Gas and Nuclear Power Talk at the Presidential Summit Between Argentina, Brazil and Bolivia

(Brazilian, Argentine and Bolivian presidents in Buenos Aires. Picture credit: Infobae.) As we previewed last week, Argentine, Brazilian and Bolivian presidents gathered in Buenos Aires last Friday to discuss gas supply to this country (which could lack during the starting winter) and other energy issues. Remember many countries in Latin America are going through rough times in matter of energy generation.

Argentine intentions were to persuade Brazil to give up part of the gas it imports from Bolivia, but the biggest nation in South America did not accept. In exchange, Brazil offered to export energy from other sources and to collaborate in the development of nuclear power. A decision that keeps ratifying a bet in nuclear energy in both Argentina and Brazil.

Keep reading for details. Via Pagina/12 and Clarin newspapers.The summit between Argentine president Cristina Fernandez de Kirchner, Brazilian leader Luiz Inacio da Silva and Bolivian mandatary Evo Morales took place last Friday.

The official communicate after the meeting said, according to Clarin newspaper, that, "presidents agreed to conform a Group with their energy Ministers in order to seek the best alternatives for industry growth and energetic infrastructure, while analyzing the regional demand and acting accordingly with a solidarity principle". Brazilian mandatary said this is going to be good, "not only to discuss gas in winter, but to find out which energy production sources (the region) needs."

Argentine intentions were, however, to get more gas from Bolivia. But for that to happen Brazil had to give up part of the 30 million cubic meters it gets daily; and during the growing phase Latin American countries are going through, Brazil doesn't want to interfere in its industries growth. So its negative to that alternative was obvious. Now Argentina has to find out what to do to keep its industries from lacking energy to grow in winter.

According to sources from the Argentine government, even though there wasn't a positive verdict on the gas issue, households will not suffer of shortage during winter. Industries, however, will face some restrictions, like the ones implemented with electric energy last winter. Remember that the energy crisis Argentina is going through lead to implementing a saving plan last December.

Despite the gas matter, Brazil offered to export electric energy to Argentina: 200 megawatts/hour. Additionally, it signed an agreement with the local government to build a nuclear submarine, but not only with military goals. "The technology will allow us to build electric centrals with capacity to supply big cities," said Brazilian Defense Minister, Nelson Jobim, according to Clarin.

While Argentina will contribute to build the reactor (using its former experience from having exported one to Australia), Brazil will build the other parts of the vehicle and contribute with the atomic fuel, informs the quoted newspaper.

As mentioned above, both Argentina and Brazil have done announcements last year ratifying their nuclear plans by announcing new centrals (our coverage on the Argentine and Brazilian announcements).

The signed agreement also includes, according to Spanish BBC, hydroelectric development plans for the Uruguay river.

What's the conclussion to all this? As we previewed in our 2008 predictions, expect lots of talk and decisions regarding energy production coming from Latin America this year. Let's hope right ones.

::Clarin newspaper article on the summit (in Spanish) ::Clarin on the nuclear submarine (also in Spanish) ::Clarin on gas shortage ::Pagina/12 article

Tags: Argentina | Bolivia | Brazil | Buenos Aires | Energy

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