Foz do Rio Claro Hydro Power Plant

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In December 2005, Alusa Engenharia Ltda was awarded in a competitive bidding process organized by the federal regulatory agency Aneel the 35-year contract to build and operate a 68.4 MW hydro power plant located in the Rio Claro River, state of Goias. Two other companies presented offers in the public bidding: Fuad Rassi and Consorcio Rio Claro. The bidding criteria set by the federal regulatory agency ANEEL was the lowest tariff. The sponsor also committed to pay US$ 0.117 million (BRL 0.214 million) in yearly installments for the duration of the contract, starting from the year in which operations commence (using a 10% discount rate, the present value of these contributions was estimated at US$ 34.4 million).The contract was signed in July 2006, and sponsor created the company Foz do Rio Claro Energia S.A. to lead the project during the 35-year contract period. In September 2008, the state-owned investment fund FI-FGTS acquired 49.99% of the project company's shares. The project company committed to invest US$ 169.6 million (BRL 310.4 million) in the power plant. Financial closure was achieved in April 2008, when the sponsor was granted a US$ 110.2 million (BRL 201.6 million) loan from BNDES. The remaining cost was financed with the sponsors’ internal resources. Construction works started in August 2007, and operations were expected to commence in October 2009. The company was authorized to commence operations in December 2010. Update status in 2010