Furnas expects quick decision on Peixe Agnical hydro plant

Brazil's state power company Furnas expects to decide within 15 days whether to join the consortium building the 450MW Peixe Angical hydroelectric power plant, Furnas president Jose Pedro Rodrigues was quoted as saying by local press. A quick decision is needed to be able to build the cofferdam before the rainy season starts in one month, he said, adding that otherwise the project will be delayed by a year. Total investments in the plant on the Tocantins river are expected to be 1.2bn reais (today US$400mn). Furnas would take a minority stake alongside Brazil's Grupo Rede, with Portugal's state-owned power company EDP continuing to take the lead role, he said. Furnas expects to complete feasibility studies on the Madeira river hydroelectric power project in March 2004, he said. The full project envisages building three hydroelectric projects, one of which would be in Bolivia, with toal capacity of close to 12,500MW at a cost of some US$4.5bn. "Our expectation is to tender a contract by the end of 2004," he said. Rodrigues confirmed Furnas is in talks to renegotiate debts owed by Goias state-owned distributor Celg.