On Monday (April 1), the President of the National Social and Economic Development Bank (BNDES), Luciano Coutinho, signed the Inova Energy Plan cooperation agreement which is to provide R$ 3 billion in investment to develop the Brazilian energy sector.

BNDES will provide R$ 1.2 billion for the project and this will form the financing fund with a further R$ 1.2 billion from the Studies and Projects Finance Organization (FINEP) and R$ 600 million from the National Electric Energy Agency (ANEEL). With this budget, companies based in Brazil will be able to receive credit at reduced rates in addition to grants and non-repayable cash for research development.

According to Coutinho, private companies are at the heart of the plan. "These funds are being provided so that the private sector can take the lead. In Brazil, spending on science, technology and innovation is, in general, highly concentrated in the universities, in the public sector. This now requires leadership from business," he said.

The plan covers four lines of innovation: smart grids that distribute energy more efficiently; improvements in long-distance transmission at high voltage; alternative energies such as solar and thermo power, and development of efficient devices for electric vehicles, which may contribute to reduced emission of pollutants in cities.

03 April 2013