Privatization of the Brazilian nuclear energy sector

Privatization of the Brazilian nuclear energy sector

The Minister of Mines and Energy, Bento Albuquerque, will continue the process of privatization of Eletrobras sent by former President Michel Temer to the National Congress in January 2018.

The text sent by Temer foresees that the sale process of Eletrobras will take place through the capitalization of shares.

Bento Albuquerque also called for the continuation of investments in the Brazilian nuclear matrix. At the end of the year, Eletrobras said it intends to invest R $ 12 billion ( 3,03 Billion USD) to complete the construction of the Angra 3 Nuclear plant. “Brazil cannot give itself up to prejudice and misinformation, wasting two rare competitive advantages that we have in the international scenario: the domain of technology and the nuclear fuel cycle and the existence of large reserves of uranium.”

The minister said that his most significant challenges in managing the portfolio would be to coordinate ministry activities in the electricity sector; of oil and gas; mining and clean renewable and nuclear energy harmoniously and transparently in constant dialogue with the various levels of government, business, and society.

Bento Albuquerque stressed that in addition to the privatization of Eletrobras, the government would reduce subsidies in the electric sector and charges that currently represent a significant portion of the price of electricity bills.

The minister said he would also work to modernize the industry model by incorporating new business models, “preserving energy security and prioritizing economic rationality, a climate of trust, competitiveness, and innovation.”

The minister also said he would work to maintain the security of energy supply “at the lowest possible cost” and without compromising environmental, social and economic sustainability and that pricing policy are based on these principles. Regarding this point, the minister said that he would work to increase investments in renewable energy sources such as hydro, wind, solar, ethanol, bio-electricity and biodiesel. “These sources represent the largest part of the Brazilian energy matrix and consolidate themselves as sustainable alternatives,” he said.

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Arnaud Lefevre

Arnaud Lefevre is the Chief Executive Officer of Dynatom International. Arnaud is in charge of the international development of the business portfolio.