Three PCHs (Pequenas Centrais Hidroelétricas - Small Hydroelectric Power Plants) built by Atiaia Energia S/A - a holding formed by Cornélio Brennand Group (90%) and Koblitz (10%) - started to operate last year's end, in the states of Mato Grosso and Mato Grosso do Sul. The forth unit, also in Mato Grosso, will start its operation in the middle of 2007. In total, the four projects provide an installed capacity of 120 MW.

The Garganta da Jararaca PCH, in Nova Maringá (MT) is in operation since November providing an installed capacity of 29.3 MW and 40 MVA, 13.8/138 kV substation. In December, the Canoa Quebrada PCH, in Lucas do Rio Verde (MT) started its operation, providing a 28 MW and 45 MVA, 13.8/69 kV substation. In January, the Buriti in Água Clara (MS) started its operation generating 30 MW with 40 MVA, 13.8/138 kV substation. The Paranatinga II power plant, in Campinápolis (MT), will generate 29 MW with a 45MVA, 13.8/138kV substation.

The Canoa Quebrada PCH and the Buriti PCH will supply energy to Eletrobrás through PROINFA, while the Garganta da Jararaca PCH and Paranatinga II PCH will supply locations with isolated electric systems of CEMAT (Centrais Elétricas Mato-Grossenses S.A.). " The energy generated by these two PCHs will supply five cities in Mato Grosso that now is partially attended by thermal power plants that burns diesel oil", explains Koblitz's president, Luiz Otávio Koblitz. R$ 520 million were invested in the four power plants, 75% was financed by BNDES and 25% was provided by shareholders.