The 10-MW Quebra Dedo small hydro project that was to be developed in Brazil is now stalled, developer Velcan reports.
Velcan points to “administrative and environmental issues” as the cause of the delay. The company says the project had less than 15 years of concession left and was canceled by ANEEL (Agencia Nacional de Energia Eletrica).
Velcan says, “The related development costs were already entirely provisioned in the Group’s balance sheet since 2011.”
Quebra Dedo was to be located on the Suaci Grande River in Minas Gerais State. Velcan acquired rights to construct this project, then with a capacity of 16 MW, in March 2008.
HydroWorld also reported in December 2017 that Velcan sold its 7-MW Sukarame project in Indonesia to an unnamed independent power producer in Indonesia for an undisclosed amount.
Velcan is an investment holding company headquartered in Luxemburg. In a press release, the company said it owns and operates one 15-MW hydropower plant in Brazil that it developed and built in 2009. It has a cascade of hydropower concessions under development in India with a total capacity of 571 MW and has an 18-MW project in Indonesia.