CTGC purchases $1.2 billion of hydropower assets from Duke Energy-Brazil
-
7 years ago (2016-10-13)
-
David Flin
Africa
306
Asia
860
Australasia
51
Biomass
8
Climate change
20
Coal
282
Cogeneration
1
Concentrating solar
5
Cyber security
8
Decarbonisation
1
Decentralised energy
5
Demand side management
2
Demand side response
2
Digitalisation
10
Distributed energy
10
Distribution
113
Electric vehicles EVs
4
Emissions
61
Energy management
1
Equipment
2
Europe
1069
Gas
379
Gas engine plant
62
Gas fuel
2
Horizon
2
Hydroelectric
17
Hydrogen
56
Hydropower
116
Latin America
77
Maintenance
3
Marine
1
Metering
2
microgrid
5
Middle East
317
North America
1004
Nuclear
643
Offshore wind
119
Oil
18
Operations
4
Policy
8
Regulations
3
Renewables
758
smart grid
2
Solar
250
Storage
41
substation
8
Tepco
2
Tidal
2
Toshiba
4
Transmission
181
US Senate Washington
4
Wind
241
China Three Gorges Corporation (CTGC) has purchased Duke Energy’s 2.09 GW hydropower in Brazil for $1.2 billion, making CTGC the second largest electricity producer in Brazil. In addition, CTGC agreed to assume Duke’s Brazil debt. This was the completion of Duke Energy’s exit from the Latin American market. The sale will help service Duke Energy’s debt.
Duke Energy-Brazil’s power generation facilities include eight hydroelectric plants on the border between the states of Sao Paulo and Parana, with a total installed capacity of 2.05 GW, and two small hydroelectric plants, each of 16.5 MW capacity, located on the Sapucai Mirim River in northern Sao Paulo.
CTGC now has an installed capacity of 8.1 GW in Brazil, greater than French group Engie’s 7.3 GW and state-run Petrobras with 6.2 GW. Only state-run Eletrobras has more, with 29 GW in its subsidiaries Chesf, Furnas, and Eletronorte.
The deal strengthens China’s presence in Brazil’s electric power sector following September’s $1.9 billion acquisition by Beijing-based State Grid of a stake in CPFL Energia. State Grid already owns a number of projects in Brazil, including two ultra-high-voltage power lines linking the 11.2 GW Belo Monte Hydroelectric complex to heavily populated southeast Brazil. State Grid’s Brazilian asset portfolio could swell further with the possible acquisition of projects belonging to debt-laden Spanish group Abengoa.