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To: Paul Senior who wrote (32021)	9/17/2008 11:26:17 AM
From: Jurgis Bekepuris	Read Replies (2) \| Respond to of 78748

Brazilian utilities - I still hold some ELP, but I was planning to sell it before the current rout. Now it seems, I will hold it for a while longer. With ELP I am concerned about complex capital structure and wheeling-and-dealing. With CPL, I am concerned with their debt/equity, did not look more to see if there were other issues. It seems ELP and CPL track each other , not sure if they will diverge at some point.

To: Paul Senior who wrote (32021)	9/17/2008 11:28:33 AM
From: elmatador	Read Replies (1) \| Respond to of 78748

CPFL has some minor power plants in the basin Piracicaba, Capivari e Jundiaí rivers. In July CPFL reduced generation to let water down the dam to supply the public. Too much waste due to too much water. Now it is time to manage better because the mayors discovered business will not settle if there is no water. Not because of low rain fall, but because this center is Sâo Paulo powerhouse. Lots and lots of sugar cane destilleries to make ethanol. (I go there once in a while to visit relatives) They stopped Americana for 15 days by lack of water, wahter there, CPFL says, can spin one turbine. Plant of Salto Grande also lack water. Why the lack of water: “One person needs 2,500m3 of water to live we are supplying 800m3”, says president of Consórcio das Bacias dos Rios Piracicaba, Capivari e Jundiaí (PCJ), José Roberto Fumach (PMDB), mayor of Itatiba. The potential of hidric resources of rivers Piracicaba, Capivari and Jundiaí cannot be used all by the 62 municipalities because a share of the water is reverted back to Cantareira system, to high Tiete e river basin. That is needed to supply São Paulo metwropolitan area and is used to supply 50% of the population there That measn water not coming down, and reverted back, leave munipalities downstream dry. Several of those 62 cities are going to fetch water -by truck- to other basins. Therefore water is being a concern for the future growth of thre region, coimpanies, like soft drinks and beer no longer cans ettle there due to alck of water, the local administartions say. They are working in sustainability. One is control of losses due to bad distribution systems. Losses are estimated to be enough to supply 2,35 million people, euivalent to a city the size of CCampinas. 6,7 thousand liters per second are lost between treatment plant and consumer houses. Just as an example: Jaguariúna os investing in upgrading its system. In 2000, 70% of the treated water never reached the tap. Today this has dropped to 25%. “The investment on upgrading has been already paid back, says the mayor Tarcísio Chiavegatto (PTB). We swapped 60Km of the network and we will swap some 40Km more 2001. In2001 the city captured 250 litros/second, today, after a 25% grow in population we are capturing 150liters/second, says the mayor. cosmo.com.br

To: Paul Senior who wrote (32021)	9/17/2008 11:35:29 AM
From: elmatador	Respond to of 78748

Water energy and roads (transport): Sâo Paulo runs on top of this tripod. water=>ethanol=>bagasse=>electricity=>CPFL grid. CPFL sells electricity from biomass since the water is used by the ethanol destilleries thus keeping the balance. Cosan (ethanol producer) announced earlier this month that it has entered into an electric power trading agreement with CPFL. Through a Gasa unit, a project for energy co-generation using biomass will be... explored.http://www.ready2invest.co.uk/news-and-publications/news-articles/brazilian-ethanol-development-announced-280808.aspx

To: Paul Senior who wrote (32021)	9/17/2008 11:42:42 AM
From: elmatador	Respond to of 78748

To keep the balance energy-water-roads. Petrobras that provides fuel to road transport, needed water. Got license to tap River Jaguari, from today's 1.870m3 per hour to 2.400m3 per hour, with the condition that it will make investments in despollution of the hidrographic basin. Everybody sharing the resources -and paying for it- them it can be sustainable.

To: Paul Senior who wrote (32021)	9/17/2008 11:46:32 AM
From: elmatador	Respond to of 78748

Today, water hoggers ethanol distilleries are all self sufficient in electric energy producing 3% (1.800 MW in average) of the generation capacity. To 2015 is it estimated to increase to 11.500 MW in average, going up to 14.400 MW in 2020. That points to a lot of water used and throwing back into the grid a lot of electricity. But it wull be 12 years of better management and improvement on the use of water.

To: Paul Senior who wrote (32021)	9/17/2008 3:52:46 PM
From: Lazarus	Read Replies (1) \| Respond to of 78748

Pual, the biggest problem in Brazil is CORRUPTION. earnings will likely drop because every exec will need a bullet proof car and bodyguards. Watch the documentary Manda Bala Lazarus