The Brazilian energy and infrastructure projects presented as
Transcrição
The Brazilian energy and infrastructure projects presented as
DOSSIER The Brazilian energy and infrastructure projects presented as business opportunities to international investors and the socio-environmental risks involved in these mega-projects Developed by Rios Vivos Network Energy Program Partners Fundação Heinrich Böll Coordination - Lúcia Schild Ortiz – Friends of the Earth Brazil Rios Vivos Coalition Presentation Alcides Faria - Rio Vivos Coalition Executive Secretary Authors Maurício Galinkin – Fundação CEBRAC Lúcia Schild Ortiz – Friends of the Earth Brazil José Rafael Ribeiro –– SAPE - Angraense Ecological Protection Society Glenn Switkes – International Rivers Network Bárbara Happe – URGEWALD, Germany Summary Presentation _________________________________________________________ 03 Introduction _________________________________________________________ 04 Belo Monte Hydroelectric Complex , Xingu River, Altamira, Pará___________ 06 Glenn Switkes – International Rivers Network Teles Hydroway – Pires – Tapajós _________________________________ 11 Maurício Galinkin – Fundação CEBRAC Hydroway, railway and hydroelectric systems in the Araguaia-Tocantins River Basin, Tocantins ________________________________________________ 19 Maurício Galinkin – Fundação CEBRAC Glenn Switkes – International Rivers Network Seival Thermoelectric Power Plant powered by mineral coal, Candiota, Rio Grande do Sul ________________________________________________________ 41 Lúcia Schild Ortiz – Friends of the Earth Brazil Bárbara Happe – URGEWALD, Germany Angra 3 Nuclear Power Plant, Angra dos Reis Nuclear Complex, Rio de Janeiro _________________________________________ 44 Lúcia Schild Ortiz - Friends of the Earth Brazil José Rafel Ribeiro - SAPÊ –Angraense Ecological Protection Society Bárbara Happe – URGEWALD, Germany Sustainable Alternatives to Brazil __________________________________ 50 Bibliographical references, publications and documents available at request ____________________________________________ 53 Energy Program 2 Presentation This dossier presents a series of information gathered from data and knowledge acquired by Brazilian and German Civil organizations about the socio-environmental risks related to mega energy and infrastructure projects to Brazil. Our aim is to be an independent source of information able to influence the decision making process of investors and international financial agents in relation to the accomplishment of such projects, by pointing sustainable alternatives that can also represent opportunities in relation to investment and economic earnings, as well as socio and environmental benefits to the Brazilian society. This is document is meant to approach the press, politicians, businessmen, opinion makers, financial institutions, national and international influent sectors in relation to public and private investments in order to bring them together to promote social, environmental and economic sustainability. Rio Vivos, a coalition of more than four hundred non-governmental agencies, social movements and traditional as well as indigenous communities, has been working on megainfrastructure projects and their impact on the territory and the populations in Latin America since 1994. Rio Vivos’ experience in this process has showed that it is possible to promote alliances and coordinated actions locally, regionally and internationally by uniting and transforming several characters into sustainable development partners. Rio Vivos has elected the energy theme as one of its priorities, since it considers that the decisions regarding policies in this field play direct influence on the Nature and the life quality of people, favoring or creating obstacles to the sustainability we aim at acquiring for our societies. Its greatest objective is to contribute that the unavoidable transition to the energetic development sustainability be accelerated. In addition, we believe that it is necessary the union of different segments of society such as parliaments, governments, enterprises, civil society, international finance organisms, etc in order to help abandon the old destructive project implementation practice and implement cooperation processes that favor the generation of sustainable energy forms and its use. Alcides Faria Rio Vivos Coalition Executive Secretary Energy Program 3 Introduction In the beginning of 2002, an agreement was set between the President of Brazil, Fernando Henrique Cardoso, and the German Prime Minister, Schröder, as for the launching of a common action towards infrastructure and energy investment opportunities in Brazil. It was highlighted that Germany had missed business opportunities, which had arisen in Brazil during the privatization process, due to internal affairs. However, it considers it is about time to move forward and announce that “companies and financial agents could offer their expertise and availability in relation to new financing models in Brazil that happens to be the greatest export credit and international investment receiver in Latin America”. In July 2002, the meeting Brazil – Germany, in Hamburg, was the official opportunity to the establishment of the so-called “ Brazil – Germany Cooperation Initiative to the Infrastructure and Energy Sectors”. A list of 60 great potential investment projects, representing US$28 billion, was presented by the agency Investe Brasil in cooperation with the BDI (German Industries Federation). Brazil, that moment on, became part of the business and service agenda of Germany that seeks both business opportunities and external market expansion. In Brazil, decisions about the infrastructure and energy projects are based on economical and external interests, without any discussions being carried out with society about the need of a socioenvironmental planning linked to the goals established for the development of such sector. Moreover, the people responsible for the selection of such projects, or “international liquidation” as we prefer to call it, do not seem to acknowledge, or intend to omit, the controversies and the legal problems that are faced by such proposals since they hold great environmental, social and cultural impact, as well as the economical and political risks reflected by the popular resistance to their implementation. In addition, other projects have not been successful yet due to the same reasons or due to the technology they wish to apply that are considered obsolete in their homeland; for instance, the nuclear reactor negotiated between Brazil and Germany during the military dictatorship, in the 70’s, and thermoelectric power plants powered by mineral coal. As the negotiation process - also called cooperation process - went on, in November 2002, a delegation made up of about 60 businessmen and representatives of the Brazilian government visited Germany aiming at bringing investments of about 10 billion dollars in energy and infrastructure projects by 2007. Among these projects, were those regarding the Amazonian region such as the Belo Monte Hydroelectric Complex of Belo Monte in the Rio Xingu, the Hydroway Teles Pires Tapajós and several other projects involving the Araguaia-Tocantins basin. All of them have been criticized since they represent enormous social and environmental impacts. Other energy generation projects in Brazil may receive the financial support of German investors, for example, the Seival Thermoelectric Power Energy Program 4 Plant powered by mineral coal, which belongs to the German company STEAG, and the Angra 3 Nuclear Power Plant, which belongs to Eletronuclear do Brasil and ANP Framatone. This last one depends on international financial institutions willing to assume its commercial risk. So far, only French and German financial institutions have showed interest in taking part of this nuclear project. If any of the projects mentioned above becomes reality, should Germany be criticized for the incoherence between its internal and external policies since it shows interest in the development of new renewable sources of energy and has been contributing to a more sustainable world society. It has also been progressively abandoning the use of mineral coal in its energetic matrix, substituting it for renewable ones in order to reach and outdo the goals set for the reduction of green house gas emission effect established by the Kioto Protocol. In 2001, it announced it was abandoning nuclear energy projects and setting a moratoria to new domestic or international investments in this field. Due to the reasons mentioned above, and the cooperation Germany has been offering in regard to the preservation of the Brazilian biodiversity and natural resources, is that we find it unacceptable the involvement of this country in both official or private investments to promote human and environmental degradation, consequences of mega-projects related to infrastructure and traditional energy generation that promote great impact or make use of obsolete sources. In addition, such investments may suppress effective international cooperation processes regarding sustainable development, risking great opportunities of economic, social and environmental return by means of technological, financial and educational cooperation to overcome the global challenges related to the economy and the sustainability of the planet. Discussions involving the participation of Germany in such projects are just beginning, reason why we understand it is important to inform them now about the economic, social and environmental risks presented by some of those projects, and suggest alternative sustainable ones. The dossier about the socio-environmental risks of energy and infrastructure projects in Brazil, presented as business opportunity to international investors, contains crucial information acquired by Brazilian and German organizations about some of these projects and aims at being a source of independent information able to influence the decisions of investors and financial agents, as well as act as a guide to help direct the flux of capital to the initiatives that contribute to the sustainable development of Brazil. Energy Program 5 Belo Monte Hydroelectric Complex, Xingu River , Altamira, Pará Glenn Switkes – International Rivers Network 1 Project name: Belo Monte Hydroelectric Complex Location: Vitória do Xingu, Xingu River, state of Pará Capacity installed: 11,182 MW (stable energy offer: 4,796 average MW) Investors: ELETROBRÁS/ELETRONORTE Financed by: private investors (46%), BNDES (41%), ELETROBRÁS (6%); debentures (7%) Project official cost: US$ 5,252 million (power plant US$3,157 million; transmission line US$2,095 million) Summary This project involves the construction of a hydroelectric complex in the Xingu River, comprising a 440 km2 dam, a hydroelectric power plant with 20 (twenty) units of 550 MW in the main load center and 07 (seven) units of 26MW in the complementary load center, and 830 km of transmission lines reaching the SE Colinas, which will conduct the generated energy to the load centers located in the Northeast and Southeast regions of Brazil, (states of São Paulo, Rio de Janeiro and Minas Gerais) mainly. Due to a reduced capacity factor, about 40%, ELETROBRÁS is discussing project variations that include the construction of thermoelectric power plant powered by gas in Belém, state of Pará, which would generate 1,500 MW to complement the energy necessary to supply Belo Monte during drought, with an estimated cost of US$750 million. The dam will operate on short water during the dry months and, consequently, will have to make use of the entire river flow drying up the “Volata Grande do Xingú”, where indigenous and river bank populations live. Other dams, located upstream, will be necessary to guarantee the adequate flow of water in the turbines of Belo Monte all year long, which would jeopardize other indigenous territories located upstream. The complex involves four more power plants: Altamira (6,588 MW), Ipixuna (1,900 MW), Kakramoiro (1,490 MW) and Jarina (620 MW). More than 20 indigenous reserves are located in the Xingu River area. 1 Glenn Switkes is graduated in History from the University of Columbia, holds a Master’s degree in Journalism and Documentary Cinema by the University of Berkeley, and is the director for International Rivers Network for Latin America. Energy Program 6 Historic Originally, a series of 5 dams were planned to be built in the Xingu River which would flood thousands of km of indigenous reserves, the majority of them belonging to the Kaiapó Indians. Babaquara, the biggest power plant of the project, would flood 5,200 km2 of tropical forests with the greatest reservoir in the world. In 1989, the Kaiapós, and their allies, organized the Altamira Reunion where the indigenous communities rejected the project. In 1999, ELETRONORTE proposed the Belo Monte power plant, with reservoir downsized from 1,200 km2 to 440 km2. Doubts concerning the viability of the construction, in relation to its new engineering project, remained. According to the Brazilian environmental legislation, ELETRONORTE, licensed by the state of Pará, ordered the Environmental Impact Assessment to FADESP, an institute of the Federal University of Pará. In May 2001, the Federal Justice Department of Pará requested the suspension of such assessment and, in January 2002, a legal ruling declared it invalid. Among the reasons presented to the suspension of the assessment are the facts that the project should be under federal jurisdiction, being necessary prior authorization from the Brazilian National Congress, and also because FADESP had already been involved in a fraud scandal concerning another Environmental Impact Assessment about the Araguaia – Tocantins Hydroway. Moreover, the suspended assessments involve only the Hydroelectric power plant. On the other hand, the environmental license for the transmission system is to be requested to IBAMA separately. Investors/Financers In the end of the year 2001, the Executing Unit of the Belo Monte Hydroelectric Complex Project, along with companies which are part of the holding: ELETRONORTE, FURNAS, CHESF, ELETROSUL and CEPEL. The funding suggested is made up of the following sources, taking into consideration their respective participations and tax return demanded: Table 1 – Investment sources and their participation Sources Participation Investor (ordinary 46 Return Tax 15 shareholder) Eletrobrás (preferential 6 12 shareholder) BNDES (direct and indirect 41 10 participations) Debentures Energy Program 7 13 7 The official construction costs presented to Belo Monte Power Plant are fake and do not comply with the financial reality. The cost announced of US$12/MWh will be reached with a capital of US$400/KW only, with a discount tax of 10% a year for a 35 year return period. Social Impact About 20 indigenous ethnics, including those who live along the Xingu River, will be affected by the Belo Monte power plant. Despite the fact the original project was reviewed and the reservoir area reduced from 1,200 km² to 440 km²; without changes in the energy generation capacity, the hydroelectric complex construction would affect more than 3000 families, mainly the Paçamqui reserve, where the Juruna indigenous live. The construction of dams upstream, would flood part of the Kaiapó reserve and the territories of the Araweté, Assuriní and Arara indigenous. The I Volta Grande do Rio Xingu Conference, which took place in June 2002, gathered about 250 people from the community who reassured their position against the dam construction. Environmental Impacts The Belo Monte construction would flood 400 km² of productive land and forests, and it would demand the displacement and relocation of thousands of families. We fear that the socio-environmental impact caused by the Tucuruí dam be repeated. The lack of public hearings threatens the discussions and searches for alternatives. According to the MDTX (Movement for the Development of Transamazon and Xingu), the Environmental Impact Assessment-RIMA developed is limited to 6 municipalities only, not reflecting all of the probable effects involving the construction. Besides that, it also points that the assessment will not have the necessary efficacy to guide decisions about population displacement and pressures set over the region’s natural resources such as the forest remainings, tributary rivers, hunted target species and other biological reproduction interactions that are spread out in an area that is larger to the one studied. According to an environmental viewpoint of responsibility, the fact that practically 2/3 of the Brazilian hydroelectric potential is located in the Amazon region makes even more urgent the need of establishing effective measures for the management of reservoirs formed by hydroelectric power plants, leaving the administration of hydroelectric basins to the electric companies, which is something that has not been seen up to now. In the three reservoirs formed by hydroelectric power plants built in the region – Tucurui (PA) in Tocantins River , with 2,875 km2; Balbina (AM) in the Uatuma River, with 2,360 km2, and Samuel (RO) in Jamari River, with 560 km2- the vegetal coverage was not removed before the floodgates were closed, leading them to decompose and, consequently, emit gases. Besides, the quality of the water is also affected, resulting in a considerable decrease of the fishing Energy Program 8 activities. The reservoirs from those three hydroelectric power plants emit considerable amounts of CO2 and CH4 both greenhouse gases, contributing to the aggravation of the environmental impact on these reservoirs. Taking into account what has already happened to these hydroelectric power plants, if all of the mega-projects that are planned for Amazon are accomplished, the emission of about 2,308.5 millions of tons of CO2 is estimated to happen in the first ten years, in other words, 231 millions of tons of CO2 a year. This volume corresponds to 75% or 3/4 of the total amount of net emission for the year 2000 from the burning of fossil fuel, wood and coal from the native forest, that, itself, represents an undesirable contribution. Concerning the Belo Monte project, the Viability Assessment, conducted by ELETRONORTE, admits only going through the floodgates what the company calls “ecological flow” that, during the dry period would be half the minimum flow of the Xingu River (200 m3/s in October), drying up its streams and tributaries, harming the fishing and farm landing of the communities, besides affecting the availability of water for domestic use. Economic impacts Belo Monte Hydroelectric complex has roused interest mainly of the electro-intensive industries in the Amazon region (production of primary aluminum and exploration of mineral resources as iron stone). Big constructions already built in the north region have not provided economical development, and Belo Monte certainly would create serious social and environmental problems for the Xingu region. The priorities of the regional communities are the feasibility of familiar agriculture and small industries, and not the construction of megaconstruction to generate energy to the industrial and populational centers of the country. Brazil has a great potential to encourage alternative energy sources like wind and biomass, and promote higher energetic efficiency to avoid the impact of those large scale projects in the Amazon region. Alternatives It is possible to drive away the perspectives of the lack of energy for the following years adopting four solutions to raise the offer; first, reduce the losses in the Brazilian electrical system; second, modernize the power plants which are more than twenty years old; third, generate energy in decentralized systems through the PCHs – Small Hydroelectric power plants and aeolian power plants; fourth, make use of biomass and other agricultural residues in cogeneration regimen. All of them, would require small linvestments comparing to the large scale power plants, without causing the undesirable social and environmental impacts, making about 24.000 MW available for the Brazilian society, an equivalent of more than 33% of the generation Energy Program 9 capacity currently installed (see item Sustainable Alternatives to Brazil, at the end of this paper). Energy Program 10 Hydroway Teles Pires – Tapajós River Maurício Galinkin – Foundation CEBRAC 2 Project name: Teles Pires Hydroway Project – Tapajós Location: Tapajos and Teles Pires Rivers, from Rasteira waterfall until its mouth, in the city of Santarem, right bank of the Amazon River, in a distance of 1,043 km, in the states of Mato Grosso and Pará. Companies: Hidrovias da Amazonia Oriental Administration – Ahimor/Cia Docas do Pará. Financers: No definition. Project total cost: US$ 393.9 millions. Summary The Teles Pires Hydroway Project – Tapajos has as an objective to ship grains from the north of Mato Grosso state, today the biggest producer of soy bean in the country, to the Santarem harbour, in Pará. From Santarem, these good would be shipped to the international market. Tapajos River is 851 km long from the confluence of its two rivers, Teles Pires and Juruena, until the city of Santarem, on the right bank of the Amazon River. This city is 950 km far from Belém and 750 km from Manaus. The estimated cost for the implementation of the necessary initiatives to the transformation of river bed, so that Teles Pires and Tapajos would become navigable, from the Rasteira waterfall region to its mouth, totalizing 1,043 km, is of US$ 393.9 millions. This proposal foresees impacts on Indigenous territories, a large amount of demolitions and the construction of a floodgate to surpass one of the waterfall passages; the constructions are to be carried out in 36 months. 2 Maurício Galinkin is Journalist and Mechanical Engineer, holding a Master’s degree on Regional Studies (Latin America) from the University of London, and he is also the Technical Director for CEBRAC Foundation, Brasília, Brazil Energy Program 11 Map situations (1) and detail (2) of Teles Pires Hidroway-Tapajos. Source: Ministry of Transport, Brazilian Government, site, 2003. source: Ahimor, site, 2003 Energy Program 12 History The first Assessment on the Environmental Impact was presented by the entrepreneur to the environmental licensing organization of Pará state, as if the licensing was only local. The existence of groups of indigenous, whose tribes are located near the Tapajós River, Teles Pires River (Manduruku and Kaibi) and in the urban area of Itaituba (Praia Índio and Praia Mangue) would be cut by the cargo transportation road foreseen in the project and, therefore, the need for Federal licensing and authorization of the National Congress to implement this kind of construction on indigenous territories was completely ignored . The Justice Department asked for the construction suspension in 1998, obtaining a favorable decision. The entrepreneur, Administração de Hidrovias da Amazônia OrientalAhimor/Cia Docas do Pará, was able to revoke this judicial decision. Investors / Financers The estimate cost to implement the necessary changes in the beds of rivers, in order to turn the Tapajós and Teles Pires rivers navigable, from the cachoeira Rasteira region to its mouth, totalizing 1,043 kilometres, was R$ 154.7 million (Ahimor, Ppa 2000 - 2003, U$ 1=R$ 1.70) according to the dollar exchange rate in 1999. The updated quotation of the American currency (US$ 1=R$ 3), would be approximately R$ 273 million. According to Brasil Investe, which presented the project to German Investors, in November 2002, the total estimated cost of it was US$ 393.9 million. The investors interested in this project, which has not been granted an environmental license yet, have not been defined so far. Social Impact The area for gain transportation, according to the data provided by Ahimor (Ahimor, site, 2003) is of 800,000 km2, reaching the population of the following towns: In the state of Mato Grosso: Alta Floresta, Apiacás, Aripuanã, Cana Brava do Norte, Carlinda, Castanheira, Cláudia, Colíder, Cotiguaçu, Feliz Natal, Guarantã do Norte, Itaúba, Juara, Juína, Lucas do Rio Verde, Marcelândia, Matupá, Nova Bandeirantes, Nova Canaã do Norte, Nova Guarita, Nova Monte Verde, Nova Mutum, Nova Ubiratan, Novo Horizonte do Norte, Novo mundo, Paranaíta, Paranatinga, Peixoto de Azevedo, Porto dos Gaúchos, Santa Carmem, Sinop, Sorriso, Tabaporã, Terra Nova do Norte, Tapurá, União do Sul and Vera. In the state of Pará: Itaituba, Santarém, Juruti, Aveiro, Rurópolis, Uruará, Medicilândia and Altamira. Energy Program 13 Indigenous Populations This project is meant to build a cargo transportation route, basically to transport grains (soy bean) to reach the international market. This route would cross indigenous territories located near the Tapajós River, the Teles Pires River (Munduruku and Kaiabi) and the urban area of the city of Itaituba (Praia do Índio and Praia Mangue). Besides this serious problem, this construction goes against the possibility of giving effective survival conditions to this populations. In 1999, for example, the Rotary International Pro-hydroway Teles Pires- Commission, from Alta Floresta (MT), sent a protesting letter to the president of Brazil, Fernando Henrique Cardoso, asking the Government not to sanction the enlargement of the indigenous Cayabi territory, which lies in the town region of Jacareacanga and Apiacas (in the south of PA and north of MT), according to the notes of the Socio-environmental Institute in its bulletin- Parabolicas (ISA, site, 1999). The redefinition of the limits of the indigenous Cayabi territory has been an old claim of the Kayabi and Munduruku who are settled there, as stated by the sources mentioned above. Decades of gold searching made the rivers, which flow through the indigenous territory, very degraded, so it became impossible for the indigenous families to make use of the water as they used to do. According to members of this commission, who are soy producers, the enlargement of the territory would make it impossible to implement the hydroway since it would reach the point considered to be ideal to connect the highway to its fluvial harbor, in Apiacás (idem, ibidem). Environmental Impacts Besides the relevant matters regarding the indigenous people, there are also considerable environmental issues on this hydroway route. Impacts that will be caused by the activities necessary to turn the river navigable: 22 km of waterfalls in the Tapajós River, between São Luis and Buburé, in Pará, and 50 km of “hard navegable conditions” with due to the existing waterfalls all the way to Mangabalzinho and Chacorão, on the border between the states of Pará and Amazonas, in the Mundurucânia Forest Reserve. There are also the Capoeiras Waterfall in Tapajós River and, in the Teles River, in the state of Mato Grosso, lies the Aquibi Waterfall, close to the city of Colider. To overcome these obstacles, Ahimor proposes the construction of a channel parallel to Tapajós River, reaching 28 km, with a floodgate to bear the existing unlevellings. The hydroway would operate between the region of Cachoeira Rasteira and Santarém, having approximately 1,043 km of extension. Energy Program 14 Characteristics of the convoy and the road According to the data published by the entrepreneur (Ahimor, site, 2003) the typical convoy indicated to this hydroway is made up of “empurradores” and four barges, 2 by 2 formation), maximum of two hundred meters of width (24 meters of mouth and maximum vessel draught of 2,5 meters, with a medium vessel draught of 1,50 meters) in 75% of average year (retracing every two years), in a 30 meter wide channel. It is expected to transport 7.500 tons. The navigation channel would be 30 meters wide, for the passages without intersections and 70 meters for the passages with intersections. The minimum depths would be of 1,8 meters on the sand banks and 2.0 meters on the rocky beds. The minimum curve radius would be from 700 to 1,400 meters. The minimum depths of the navigation channels will be equals to the vessel’s draught more 0.5 meters for safety. This minimum safety measure is assumed to be kept in any situation, that is, the minimum depth is the vessel draught, 2.5 meters, plus a 0.5 meter room. A study performed by Internave Engenharia Ltd. (apud Ahimor, site, 2003) indicates that the grain load to be transported through the Tapajos hydroway would reach around 2.5 million of tons in 2005, an equivalent to 333 convoy journeys. Since each journey should take at least 8 days (considering 24 hour daily navigation, at 12 km per hour), it will be necessary to count on 10 convoys (a total of 75,000 t for each convoy) to discharge the harvest in approximately 3 months. Navigability The lower Tapajós has free navigation in an extension of 345 km, that is, the route between Santarém-PA and São Luis do Tapajós-PA, convoys with great loading capacity navigate on this route, without difficulties at any time of the year, making the traffic of vessels with 2.5 meters of draught possible at any time of the year. Between São Luis do Tapajós, PA and Buburé, PA, lies Corredeiras de São Luis, a region comprising 28 km of waterfalls in the Tapajós River. At the upstream of Buburé River, next to the mouth of Jamanxim River, main affluent on the right bank of Tapajós River, there is a 170 kilometer navigable route. On the following route, which is about 50 km long, there are many rapids until Cachoeira de Mangabalzinho. The next 147 km, passing by the city of Jacareacanga, have reasonable navigation conditions up to Cachoeira do Chacorão, a waterfall considered an obstacle to be overcome by means of constructions. From the upstream of these rapids, in Chacorão, to the mouth of Teles Pires River, there is a route where small rocks, that will need demolition, appear on the surface along its 111 km. By the end of this route, which is about 192 long, from this point up to Cachoeira Rasteira, dredgings will be necessary to make it navigable. Energy Program 15 The only access to Tapajós River is through Transamazon highway (BR 230) that crosses this river in Itaituba. Besides Transamazon, the region has only BR 163 highway (CuiabáSantarém), usually poorly asphalted in the state of Pará, and the highways of Mato Grosso that cross the upstream of the tributary basin of Tapajós River, located upstream of the confluence of its rivers. These routes represent a crucial access to the hydroway, because it is only through them that the agricultural production north of Mato Grosso can be shipped. Interventions on the river banks On the route, which is about 28 km long and where the São Luis do Tapajós rapids are located, is being proposed the construction of a lateral channel to Tapajós River, using part of the river bank along Cruzes channel. Demolition and construction of a floodgate will be necessary to the transposition of the existing unleveling conditions at this part of the river. Between Buburé, PA, and the confluence with the rivers Teles Pires and Juruena, in the upstream of Tapajós River, which is 462 km long, demolition and dredging are proposed. Downstream Teles Pires River, at the confluence with the rivers Teles Pires, Juruena and Rasteira waterfall, an extension which is 185 km long, only dredging is necessary. Table 1. Forecasted river interventions for the implementation of the Teles Pires Tapajós Hydroway Project Routes Volume m3 Baburé – Jacareacanga Dredging 138,800 Demolition 484,009 Jacareacanga-Confluence Dredging 85,900 Demolition 245,362 Confluence – Cahoeira Rasteira Dredging 1,034,036 Total dredging 1,258,736 Total demolition 729,371 Source: Ahimor, site, 2003. Energy Program 16 Table 02. Forecasted intervention cost for the implementation of the Teles Pires –Tapajós Hydroway, values good for September 1997. Routes Value R$1,000 Baixo Tapajós (Down stream Tapajos River) (345 km) São Luis do Tapajós Rapids (28 km) (channel digging, protection dike and 91,000 dam) Médio Tapajós Buburé – Jacareacanga (Mid-stream Tapajós Buburé – 31,870 Jacareacanga) (268 km) (dredging and derrocamentos) Alto Tapajós Jacareacanga (upper stream Tapajós – Jacareacanga) – 16,419.7 confluence (196 km) (dredging and demolitions) Baixo Teles Pires (down stream Teles Pires) (185 km) dredging 4,261.1 Total construction total cost 143,550.7 Total construction inspection 4,991.1 Total cost 148,541.8 Source: Ahimor, site, 2003. Obs.: The Plano Plurianual de Investimento PPA -2000-2003 (Pluriannual Investment Plan) of the former government diverges slightly from this information, estimating the hydroway cost to be about R$ 154,700 million (Ahimor, PPA 2000-2003, U$ 1= R$1.70 in 18.05.99). Economic Impact The transportation corridor which is going to be created by the Tapajós-Teles Pires Hidroway has, according to the proponents of this project, a fundamental importance for the shipping of the grains produced in the Brazilian Middle-East region, especially the one located in the North of the State of Mato Grosso, bordering the States of Para and Amazonas. It is important to call attention to the fact that the use of this region for planting grains must be preceded by the deforestation of the Amazon Forest. According to this perspective, the difference among the transportation costs through the hydroway and other alternative ways for the shipping of the grains, produced under the area of influence, would amount to R$ 5.00 – ton until R$ 37.00 – ton, depending on the city and distance navigated till the ports (idem, ibidem). Alternatives Cargo transporting alternatives , if they existed, are not the aim of this project. Our aim is to speculate about new ways to generate income in order to benefit and improve the living conditions not only of the local population, but also of the natives. One should be aware that the social group that would benefit from this enterprise – big farmers, capitalists and the sectors involved in the agribusiness – will influence the construction of this hydroway as long as the production of soy bean is an attractive Energy Program 17 business. In order to avoid socio-cultural and environmental harm with the implementation of this hydroway, a strong articulation between the natives and the local society is necessary to convince the federal government not to give this project priority. Energy Program 18 Transport and Energy infra-structure in central Brazil: Hydroway, railway and hydroelectric systems of the Araguaia-Tocantins Basin Maurício Galinkin 3, Foundation CEBRAC 4 Glenn Switkes – International Rivers Network 5 Introduction The view that the Brazilian dominant classes have on how to manage the country’s development becomes clear indeed when we analyze the current proposal for infra-structure projects in the Tocantins hydrographic basin, which is formed by the rivers Araguaia, Tocantins and its tributaries. What prevails is the transport (hydro and railway) “structuring” projects, and a large number of hydroelectric power plants, as well as transmission lines, basically to supply the demand for energy in the economic region of southeastern Brazil (made up by São Paulo, Minas Gerais, Rio de Janeiro and Espírito Santo, but especially for the first two states) and to exportation, in the case of shipping the grains whose production is yet to come. There may be, too, a reduction on the cost of transportation of goods within the Southeast and North/Northeast, with the use of the North-South railway. It is about an “attachment” proposal of a territory that will supply raw material (energy, minerals, grains) or resources to keep allowing importation and the payment of foreign debts, essential for the continuation of the current economic exploration model. The necessities of local populations are totally ignored, if not their own existence, as well as the feasibilities of an effective development based on their way of living. Few crumbs of resources trickle down to “mitigating” programs, which are not implemented or occur in unsuitable, authoritative and discriminatory ways. These populations will always end up seeing their lives worsen, in terms of self- support, food and health, and they are generally snatched from their roots, family and social links. It is shown, as follows, a breakdown of the main projects by the federal government in relation to the Tocantins Hydrographic Basin, among with the projects presented to German investors as business opportunities in Brazil, grouped under the titles: 1) Transport infra-structure, and Energy generation and transmission. 3 Maurício Galinkin is a journalist and mechanical engineer, holding a Master’s degree on Regional Studies (Latin America) from the University of London, and he is also the Technical Director for CEBRAC Foundation, Brasília, Brazil. 4 This work has counted on the research performed by the agronomist D’alembert de Barros Jaccoud, NSc, CEBRAC associate researcher. 5 Glenn Switkes is graduated in History from the University of Columbia, he holds a Master’s degree in journalism and documentary cinema from the University of Berkeley; he is also the current Director of non-governmental organization International Rivers Network, for Latin America. Energy Program 19 Each summary brings an analysis of the social, economic and environmental impacts of the project, as well as a quick reference to their cumulative impacts at the end of the section. At the last section, an existing variant is approached, in terms of another trajectory for the use of the resources, in search for an effective improvement on the standard of living of the local populations. Map 1- Araguaia-Tocantins Hydroway and North-South Railway Source: Valetec (1999) I - ARAGUAIA-TOCANTINS HYDROWAY Project name: Araguaia-Tocantins Hydroway Location: Rivers Tocantins (420 km), Araguaia (1,230 km) and das Mortes (580 km), states of Mato Grosso, Goiás, Tocantins and Pará Project total cost: approximately US$300 million Energy Program 20 Summary This project aims at implementing an industrial hydroway in the rivers Tocantins, Araguaia and its main tributary on the left bank, the Rio das Mortes. The main cargo to be shipped is grains for exportation, specially soybeans, South-Northwards. The soybean production in the region in question is still incipient, but its supporters believe that its implementation will be greatly motivated due to transportation facilities. The proposed routes for the traffic of vessels have the following extensions: Tocantins River, 420 km, Araguaia River, 1,230 km, and River das Mortes, 580 km. The investment initially forecasted (MPO, 1996, apud Galinkin, 2000) was of about R$765 million, at values of 1996, including investments on ports, highways and railway tracks necessary to the functioning of the hydroway. Environmental and socio-cultural impacts The main environmental, social and cultural impacts of this project were studied and presented at the Independent Specialists Panel Report managed by CEBRAC foundation (Galinkin, 2000) which analyzed the Environmental Impact Assessment handed in by the companies to Ibama in 1999. In sum, an extensive and serious modification of the ecosystems can be predicted along the rivers Araguaia and Das Mortes which would be provoked by removing, even if partially, the heap of rocks that come to the surface in the north of Bananal island. There would be an intense drainage upstream these areas, with reduction or extinction of the side lakes formed by the flood during the rain season. These lakes work as "nurseries" to the ictiofauna and shelter to young fish, and its disappearance will reflect directly on fish supply, with possible extinction of species, and indirectly on the rich avifauna dependent of it. The reflex upon the food and health of indigenous and riparian populations may also be considerable, taking into account the negative impact upon the culture of these groups who live in close spiritual and practical link with the river, besides the food dependence. The cumulative and indirect impacts of this project will contribute to aggravate even more the situation described previously, in terms of environment as well as the situation of local populations: a mere announcement of the implementation of this project will attract batches of migrants to the region in search of job opportunities and life improvement. This will pressure the social infrastructure of the cities, making the quality of education and health services fall even more, among others. The small number of low paid jobs, which will probably be generated by the construction, will be disputed among the locals and the migrant workers, having the second more chances to succeed for being probably more qualified. In addition, towns will get bigger spreading to the city outskirts generating a poorer life quality. These people will search for Energy Program 21 survival alternatives, invading and deforesting areas to grow crops. Since the private properties are carefully watched, this populational pressure will probably lead to the indigenous reserves and/or national and/or state parks generating social conflicts, which do not take place nowadays, and will probably be settled in favor of the migrants due to the social aspect of the matter. However, not only the indigenous populations will be affected, since they will lose essential space necessary to their way of living and survival, but also environmental conservation and biodiversity. In addition, the expansion of the agricultural border to the hydroway influence area will provoke a radical change in relation to the vegetal coverage in a region that holds the best natural remanent in the Cerrado, since it has barely been antropized so far. The grain production proposed by the hydroway project will probably affect large extensions of land and, consequently, the flora, fauna and hydro resources due to the fact that neither the river nascent nor the legislation are respected. The rural jobs generated are small; for instance, one permanent job in relation to each 250 soybean planted hectare, or a permanent or temporary job to each 100 hectares. (Galinkin, 2000). Moreover, being this a highly capitalized and technological business that demands large scale production, about 500 hectares in the Cerrado, the chances that a small farmer succeeds are far too small. Chances are that they get expelled from their land either by selling them, the ones that hold a deed, or by the pressure played by the land grabbers and land speculators; as a consequence, they would probably move to the cities without any chances of surviving. Indigenous Populations About 13,300 people, representing 11 indigenous reserves, live in the region under direct and indirect influence of the Araguai-Tocantins – hydroway. There are 30 indigenous reserves distributed along the project extension belonging to the Apinayé, Avá-Canoeiro, Bororo, Javaé, Karajá, Karajá do Norte, Krahô, Krikati, Tapirapé, Xavante and Xerente populations (Ramos, 2000). According to the anthropological reports, the implementation of such project will, in a general manner, provoke a huge impact on the lives of these people, changing the biodiversity and the quality of water, aspects which are crucial to their survival. In addition, the changes, which will affect the ecosystem, will probably turn their knowledge on nature obsolete. Let alone the fact that their contact with the so called “modern society” will jeopardize their cultures. Economic Impact The impact of such hydroway will be harmful to the goianos municipalities, where ecotourism is becoming an increasing business which counts with hotels (about 1,000 beds). This region, mainly the municipalities of Aruanã, Bandeirantes, Cocalinho and São Energy Program 22 Miguel do Araguaia (Luiz Alves district), hosst about 150,000 tourists annually, generating an income of about R$187 million - 1999 prices (Borges, 2000 in Galinkin, 2000). The data presented by the project Environmental Impact Assessment show that the hydroway will not be ale to compete with the railway in terms of fares unless it receives governmental subsidies like in the Mississipi River, in the USA. It is important to mention that the transport scale in the Mississipi River is ten times bigger than that of the Araguaia, das Mortes and Tocantins fact which demands a higher governmental subside in order to make it come true. The transport via North-South railway, that follows along the AraguaiaTocantins Hydroway, as will be showed on the map, will be faster, cheaper, and will make use of modern technology developed by the Cia Vale do Rio Doce. Energy Program 23 II- NORTH-SOUTH RAILWAY Map2 – North-South Railway, Main Urbanized Areas in the Area of Influence Source: Valec (1999) Project name: Ferrovia Norte-Sul (North-South Railway) Location: 1,442 km from Goiânia, state of Goiás to Estreito, state of Maranhão Project total cost: US$1.3 billion (final phase: US$456 million) Summary The North-South Railway will connect Goiânia, the capital city of the state of Goiás to Estreito, in the state of Maranhão, where lies the intersection with the Carajás Railway that heads to the port city of São Luís, capital city of the State of Maranhão. The distance between Goiânia and Estreito is of 1,442 km. The final construction phase foresees the implementation of the Aicilãndia-Belém* route. This route will be 600 km long and it will also make the connection with the Transnordestina (Estreito Balsas-Salgueiro). The estimated implementation cost for the 1,442 km mounts to US$1.3 billion, and the final stage holds a budget of US$456 million (Valec, 1999). *capital city of the state of Pará. The construction of the “north front”, from Estreito to Porto Nacional (Tocantins) has already began and has reached the state of Tocantins. The financial engineering of the project has not been totally accomplished yet, as far as we know. Energy Program 24 Social Impact Similarly to what has happened in places where this kind of project has taken place, migrants will show up looking for urban and rural jobs or for an opportunity to make easy money; consequently, arising the demand for social services, housing and so on, being necessary to perform evaluations, propositions and implementation of public policies able to face and solve these matters. Indigenous Populations The study regarding the environmental impact of the North South Railway lists seven indigenous reserves which will be directly affected for being in the area under influence of the project (other areas, which are part of the document are about the Araguaia-Tocantins hydroway that, like the railway, is part of the “Corredor de Transporte Multimodal/CenterNorth Transportation Corridor). The implementation of roads generates an environmental impact, affects the lives of these populational groups and tends to promote a severe negative cultural impact with consequent decharacterization and loss of values as a result of the contact with the the so called “modern society”. Environmental Impact The environmental impact of the North-South Railway is similar to the ones inflicted to other terrestrial transport roads in the Midwest region of Brazil during the implementation process, for instance, stretches of vegetation are removed; ground filling and levelling performed; bridges are built, with consequent habitat elimination; wild animal transit is made more difficult; during the operational process, animals are exposed to accidents and hunting; extractivism and agricultural activities increase, with consequent changes in the fauna natural habits, reducing its area and flora diversification. These alterations result from transport availability from which is inferred that more areas will probably be incorporated to production, leading to the substitution of the natural vegetal coverage for exotic commercial species, in continuous mono cultive in larger areas. A study and, consequently, a subsequent application of an economic-ecological mapping of the area under the influence of the North-South Railway project, which stands for a direct and indirect influence over an important part of the state territory, is crucial. GENERATION AND TRANSMISSION OF ENERGY I – Energy Generation Energy Program 25 Brazilian panorama Brazil has, nowadays, 1,242 electric power plants representing an operational capacity of 83,422.5 MW; about 79% of this total comes from hydraulic sources, 18.5% from thermal sources, 2.4% from nuclear power plants and only 0,03% from aeolian source. There are 86 construction sites that will generate more than 10,784 MW, and from this additional potency, 55% will come from thermal power plants and the remaining from hydraulic sources. Concessions have been passed, although the constructions have not begun yet, will add 27.142 MW more to the electric energy capacity of the country and, from this total, about 23% comes from aeolian sources, 31% from hydraulic and 46% from thermal sources (ANEEL, site, 2003). The increment of aeolian energy represents a good perspective to the country in terms of environment, but this source represents only 5% of the total, in case all of these enterprises succeed. The thermal sources will represent 27.5% of the total, against the actual 18.5%, counterbalancing the environmental improvement obtained from the Energetic Matrix in relation to the aeolian energy source launching (idem, ibidem). In geographical terms, 63.5% of the annual energy production is located in the states of São Paulo (24.5% of the total), Paraná (19.6%) and Minas Gerais (19.4%), being the most significant results presented in the Paraná River basin. Information regarding the projects and Energy Production in the Hydrographic Region of the Tocantins will be provided, as follows: Table 1 –Central Hydroelectric Projects in relation to the Araguaia River basin – Tocantins, presented as business opportunities to German investors Project name Location Installed Capacity Total cost Torixoréu Araguaia River, Close to Torixoréu, states of Goiânia 408MW and Mato Grosso 105 Marabá Tocantins River, close to Marabá and São João do 2,160MW Araguaia, states of Pará and Maranhão 2,900 Ipueiras Tocantins River, close to Ipueiras and Brejinho de 600MW Nazará, state of Tocantins 610 Novo Acordo Rio do Sono, Novo Acordo, state of Tocantins 160MW 170 Bocaina Parnaíba River, between Divinópolis and Abadia dos 150MW Dourados, state of Goiás and Minas Gerais 285 Serra Quebrada Tocantins River, Itaguatins and Imperatriz, states od 1,328MW Tocantins and Maranhão 135 Tupiratins Tocantins River,Tupiratins, state of Tocantins 1,164 Itaguaçu Claro River, Cachoeira Alta and São Simão, sate fo 151MW Goiás Energy Program 1,000 129.43 26 Summary The Tocantins Geographical Region is made up of the rivers Araguaia, Tocantins and their affluents, totalizing an area of 757,000 km2, at a flow of 11,800 m3/ second and a hydric availability of 372.12 km3/year (ANA, s.d). The hydroelectric potential of this region reaches 27,540 MW, 10.6% of the total value for Brazil, being surpassed only by the Amazon region that holds 40.5% of the total country capacity (ANEEL, 2002). The power plants installed generate 7,039.5 MW , according to the data presented below, that is, 25.6% of its potential (ANEEL, 2002) and 8.4% of the total energy generation capacity generated in the country (idem, site, 2003). This geographic region will promote, considering only the licensed plants and the ones under construction, an increase of 96% in the energy generation capacity in the years to come (see Table 2). The hydroelectric power plants installed will be presented in Table 3, and the ones under construction will be presented in Tables 4 and 5. 2- Energy Generation Transmission Tocantins River Basin Hydroelectric Thermal Power Plant Power Center Name Potenc Name Potenc y MW) y MW) Diacal II *5.0 Cana Brava *468.0 Dianópolis Lageado *5.5 *1.8 Lajes Sobnrado Taguatinga *2,.1 *4.8 *81.8 Estreito Luís Eduardo Magalhaes Peixe Angical Sao Salvador Serra da Mesa Agrotrafo *14.0 Tucuruí I Isumi Ikeda Sao Domingos I Sao Domingos II Total *29.0 *14.3 Tucuruí II General total 13,808. 1 Araguaia River Basin Hydroelectrical Power Plant Name Potency (MW) Primave *2.3 Ra 1,087.0 *902.5 Thermal Power Plant Name Potenc y(MW) Couto 150 Magalhae s Santa Isabel 1,087 452.0 241.0 *1,293. 0 *4,376. 0 4,125.0 28.0 92.3 12,476. 2.3 5 1,237 Source: ANEEL, site: www.aneel.gov.br, information obtained from 03.17.03 to 05.13.03 (*) 7,039.5 MW operating, that is, 51% of the total licensed for construction Energy Program 27 Table 3. Situation of the Hydrolelectric Power Plants in operation in the Tocantins Hydrographic Region, May 2003 Tocantins River Basin Riv er Cana Brava Toc anti ns Luis Eduardo Magalhaes Toc anti ns Serra Mesa da Toc anti ns TUCURUI I Toc anti ns Total 4 river s Town State Licensing Situation Cavalca Operating nte, Minaçu, GO Miracem Operating a do Tocantin s e Palmas, TO Potency( MW) 468.0 902.5 Partic Desti ipatio natio n n% (1) Companhia Energética 100 SP Meridional Enterprises CEB Lajeado S/A EDP Brasil S/A Investco S/A Paulista Lajeado Energia S/A Rede Lajeado Energia S/A Furnas Centrais Elétricas S/A 20 27 1 Res erv oir km2 - PIE 20.6 SP 2,87 5.0 7 45 100 Cavalca Operating nte,Mina çu, GO Tucurui, Operating PA 1,293.0 4,376.0 Centrais Elétricas do 100 Norte do Brasil S/A SP 9 towns 7 operating in 3 states 7,039.5 10 enterprises 67,9% to SP - Source: www.aneel.gov.br Notes: (1) SP= Public Service; PIE= Energy Independent Production; APE= Energy Auto-Production Energy Program 28 Table 4. Licensed Hydroelectric Power Plants under construction in the Tocantins River Basin, May/2003 Legal Situation Potency (MW) Enterprises Partici pation % Dest Reser inati voir km2 on Number of people affected Estreito, Carolina, MA, Licensed Aguiarnópolis, Babaçulândia, Barra do Ouro, Bom Jesus do Tocantins, Darcinópolis, Filadélfia, Goiatins,Guaraí, Itapiratins, Palmeirante, Palmeiras de Santa Maria de Tocantins, Tocantins, Tupirama, Tupiratins, Pedro Afonso, TO. OK (no 1,087 environmental licensing) Alcoa Alumínio S/A BHP metais S/A Camargo Correa Energia S/A Companhia Vale do Rio Doce Tracbel E. S.A Ltda 19 PIE 710.0 13,775 (8,849 in the rural áreas, according to the 1999 inventory. Filadélfia and Babaçulândia are 100% affected and Carolina 10% (MA) Barra do Ouro, Cana Brava and Palmatiba 100% affected (Tocantins). Peixe Angical Tocantins (under construction) Peixe, São Salvador, Constructio Palmeiral e Paraná, TO n Enerpeixe S/A 100 PIE 194.1 1,081.6 São Salvador Tocantins (withstanding construction) Tucuruí II Tocantins (under construction, but delayed) São Salvador, Paraná, Licensed TO 104.0 479.6 Under constructio n 100 Companhia Energética São Salvador 100 Centrais Elétricas do Norte do Brasil S/A ELETRONORTE PIE Tucuruí, PA 452 Impeded (environmental licensing only for caissons) Impeded (no 241 environmental licensing) OK 4,125 SP Totals 6 towns, 4 states 3 licensed, 2 impeded 2 under constructio ns 9 companies 69.5 % SP 2,875. 0 (alread y existen t) 1,008. 1 Tocantins River Basin River Towns Estreito (withstanding construction) Tocantins 2 rivers Licensing Situation 5,933 (5,240) 17 4 30 30 Cost at the auction date Source: Aneel: www.aneel.gov.br Note: SP (Public Service)/PIE (Independent Energy Production) Energy Program 29 Table 5. Situation of the Hydroelectric Power Plants Under Construction in the Araguaia River, May2003 Araguaia River Basin River Municipality/St ate Licensing Situation Couto Magalhães (withstanding construction) Aragua Santa Rita do ia Araguaia/GO Alto Araguaia/MT Licensed Santa Isabel (withstanding construction) Aragua Palestina do Pará, ia Ananás/TO Licensed Totals 1 river 4 states 4 municipalities Legal Situation Potency (MW) 150 OK impeded (no environmental licensing) 1,087 Impeded(no environmental licensing) (2) 2 Licensed 1 impeded 1,237 Enterprises Enercouto S/A Rede Couto Magalhães S/A Alcoa Alumínio S/A BHP P. Metais S/A Camargo Correa S/A Companhia Vale do Rio Doce Votorantim Ltda 7 companies Particip ation % Destinati on (1) Reserv oir km2 PIE 7.25 Cost at auction date (R$) 245.2 PIE 240.0 1,865.6 100% meant to PIE 247.25 2,110.8 49 51 20 20 6 44 10 Source: site, Aneel www.aneel.gov.br Notes: (1) SP: Public Service, PIE = Energy Independent Production, APE = Energy Autoproduction. (2) licensing denied by IBAMA Energy Program 31 Environmental Impact The environmental impacts caused by such large scale dams tend to outdo their dimensions, that is, we can say that big dams create mega impacts. In order to avoid the same mistakes, the impacts foreseen in the Reference Terms as to the elaboration of the Environmental Impact Assessment (EIA) in the Hydroelectric Power Plant of Estreito (IBAMA, 2001), will be presented as an example, as follows: Loss of 260 km of fluvial environment in the Tocantins River, with the flooding of 457.80 km2 of river shore forest (“mata de galeria”) and 158.80 km2 of marginal lakes – being 20% and 8% of such environments located in the meddle of the Tocantis River. These marginal lakes act as ‘nursery’ in the reproduction of fish, as well as shelter to the young ones against the adult predators; consequently, their disappearance would provoke an impact on fish stocks or even the disappearance of species. Significant impacts on the maintenance of aquatic biodiversity ecosystems affect the migration routes and escape areas, as well as the entrance of alocton material in the river and their natural deposition in the river bed directly affecting the feeding capacity of the fish stock all river long, since this material brought from the flooded regions is the main food source of the ictiofauna (comments added by the author). Floading of the following phytophyisiocharacteristics of the Cerrado bioma, totalizing 710 km2: Cerrado “strictu senso”: 166.9 km2; Secondary and pioneer vegetation: 170.3 km2; River shore forest: 117.5 km2; Cerradão: 88.5 km2; Campo cerrado limpo: 81.4 km2; Agropecuary: 64.8 km2; Open Stational Forest: 22.6 km2. Energy Program 32 Loss of the babaçu which are located in the stational forests and in areas covered with secondary vegetation in advanced stage of regeneration, specie important to the extractivism developed in the region. Social and Economic Impacts The proportion o f the negative impacts on the local population are similar to the ones concerning the environmental area. The document issued by IBAMA, the environmental office in charge (IBAMA, 2001), shows the following: Urban nucleous affected: Babaçulândia (100%), Filadélfia (100%), Carolina(10%), Barra do Ouro (100%), Cana Brava (100%) and Palmatuba (100%); Population affected: 13,775 people, being 8,849 in the rural area and 4,926 in urban áreas; Agricultural areas affected: 6,480 out of 125,527 hectares, representing about 5.2 % of the towns affected; Disarticulation of part of the rural population, interfering in the activities conducted by the river shore farmers and extractivists; Interference in the local associativism relations; Interference in the seasonal zonal use of the Tocantins River beaches, affecting the socio-cultural relations and the local tourism, which stands as a source of income to a group of people (comments added by the author); Flooding suitable farming areas; Indirect interference in the Aldeia Indígena Kraolândia (Kraolândia Indigenous Reserve) due to the populational afflux to the area caused by the construction sites; loss of the babaçuais that are relevant to the local population who live from extractivism. It is important to consider that these impacts on the local population and economy are certainly underestimated since they are based on studies carried out between 1986 and 1999. The license to build the Estreito Hydroelectric Power Plant happened in December 12, 2002. The construction is due to start in June 2005. From that moment up to now there has been a populational growth that should continue to grow Energy Program 33 till the implementation of compulsory measures such as land expropriation and relocation of the target population. Transmission Islands The Brazilian transmissions have become extense due to the fact that the big hydrolectric power plants are located far from the major consumption centers. Almost all of the country is interlinked through hydroelectric transmission lines, having an integrated electrification system been developed. This system leaves only part of the states of Pará, Mato Grosso, Amazonas, Acre, Amapá, Rondônia and Roraima out of it. Having these states only production units in their capitals and major cities (ANEEL, site, 2003). This interlinked system makes the exchange of electricity among the different regions possible, and it also meets the seasonal needs that provoke reduction on the water levels of the resevoirs. Having the South, Southeast, North and Northeast regions different rain fall regimem makes that the high tension transmission lines (500 KV or 750 KV) bring the energy supply balance necessary to the system as a whole. The Electric Energy National Agency, has been granting the transmission system expansion to private sectors. These sectors build the lines with their own resources. The Hydrographic Region of Tocantins has two transmission lines under construction and one more will be bidded within this year. This new bid is meant to attend the “Tucuruí – Vila do Conde” 500KV, which is 329 km long. The “Vila do Conde - Santa Maria”, 230 KV, 179 km long, is being built and it is conclusion is due to July 2004. The “Tucuruí – Marabá and Marabá – Açailândia”, 500KV and 468 km long is also being built and its conclusion is due to November 2004 (opus cit.). The Cuiabá – Barra do Peixe Project, 500KV , 840 km long, is within the transmission line investment opportunities presented to the German investors. Project name: Transmission Line Cuiabá – Barra do Peixe Location: 840 transmission line km, 500KV, in the States of Mato Grosso do Sul, Goiás and Minas Gerais Energy Program 34 Total project cost: US$270 million Impacts The environmental and social impacts caused by transmission line constructions are less harmful than the ones related to energy generation; although, they may be significant in the areas they will pass by. The construction of roads and transmission lines may play similar impacts as the ones mentioned in relation to the South-North Railway, however, its operation seems to cause less impact since the traffic of vehicles and people is not as heavy. 3- CUMULATIVE IMPACT The federal government transport and infrastructure projects as well as the energy transmission and generation projects proposed to the Hydrographic Tocantins Region may play significant direct negative impact on environmental, socio-cultural and economic areas, probably outdoing the benefits they might bring to the local population. According to what has been expressed in tables 4 and 5, there are three energy generation business whose environmental licenses are pending approval due to the enormous environmental, socio-cultural and archeological impact they will create (Angical and São Salvador fish in the Tocantins River, and Santa Isabel fish in the Araguaia River). The outcome presented by an assessment performed on indirect and cumulative impacts shows the they may enhance the destruction of the biodiversity and the hydric resources of the Cerrado with the substitution of the native vegetal coverage for mono cultures where the grains for exportation would prevail. It is a priority that we avoid that such business take place by assessing the bioma capacity in bearing the proposed interventions by defining priorities and minimizing their effects and, simultaneously, searching for resources and investments that would allow the local population to choose economic activities they would benefit from and would be compatible with the preservation of the biodiversity. Energy Program 35 4- ALTERNATIVES Another way is possible to the development of the Araguaia-Tocantins River basin As one can see, all the transport infrastructure, production and energy transmission mentioned so far aims at meeting the need for raw materials and primary products the major urban centers of the country have. The local populations, their actual and future conditions, were not relevant to the ones who performed the planning except for the stereotype of being poor and having to be “developed”. We strongly believe that it is possible to choose another path for the future of the country and of these populations who are excluded from the economic, social, technological and scientific progress benefits by focusing the investments in economic activities that allow them to extract from the natural resources their living and, therefore, achieve a sustainable human development. Such attitude should start in the region itself in order to integrated it with the rest of the Brazilian economic system since the opposite would aggravate the exclusion process and implement concepts and values that have little to do with the local population. Investments in energy, for instance, can be directed to aeolian sources instead of the hydraulic or thermal ones. In the region, according to the Brazilian Aeolian Atlas (CNEE, 2002), there are stretches of land along the east part of the states of Goiás and Tocantins with winds superior to 5m/second. The Brazilian government has placed incentives to the fomenting of aeolian energy, according to the Bill 10.438, dated April 26,2002. This legislation creates the Aeolian Energy Source Incentive Program – PROINFA , and the Energetic Development Account - CDE – and it changes the legal remedies that interfere in the alternative source and energy cogeneration use, highlighting the establishment of mechanisms that induce to the economical and energetic efficiency, environmental appraisal, and the application of local energetic resources, new proceedings and mechanisms as to allocate them to generate business that make use of alternative sources, mainly small ones (up to 5 MW), in Energy Program 36 order to meet the needs of communities which count with isolated electric systems (ANEEL, site, 2003). Acitivities that can become an agribusiness Some proposals will be presented to the development of economic activities in the rural area under study (Galinkin, 1999). Such proposals, which can be applied specially with the purpose of showing the existence of possible actions to compete against the social and economic exclusion that accompanies the monotony of large grain mono cultured areas and help avoid biodiversity loss. Activities related to the transformation, distribution and commercialization of rural production can be developed in urban areas, by developing an “agribusiness chain”. “The natural resource use along with the rural vocation of the Araguai-Tocantins River basin, allows that the rural sector benefits from Nature, commercializing several regional products attending different potential markets; for example, fruits, processed fruit woods and wooden products, chemical and technological industries insume; meat, leather and wild animal sub-products; domestic plants; honey, propolis and other apicultural products; pequi butter, pear flavor energetic drinks, araticum sweet, cagaita liquour, wild mallow ointment. A regional tourism office to integrate amateur fishing, agritourism and ecotourism, as well as other possibilities that, by promoting the regional development and the uprising of the social and economic level of the producers, can reduce the environmental, social and economic impact caused by the occupation the mono culture of grains, sugar cane, eucalyptus and cattle raising, brings. The strengthening of the economic use of the Cerrado with its native species and sustainable handling can create new food and industrial products to meet different consumption demands. The commercialization of different foods should focus, initially, the local and regional markets considered more suitable to absorb the products they are familiar with and innovative ones (for instance, the newly developed “powdered pequi” obtained from the dehydrated and sprayed pulp, water soluble) then consolidate their position in the Mid-West market, before searching for new ones. Such strategy would allow the producers to obtain the experience, quality, quantity Energy Program 37 and consistency conditions demanded by the agroindustry. For instance, supplying with pequi is not a problem in certain regions, but harvest conditions, classification transport and storaging are precarious among the producers and intermediaries yet. (idem, ibidem). * Investing in the use of native species to the region, by implementing adapted production systems and extractivism regulamentation control to avoid the dilapidation of the natural resources. Create a “Cerrado Stock Exchange” that allows collecting up the production developed by different regions to gather a volume of goods enough to develop commercialization and distribution process (CEBRAC, 2001). About 80 native species from the Cerrado are used as food such as fruits, seeds and palm trees. The fruit trees native to the region, for instance, araticum, jatobá, pequi, mangaba, cagaita and buriti present the following advantages: - constitute important sources of fiber, protein, vitamins, minerals, saturated and unsaturated fat acids present in the pulps and seeds; - have deep roots that allow a more efficient extraction of the water and minerals from the soil; - do not depend on supported handling systems as to the intensive revolving of the soil; - offer protection to the soil against the impact of rain and accelerated hydric and aeolian erosion; - allow a consortium with other cultures favoring a better performance of the soil and can also be explored without strong alteration of the biodiversity, among others. Several plants can be used as condiments, for example, pimenta de macaco and canela-batalha; others, are used for flavoring such as vanilla, most of it imported; arcassu, whose roots give milk the smell and flavor of chocolate; coloring for example, açafrão-do-cerrado. Seeds, leaves and husk of plants of the specie Chorisia, Eriotheca, Pseudobombax, Mauritia, Attalea, Xylopia, Luehea and Guazuma provide fibers to the production of fabric, cords, hats, hammock, cushions, and etc. Energy Program 38 More than one hundred species of the plants here have medicinal properties. About twenty species of plants, such as pau-santo, mama-da-porca, cervejinha, tamboril-docerrado and fruta-de-papagaio provide cork in economically suitable quantities. Other plants such as babaçu, macaúba and pequi provide oil and fat. Jatobá, breu and laramjinha-do-campo provide resins extracted from the trunk. The Vochysia sp, the angico-vermelho, and aroeira offer gums. Balsam can be extracted from plants like the balsam, cabreúva, copaiba and pau-d`oleo. Plants such as leiteiro, mangabeira and some Ficus species produce latex. * Investing in the rational use of the fauna resources Several species native of the cerrado such as alligators, teiú, capivaras, emas, tatus, tamanduás, have economic potential due to their skin, feathers and meat. It is necessary to define them handling strategies and fight predatory hunting. Some well succeeded experiences have been done in relation to the exportation of meat and skins. * Investing in the research and production of biological plague control by applying their natural enemies and fellow plants * Implementing business alternatives to the production of regional fish adapted to the environmental potentialities and regulating fishing activity in the region * Investing in the production of fertilizers and low solubility soil correctives, and in cultures that have a longer or perene cycle, more compatible with the limitations of the region * Investing in ecotourism, as means of highlighting the existing natural resources, contributing to their preservation and job openings * Supporting the implementation of agritourism as means of promoting the cultural traditions of the region. Due to the fact that such investments are innovative in the area, they tend to be more profitable. Moreover, opportunities will be given to the local population to generate an income compatible with their knowledge, that is, a project with local roots and less aggressive in relation to the environment and cultural values since it aims at Energy Program 39 highlighting the importance of popular wisdom. Having a better income will play an important impact on these families, for instance, it will improve their food and health, and it will also enable their children to attend school till they become teenagers, at least. Education and information will enable these youngsters to search for new paths that will lead them to the living conditions of the contemporaneous world. Energy Program 40 Thermoelectric Power Plant powered by coal, Candiota, Rio Grande do Sul Lúcia Schild Ortiz – Friends of the Earth Brazil Bárbara Happe – URGEWALD, Germany 6 7 Project name: Thermoelectric Power Plant Local: Municipality of Candiota, Rio Grande do Sul Installed capacity: 550MW Investors: COPELMI, STEAG (Germany) Financial agency: BNDES (Brazilian National Bank for the Economical Development), others Project total cost: US$800 million Summary The project consists of the istallation of a Thermoelectric Cola Powered Plant to generate 550 MW of potency as an energetic supply alternative to the state of Rio Grande do Sul, that will have as sub-product the production of fertilizers. 3 million tons of coal yearly will be added to the actual regional production which stands for 1.5 ton nowadays. The well known atmospheric and hydric pollution in the region, which causes impacts in Uruguay, can be regionally aggravated with the implementation of this and other coal power plants planned to the region, like Candiota III (350 MW), owned by the CGTEE state company. Social Impacts The population of the Candióta Region, which is comprised of the neighboring towns of Bagé, Aceguá, Hulha Negra, Pedras Aatts, Pinheiro Machado and the bordering region between Brazil and Uruguay, is affected by the problems generated by the atmospheric and hydric pollution in the hydrographic basin upstream the Jaguarão River, the main affluent of the Mirim lake, that delineates the border between Brazil and Uruguay. The Environmental Impact Assessment -RIMA for the Seival Power Plant mentions the possibility of displacement of the rural communities settled in areas which are requested for 6 Lúcia Schild Ortiz is a geologist, holds a Master’s in Geosciences from the Federal University of Rio Grande do Sul, and Coordenates the Projects involving Friends of the Earth/Brazil and also coordinates the Rio Vivos Network Program. 7 Barbara Happe is a political scientist, holds a PhD in Political Sciences from the Marburg University in Germany, and coordinates the South American activities involving the German non-governmental organization URGEWALD. Energy Program 41 mining. The region is one of the densest in the state in terms of settlements of families and rural workers who belong to the Landless Movement MST, process which begun in the region in the 80´s. Environmental Impacts For several decades has Uruguay been complaining about acid rain and has accused the Brazilian government of transfrontier pollution related to the installation of the thermolectric power plant of Candiota. This region holds about 80% of the coal reserves in Brazil, and its coal presents low quality in regard to calorific power, ash content (higher than 50%) and sulfur concentration (higher than 1.5%), consequently, the emission of atmospheric polluents are higher than the ones compared to similar plants in the world. STEAG, the company which obtained from IBAMA, in the end of 2002, the primary license to operate, is now trying to negotiate a new one due to the fact it will not able to meet the atmospheric polluent emission pattern presented in its original assessment to the institute (IBAMA). The contamination of the subterraneous and superficial hydric resources, as pointed by the rural workers who make use of it to supply their homes and irrigations, should be deeper affected with the enlargement of Seival Mine, located in the upsteram of the Candiota stream. The area, which is now leased by COPELMI, was abandoned in 1996 without any environmental recovery or social measures being taken. Ever since, the Vila do Seival and Vila João Emílio face serious unemployment rates with suicide cases registered. The social and environmental problems, which derive from the exploration and use of coal in the region, are enormous and its solution has not been pointed in the environmental impact studies carried out by the company. Seival Thermoelectric Power Plant installation, foresees the capturing of water from the CGTEE dam, in the Candiota stream; however, the dam, itself, is not enough to supply the actual industrial and domestic needs of the region since it already suffers from the lack of water during draughts. Economical Impact The low quality of the Brazilian mineral coal determines its low competitiveness in the international market. Its low calorific power, its mining and transportation needs, its great residues volumes, since 50% of the mined coal volume stands for fly ashes, turns its application in thermoelectric energy the only option available. Even though, this operation needs subsidies of about R$300 million a year: Imported coal could turn thermolelectric generation into a more economic and environmentally attractive source of energy, if we are to Energy Program 42 consider it the only energetic source. Such subsidies, on the other hand, if added to the advantages suggested by Law 10,438 of 2002 – Energetic Development Bill - CDE, would harm the Brazilian economy as they represent resources which could be applied in the technological development and implementation of new renewable energy sources to meet the goals proposed by Brazil at the World Summit on Sustainable Development held in Johannesburg 2002. Alternatives The potential of both aeolian and biomass energy from agricultural residues are great in the state and there are assessments proving their effectiveness; however, few investment alternatives have been presented. In the Candiota region, 5% of the demand for energy could be met by generating 200MW from rice peel. Moreover, the Aeolian Atlas of Rio Grande do Sul points a 15,000 MW (in soil at 50 m) to the generation of such energy and there are more than 100 MW projects under planning and /or licensing. The environmental impact from the use of coal can deeply affect the outstading work which has been developed by the Landless Movement Workers (MST), settled in the region in the end of the 80´s, in regard to the production of seeds and agro-ecological (carrots, onions and others) products. The Environmental Impact Assessment RIMA, on the Seival Thermoelectric Power Plant, has not supplied us with data about the emission of CO2. It is known that more updated technologies reduce the emission of polluent gases, mainly when the coal used is of a better quality (not the case in Brazil), but they do not foresee CO2 emission reduction since it is related to the quantity and calorific power of the coal used. Energy Program 43 Angra III Nuclear Power Plant, Angra dos Reis Nuclear Complex, Rio de Janeiro Lúcia Schild Ortiz, Friends of the Earth Brazil 8 José Rafel Ribeiro, SAPÊ – Angraense Society for Ecological Protection Bárbar a Happe, URGEWALD, Germany 9 10 Project name: Nuclear Power Plant III Place: Angra dos Reis, Rio de Janeiro state, Brazil Installed capacity: 1,350 MW Investors: Eletronuclear, Framatome ANP, Siemens, Camargo Correa, Andrade Gutierrez Financers: Public, with probable involvement of the agencies related to credit for exportation from Germany (Hermes) and France (COFACE, Société Genérale) Total project estimated conclusion cost: US$1.8 billion Summary The Brazilin Nuclear Program dates back to the military regimem in the 60´s. Angra 1, the first power plant, a PWR-Westinghouse reactor – 650MW, was bought from the USA in 1971 and started operating in 1985. The Nuclear Brazil-Germany Treaty was signed in 1975 and it forecasted the construction of 08 nuclear power plants, besides the construction of a series of industrial installations aiming at the whole development of uranian cycle in Brazil. Angra II Nuclear Power Plant (PWR, 1,350 MW), the only construction that resulted from this treaty, was concluded in 2000 at a cost three times higher than expected. The plans towards the construction of Angra III Nuclear Power Plant are also part of the treaty between Brazil and Germany. In the end of the 70´s, diggings were started in the place where the power plant is to be built and part of the equipment was bought. Due to our country´s 8 Lúcia Schild Ortiz is a geologist, holds a Master’s in Geosciences from the Federal University of Rio Grande do Sul, and Coordenates the Projects involving Friends of the Earth/Brazil and also coordinates the Rio Vivos Network Program. 9 José Rafael Ribeiro is graduate in Agronomy from the Rural Federal University of Rio de Janeiro, RJ, he is a member of the Deliberative Council of the Agraense Ecological Protection Society and its energy program coordinat. 10 Barbara Happe is a political scientist, holds a PhD in Political Sciences from the Marburg University in Germany, and coordinates the South American actities involving the German non-governmental organization URGEWALD. Energy Program 44 economic difficulties and the problems with Angra I and Angra II nuclear power plants, the plans were interrupted in 1983. Eletronuclear, a public Brazilian company, identified an opportunity to retake Angra III Nuclear Project due to the Brazilian energetic crisis in 2001, that resulted from lack of planning, investments and the lack of water in the reservatoir of the hydroelectric plants. In case such project is retaken, it would be due to start operating in the end of 2008, adding 1,350 MW to attend the Brazilian electric system. More than US$750 million has been invested in this project so far and nothing else, but a huge well has been left. The components acquired to Angra III Nuclear Power Plant are storaged there and the maintanance cost sums up to US$20 million a year. Investors/Financers Eletronuclear is involved in this project along with Framatome ANP, a fusion between the French Framatome and the German Siemens. Siemens and Eletronucler have sold part of the equipment to Angra II. Considerind the unstable economic situation of Brazil, and the fact that Framtome ANP is not willing to take high economil risks, Angra III Nuclear Power Plant will probably come true with the support of Hermes, a public German credit exportation agency. Such credits and warranties are a typical and necessary mechanism to allow the exporting of goods manufactured in industrialized countries to the underdeveloped ones where the economic and politics scenarios are usually unstable. The German government established in 2001 –after having decided the year before it will close the nuclear power plants in the country in a 20 year period – that Hermes agency would not finance “nucler technology to new constructions or to the conversion of nuclear enterprises”; however, there exist an attempt to classify Angra III as a “pre-exisitng nuclear project”, not taking into account that the construction of a new nuclear central would be necessary. Considering that Framatome ANP is involved in the operation, it is possible that the French credit exportation agency (COFACE) decides to put up with the risks involved in the project, specially after the cooperation agreement signed in 2002 between Brazil and France as for the “pacific usage of nucler energy”. Social Impact Angra dos Reis and the surrounding communities count with about 130,000 inhabitants who are under the impact of the nuclear power plant. The environmental risks of radioactivity would hit populations that count on tourism, fishing and commercial activities as their income source. Energy Program 45 In case of a radioactivity accident, its impact would be aggravated for the fact that the health system in the area has a precarious emergency plan, let alone one to handle emergencies of this importance and nature. Environmental Impact Angra Nuclear Power Plants present problems in relation to their location, as follows: 1 – Angra is on top of a sismic zone; 2 – corrosive salt water has already caused great problems in previous construction phases; 3 – the geological substract of the region is unstable, reason why the local indigenous call it “Itaorna”, that is, “rotten rock” in Tupi – Guarani. The area to be considered in case of an emergency was restricted to as far as 5 km around the plant, that means that the neighboring communities have been excluded from this so called emergency measures. The unstable soils of the region put at stake the existing evacuation measures, specially during the torrential rain season since the roads are, at times, logged. In regard to the radioactive materials, all the nuclear fuel applied is storaged in Angra. The storaging installations are considered temporary ones and will have its capacity surpassed in 2004. Even tough, Brazil does not have any mid or long-term plan as for definitely storaging these nuclear residues generated by the acitivities performed in Angra. Storaging and discharging problems happen all over the world, this is one of the reasons why Germany decided to progressively give up the generation of nuclear energy. Last but not least, the technology applied in Angra II and III is obsolete, even tough some technical adjustments have been made in in the 80´s. In terms of maintenance, this 20 year period will certainly create problems related to the spare parts for Angra II and to any nuclear plant built with the same characteristics. The problems mentioned above, plus the ones concerning the environmental issues of Angra I and II, as well as their poor performance record, can not be put aside neither disconnected from Angra III. The same problems concerning residues storage, emergency plans, environment and so on will always be linked to this kind of business. Energy Program 46 Economic Impacts The numbers and physical chronograms presented by Eletronuclear, in relation to Angra II, do not seem to be reliable since it took 25 years to be built at the extraordinary cost of something about US$7 and US$10 billion - three times more than expected . Calculations comparing the cost of a KW/hour generated in Angra II to similar nuclear power plants located in England and the USA, shows that the energy generated in Angra II is more expensive than any other available options. Even tough, Eletronuclear had a deficit of about US$800 thousand in 2002. We understand that Angra II, even if there were no environmental impacts, would not be advisable for it would be a very expensive option that would depend on public money and it is well known the country faces economic problems. The generation of nuclear energy in Brazil is one of the most expensive in the world, presenting tremendous economic disadvantages, specially when compared to the potentialities related to the return of investments on renewable alternative energy sources abundant in Brazil. Alternatives In several industrialized countries, nuclear energy is about to disappear due to its countless risks (serious accidents, radioactive waste storing…). For all that has been written so far, is that the non-governmental Brazilian organizations demand that the government declare a moratoria to the investments in this kind of energy which is considered unsafe and old fashioned. There are several other abundant energetic resources in Brazil (solar energy, aeolian, biomass, Small Hydroelectric Centers, natural gas, and etc.) which are more reasonable in terms of costs and offer solutions that present lower social and environmental risks. Germany, for instance, holds excellence in relation to solar and aeolian technology and could benefit from the Brazilian partnership and know-how in the use of biomass as for energetic means. Our intention is suggest that the public funds meant to nuclear energy, which is expensive and presents high social, environmental, political and economic risks, be used to new renewable sources. While such decision has not been taken by the Brazilian and German governments, Eletronuclear and CNEN, as well as the local authorities, should give more clear and precise information on their actions. In regard to the construction license for Angra III, a national, or at least, a regional plebiscite should be conducted regarding the continuation or not of the Brazilian Nuclear Project. We also demand that the Ministery for Environmental Affairs, along with IBAMA, within its legal competence, contact Rio de Janeiro state Energy Program 47 government in order that the impacts caused by the existing nuclear power plants be solved and that any further discussion regarding the third plant only will be conducted when the solutions to meet the existing problems have been implemented. History The history of nuclear energy in Brazil is troublesome. The first power plant, Angra I, is considered one of the worst reactors in activity in the world, functioning with only 29% of its capacity. Due to its constant paralyzation, Angra I has been called “firefly”. The nuclear agreement between Brazil and Germany was supposed to result in the construction of eight power plants, however, so far only one has been built: Angra II. This power plant started operating 25 years after being contracted at cost between US$ 7 to US$10 billion, three times more than what had been expected (a new nuclear reactor of the same kind costs US$ 2.5 billion). Nevertheless, there are many problems relatetd to power plants; for example, not a strategy for storaging the remains of the high radioactivity residues, there is not a policy for the desmantlement of mines and reactors, there are not effecient and reliable emergency plans for Angra dos Reis and the neighboring communities, as well as disagreements with environmental laws and the impact of uranium mining in Poços de Caldas and Lagoa Real. Even with so many problems, and the energy crisis in the Brazilian electric sector, in 2001, pressure to built Angra III Nuclear Power Plant has started. In the same year, the request to continue the assessments to the construction of the power plant, plus the renewal of the contracts set for both buying and giving the the equipment maintenance were evaluated at the National Energy Policy Council (CNPE). The Brazilian environmental organizations started a campaign, internationally supported, by sending letters to the ministers of CNPE demanding the abandonment of the project. As a result, the minister Jose Sarney Filho, looking for a better way to substantiate the position of the Ministery for Environmental Issues requested that the document was analyzed by the Department of Justice. Next, he asked the Department for Environmental Quality to promote meetings with qualified segments of the Brazilian society so that the Ministery for Environmental Issues could have a solid opinion on the subject and could be sychronized with the Brazilian public opinion. Separate meetings with entrepreneurs, scientists and environmentalists were held, holding the last two groups a position against the continuation of the construction. On the 28th of August, 2002, the newspaper O Estado de São Paulo informed that the federal government had decided that the power plant was due to restart in 2003, depending only that Energy Program 48 problems be settled with the Federal Administrative Court in order to have the R$ 123 million necessary available as soon as possible. Until 2002, US$750 million had already been invested and it will be necessary US$1,835 billion to have the construction finished. In September of 2002, The National Energy Policy Council (CNPE) subjected the decisions about Angra III to new assessments on technical and economic feasibility of the power plant , which have not come out yet. Such decision is due to May, 2003, after the government change. Only on the 4th of May, 2003, 100 days after Lula was in office, the Minister of Science and Technology, Roberto Amaral gives an interview to Folha de Sao Paulo presenting his position on the subject. What came as a surprise for the voters was the announcement that the restart of Angra III had been already discreetly set during the government of Fernando Henrique Cardoso between the Science and Technology Department staff and its interlocutors in the Labor Party. The result was the resolution of The National Energy Policy Council (CNPE), approved in September of 2002, leaving the decision for May ,2003, in other words, for the new government. According to this resolution, Eletronuclear should present to the National Energy Policy Council (CNPE) a report on the negotiations held with banks and credit agencies for the financing of the rest of the construction, measures for environmental and nuclear licensing and proposals for the radioctive waste storage. The final decision about Angra III has not been taken yet. Brazilian and other international non-governmental organizations, supported by members of the parliament and business sectors in the area of renewable energy source will go on fighting against the continuation of the nuclear program and the construction of Angra III, cancellation of the nuclear agreements and for new investments in the area of alternative renewable sources of energy appropriate to the sustainable development of Brazil. The mobilization of the Brazilian civil society has been growing stronger since it has been fighting against the anti-democratic decisions on this subject . It seems these decisions continue to be made in the same anti-democratic way, despite the fact that dictatorship is over and that the new government is showing to the world there is hope for a social and popular democracy. The reviewing of the nuclear agreement between Brazil and Germany is supposed to happen in 2005 and it is likely to be cancelled. Energy Program 49 Energy alternatives for Brazil 11 It is possible to avoid the perspectives of lack of energy for the next years by adopting four solutions, for instance, the first solution would be reducing the losses in the Brazilian electric system; second, modernize the stations which are more than 20 years old; third, generate energy in decentralized systems through the Small Hydrelecric Centrals (PSH´s) and aeolian plants that use wind energy; fourth, use biomass (sugar cane bagasse or remains of paper and cellulose) in cogeneration regimen. All of them would require little investment in comparison to the big plants, without causing the undesirable social and environmental impacts, and making available to the Brazilian society about 24,000 MW, which is equivalent to more than 33% of the generation capacity installed nowadays. The first solution is based on the current situation of the Brazilian Electric System, which presents technical losses in a total of 15%. These losses, estimated in 54 million MWh (or 54 billion Kv per hour), start in the process of energy generation by the plants and continue during the processes involving transmission lines and distribution nets up to end user. If Brazil adopts a loss rate of 6%, considered an international pattern, the electric system would increase its availability of electric energy in 33 million MWh, and this increase is equal to what a hydroelectic power plant, with 6,500 MW of installed potency (or more than half of Itaipu Power Plant potency which is 12,600MW), produces during a year. The necessary costs to promote this loss reduction consist basically of a better isolation in the lines and replacement of old and defective equipment, like the transformers. Such steps are not being followed with the frequency and extent required by the current situation. Besides, the same costs would be lower than the investments in the construction of new power plants and the availability increase could be obtained without flooding lands and without expelling the population that lives by the bed of rivers dammed to build hydroelectric power plants. The second solution takes into account the fact that the electric energy generation park in Brazil has many hydroelectric power stations that have been working for more than 20 years. These stations can have their capacity of producing electric energy increased through investments in equipment replacement (e.g. replacement of the generator rotor, or in the modernization of components and systems). 11 This text is based on the alternatives presented in details in the studies of Professor Dr. Celio Bermann, published BERMANN,C – Energy in Brazil: what for? To whom? – Crisis and alternatives to a sustainable country. São Paulo, Ed FASE-Physics Bookstore-USP, 2002, 139 pg. Energy Program 50 It is estimated that the Brazilian Electric System can reach a potency increase of 7,600 MW, as a result of the rehabilitation, reconstruction and repairs conducted on the hydroelectric power plants that have been working for more than 20 years. This gain in potency can be obtained with reduced costs in comparison to the costs of new power plants (around 1/3, or possibly reaching 1/5 of the costs of a new KW installed). If the repotenciation does not interfere in the level of the reservoirs, therefore, not raising the operational quota, there will be a 7,600 MW energy rgeneration without social and environmental impacts, as it is happening in relation to the construction of new power plants. The third solution considers the official data of SIPOT- Information System of Hydroelectric Potential- Eletrobras, indicating that there is a potential of 9,800 MW to be obtained with the construction of 942 small hydroelectric centrals in Brazil. For the next three years, at least 1/3 of these power plants could be built, adding about 3,200 MW to the current Brazilian generator park. The Small Hydroelectric Centers (PCHs) are defined by ANEEL- Electric Energy National Agency as power plants with installed potency of 30,000 Kw (30 MW) and maximum flooded area of 3 km2 reservoir. The hydroelectric usage involved can raise the electric energy supply conditions in Brazil in a decentralized way. In order to assess the impact of having many Small Hydroelectric Centers (PCHs) located in the same river, basin should be evaluated as a whole, not individually. This procedure should also be followed during the environmental feasibility evaluation of the big dams located in the same hydrographic unit, which is something that has not been considered so far. This is exactly the case of the five hydroelectric power plants planned in the Xingu River that must be analyzed as a group and not individually (Monte Belo, for example). In relation to wind energy generation, it is estimated a aeolian potential of 143,000 MW, mainly in the northeast region of Brazil (Ceara and Rio Grande do Norte). In a three period, year it would be possible to install 3,000 MW through aeolian power plants. Taiba and Prainha, the two power plants recently built on the coastline of the state of Ceará and that supply Coelce with electricity, demonstrate the economic feasibility of this alternative. Finally, the fourth solution identifies the cogeneration of electricity from sugar cane bagasse as the source with greatest short-term application possibility. There is a 750 MW estimated potency currently installed in the southeast region, mainly in the sate of Sao Paulo, where there are 131 power plants with an exceeding capacity of more than 150 MW. On the other hand, the potency installed in the northeast regions, specially in the states of Pernambuco and Alagoas is of 358 MW. Nowadays the commercialization of such energy is much reduced. Energy Program 51 From the technological development, which results in the efficiency of the process, it is estimated that 3,000 MW could be obtained in the country from the bagasse of sugar cane. Another sector which presents a high potential in terms of conegeration of energy is the paper and cellulose industry, through the reutilization of residues in combined systems of electric energy production and heat process. For Brazil, a potential of 650 MW is estimated by applying the residues from this type of industry as fuel. Four solutions are shown here, not taking into consideration the immense possibilities of solar energy provided from photovoltaic panels. Each of the energy alternatives indicated in this paper cannot be considered as an isolated solution since they are complement alternatives and should be taken into consideration as a whole. By doing so, it is possible to consider hybrid systems, composed by, e.g. aeolian plants operating with Small Hydroelectric Centers (PCH`s), in order to guarantee energy supply all year long, taking advantage of the fact that the periods of draught coincide with the periods of stronger winds, and vice-versa. In the same way, the hybrid systems applying Small Hydroelectrical Centers (PCH`s) and cogeneration of energy from the bagasse of sugar cane that the period of draught coincides with the may also take advantage of the fact period of harvest, and the period of inter- harvest corresponds to the period in which there is a higher volume of rain. As a whole, these alternatives make it possible to add to the Brazilian Electric System an installed capacity of 24,000 MW, which represents 33% of the present generation capacity of the country, not taking into account the benefits from energy efficiency and maintenance. When one considers the demand, the shifting of the Brazilian industrial profile, counting nowadays with industries whose production processes consume far much energy, as the aluminum industries, the metallurgy, the industries which produce iron alloy, the chemical industries which produce chloride and sodium hydroxide, and the paper and cellulose industries. Energy Program 52 Bibliographical references, publications and documents available at request Ahimor - Administração das Hidrovias da Amazônia Oriental, www.ahimor.gov.br; ANA - Agência Nacional de Águas. s.d. Gestão de Recursos Hídricos, folder; ANEEL - Agência Nacional de Energia Elétrica 2001. AHE Santa Isabel: Estudos de Impacto Ambiental e de Viabilidade, 3 CD-Rom; ANEEL - Agência Nacional de Energia Elétrica 2003, site na Internet: www.aneel.gov.br, acessos de 17 de março a 15 de maio de 2003; ANEEL - Agência Nacional de Energia Elétrica, 2002. Atlas de energia elétrica do Brasil. 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