December 10, 2013
Bilateral meeting on energyFriday, September 20, 2013
De Vido meets with Brazilian foreign minister
Federal Planning Minister Julio De Vido and Brazilian Foreign Minister Luiz Alberto Figueiredo Machado yesterday examined bilateral projects on the construction of hydroelectric dams, nuclear reactors and discussed how the Brazilian Bank of Economic and Social Development (BNDES) will finance public works in Argentina. During the meeting held in the Federal Planning Ministry, the officials discussed the continuation of the electric energy exchange programme that both countries have maintained since 2008, in which they had guaranteed mutual assistance in cases of high demand.
Brazil has faced several energy shortages in the past year after a drought hit the country, which led its hydroelectric dams to lower electrical power generation.
Regarding the construction of the binational hydroelectric dams Garabí and Panambí, the officials analyzed the degree to which projects have progressed. Their central stations will be placed on the river Uruguay and will generate a total 2,200 megawatts generated once installed.
In a news release, the Federal Planning Ministry said they had also reviewed a contract for a Brazilian basic nuclear reaction (RMB), along with the construction of the Argentine RA-10 nuclear reactor that will be conducted by the Argentine INVAP nuclear technology company. INVAP has experience abroad building nuclear power plants and participates in many international research projects.
The ministries’ contract states that the different parties “will work together to attract investment in the countries’ gas and oil sector.” The company had divested from the refining and commercialization of gas in Argentina but maintained its investments in the country’s oil and gas deposits.
Over the past few years Argentina has started to increase its energy imports due to a drop in production. Outside of the energy sector, the two ministers examined the administrative steps they will have to take next for the application of a US$1.2 billion credit that was recently approved by the BNDES director aimed at financing the renovations of the Sarmiento railway line.
The Argentine ambassador to Brazil, Luis María Kreckler and his Brazilian counterpart Everton Viera Vargas also attended the meeting.
Herald with DyN