The Chinese company Power Construction Corp (PowerChina) announced the signing of a contract for the launch, in Brazil, of the first energy generation project from solid residues in South America.
O The engineering, supply, and construction contract calls for the unit to be able to treat up to 870 tons of solid waste per day and generate 19.1 megawatts of electricity, according to a statement released on Monday and cited by Lusa.
The project, in charge of a subsidiary, SEPCO1 Electric Power Construction Co. Ltd, will be born in an area with 37,237 square meters in Barueri, in the state of São Paulo, said the Chinese state-owned group.
This was the only proposal for energy generation from solid residues to be accepted in the auction held by Brazil's National Electric Energy Agency (Aneel), held last September 30.
PowerChina has guaranteed the project will implement advanced solid waste incineration and decontamination technology.
According to Aneel's website, the proposal envisages an investment of 520 million reais (86.5 million euros), with the unit having to start supplying electricity by January 1, 2026.
Aneel has committed to pay the company responsible for the project, Foxx URE-BA Ambiental S.A. 549.35 reais (91.4 euros) per megawatt produced in Barueri.
The unit is expected to generate enough electricity to supply nearly 80,000 homes, the Brazilian Waste Energy Recovery Association indicated last August.
The project is a public-private partnership between Foxx URE-BA Ambiental and the City Hall of Barueri, in a public investment of 183.4 million reais (30.5 million euros).
Since 2018, the majority shareholder of Foxx URE-BA Ambiental has been the Chinese group Zheneng Jinjiang Environment Holding Co. Ltd, which specializes in generating energy from solid waste.
Since December, Brazil has been going through the biggest water crisis in the last 90 years, with dam water levels falling to historic levels and a reduction in the energy generated by hydroelectric plants, forcing the government to contract expensive thermoelectric plants to avoid a blackout.
Source: News to the Minute