Brazil’s national development bank has approved 91.3 million reais (US$56.1 million) in financing for construction of the 28.5-MW Santa Luzia Alto hydroelectric project on Brazil’s Chapeco River.
Banco Nacional de Desenvolvimento Economico e Social (BNDES) is supplying 67 percent of the total investment in the project being developed by the Gomes Lourenco group.
Santa Luzia Alto includes a power plant and transmission line. It is to go on line in January 2010 between the cities of Sao Domingos and Ipuacu in Santa Catarina State.
Santa Catarina’s environmental agency, Fundacao do Meio Ambiente, issued an installation license for the hydro project. However, the license for the transmission line has not been approved because two route options are under analysis. It is due by December.
BNDES said transfer of the funds, by Banco do Brasil, is contingent upon submission of the installation licenses in the name of Santa Luzia Energetica S.A.