EDP Renováveis is awarded long term contracts for 116 MW at the Brazilian energy auction
EDP Renováveis, S.A. (“EDPR”), through its subsidiary EDP Renováveis Brasil, S.A. (“EDPR Brasil”), secured four 20-year Power Purchase Agreements (“PPA”) at the Brazilian energy A-5 auction of December 13th 2013 to sell electricity in the regulated market. The four PPA are related to the equivalent renewable energy produced by four wind farms totalling 116 MW, to be installed in the State of Rio Grande do Norte, in Brazil.
The projects are adjacent to other wind farms under development by EDPR in Brazil, which coupled with its quality and the predefined bidding strategy enhanced the projects’ competitiveness in the process. Accordingly, EDPR was able to sell 45 average MW in the A-5 auction, starting in early 2018, with more than 75% of the expected capex to occur in 2017. The price of the long term contract was set at R$109/MWh, indexed to the Brazilian inflation rate.
The successful outcome from this auction reinforces EDPR presence in a market with a low risk profile through the establishment of long term PPA, attractive wind resource and strong prospects for the wind sector in the medium and long term.
About EDP Renewables (EDPR)
EDP Renewables (Euronext: EDPR), headquartered in Madrid, Spain, is a global leader in the renewable energy sector and the world’s third-largest wind energy producer. With a sound development pipeline, first class assets and market-leading operating capacity, EDPR has undergone exceptional development in recent years and is currently present in 11 markets (Belgium, Brazil, Canada, Spain, the US, France, Italy, Poland, Portugal, the UK and Romania). Energias de Portugal, S.A. (“EDP”), the majority shareholder of EDPR, is a global energy company and a leader in value creation, innovation and sustainability. EDP is Portugal’s largest industrial group and the only Portuguese company to form part of the Dow Jones Sustainability Indexes (World and STOXX).