Engie the big winner of Brazil's second power transmission auction of 2024
SAO PAULO, Sept 27 (Reuters) -Engie Brasil EGIE3.SA was the big winner of a power transmission auction held by Brazil on Friday, securing a contract to build transmission lines and substations in five states with investments of 2.9 billion reais ($533.8 million).
This was Brazil's second power transmission auction this year, part of government efforts to expand and strengthen the national electricity grid as both power generation and consumption grow rapidly in the country.
The local unit of French power giant Engie ENGIE.PA outbid a handful of peers to win lot 1 of the auction with a proposed discount of 48.14% on its maximum annual revenue, which is set to total 252.4 million reais.
Local power firms Eletrobras ELET6.SA and Copel CPLE6.SA, an investment fund led by BTG Pactual BPAC11.SA, as well as consortiums formed by Alupar ALUP11.SA and Spain's Cymi and Acciona ANA.MC also presented bids for the lot.
Two other smaller lots were also auctioned on Friday.
Lot 3, which will require 244 million reais of investments in Sao Paulo state to build a substation, was won by Taesa TAEE11.SA, while Cox Brasil secured lot 4 for a substation in Bahia state set to require 168.2 million reais in investments.
($1 = 5.4333 reais)
Reporting by Leticia Fucuchima; Writing by Gabriel Araujo; Editing by Kirsten Donovan
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