SPIC Brasil, the Brazilian subsidiary of China’s State Power Investment Corporation, has signed a $272.3 million contract to expand the São Simão Hydroelectric Power Plant in Brazil.
The project, valued at 1.4 billion Brazilian reais, was awarded to a Chinese consortium made up of Dongfang Electric Corporation and China Gezhouba Group following a competitive procurement process conducted by SPIC.
The expansion will add 310 megawatts (MW) of generating capacity to the existing hydroelectric facility, which is located on the border between Brazil’s Minas Gerais and Goiás states.
The new generating unit is expected to begin commercial operations in 2030. Once completed, the expansion will push the São Simão plant’s total installed capacity above 2 gigawatts (GW).
The project follows Brazil’s capacity auction held in March, which marked the country’s first major opportunity in several years for the development of new hydroelectric generation capacity.
SPIC Brasil CEO Adriana Waltrick said improving existing power assets offers an efficient and sustainable way to increase Brazil’s renewable electricity supply while strengthening energy security.
The expansion is expected to contribute to Brazil’s growing renewable energy capacity and demonstrate how upgrading existing hydropower infrastructure can support long-term electricity demand without relying entirely on new-generation sites.
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