Sterlite Power launches first project in Brazil

Sterlite Power, an India-based integrated power transmission developer, has delivered its first project in Brazil 28 months ahead of schedule. The Arcoverde project includes more than 139 km of power lines and three substations that will boost wind power transmission in Brazil’s Pernambuco region. Sterlite has started work on the project in May 2018. The new transmission line features 400 MVA of power capacity, 281 towers and a new substation (Arcoverde II), along with expanded capacity at two other substations, Garanhuns II and Caetés II. This is the first of 10 projects assigned to the company in Brazil.

The US$40-million project will help expand coverage in the Pernambuco outback region while catering to the rising power demand. The Arcoverde project showcases how infrastructure can help the National Integrated System, in this case supplying the country’s northeast region with renewable power coverage. Sterlite said that it delivered Arcoverde within two years of coming to Brazil. It has a portfolio of 22 projects across India and Brazil. The company has won 10 power transmission projects in 11 Brazilian states since 2017, covering 29 transmission lines, 34 substations, spanning 4,424 km in length.

Sterlite is the sponsor of India Grid Trust (IndiGrid), India’s first Infrastructure Investment Trust (InvIT), which had received investments from New York-based KKR and Singapore’s GIC. With the fund, IndiGrid is looking at acquiring five transmission assets from Sterlite’s India portfolio. Sterlite will, in turn, redeploy the capital into greenfield transmission projects in India, Brazil and other new markets. India has come up as a leading destination for activities in renewable power generation, transmission and distribution. Starting in June 2019, the nation will offer transmission-line tenders worth around US$5 billion.