Transmissora Delmiro Gouveia

active

In November 2009, the Brazilian Consorcio Nordeste de Tramissao de Energia, a partnership of federal state owned CHESF (49%) and ATP Engenharia Ltda (51%), was awarded in a competitive bidding process the contract to build and operate 36-km of transmission lines, located in the state of Maranhao and two substations located in the state of Ceara. The sponsors created the special purpose company Transmissora Delmiro Gouveia S.A. (TDG) to lead the project. Besides Consorcio Nordeste de Tramissao de Energia, only another company took part in the contest: Alupar Investimento S/A . The bidding criteria set by the regulatory agency ANEEL was the lowest required annual revenue. Consorcio Nordeste de Tramissao de Energia presented the lowest offer, a total value of US$ 12.7 million (BRL 25.4 million), 30.99% below the ceiling set by the regulatory agency. The 30-year contract was signed in June 2010. The sponsor committed to invest US$ 82.8 million (BRL 194.7 million) in the transmission line and substations. The construction works were concluded for SE Aquiraz II in December 2013 and for SE Pecem II in April 2014. Construction works in the transmission line commenced in July 2014, and, as of December 2014, commercial operation was expected to commence in June 2015. The company was granted the right to take part in the government program called Regime Especial de Incentivos para o Desenvolvimento da Infra-Estrutura (Reidi). Companies selected to take part in this program were given tax cuts in the acquisition of capital equipment and construction material acquired both in the domestic and international markets (this incentive represented a cost reduction of about 9.25%). In addition, the company was allowed to use accelerated depreciation methods of accounting for construction expenditures.