Baguari

UHE Baguari is a project of UHE Baguari Consortium, which is composed by Baguari I (SPE from Neoenergia), with 51% of shares, CEMIG Generation and Transmission (34%), and Caves (15%). The power plant that is being constructed on the Doce River (MG) will have an installed capacity of 140 MW, and, its reservoir will occupy portions of land of rural properties located in the municipalities of Governador Valadares, Periquito, Alpercata, Fernandes Tourinho, Sobrália and Iapu.

The UHE Baguari project was approved by ANEEL in 2002. After two years, UHE Baguari obtained the Previous Environmental License (LP), which enabled the power plant bidding in December 2005. In December 2006, the Installation License was obtained and the construction works, which should generate around 600 straight jobs, started in May 2007.

The Business Consortium will invest around R$ 500 million in the project, of which approximately R$ 255 million will be allocated by the Grupo Neoenergia, being 30% from own resources and 70% from third parties. The start of the commercial operation is expected for July 2009 and the generated power is already contracted by a pool of 31 distributors.