of the transmission infrastructure as a key factor for the success of wind projects in future contests. Only 90 MW of wind power was contracted at the last auction, which reflects economic conditions, the lack of connection lines and increased costs.

(BRL 1 = USD 0.323/EUR 0.286)

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