Alstom makes €1 bn wind deal in Brazil

7 February 2013

Alstom Renewable Power has signed a memorandum of understanding with Renova Energia, a prominent wind power generator in Brazil, to supply, operate and maintain around 440 onshore wind turbines for a total amount exceeding €1 billion. From 2.7 MW to 3 MW each, these turbines will represent a minimum of 1200 MW new wind power generation capacity. They will equip Renova's wind farms in the state of Bahia and will be delivered from 2015 onwards, over an estimated period of three to four years.

Renova Energia carried out a thorough process for the selection of the manufacturer, using "clean sheet" cost assessment model and comparative analysis. "Alstom presented the best combination of price and technical performance, allowing for greater competitiveness in our projects", says Mathias Becker, CEO of Renova Energia. "This will allow for increased efficiency of our plants", he added.

The partnership between the companies will start with the selection of the most appropriate technology for each plant, a phase that will last approximately two years. Due to the importance of the project, a governance committee will be created, composed of members of the top management of both companies, who will follow up on the execution of the agreement.

"The partnership with Renova Energia has exclusive aspects, and we want to closely follow up on the progress. This is the most important agreement for Alstom in the wind onshore industry worldwide, commented Jérôme Pécresse, president of Alstom Renewable Power.

The wind turbines will be manufactured at Alstom's unit in Camaçari, state of Bahia. Opened in November 2011, the plant has a manufacturing capacity of 300 MW a year, with one work shift. The agreement with Renova Energia confirms Alstom's decision to work with two shifts from the first half of 2013, increasing the manufacturing capacity to 600 MW a year. Alstom will work towards the establishment of a wind cluster in Bahia in partnership with other companies, for the production of the main components of the turbines.



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