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Articles

Decision support system for micro-hydro


power plants in the Amazon region under a
sustainable development perspective
Claudio J.C. Blanco
College of Sanitary Environmental Engineering, Federal University of Pará, Rua Augusto Corrêa 01
Belém – Pará, 66075-110, Brazil
E-mail: blanco@ufpa.br

Yves Secretan
INRS–ETE, 490, Rue de la Couronne, Québec – QC, G1K 9A9, Canada

André L. Amarante Mesquita


College of Mechanical Engineering, Federal University of Pará, Rua Augusto Corrêa 01
Belém – Pará, 66075-110, Brazil

One of the main obstacles to the socio-economic development of the Brazilian Amazon is the lack
of electric energy in the numerous small isolated communities of the region that hampers value-
added agricultural production, revenue growth and creation of jobs. One way to solve this problem
is by setting up micro-hydro power (MHP) plants under a sustainable development perspective. This
paper presents a decision support system (DSS) that analyzes this solution. The system considers
the hydrological, topographical, geotechnical, environmental, energy, economic and social aspects
of the target site. A detailed analysis is made of the hydrological model that employs a rainfall
run-off model for small catchment analysis; the energy planning favors a two-turbine method to
determine the maximum energy production during demand peaks, and the economic aspects show
that the costs of energy generated by MHP plants are comparable to those from rural grid systems
and lower than those from from diesel generators. Thus, the use of the hydro-power resources of
the small catchments of Amazonia combined with the minimization of the environmental impacts
caused by MHP not only fulfills the energy demand of the small communities of region, but is also
viable economically along with job creation and revenue generation, and it supports the perspective
of sustainable development.
Key-words: Amazon region, sustainable development, small isolated communities, micro-hydro
power plant, decision support system

1. Introduction sequent increase in the social problems already faced by


The main objective of the present study is to propose a the populations of those cities. These small communities
decision support system (DSS) for setting up micro-hydro have their own agricultural production, based primarily
power (MHP) plants in the Amazon region under a sus- on rice, beans, corn and manioc (to produce flour). They
tainable development perspective. The 2002 Johannesburg also develop different kinds of fruit crops: açaí, acerola,
declaration on sustainable development [United Nations, banana, cocoa, Pará nuts, cupuaçu, orange, papaya, pu-
2002] considered that social and economic development punha, etc. [Caviglia and Kahn, 2001]. These crops are
and environmental protection make up the three insepa- not cultivated in sufficient quantities to eliminate the need
rable pillars of sustainable development in order to ensure to harvest the same fruits in the forest.
human dignity for everyone. Additionally, power can be used for supplying electric-
This work proposes a methodology to analyze MHP ity to the village (lighting of schools and hospitals, TV,
projects for the small isolated communities of the Brazil- radio, etc.). Thus, the Amazon region’s small community
ian Amazon region, for which the lack of electric power power supply supports the socio-economic development
is often an obstacle to socio-economic development process and consequently improves the lifestyle of the re-
[Amarante Mesquita et al., 1999]. This energy can be used gional population. In this context, the isolated indigenous
for value-added primary production, generating jobs and tribes of the Northern Amazon also want energy. For ex-
revenues. It will motivate settlement, therefore reducing ample, electricity is actually supplied to the Wai-Wai tribe
rural migration towards the region’s bigger cities and con- (state of Pará) by diesel generators and it is common for

Energy for Sustainable Development • Volume XII No. 3 • September 2008 25


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Figure 1. Decision support system for micro-hydro power plants

the fuel to be transported by air. the social aspects, topography, small catchment hydrology,
Generally, the Amazon region’s rural areas and water- energy and economic aspects, and scheme planning. The
side regions depend on the electric power produced by last two branches are presented in a low perspective,
generators run on diesel [Blanco et al., 2000], which is a which allows for a more detailed analysis of their neces-
non-renewable source. Fuel is expensive and transporting sary decision-making tasks.
it is sometimes more expensive than the fuel itself [Dos 2.1. Micro-hydro power and sustainable development
Reis and Silveira, 2000]. Among the renewable energy sources normally used,
The existing problem of power generation and the lack MHP is the most desirable for meeting the purposes con-
of value-added primary production in the remote regions sidered in this paper.
of the Amazon region can be solved through renewable It is a less expensive option compared to the new tech-
energy projects. This paper addresses the establishment of nologies such as biofuel, biomass and solar energy. MHP
micro-hydro power plants in the Amazon under a sustain- is a mature technology; moreover, it is a much more con-
able development perspective. centrated energy resource than solar photovoltaic and
wind energy.
2. The proposed methodology Generally, setting up MHP plants in rural areas of de-
MHP addresses the needs of specific energy for areas veloping countries can offer considerable benefits to the
where small rivers forming small catchments have a communities served, particularly where careful planning
strong seasonally varying flow, like in the Amazon region identifies income-generating uses for the power. The in-
[Amarante Mesquita et al., 1999]. The DSS scheme uses come generated can be used for economic and social de-
a rainfall run-off model [Blanco et al., 2005] adapted to velopment of such areas [Harvey et al., 1993; Paish,
the region’s small catchment areas. The model is em- 2002].
ployed mainly to determine the flow-duration curves The environmental impact related to these areas in-
(FDCs) that are very important for the MHP energy pro- cludes flooding, reduced oxygenation of the water, up-
duction project. Furthermore, low-head installations with stream sedimentation of weirs, erosion of the turbine’s
run-of-river schemes are the most suitable for these re- draft tubes located immediately downstream, and electri-
gions due to their flat topography. cal machinery noise. These effects will be minimized be-
Figure 1 presents a high perspective of the DSS for cause of the size of the plant and appropriate design
setting up MHP plants, considering sustainable develop- techniques [Paish, 2002]. In relation to the impact related
ment aspects. This paper analyzes certain branches of the to flooding, Bezerra [2007] noticed that the maximum
DSS, such as: community commitment that summarizes area flooded for a MHP of 50 kW, called CGH Irmã

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Dorothy, to be set up in the community of Vila Sucupira, If conflicts occur in the feasibility phase of the project,
Anapú, Pará state, is approximately equal to 3,000 m2. the committee’s task is to reconcile the water uses of the
This is equivalent to the area of a square with a side of local population. This reconciliation must ensure the pres-
55 m. ervation of all water use. It will also have to train the
Thus, the end-product is a potentially economic renew- staff on how to operate and maintain the plants after the
able energy source with smaller environmental impacts demonstration phase is over because too many projects
than the impacts of the current technology, which, in this have started out as a demonstration, but failed once that
case, is diesel generation. The most significant emisisions phase has been completed [Fulford et al., 2000]. The lack
from diesel generators are CO2, contributing to the green- of trained employees is sometimes the reason for failure
house effect and therefore to global warming, and par- of the system for a longer period of time, because of the
ticulate matter, NOx, and CO, which are hazardous to large distances among the villages and cities of Amazonia,
health when inhaled. where qualified labor forces can be found.
The economic and social development and the low en- In order for the project to be affordable, the committees
vironmental impact related to MHP represent the three must request financing from the government in order to
inseparable pillars of sustainable development of the Jo- purchase micro-turbines from one of the rural power sup-
hannesburg declaration, confirming that MHP can serve ply programs. In Brazil, a federal program, called Luz
as an energy source for sustainable development. para Todos (Light for Everybody) [MME, 2005], has been
2.2. Community commitment established to fund such projects.
The following-up of power generation related projects, Thus, the participation of the community is fundamen-
through renewable sources for isolated regions, can only tal to the success of the project, especially because the
be ensured with the commitment of the community power demand of these small communities is the reason
[Ramachandra et al., 2004]. In this work, the community for the project.
must play a central role in the decision-making process 2.3. The hydrology of small catchment areas
of the projects (Figure 1), especially since they are de- In the Amazon region, hydroelectric power production has
veloped around the community, also assisting the sustain- been developed mainly in large basins, i.e., only in gauged
able development of the region. Moreover, the central role basins, those with long histories of stream flows. This
of the community also helps to ensure the management data is used to estimate floods, in terms of risk and in
of the project after the set-up phase. terms of recurrence times for flood frequency analysis.
Community commitment starts with power demand This information is crucial in projecting hydraulic struc-
analyses. Local knowledge can aid in guiding the choice tures (dams, weirs, spillways, etc.). The stream flows are
of the most feasible power supply project. Thus, the com- also used to plot the flow-duration curve (FDC) that de-
munity is necessary throughout all the project’s feasibility termines design flow for a hydroelectric power plant.
phases. The community also takes part in the other However, hydrological data measurement is expensive be-
phases: construction, operation and maintenance [Harvey cause of the region’s size. Road access is difficult and
et al., 1993]. During the feasibility phase the community fieldwork is often difficult, too. For these reasons, count-
defines the end-use of electricity, participates in choosing less small catchments in the region still haven’t been
the sites to be exploited and also helps determine the most gauged, hampering the analysis of power supply potential
adequate way to extend transmission lines. The commu- for small isolated communities [Amarante Mesquita et al.,
nity can contribute by hiring local workers for the civil 1999].
construction and for the hydraulic structures of the plants However, rainfall data in the Amazon region is more
(powerhouse, weir-dam, etc.) to lower costs, thus reducing readily available. Hence, Blanco et al. [2005] have devel-
transport and logging expenses. Because of all the com- oped a hydrological rainfall run-off model to simulate
munity skills used throughout the project, it is necessary FDC in hydro-power production. The model is based on
to organize, for example, a small catchment committee. a linear and time-invariant system (input-output). The im-
It will be responsible for reaching all the participants in pulse response of the system is calculated from the cross-
the community: municipalities, local churches, farmers, spectral analysis between the rainfall and run-off series.
small entrepreneurs, and finally, the community in gen- A sensitivity analysis of the model to the sample size is
eral. The indigenous populations of the community, if any carried out to determine the shortest data period, but that
are present, must also be represented. This representative still allows for good model performance. This analysis
character of the committee is critical to ensure that the shows that it takes 18 months of rainfall and run-off re-
cultural variety and patterns of the Amazonian population cords to simulate FDCs. Figure 2 shows the measured and
are respected. It must explain to the community that the predicted run-off series, and Figure 3 shows the measured
project will generate profits by providing jobs and reve- and predicted FDC, for a small catchment in the Amazon
nue. This information is used to motivate the local popu- region using the model in [Blanco et al., 2005].
lation into participating in all of the project’s phases. The The hydrology of the region is characterized by two
committee also has to form the teams to work on the con- seasons: the first, between January and June, the flood
struction of the MHP plant. season; the second between July and December, the low
The committee is responsible for determining the water water season (Figure 2). Fortunately, the floods coincide
uses of the community that lives on the small catchment. with the primary production peak, helping to plan out the

Energy for Sustainable Development • Volume XII No. 3 • September 2008 27


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Figure 2. Hydrograms measured and predicted for a small catchment in the Amazon region

Figure 3. FDC measured and predicted in a small catchment area in the Amazon region

MHP scheme, since more power generation is required model to simulate FDCs for hydropower production. The
during this period. model is the same as in [Blanco et al., 2005], but in this
In the literature there is a significant number of studies case, the sensitivity analysis is carried out to determine
[Littlewood, 2003; Ouarda et al., 2001; Seibert, 1999] rec- the shortest run-off period that still yields a good perform-
ommending the transferability of hydrological data of ance. This analysis shows that it takes 12 months of run-
gauged sites to ungauged ones. Blanco et al. [2007; 2008] off records to simulate FDCs by transferability.
have developed the transferability of their rainfall run-off Flow data necessary for model application (18 months)

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for such low-head schemes [Eletrobrás, 2000].


The power generated in MHP plants is lower than 100
kW, which seems modest, but sufficient to meet the en-
ergy demand of the small communities. For example, the
small catchments of the Amazon, with a surface area
smaller than 200 km2 [Blanco et al., 2005; 2007; 2008],
have a power generation potential of about 50 kW, suffi-
cient to supply a small industry [Amarante Mesquita et
al., 1999].
2.4.1. Run-of-river schemes
The electricity generated from discharges in run-of-river
schemes is greater than the minimum required to operate
the turbine. This configuration does not use dams for
water storage or flow regulation; a weir is the only thing
built on the stream-bed in order to divert the required
flow. The flow excess continues through the river or
through the spillway.
In this work, run-of-river schemes are analyzed with
one or two turbines in parallel; during floods, both of
them running at the same time to produce more power.
Besides, the more powerful turbine runs during the period
between the end of the flood and the low-flow start; the
less powerful turbine running during the low-flow, if the
Figure 4. Scheme of hydrologic branch of DSS discharge of the river allows it.
Run-of-river schemes are feasible for the small com-
or transferability application (12 months) can be estimated munities in the Amazon region because grain harvest takes
from a rating curve (Q = f(H)) relating water level (H) place between January and June and, as stated before, it
to discharge (Q) at a cross-section of a river. The same coincides with the flood season. This coincidence between
rating curve is used for flood estimation, by overestimat- the peak of power demand (grain harvest) and the peak
ing the maximum water level H and the corresponding of power production (floods) favors the power production
discharge Q. planning of MHP in the region. However, if the height
The main role of hydrological study is to determine the established by the weir (plus the natural gross head of the
FDC of the sites under study. These curves are needed site) is not sufficient to generate the required power, a
for the analysis of the energy aspects. Figure 4 represents small dam can be built, but its height should not exceed
in detail the branch of the DSS that analyzes the hydrol- 3 m [DNAEE and Eletrobrás, 1985]. This height ensures
ogy aspects of small catchments. that the MHP is still of the run-of-river type, that is, with-
2.4. Energy aspects and scheme planning out a significant capacity of water storage, thus preventing
For small communities, energy demand is mainly related flooding of large areas. In addition, small dams ensure
to value-added primary production (of corn, beans, rice, project simplicity and low cost.
manioc, fruit, etc.) and the need to improve their quality Floods are simulated by a rating curve and by the sur-
of life. An example of this demand and of this necessity face of the reservoir (formed upstream) not exceeding 13
has been found in small communities in the northern km2. This value is set by ANEEL (Agência Nacional de
Amazon river in the state of Pará [Amarante Mesquita et Energia Elétrica, Brazilian Electric Power Agency) Reso-
al., 1999]. lution 652, and is applicable to small hydropower (SHP)
Moreover, local grains, fruits and manioc flour produc- projects. This study uses the same value because there is
tion can be industrialized and directly sold to consumers. no resolution yet for MHP in Brazil. Resolution 652 con-
Also, the energy allows production storage for business siders that a reservoir bigger than 13 km2 could have sig-
supply between harvests. These last examples illustrate nificant environmental impact and would therefore require
how power supply can generate jobs and revenue. a study of the plant’s socio-economic impacts before tak-
Low-head plants are typical in the Amazon region, ex- ing the decision to carry on with the project.
cept in its border areas: in the west, the Andes; in the Considering the MHP design in relation to the number
north, the Guyana plateau; and in the south, the Central of turbines, the first alternative would be a scheme
plateau. In other parts of the Amazon region, the only equipped with one turbine having a design flow matching
suitable plant is a low-head MHP plant. Indeed, the great- Q95% (flow rate at 95 % of the FDC) [DNAEE and Ele-
est opportunity to expand the use of small hydro power trobrás, 1985], which is characterized by the low flow of
is with low-head sites, since high heads are uncommon the sites. For the small Amazonian rivers, low flows gen-
or have already been exploited [Paish, 2002]. In these erate low power, which in general is not sufficient to meet
cases, the MHP is typically run-of-river-built in river val- demand; in these cases, it is necessary to assume a design
leys. Kaplan and propeller turbines are generally indicated flow with a value bigger than Q 95%. Thus, depending

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Figure 5. Operation ranges of the two turbines

in relation to the percentage of time that flow is equaled


or exceeded in relation to the operation limits of the tur-
bines equipped with Q1 and Q2. Thus, Q- is the lower
limit and Q+ is the upper limit, η is the turbine efficiency
and QN is the optimum operation point. When considering
a particular FDC with economic and sustainability con-
straints, the choice of Q1 and Q2 can be posed as an op-
timizing problem. The turbine performance characteristic,
which is influenced by the regulating possibilities of the
distributor and rotor blades, plays an important role in
this optimizing process. If the economic study shows that
the cost of one or two turbines is similar, the option of
two turbines is more attractive since the power supply is
guaranteed for a longer period of time. It is with these
Figure 6. The small catchment location (marked SC) preoccupations in mind that the following examples were
studied.
on the design flow value and on the turbine operating 2.4.3. Examples of run-of-river schemes with two
flow range, one can have a small period without energy turbines
generation. To exemplify the project with two turbines in parallel, it
2.4.2. Two-turbine method is assumed that QT is equal to Q50%, which corresponds
Schemes can also be designed to have two turbines in to the peak demand period that occurs during the region’s
parallel, with the design flows Q1 (for the larger turbine), flooding periods (January-June); and Q1 is equal to Q75%.
Q2 (for the smaller turbine) and QT (total design flow), Thus, the method based on Equation 1 is applied to the
QT = Q1 + Q2 (1) small catchment (SC) indicated in Figure 6. The surface
Thus, the scheme equipped with two turbines ensures a of this SC is 82 km2.
power supply similar to the power of one turbine with a Figure 7 presents the FDC of the catchment over 7
design flow equal to QT. Besides that, the MHP continues years (1993-1999) of stream flow records [ANA, 2003].
its production with the turbine having a design flow equal Thus, the design flow Q50% is equal to 0.9 m3/s. Q75% is
to Q1 that is larger than Q2. When the small river’s dis- equal to 0.7 m3/s and Q2 is equal to 0.2 m3/s, meaning
charge becomes lower than Q1, the scheme runs only with that the turbine can run continuously with assured flow.
the second turbine having a design flow equal to Q2. Equation 2 summarizes the calculation of the power P of
Figure 5 shows the operation ranges of the two turbines the micro-hydro power plant, where η is the total power

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Figure 7. Flow-duration curve and power generated by the scheme with two turbines

plant efficiency, ρ (kg/m3) is the density of water and g In this study, the sustainable development perspective
is the acceleration due to gravity (m/s2). is fundamental for decision-making regarding installation
P=η.ρ.g.Q.H (2) of the MHP. However, it can be associated with an eco-
Thus, to quantify power with design flows Q75% and Q2, nomic viability analysis of the schemes. This analysis is
Equation 2 is applied with H = 7 m (gross head), η = presented in the economic aspects, covered in the next
0.65 (turbine-generator-speed regulator), ρ = 1000 kg/m3 sub-section.
and g = 9.81 m/s2. Thus, PQ75% is equal to 31.2 kW and 2.5. Economic aspects
PQ2 is equal to 8.9 kW. After the energy analysis, the methodology establishes the
Figure 7 also shows the annual power distribution of cost of electricity produced by schemes with one or two
the MHP that can be set up on the SC. It shows that for turbines and compares it with the production costs of die-
the first six months (0-50 %), the plant runs with the two sel generators and, if there is a rural grid, with the costs
turbines. For the next three months (50-75 %), the power of the local supplier. The objective of the economic study
is lower and produced by the turbine with a design flow of the low-scale hydroelectric power supply project is to
equal to Q75%. In the last three months of the year (75- compare the possible alternatives in order to get the most
100 %), the plant power is at its lowest because the advantageous choice for the community and also the pos-
stream flows of the small river only run the turbine sibility of abandoning the project, if it does not turn out
equipped with Q2. The maximum power of the MHP for to be profitable. However, this methodology considers
SC is 40.1 kW and it is produced during the six peak that the most profitable project may not be the best project
months. If other harvests (e.g., fruit) occur after the de- for the sustainable development of the community.
mand peak, then, firstly, the turbine equipped with Q75% From an economic point of view, a hydroelectric power
can supply the demand, and then the turbine equipped plant differs from diesel generators because its installation
with Q2 will supply the remaining needs. If the latter is cost per kW is much higher [Penche, 1998], but the op-
not sufficient to meet the power demand, its power can erating costs are extremely low, since there is no fuel cost.
be used for domestic needs. Due to the period of weak In Brazil, mainly in the south-east, the cost per kW of
stream flows that exist during low flows, the option to installed MHP is between (US)$ 510 and $ 2,074
stop the energy production must also be taken into ac- [Balarim et al., 1998]. However, those costs cannot be
count. This is considered normal in projects of isolated applied to this study, because the turbines analyzed are
hydroelectric generation [Penche, 1998] and it is not dra- of the Francis type. On an international level, Khennas
matic because during low flows farmers are still preparing and Barnett [2000] analyzed projects in Nepal, Sri Lanka,
the soil for sowing. Zimbabwe and Peru and noticed a variation in the cost

Energy for Sustainable Development • Volume XII No. 3 • September 2008 31


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Table 1. Costs and annual energy generation of schemes with 40 kW ing to periods of operation presented in Table 1. The in-
and depreciation parameters stallation costs are considered for MHP only, with the hy-
pothesis of a charge factor equal to 100 %, otherwise the
Micro-hydro power
UEC for MHP would be increased. Thus, the cost of a
Number of turbines 1 (40 kW) 2 (30 and 10 kW) kWh generated by MHP plants is lower than the cost of
Cost of the investment ($) 200,000
a kWh produced by a diesel generator, i.e., 0.19 $/kWh.
This cost was calculated using the data presented by Da
Cost of installation ($/kW) 5,000 Cruz [2000] and by considerating a diesel generator of 40
Unit energy cost ($/kWh) 0.18 0.12 kW with the price in the Brazilian market in 2005.
Thus, if it were necessary to produce 40 kW in the long
Annual energy generation (MWh) 172.80 259.20
term, the choice would be to buy energy from the rural
Continuous energy time (%) 50 100 grid ($ 0.09/kWh) [ANEEL, 2005]. If the grid does not
exist and it is necessary to meet the demand of 40 kW
Period of operation (months) 6 12
during the peak period (January-June), the choice would
be to produce this power from a scheme with two turbines
per installed kW between $ 1,136 and $ 5,630. because of the lower cost ($ 0.12/kWh) continuing its pro-
The cost of installation Ci per kW produced is estimated duction after the peak until the end of the year, but on a
by smaller scale, while the plant with one turbine
Ci = Estimated project cost/installed power (3) ($ 0.18/kWh) only operates for 6 months. Additionally,
Within the framework of a comparative economic analysis the two-turbine scheme has an annual energy generation
between MHP plants, diesel generators and rural grids, it and a fixed percentage energy time bigger than those of
is necessary to determine the unit energy costs of the the one-turbine scheme (Table 1). The unit energy prices
schemes that are shown in the following case-study. ($/kWh) for both schemes are used in Figure 8, which
2.5.1. Case-study summarizes the branch of DSS for energy and economic
The following example shows the application of the eco- aspects, plus planning of run-of-river schemes.
nomic aspects to the SC site. The design head (7 m) is Analysis of energy and economic aspects supports the
the same used when considering the energy aspects (Sec- perspective of sustainable development from the proposed
tion 2.4), to determine the power when considering one approach. It can be applied to the Amazon region’s un-
or two turbines. gauged small catchment areas by using the hydrological
Bezerra [2007] also evaluated the investment cost for aspects, also presented in this paper.
CGH Irmã Dorothy. In this case, the cost was estimated
as $ 200,000. This MHP is very similar to the site ana- 3. Conclusion
lyzed in the present work. Moreover, the cost of two tur- This study presents a decision support system (DSS) for
bines with 10 and 30 kW is equivalent to the price of one the installation of micro-hydro power (MHP) plants in the
turbine with 40 kW. The prices were provided by the Brazilian Amazon under a sustainable development per-
manufacturer LTCC of Montreal, Quebec, Canada [LTCC, spective. This system takes into account the electric power
2005]. Thus, the costs presented in Table 1 are comparable demand of the region’s small communities, their commit-
to the costs of the installations presented by Khennas and ment to the projects, and hydrological, energy and eco-
Barnett [2000] on the global scale. nomic aspects. Put together, they form the basis for the
In order to complete this analysis, it is necessary to project approval and the installation of MHP in the region.
consider the depreciation of the scheme’s investment costs Success in setting up MHP depends on the commitment
for the calculation of the unit energy costs. A missing item level of the local population. It begins with the energy
in this analysis is the cost of O&M (operation and main- demand and continues with feasibility, construction, op-
tenance) services. This item is very difficult to estimate eration and maintenance, which are required throughout
because it is necessary to know the prices of such services the project’s phases.
for MHP in the isolated Amazon regions. On the other Hydrological aspects are very relevant, especially be-
hand, for the MHP, this approach is favorable since local cause the sites are located in ungauged small catchment
population training is foreseen to perform these services. areas. Thus, stream flows are simulated with a rainfall
The annualized capital cost C (Equation 4) can be de- run-off model or with its transferability. These stream
termined by considering the present value (depreciation) flows are used to plot flow-duration curves that are nec-
of an annuity calculated on the costs of the investment essary to establish the design flows of the turbines that
(Table 1) of any scheme. equip the plants.
C = Cost of the investment/an (4) Analysis of the energy aspects has revealed that power
where an is the discount factor for annuities of C and n demand peak coincides with production peak. This coin-
is the number of years for which the present value of C cidence helps in the planning of the two-turbine method
is calculated. In this analysis, where the discount rate is schemes.
equal to 15 % and n is equal to 30 years (lifetime of the The case-study used for the analysis of the economic
project), a30 is equal to 6.566. Thus, the unit energy cost aspects has shown that micro-hydro power is a viable eco-
(UEC) ($/kWh) of every scheme can be calculated accord- nomic option for the isolated areas of the Amazon region.

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The authors wish to thank CNPq (Conselho Nacional de Desenvolvimento Científico e Tec- Agricultural and Forest Meteorology, Vol. 98, No. 9, pp. 279-293.
nológico) of the Brazilian Ministry for Science and Technology (reference number – United Nations, 2002. Report of the World Summit on Sustainable Development - Johan-
200360/00-0) for the financial support provided. nesburg, South Africa, 26 August-4 September 2002, United Nations, New York.

Energy for Sustainable Development • Volume XII No. 3 • September 2008 33

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