Work on Brazil's 1.8-GW Teles Pires hydropower project has been halted, per an order given to Companhia Hidreletrica Teles Pires by a federal court this past week.
The Brazilian government said the consortium did not conduct obligatory social impact studies and may not resume construction of the plant until completing a report on its impact on local indigenous groups. The group will also have to reapply for an environmental permit.
Failure to obey the ruling will result in a fine of US$224,000 per day, the court said.
Teles Pires is being constructed along the Teles Pires River on the border of Brazil's Para and Mata Grosso states.
The group responsible for its development includes Neoenergia (with a 50.1% share), Eletrobras-Eletrosul (24.5%), Eletrobras Furnas (24.5%) and Odebrecht (0.9%).
Work on the project was also suspended in 2012 for similar reasons.
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