Introduction:

·  Brazil’s main source of energy comes in the form of hydroelectric power (over 80% of power is hydroelectric)

·  Severe drought in the region has caused More than four million people to be affected by rationing and rolling power cuts

·  At least six cities have been hit by blackouts due to weak hydroelectricity generation and high demand for air conditioning as temperatures soar over 35C. In response, utilities are burning more fossil fuels, adding to the cost of energy and greenhouse gas emissions.

History:

·  In 2001-2002 Brazil faced its most serious energy crisis due to a few consecutive years with drier than average precipitation rates.

·  In June of 201, the government created the Crisis Management Board which set up special tariffs and implemented compulsory blackouts.

·  This board effectively managed the crisis and avoided blackouts, however, Generators and distributors faced a 20% decline in revenue and customers faced a substantial increase in electricity price.

·  Luiz Inácio Lula da Silva and his new administration took over in January of 2003 and advocated for increased private capital investment in the energy sector.

Recent Developments:

·  In February 2014, reservoirs dipped below 37% capacity, which was the lowest since 2001.

·  In January of 2015, a severe drought created water shortages in Sao Paulo, cutting water use by a quarter.

·  Over 4 million people have been affected by the rationing and rolling power, severely hurting the economy as well.

Action:

·  While there have been talks of energy in the UN, it has been on a much more broad scale and not really acted upon. However, China has been working with Brazil to develop Wind-Farms, and bring a energy market into Brazil. Chinese investments in Brazil now have a much higher focus on energy.

Consequences:

·  If there is inaction, then more of Brazil's water and other resources could be tampered with and cause adverse effects, and power supplies will not meet the ever growing demand. Acting now to increase the amount of energy, as well as producing safe means to get it, could only further help Brazil.

Questions to Consider:

1.  How does this impact surrounding regions/the international community?

2.  What can be done to help the people of Brazil until a more long-term plan can be implemented?

3.  How can a country that depended so heavily on one resource shift to the use of another without causing major disruption for the people?

4.  How should the government go about regulating cost to keep the economy stable?

5.  What is the best way for the government to implement a new plan and make it available to the majority of the Brazilian people?

List of Countries

Brazil Germany Japan

Chile Spain Italy

Argentina People’s Republic of China Nicaragua

Bolivia South Africa Peru

Paraguay Israel Poland

The United States El Salvador France

The United Kingdom Congo Russian Federation

Mexico Armenia Uruguay

Venezuela Jordan

Australia Belize

Canada Honduras