Modernization of coal?
Engie admits that it may close the Jorge Lacerda Thermoelectric Complex by 2025, while the MME creates a work group for “coal modernization.” iCS argues for the end of subsidies and use of the remaining amount by law for a fair transition
Engie Brasil admits that it may close the Jorge Lacerda Thermoelectric Complex (SC, 857 MW), which is composed of three plants, in a phased basis, starting in 2023 and ending operations in 2025. However, everything will depend on the best social and economic plan for the region, explained the CEO of the company, Eduardo Sattamini. Opposed to the possibility of the closure of the complex, is the formation of a Work Group at the Ministry of Mines and Energy for “coal modernization,” which intends to extend the subsidy for coal burning, currently at R$ 700 million/year (and paid for by electricity consumers). By law, the subsidy ends in December 2027, but the mining companies have been seeking another 20-year extension. iCS argues for the end of the subsidy within the original term of Engie, using the remaining amount until 2027 for a fair transition to the mining workers and to the municipalities where it is based.