Former Brazilian President Luiz Inacio Lula da Silva criticized on Wednesday the planned privatization of the state-owned power company Eletrobras, one of the economic priorities of incumbent President Jair Bolsonaro's government
BRASILIA (Pakistan Point News / Sputnik - 19th May, 2021) Former Brazilian President Luiz Inacio Lula da Silva criticized on Wednesday the planned privatization of the state-owned power company Eletrobras, one of the economic priorities of incumbent President Jair Bolsonaro's government.
"Another crime is being committed against the Brazilian people and the future of our country. Now the target is Eletrobras, which Bolsonaro wants to sell at the price of bananas, threatening Brazil's energy sovereignty and security," Lula tweeted.
The ex-president warned of imminent tariff hikes and risks to private sector companies that would threaten the stability of utilities, financial services, the internet and communications in Brazil.
"To privatize Eletrobras means giving away the invaluable heritage of the Brazilian people, allowing private interests to control dams and drains, as well as the access to important water sources," Lula added.
A preliminary measure allowing for the privatization of Eletrobras is expected to be approved by congress at a plenary session later on Wednesday.
The privatization is expected to be completed by January 2022, Privatization Secretary Diogo Mac Cord said earlier this month. Even though Eletrobras is one of the country's most essential power utilities, the government is expected to reduce its stake in the company from about 62% to 45%, raising 25 billion reais ($4.75 billion) from the process.
Eletrobras is the largest energy company in Latin America with 48 hydroelectric plants, 62 wind plants, 12 thermoelectric plants, two thermonuclear plants and one solar plant, as well as 70,000 kilometers (43,500 miles) of power lines, controlling 30% of power generation in the country.
