IBERDROLA RENOVABLES, in consortium with Neoenergia, a Brazilian energy holding company, and IBERDROLA investee, has been awarded the contract for nine new wind farms in Brazil, with total installed capacity of 258 MW.

The contract award took place in Rio de Janeiro, during the second tender process for renewable energies in the country, organised by the Agencia Nacional de Energía Eléctrica.

IBERDROLA RENOVABLES committed to supply the electricity generated at these facilities to the Brazilian government for a 20-year period, starting in January 2013. The annual amount of the contract awarded yesterday by Aneel is about €60 million.

The company was awarded the most megawatts during the tender process, in which contracts for 50 wind farms (1,520 MW), five hydroelectric plants, and a biomass facility were granted to several different operators.

This contract is the first to originate from the memorandum of understanding between IBERDROLA RENOVABLES, and Neoenergia, in which they committed to work together to develop and jointly operate onshore and offshore wind farms in Brazil.

The goal of the agreement is to capitalise on the experience of the world leader in the wind industry and the market position of the top power distributor in north-eastern Brazil, with its 8.8 million customers. Similarly, the agreement aims to leverage both companies’ financial strength to drive growth in one of Latin America's most promising wind markets.

Within the framework of the agreement, IBERDROLA RENOVABLES and Neoenergia, who are considering eventually forming a 50-50 joint venture, announced that they would jointly participate in the future tenders held by Brazil's Agencia Nacional de Energía Eléctrica, including the one held yesterday.