Developing alternative plans for the Belo Monte Hydroelectric Dam Complex in Pará/Brazil based on the Reflexive Interactive Design (RIO) approach.

Developing alternative plans for the Belo Monte

Hydroelectric Dam Complex in Pará/Brazil based on the

Reflexive Interactive Design

_{​ (RIO) approach.}

MSc thesis research project

30 EC

Student: Verena Suadicani

Master program: Earth Sciences, Track: Environmental Management

Examiner: Prof. Dr. John Grin

Faculty of Social and Behavioral Sciences

Program group: Transnational Configurations, Conflict and Governance

Assessor: Prof. Dr. Marc Davidson

Faculty of Natural Sciences, Mathematics and Computer Science Institute for Biodiversity and Ecosystem Dynamics

May 8th, 2020 Amsterdam, The Netherlands

Defined as the largest and most biodiverse rainforest, containing also the greatest drainage basin on earth, the Amazon region is seen in Brazil as a great potential for hydropower development. In this context, the massive Belo Monte Hydroelectric Dam Complex that is currently being implemented on the Xingu river (an important tributary of the Amazon river), impacts the normal functioning of its important ecosystem services. Given the fact that the use of hydric resources for electricity generation is considered a priority in Brazil, Belo Monte project symbolizes one of the biggest contemporary conflicts with the indigenous population in the Amazon, environmentalists and the public. Thus, the aim of this study was to apply the Reflexive Interactive Design (RIO) approach in order to demonstrate how and to which extent the elements of this approach can be used to overcome a heterogeneous set of sustainability challenges, so that alternative – and more sustainable - proposals can be developed. For this purpose, the main entrenched problems and practices related to hydropower generation in Brazil were identified and served as basis for the anticipation of sustainable visions of the desired state of Belo Monte. Through a qualitative assessment, it was observed that focusing on needs rather than on particular interests of the involved actors in the Belo Monte system enabled the establishment of new functional connections in the design process. The alternative proposals characterized by the hybrid power plant (solar and hydropower) and the solar park in the Brazilian hinterland sertão were the most suitable alternatives to satisfy the needs of the relevant actors in the system. The proposals showed to be environmentally friendly, socially fair and economically adequate and, overall, more sustainable. The proposals served as an example that challenges can be overcome and that usual problems are not imminent.

“On the day when there is no place for the Indian in the world,

there will be no place for anyone.”

“No dia em que não houver lugar para o índio no mundo,

não haverá lugar para mais ninguém.”

1. Introduction……… 6

2. Theoretical background………. 7

3. Research problem and aim……….. 12

3.1 Research questions………... 14

4. Methodology……….…. 15

4.1 Preliminary research (reflexive)………... 16

4.2 Requirements assessment (interactive)……… 17

4.3 Structure and concept design (reflexive and interactive)………. 18

5. Results……… 19

5.1 System analysis……… 19

5.1.1 Definition of the system boundaries……….. 19

5.2 Historical context………. 26

5.2.1 Introduction of the hydroelectric technology in Brazil (1883-1929)………. 26

5.2.2 Hydropower expansion and the start of the Brazilian energy sector regulations (1930-1945)…….. 27

5.2.3 The hydroelectric plant construction boost in Brazil (1951-1963)……… 28

5.2.4 Hydropower development during the military regime in Brazil (1964-1989)………... 28

5.2.5 Social response to the hydropower boost in Brazil……… 29

5.3 Belo Monte as a symbolic conflict………... 31

5.4 The multilevel dynamics and patterns of conflict……… 33

5.5 Entrenched couplings of desired effects with undesired side-effects surrounding Belo Monte………….. 35

5.6 Goals and challenges……….... 38

5.7 The experienced dynamics of the current Belo Monte system……… 41

5.7.1 Anticipating the solution space……….. 44

5.10 Fulfilling the needs for a more sustainable Belo Monte system……… 50

5.10.1 Lowering barriers at the regime level……….. 50

5.11 Alternative proposals for a more sustainable Belo Monte project……….. 59

5.11.1 The hybrid power plant and the photovoltaic power station in the sertão………... 59

5.11.2 Enhancing the Three Pillars of Sustainability……….. 60

6. Discussion……….. 62

7. Conclusion………. 65

Bibliography……….. 66

Appendix A……… 70

Appendix B……… 75

Appendix C……… 78

1.

Defined as the largest and most biodiverse rainforest, containing also the greatest drainage basin on earth, the Amazon region is seen in Brazil as a great potential for hydropower development, raising serious environmental and social concerns. The Belo Monte Hydroelectric Dam Complex in the Brazilian federal state of Pará is currently the largest project in the Amazon. When fully constructed, it will become the second biggest hydroelectric plant in Brazil and the third largest in the world (Sousa Júnior & Reid, 2010).

In Brazil, hydroelectric power is the primary source of electric energy, which is obtained through a common technological model involving massive dams and extensive transmission lines (Sousa Júnior & Reid, 2010). The Belo Monte project gave rise to much controversy since its early development in the mid 1970s. The concerns involve the potential environmental impacts, the inconsistent power-generation estimates due to seasonal aspect of the Xingu river and the forced relocation of the affected indigenous and riverside communities (fig.1). The web of interest attributed to this project is deeply complex, resulting in major social and environmental conflicts. These concerns imply the awareness that the current Belo Monte Hydroelectric Dam Complex needs to shift towards a more sustainable and ethical system. The following research merges the relevance of progressively generating renewable energy, as stated in the main world climate conferences and environmental assessments (such as IPCC, Kyoto Protocol, EU 2030 and Paris Agreement), with concepts involving system innovation and transition management.

The Belo Monte Hydroelectric Dam Complex is currently under construction and it is planned to be completed by 2020.

Figure 1. Munduruku indian observing the construction site of Belo Monte’s main powerhouse in 20131.

1

Leticia Leite/ISA-Instituto Socioambiental, “Índios param canteiro de obras de Belo Monte e exigem ser ouvidos pelo

governo [Indigenous people occupy Belo Monte construction site and demand to be heard by the government]”.

https://www.socioambiental.org/pt-br/noticias-socioambientais/indios-param-canteiro-de-obras-de-belo-monte-e-exigem-ser-ouvidos-pelo (accessed on 07.04.2020).

2.

Since the 1980s, the concept of sustainability has increasingly become a central objective in the political domain, justifying proposed and conflicting actions to be bargained (Dixon & Fallon, 1989). Sustainability derived from the word “sustain”, a term that is synonymous with “supported”, “endured” or “maintained” (Gomis et al., 2011). That is, the term implies the vision of a type of future that does maintain the conditions for its endurance. However, the term “sustainability” for this research is referred to the concept of sustainable development, as the redirection of change that integrate economic wealth, environmental stability and social union (Kemp et al., 2005), referring to the Three Pillars of Sustainability (fig.2). The Three Pillars of Sustainability declare the collective responsibility to improve and to encourage the interdependent pillars of sustainable development by reinforcing economic and social development and environmental protection (Robert et al., 2005).

Figure 2. The Three Pillars of Sustainability (Gomis et al., 2011).

The concerns about the social and environmental impacts, as well as the questionable economic risks arising with the current Belo Monte Hydroelectric Dam Complex are expressed in literature in a shared sense of importance, exposing the awareness that the respective system is in need of a fundamental transformation towards sustainable development. The following theories elaborated by Grin et al. (2010) in the book "Transitions to Sustainable Development - New Directions in the Study of Long Term Transformative Change" are addressed in order to (I) understand the current system, as well as its patterns, instabilities and entrenched problems. Thus, its (potential) dynamics of a transition towards a more sustainable Belo Monte system will be perceived so that, finally, (II) proposals for its governance can be developed.

A transition is described as a series of continuous transformation processes that shape society over time. Although transitions do not occur homogeneously, different development pathways provide opportunities for a transition to arise. The direction, scale and speed of the pathway can be influenced, for instant, by government policy, but never completely controlled (Rotmans et al., 2001). Transition management aims to direct certain transitions into a preferred pathway, in which the change can be influenced and intervened with different approaches, in other words, it is a mode of governance of transitions. Since the Belo Monte Hydroelectric Dam project appears to have a disconnection between the political/economic (together regarded as the entrepreneurial domain), the social and environmental

domains, the aims of the transition theory will support a better understanding of the current system in Brazil concerning hydropower generation and therefore, the perception of the necessary means that can influence or facilitate the transition towards a more resilient societal system, which promotes sustainable energy generation.

While the term transition means literally the process of change from one state to another, in transitions research the term is attributed to the process of change from one system to another that resulted from a set of nonlinear disruptive changes that took place in different levels and domains, yet continuously reinforcing each other in order to generate a qualitative change in the societal system (Loorbach et al., 2017). The multidimensional aspect of a transition can be visualized by the Multilevel Perspective, as seen in fig. 3.

Figure 3. Multilevel Perspective illustrated by the co-evolution between landscape, regimes and niches (Loorbach et al., 2017).

The Multilevel Perspective is based on three levels: niches, regimes and landscapes. Those concepts are linked to each other, in which regimes are set within landscapes and niches within regimes. This component hierarchy supports different kinds of coordination and structuration of practices. Each functional level differs in stability and size; social networks involving novelties (niches) are relatively small and unstable while the ones involving regimes and landscapes are larger, structured and thus stable. Regimes present articulated rules and stable configurations, whereas landscapes include broader structures with exogenous trends. The concept of regime is the main notion in transition studies. In the socio-technical context, regimes help to explain path dependencies of current socio-technical systems regarding specific technologies, such as a hydroelectric power plant. Thus, the dominant configuration (regime) and its interaction with external pressures and preferences (landscape), as well as, with novelties and alternatives (niches) can be better understood through the underlying patterns of historical transitions and the combined processes of innovations (Loorbach et al., 2017).

Critical here are the alignments between those levels; niches support emerging novelties while regimes and landscapes select and diffuse those novelties (Grin et al., 2010). For that reason, transitions only

occur when trends, developments and events on the three functional scale levels are aligned and enhance each other to the same pathway. Path dependencies of societal systems are unable to change through optimization and thus, lead to tensions and problems in the system (Loorbach et al., 2017). When external crises (landscape), internal tensions (regime) and innovative alternatives (niches) align and potentially disturb the current system, the latter reorganizes toward a new equilibrium.

During this research, the governance of changes will be focused on the regime and niche level, as well as in between. However, events and trends on the landscape level - for instance, a future energy crisis in Brazil - can together with instabilities in the regime and niche levels (fig.4) be strategically used in the governance of activities (Grin et al., 2010).

Figure 4. The Multilevel perspective on transitions dynamics and the variety of pathways (Loorbach et al., 2017). The analysis of a system based on the Multilevel Perspective enables not only a better understanding on how problems arising with hydropower plants in Brazil persist, but also allows insights on patterns of the multilevel dynamics in a certain domain (Grin et al., 2010). The variety of processes on different levels may have divergent orientations, that might be hindering a transition to occur. The dynamic multilevel interactions indicate the transitions that emerge from interactions between processes at different levels (Grin et al., 2010), as seen in fig. 4. Novelties at the niche level are crucial for initiating a transition. However, coordinating the regime level to be respectively aligned is determinant for a

niche-innovation to diffuse. In other words, the Multilevel Perspective facilitates the interactions between levels in a system, showing up opportunities for transitions.

The functioning socio-technical system as a whole comprises different social groups, such as policy-makers, users and scientists. Those social groups share a mutual dependency as they interact and form networks with each other (Grin et al., 2010). Therefore, crucial for this research will be the concept of socio-technical regimes, characterized by the intergroup coordination. These organizations are more invulnerable to fundamental changes, since they create a web of interdependent relationships between the involved actors, developing patterns of norms and ideology as well. (Grin et al., 2010). The separate trajectories of those social groups share, therefore, distinctive perceptions and preferences during their own structuration dynamics. Nevertheless, different groups interact and form networks with common dependencies, establishing the functioning of the socio-technical system. Thus, different trajectories co-evolve in socio-technical systems, leading to the overlapping of groups.

It is, therefore, crucial to analyze the independent development of social groups as well as their interdependence, in order to understand their loss of integration and their reintegration into the system. Coordinating trajectories implies the coordination of the distributed agency of actors involved in the system that are accessible for adopting activities focused on structural change. The governance perspective, as presented by Grin et al. (2010), emphasizes the quality of transitions as fundamental changes in established practices and in the structure in which they are entrenched, as an reflexive approach to consider patterns of change (Loorbach et al., 2017). Secondly, it focuses on how those changes in practices and structure are influenced by exogenous tendencies in a certain domain. Governance contributes to the historical contextualizing of the transition towards a more sustainable Belo Monte system, taking into account the reason and origin for common problems to persist. The purpose of analyzing the governance of transitions here is that it considers the influence of involved actors in transition processes. Searching for new insights that bring unsustainable constraints to an end and for disruptive innovations that empower the transformative capacity of a system, the governance in transition research explores how the agency of actors can be encouraged to contribute to a transition. Transition governance, therefore, focuses on targeting strategies to stimulate context-specific solutions developed in multi-actor networks (Loorbach et al., 2017). The presented theories add insight into the opportunities for transformative interventions in the Belo Monte system.

Since sustainable development is the key to achieve a pertinent future, in which the current and coming generations are able to enjoy the benefits of living in a stable and ethical society as much as of ecosystem services, the enjoyment of the steep slopes and mighty water flows in the Amazon region for hydropower generation is evidently still in need for improvement. The theory of transition management can determine the necessary changes in the system. Managing the transition to sustainable energy as well as to sustainable use and management of natural resources, like water, aims at shaping and redirecting processes of co-evolution (Kemp et al., 2005). Those co-evolution processes, as supported by Kemp et al., 2005, involve changes in needs and desires, whereas the patterns of interactions over societal issues can be shaped by redesigned systems of governance. Given the complexity and the multi-dimensional aspect of transitions, the fragmented condition of the Belo Monte system is not suited for dealing with the desired long-term change.

Bos & Grin (2012) declare that sustainability is a result of not only technical innovation - in the case study as a run-of-river dam - but also of the reorientation of the current socio-technical regime. The so-called double track governance focus on establishing a functional connection between the coordination

of regime-actors that aim at structural change and the development of novel practices. Structural change and the reorientation to a more sustainable pathway is fundamentally sustained by the term reflexibility (Bos & Grin, 2012), which is defined as "the self-critical and self-conscious reflection on processes of modernity. Here the actors reflect on and confront not only the self-induced problems of modernity, but also the approaches, structures and systems that reproduce them" (Brauch et al., 2016). The latter still remains marginal from the theories of ecological modernization and the ongoing environmental policy unification (Feindt & Weiland, 2018).

By considering the concept of environmental ethics, as described by Jeffrey (2005), a measure for the evaluation of impacts in projects of this scale can be established more precisely. Environmental ethics is based on the moral philosophy of people - which involves knowledge, capacity, choice and significance - regarding our responsibility towards natural landscapes and resources as well as non-human living beings. Taking into account that environmental ethics is a diversified discourse, Attfield (1991) presents the egalitarianism principle as a satisfactory attempt to regard the biosphere as a community, unifying the commitment to matters related to humanity, nonhuman animals and the environment. This principle implies that all entities in the ecosphere are part of an interrelated whole and are, therefore, equal in intrinsic value. We are fully aware of our potential damages caused to nature as we have also the capability of preventing and remediating them (Jeffrey, 2005). Therefore, the knowledge of human impact on the environment makes us morally obligated to reflect and, if necessary, to act on it.

3.

Considering the need of progressively generating renewable energy as stated in the main world climate conferences and environmental assessments (such as IPCC, Kyoto Protocol, EU 2030 and Paris Agreement), hydroelectricity is the most important one due to its high level of reliability, proven technology, high efficiency and low operating and maintenance costs. It is obtained by the gravitational potential energy of water, usually contained through a dam. The generated power is proportional to the height of the waterfall and the outflow of the liquid. During the generation process, before it becomes electric energy, it must be converted into kinetic energy. The transformation from kinetic to electric energy takes place when the water flows into an hydraulic turbine, which drives an electric generator (Electricity Fundamentals, n.d.). This water movement can occur naturally or artificially, created by a dam, such as the Belo Monte Hydroelectric Dam Complex.

Hydroelectricity makes use of waterflow (mass of water displaced per unit of time), which is stated as a clean, renewable and cheap energy source. Hydroelectric power is the primary source of electric generation in Brazil, reaching an notable amount of 82,8% (Bermann, 2007) of the electricity consumption while the world average hydropower consumption lies around 16% (Sperling, 2012). The use of water for electricity generation marks an important pattern for the development of the Brazilian engineering. The use of the hydraulic potential of a certain fraction of a river is ensured by a dam which, consequently, formes a reservoir. Those reservoirs store water and regulate the waterflow, ensuring energy availability for an extended amount of time (Bermann, 2007). Therefore, the use of hydric resources for electricity generation has been considered a priority in Brazil. Yet, the installed capacity of hydropower plants that are currently operating reach only 28,4% of the hydroelectric potential in the country (Bermann, 2007). This situation justifies the persuasive expansion of hydropower projects in Brazil, bringing along social and environmental consequences.

Half of the hydropower generation capacity in Brazil is located in the Amazon region, specifically in the rivers Tocantins, Araguaia, Xingu and Tapajós. The unsustainable character of hydroelectricity companies is linked with physical, chemical and biological complications that arise from the hydropower plant interaction with the surrounding environment where it has been constructed (Bermann, 2007). The main environmental complications are:

• Deforestation and elimination of the riparian forest. • The change in the hydrological regime.

• Reduced quality of water, caused by the still water trapped in the reservoir that hinders the decay of effluents.

• Emission of greenhouse gases (methane and carbon dioxide) caused by the decomposition of plants underwater without oxygen.

Considering the social issues caused by the installation of hydropower plants, the affected riverside and indigenous communities are consistently disregarded, as argued by Bermann (2007). A hydropower plant imposes their compulsory displacement and the actual participation of the affected communities in the decision making process of hydroelectric enterprises is the biggest challenge, presenting barriers that are hard to overcome. Conflicts arising from the violation of the material and cultural bases for existence of those affected communities are commonly suppressed by the respective entrepreneurs, who focus essentially on the economic principles. On the other hand, riverside communities and environmental organizations who achieve in exposing the conflicts, use essentially environmental and

humanitarian principles (Bermann, 2007). This assumption demonstrates the entrenched and, therefore, persistent problems that repeatedly arise with the installation of hydropower plants in Brazil over the years. However, those issues can be better analyzed when understanding the origin of the disconnection between environmental/social and the entrepreneurial domains in Brazil, as suggested in the Theoretical Background.

The Belo Monte Hydroelectric Dam Complex project is an interesting case involving the generation of renewable energy and strong popular opposition. The main reason for implementing the project lies exclusively on the expansion of energy supply due to the estimated economic growth in Brazil, although the country is not experiencing any energy emergency. Another controversial aspect is the chosen territory for the construction of the hydroelectric plant, which was selected due the favorable slopes of the Xingu river for energy generation and the declining population that reside on the projected areas to be flooded (Sousa Júnior et al., 2006), aiming to reduce social impacts of the project. Nonetheless, Belo Monte symbolizes one of the biggest contemporary conflicts with the indigenous population of the Amazon.

Literature provides information on the social and environmental impacts of hydroelectric power plants in Brazil, but it can be noticed that these studies do not include a more profound analysis about the reason for the problems to persist. This research gap opens space for further discussion, attempting to propose new alternatives to reduce the prevailing impact during the installation and management of new power plants.

Aside from allowing grounds for debate on the meaning of sustainable development, the concept of environmental ethics generates new opinions, which can have an influence on beliefs and values and, consequently, redirect governance towards a more sustainable future. It is useful to remark that both concepts, environmental ethics and sustainable development, are partly derived from a human rights perspective, where “development” is people centered and participatory, as much as environmentally friendly (Jeffrey, 2005). Therefore, the constant improvement of ideals should enhance such integration, where the entire population of individuals - including the vulnerable, minorities and indigenous people - have a relevant participation in the development and thus fairly benefiting from the respective outcomes (Jeffrey, 2005).

In order to conceive the Belo Monte Hydroelectric Dam Complex as a sustainable and ethical project, the economic interests of some stakeholders should not overlap nor raise issues to other stakeholders or actors. Taking the environmental ethics perspective into account, nonhuman interests must be acknowledged in order to realize the desired sustainable development. However, considering the environmental problems of the present time and the ongoing debates involving sustainable development, the current values and beliefs demonstrate that people are able to intuitively sense whether something is inappropriate, though it’s still not agreed what obligations people may hold in its respect (Attfield, 1991).

In this context, it is observed that literature providing traditional alternatives to the Belo Monte conflict based on environmental criteria and on economic criteria are frequently found. The difficulty in assisting group decisions is eminent, since those assessments seem to adopt a principle of homogeneity of conflicts (Cuoghi, 2015), which do not consider the divergent opinions between the involved actors in a proper way.

Thus, from the normative perspectives of environmental ethics (egalitarian) and sustainability, the Belo Monte Hydroelectric Dam Complex raises concerns. It has been subject of several criticism regarding its decision-making process during the construction of the project. How come that such difficulties rise time and again, as Bermann stipulates? According to the transition theory (Grin et al, 2010), the ecological consequence that emerged from modern socio-technical systems typically displays the risk and side effects of these systems. As the desired practice (electricity generation) is embodied in the current societal structure, these problems exhibit a certain persistence. In order to address such problems, the underlying systemic failures must be discussed through system restructuring and, subsequently, transitioning it from one dynamic equilibrium to another (Loorbach et al., 2017).

Given the complexity of the persistent problems associated with the installation of hydropower plants in Brazil and the clear need for a more future-oriented ethical and sustainable energy supply system, the aim of this research is to develop alternative proposals for the Belo Monte Hydroelectric Dam Complex that can support efficient and sustainable electricity without having major adverse effects on the social and economic development in Brazil. Therefore, the following objectives are fundamental in order to obtain new feasible alternatives for the respective hydropower plant:

o To analyze persistent problems of the Belo Monte system from two normative perspective (sustainability and environmental ethics) and to understand their systemic roots according to transition studies by investigating the incumbent regime; the dominant practices and their institutional, discursive and material structural embedment.

o Based on the objective above, insights from governance of transition will be used to explore attractive and feasible redesigns of the Belo Monte system. Its associated practices and their structural embedment will be considered as well.

3.1

Hence, the purpose of combining the theories presented by Grin et al. (2010) is to describe and explain the feasible transition mechanisms, patterns and pathways concerning the transition into a more ethical and sustainable Belo Monte system by answering the research question:

 To what extent and how may an alternative plan for the Belo Monte Dam Complex be developed that does not have major adverse effects to social and economic development whilst guaranteeing efficient and sustainable energy generation?

The following sub-questions raise support for the decision making process to be strategically analyzed in this research through transition governance ideas, whereas the Multilevel perspective is considered for aligning the dominant regime with emerging alternatives in the Belo Monte system:

I.

II.

III.

4.

The research was conducted following a design-oriented approach called Reflexive Interactive Design (RIO - in Dutch). This approach established a common basis of the assessment for system innovation, in which the transition to a more sustainable Belo Monte system was anticipated and facilitated through the respective design and design process. The latter functions as a tool that allows processes of change at the niche level as well as at the regime level to align (Bos & Grin, 2012).

This approach demanded a closer analysis on how the energy sector has developed for decades, seeking to understand barriers to novel practices as indicators of structural flaws that need to be remedied, to avoid repeating mistakes of the past and break through the persistence of problems. By increasing the reflexive character of society's innovation efforts, relevant actors planned a deliberative and participatory assessment that included technical and social aspects of societal systems for production and consumption (in the energy domain). This empowered the interactive exchange between the involved actors. In order to satisfy the aim of the proposed research, a qualitative assessment was hold.

The sequence of the following methodology consisted of three phases that were developed in chronological order in a period of six months (November 6th – May 6th ); (1) during the preliminary

research, information about Belo Monte's network, regime practices, prevailing problems and main actors was collected through a literature review. The gathered information was fundamental to determine the challenges and goals of the Belo Monte Hydroelectric Dam Complex. (2) In order to define key functions for the restructuring of Belo Monte system, the most important aspects that each of the relevant actors priorities in regard to the Belo Monte Hydroelectric Dam Complex was assembled. During this phase, qualitative information was collected through interviews with the relevant stakeholders and actors in the respective system, which resulted in a list of requirements. Afterwards, (3) feasible solutions were explored, remediating barriers, aiming to design new structural rearrangements for establishing alternative proposals for the Belo Monte Hydroelectric Dam Complex that converges the gathered requirements (as key functions). A visual representation of the proposed workflow is portrayed in fig. 5.

Figure 5. Workflow of the proposed research. Blocks represent analysis and activities while diamonds represent outcomes.

The elements of the RIO approach are precisely suited for projects that contain a heterogeneous set of sustainability challenges (Elzen & Bos, 2019). Particularly here, the environmental damage that emerged from the dam construction, the indigenous communities welfare, public acceptance and companies’ profitability. The respective design process is related to the philosophy of system thinking and to system innovation theory, merging an interactive approach to the problem and, therefore, searching for feasible, adequate and, most importantly, attractive solutions (Bos et al., 2008). As introduced by Bos & Grin (2012), a technical improvement is not the only aspect to contribute to the sustainable development, but also the coordination of the relevant actors in the system, allowing a structural change to occur. Thus, integrating the dynamics of processes at innovative practices (niche level) and structure (regime level) by designing new structures and concepts for the Belo Monte Dam Complex results in mutual reinforcement to achieve a desired transition (Bos & Grin, 2012) . The design process of RIO was expected to align the dominant configuration of the system with innovative practices and to make functional connections between the relevant actors of the Belo Monte Dam Complex, facilitating, therefore, a system innovation.

4.1

To start with, a reflection on the current structural arrangements of the system was carried out analytically through a literature review. The collection of information on the current functional network of the Belo Monte Dam Complex enabled a more profound understanding of the reason for the lack of interaction between actors of the entrepreneurial, the social and the environmental domains. Since this study is not just a matter of technological elements (power generation), the relationships and connections between the actors involved are considered as their motivations establish the dynamics of the current system. This section, therefore, demanded a systematic reflection on the current structural

settlement, including a systematic analysis on the regime practices and their connection to the current function of the respective Hydroelectric Dam Complex. Thereby, the practices at the regime level (social, institutional or cultural) that may be preventing the formation of novel practices were exposed (challenges). The challenges aimed (a) to provide a concrete perception of the main barriers that that ought to be overcome and (b) to anticipate the realization of desired goals - based on the three pillars of sustainable development and on the concept of environmental ethics (egalitarian) - designed for the long term. As presented in the theoretical framework, most challenges persist because they are profoundly rooted in the structure of a system and, therefore, connected to a certain desirable result. An historical contextualization enabled to assess the origins of the main problems surrounding the current Belo Monte system and to evaluate their interconnection. Typical to any technological system, the hydroelectricity sector is extremely heterogeneous. The respective sector’s operations, functions and development path are influenced by a socio-technical regime, in which economy is regarded as a first concern. The complexity of the system required this study to analyze the case study from different perspective (e.g. socio-technical) in order to identify the structural roots of the main problems found.

Definition of goals

Since this research aimed at serving as a general guideline for a more sustainable hydroelectricity generation through the extensive Belo Monte Dam Complex, a precise delimitation of the fundamentals for sustainability in the Belo Monte system was specified. Comparing the current Belo Monte system to its desired sustainable state, the sustainability and ethical goals of the desired Belo Monte system were assessed based on the knowledge acquired in the previous section. The scientific knowledge enabled the development of envisioned goals that are feasible in this study. A template was created (see appendix A), which included the main identified challenges and established goals. The template was sent in advance to the actors, allowing them to reflect on it. The relevance of defining the main challenges and goals is that it contributed to the anticipation of the projects’ restructuring. This was presented to the relevant actors, in order to provide them a concrete reflection about the current system and its main barriers that needed to be remediated throughout this research.

4.2

The objective in this section was to assemble all the aspects that each of the relevant actors priorities in regard to the Belo Monte Hydroelectric Dam Complex. The qualitative data was collected through a structured interview (see appendix A) which includes questions developed for the same purpose (Bryman, 2012). The interviews during this section were held by telephone and through e-mails. The interviewees were associated to the Brazilian energy supply system and to governmental bodies for environmental policies and guidelines. Since ordinary routines are within the rooted structures and, therefore, do not make matters explicit (Bos et al., 2008), involved actors increased their problem notion in the dominant socio-technical regime by interacting with the challenges and goals of the current system. The template (appendix A) was discussed with each of them in order to determine their priorities regarding the current Belo Monte project. The motive for their preferences weas considered and associated with the scientific knowledge gained from the literature review and from the system analysis. The interviews were based on a questionnaire survey. The data analysis was fundamentally about reducing the information gathered by grouping the material into categories. The outcome of this section was a list with the actors’ requirements for a desired Belo Monte system. These requirements were then translated into the key functions, which contributed to the adequate performance of the desired system.

4.3

This section aimed at disconnecting undesired side effects related to key functions. Those relations were decoupled for new possible structural rearrangements in order to give the opportunity for innovative practices to settle into the desired situation. The structural rearrangement was expected to be capable of maintaining the desired system for the long-term. Specific solutions caused other challenges to be overcome, as the system is always interconnected. In order to disconnect a desired effect from an undesired side effect, an interactive discussion was held with the involved actors (see appendix C). For that purpose, a semi-structuring interviewing (see appendix B) enabled less restriction on the information to be found out (Bryman, 2012). As suggested by Bos et al. (2008), the possible solutions were developed as one actor came up with a solution that may generate an undesired side effect, another could think of a replacement that does not cause the same side effect.

For that reason, further actors with different professional backgrounds were contacted in order to create solutions for every generated undesired side effects. In this section, creativity was essential in order to generate the respective solutions. The reflection on undesired side effects led to a closer integration between the actors to create solutions. As an outcome of these discussions, new feasible ideas and perceptions that enhance more than one dimension of sustainability (environment, economy, society), regarding the Belo Monte Hydroelectric Dam Complex, were created. Suggestions that lower or completely remove barriers at the regime level were discussed. Discussions were held as unstructured interviewing - characterized as “conversational” in style (Bryman, 2012) - whereas useful information was noted down as key points.

Proposals

The previous sections aimed at providing promising structural rearrangements that fit into the aim of this study and that appear feasible and appealing to the involved actors of the Belo Monte system. However, they were not expected to be the complete solution, as they served as intentional interventions into the current system and also as inspiring working approaches that should be continuously transformed by relevant actors. Therefore, the design process and the resulting proposals of this research were designated to initiate a structural change (Bos et al., 2008) in the Belo Monte system. In this section, two feasible proposals were designed, based on the Three Pillars of Sustainability.

5.

The results of this study comprised (I) the understanding of the current Belo Monte system - with its patterns, instabilities and entrenched problems - and (II) the perception the potential dynamics of a transition towards a more sustainable Belo Monte system. Thus, the methods based on the RIO approach aimed at aligning alternative and innovative practices with the dominant regime by benefiting from its instability. Each result section served as basis for the development of the alternative proposals for the Belo Monte Hydroelectric Dam Complex.

5.1

A system presents an interconnectivity and interdependence among the system components. The persistence of problems can be explained by their roots in the respective structure of the Belo Monte system as well as by their connection to a desired effect (Bos et al., 2008). In order to explain the persistence of usual problems arising with hydropower plants in Brazil, a system analysis is performed in order to reflect on the current structural arrangement and functional network of the Belo Monte Hydroelectric Dam Complex.

5.1.1

The boundary of a system delimits its internal components and processes. Internal to the system’s boundary, components are interconnected and interdependent, which establishes the autonomy of a system. The boundary is demarcated by the network of relations that provides the autonomous function of the system as a whole. The boundaries of the Belo Monte system will be defined bottom-up, therefore, starting from the elements inside to elements outside the yellow zone (fig.6).

Figure 6. Scheme of the elements of the Belo Monte system to be defined2.

2 Tutorials Point, “System Analysis and Design – Overview”.

https://www.tutorialspoint.com/system_analysis_and_design/system_analysis_and_design_overview.htm (accessed on 07.05.2020).

Output

The central purpose of a system is to produce a certain output that is useful for its users. Since the project’s early development in the mid 1970s, the Belo Monte Hydroelectric Dam Complex was justified by the necessity of expanding the energy supply in Brazil due to the predicted economic growth of the country in the years to come. Hydropower is the primary source of electric generation in Brazil, reaching a notable amount of approximately 83% (Bermann, 2007) of the electricity consumption while the world average hydropower consumption lies around 16% (Sperling, 2012). The project represents the third largest dam in the world in terms of energy production, which has the capacity of generating approximately 11.233 megawatts and performs a firm power of 4.371,78 megawatts (Cuoghi, 2015). In other words, the Belo Monte Hydroelectric Dam Complex delivers, effectively, only 39% of its energy capacity. The energy generated by the respective hydropower plant was regarded as an efficient alternative to integrate regions with depleted electrical potential into the national energy system. Therefore, the output produced by the Belo Monte system is electric energy that is considered essential for the Brazilian society, since it envisions to improve to the economic well-being and quality of life of the nation.

Input

Regarding hydroelectricity generation, waterflow (mass of water displaced per unit of time) acts as the input into the system in order to generate electrical energy as the output. The amount of electricity that the system can generate depends on two factors as important input aspects: (a) the distance that water falls and (b) the amount of water available. That means, the greatest distance that water falls, the more electricity a hydropower plant produces. In parallel, more energy can be produced with increasing flowing water in a river. Considering that water must be in motion in order to generate electricity, half of the hydropower potential in Brazil is located in the Amazon (Bermann, 2007) due to the steep slopes and mighty rivers of the region.

The Xingu river is the second largest clearwater tributary of the Amazon basin, which present very complex physiographic and ecological aspects, especially in the Big Bend stretch (see fig. 8). The river is naturally deflected by systems of fractures in crystalline rocks, expanding itself as a large arch of approximately 130 km that divides into several smaller channels (Zuanon et al., 2020). Xingu river is described by the authors as a complicated maze of water flows and powerful waterfalls. In this context, the issue of level variation of the Xingu river stands out. Annually, the volume of water entering the Big Bend stretch during the driest month is only 4-7% of the peak flow, which represent a fall of five meters of river level. In other words, the differences in water flow between the wettest and driest period is about twenty times, which imposes a strong seasonal character of the Xingu river (Zuanon et al., 2020). The natural oscillations on the Big Bend, without considering the presence of the hydropower plant, present values between 1.017 m3/s to 23.414 m3/s during flooding and drought periods,

respectively. During the transition period, the river flow is 7.800 m3/s (Cuoghi, 2015).

Processor

Processors act as the operational component of a system, transforming the input into the output (totally or partially). Belo Monte is a hydropower plant which captures the energy of water in motion in order to generate electricity. The main components of the respective processor are dams, turbines, generators and transmission lines (fig.7).

Figure 7. The main components of a hydropower plant (Brookshier, n.d.).

The purpose of a dam is to control the flow of water by impounding it. It raises the water level of a river in order to release it, creating falling water. In the case of Belo Monte, upstream dams are responsible for regulating the water flow of the highly seasonal Xingu river, adding substantially to its electrical output (Fearnside, 2006). The reservoir that is formed as a consequence of dams serves, therefore, as stored energy.

The force of water in motion (falling water, delivered by gravity) pushes against the turbine blades, making the runner spin. In the process, kinetic energy of falling water is converted by the turbine into mechanical energy. Shafts and gears connected to the turbine causes the generator to spin in accordance with it, transforming the mechanical energy from the turbine into electric energy. Finally, the generated electricity is distributed to homes and businesses through transmission lines, as seen in fig. 7.

The potential electric power of a hydropower plant is determined by the multiplication of three factors; the efficiency of the power station (e) in [%], the height of the dam (H) in [m] and the river flow (Q) in [m3/s]. The constant water density has a value of 9806 N/m3 and gravity an acceleration of 9,81 m/s2.

The potential power is represented by the following equation (Brookshier, n.d.):

The total area of Belo Monte's reservoir adds up to 516 km2 with a maximum depth of 39 m. The flooded

area is only a part of this total, as it includes the current Xingu river channel (Estadão, 2011). The power intake locations are situated at the Sítio Pimental as the complementary powerhouse (40 km away from the city of Altamira) and at Sítio Belo Monte as the main powerhouse. The bypass channel water system that connects the two locations has a total length of 20 km. When the hydropower plant becomes fully active, the river flows in the Big Bend - with a greatly reduced water stream - with the distance of 100 km between the Pimental axis and the Belo Monte powerhouse. There, the river flow presents a value

of 200 m3/s during the drought period, 2.000 m3/s during the flooding period and 1.000 m3/s to 1.500

m3/s during the transition period (Cuoghi, 2015).

Figure 8. Location and operational components of the Belo Monte Hydroelectric Dam Complex (Bratman, 2014) The main powerhouse at Belo Monte site contains eighteen Francis hydraulic turbines with a total installed power of 11.000 MW and a total flow rate of 13.950 m3/s (Norte Energia, 2011). The main

dam at site presents a height of only 35 m but causes the net fall (difference in levels between the reservoir and the turbine output for the fall of water) to be 87 m high. This is due to the natural slope of the Xingu river in the Big Bend stretch. The complementary powerhouse at Pimental site contains six bulb-type turbines with a total installed power of 233,1 MW, a net fall of 11,4 m and a total flow rate of 2.268 m3/s (Norte Energia, 2011).

The generated firm power represents an addition of approximately 5% of the total value (of 2013) in operation in Brazil. The extra capacity is planned to supply the electricity demand of northern to southern regions of the country, since it is linked to the National electric System (Cuoghi, 2015).

Control

Guiding the system by controlling the patterns of activities, the control element involves the decision-making process and the governing of the respective input, processing and output (see fig. 6).

The Ministry of Mines and Energy (MME), which is responsible for Brazil's energy development. It was created in 1960 after previously being the responsibility of the Ministry of Agriculture. In the

1990s, the recent constituted National Energy Policy Council (CNPE - Conselho Nacional de Política Energética) was linked to the Presidency of the Republic and chaired by the Minister of MME with the task of proposing to the President policies and measures for the energy sector in Brazil. MME's competences are set in the field of geology, mineral and energy resources; harnessing hydraulic energy; mining and oil; fuel and electricity. As part of the MME are committees or autarchies whose function is to permanently monitor and evaluate the continuity and security of the electricity supply throughout the Brazilian territory. Furthermore, the MME includes mixed capital companies linked to Eletrobrás which, in turn, controls other companies involved in the Brazilian energy sector3.

Norte Energia is a special purpose entity, being responsible for the construction and operation of the Belo Monte Hydroelectric Dam Complex. The company won the concession auction in 2010, which gave it the management period of 35 years. Defined in the concession agreement, the company undertook the responsibility of building and operating the hydropower plant 2.

The company comprises Eletrobrás (with a combines participation of almost 50%, as seen in fig.9) and a group of private companies.

Figure 9. Shareholding interest in the Belo Monte project 4.

Eletrobrás is the largest company in the electricity sector of Latin America. Considering that the Brazilian Federal Government is its majority shareholder, Eletrobras is, therefore, a mixed capital and publicly-held company. It currently operates as a holding company, which is divided into generation, transmission and distribution of electricity in order to coordinate subsidiaries of the sector.

The Brazilian Institute of Environment and Renewable Natural Resources (IBAMA - Instituto Brasileiro do Meio Ambiente e dos Recursos Naturais Renováveis) is linked to the Ministry of Environment as the executive body responsible for implementing the National Environmental Policy (PNMA - Política Nacional do Meio Ambiente). This federal agency carries out activities for the conservation of the Brazilian natural heritage, by controlling and supervisioning over the use of natural resources, such as water. Relevant for the case of Belo Monte are the environmental licenses that are granted by IBAMA.

3 MME, “O Ministério”. http://www.mme.gov.br/web/guest/acesso-a-informacao/institucional/o-ministerio (accessed on 07.05.2020)

The control structures that are currently active in the current Belo Monte project are:

MME > ELETROBRÁS > NORTE ENERGIA > BELO MONTE < IBAMA

Feedback

The feedback in a dynamic system provides the performance control in order to match a desired output response. A positive feedback supports the performance of the system while a negative feedback supplies the system's controller with information for action. That is, the output or state of a respective system has a direct influence on the input, leading to an adjustment in a required mode.

For years, population growth in Brazil has been rising at an extremely high rate, and so does the demand for electricity in the country, especially in region more distant from large urban centers. Brazil's rapid socioeconomic growth in recent years has led to an increase in electricity consumption and thus the need to expand the supply. In order to reach the annual target of 5% of GDP over the next 10 years, as well as poverty eradication and better income distribution, the country will need to install about 5000 MW of additional capacity each year. The energy produced by the Belo Monte Hydroelectric Dam Complex will, therefore, be used to meet the economic growth and expected demographic expansion in Brazil (MME, 2011).

The MME (2011) states that Brazil's internal energy demand could not be supplied only with conservation measures and modernization of the existing hydropower plants in the country. A study conducted on behalf of the MME about the expected benefits of upgrading a set of hydropower plants in operation for at least 20 years (adding up approximately 24000 MW of power), demonstrated the possibility of a power gain of 270 MW, which is equivalent to 6% of the energy that the Belo Monte Hydroelectric Dam Complex should produce. So, despite actions for energy conservation, the current levels of energy consumption in Brazil are expected to increase as the country continues to develop economically (MME, 2011). The latter can be seen as a negative feedback, which informs the system's controller to act on the need for energy generation by exploiting the mighty water stream of the Xingu river.

Environment

The external environment of a system affects its elements, despite the fact that it cannot be controlled by the system itself. The Belo Monte system is incorporated in three landscapes; social, economic and environmental. Therewith, the system is affected by the current Brazilian society, economy and environmental circumstances.

The Belo Monte project is touted as a breakthrough for Brazil's development, where "development" refers, in fact, to the economic growth of the country (see section 5.2). The need to expand the energy supply generated by the Belo Monte Dam Complex has arisen from Brazil's rapid socioeconomic growth in the past years, which in turn has led to an increase in electricity consumption (MME, 2011). In general, the link between energy consumption and economic growth can be acknowledged, although it is not always evident when it is a case of a country's economic growth stimulating energy consumption or the other way around. However, understanding the link between economic growth and energy consumption in Brazil is the key to appropriate energy policies.

Considering the large-scale shift in the planet's weather patterns and temperatures as a result of human activities of modern society, current energy policies reflect the need of progressively generating renewable energy, as stated in the main world climate conferences and environmental assessments (such as IPCC, Kyoto Protocol, EU 2030 and Paris Agreement), in the interest of slowing down global warming. In the current debates about the planet's environmental future, the issue of energy use is fundamental. Its spatial distribution and speed of development will determine the evolution of the climate change process. In addition, the environmental impacts related to energy generation go far beyond the processes of extraction and pollution, such as the transmission networks that contribute to the territorial impact of generation technologies. Impacts like this are closely linked to the industrial development that enables the harmful modes of consumption associated with the current consumer society (Carvalho de Oliveira, 2018). Nevertheless, the Belo Monte Hydroelectric Dam Complex has been, and still is regularly presented as a source of clean and renewable energy, although there are a number of studies showing its considerable social and environmental impacts. The concerns attributed to the Belo Monte Hydroelectric Dam Complex since its early development, are a result of a deeply complex web of interests which only affects the desired and appropriate functioning of the Belo Monte system as a whole. In addition to the functional network of the Belo Monte project, the dynamics of the system are established by the relationships and motivations of the actors involved. Therefore, the following historical contextualization assesses the origins of the main problems surrounding the current Belo Monte system and their interconnection.

5.2

The Anthropocene concept is marked as the basis for the current debate on environmental and climate crisis around the world. Characterized by the new geological age where humans became the major agents of change, the concept was introduced in 2000 by the Dutch Nobel laureate chemist Paul Crutzen (Carvalho de Oliveira, 2018), who exposed for the first time the pressure factors and impacts of human activities - mainly based on economic interests - on changes in the functioning of the earth.

Economic development became a key idea on the international scene after World War II, leading to the notion that the state of "underdevelopment" for some countries was an aspect to be overcome. Thus, societies should grow economically and enter "modernity" or fail. This belief entailed the exploitation of available natural resources for development projects, in which hydroelectricity generation was worldwide strongly promoted from the 1930s and specially after the 1950s. Therefore, this idea of development established a dynamics that links geopolitics, technology and large-scale environmental transformation together.

Regarding the generation of hydroelectricity, Brazil had been favored with mighty and abundant rivers, as well as, steep slopes for electrical installations since late 19th century. Around 1930s, the Brazilian Federal State systematically incited and promoted the growth of hydroelectricity as an advantage for "development" (Carvalho de Oliveira, 2018).

5.2.1

In the late 19th century, despite its minor status in the world economy, Brazil adopted the electrical technology that had been developed in Europe and in the USA. Due to the abundance of rivers and waterfalls as well as to the scarcity of fossil alternatives, the hydroelectricity was seen as a privileged option for electricity generation. Since then, electricity - mainly of hydraulic origin - spread across the country and entered the daily life of Brazilian society through the implementation of the telephone, trams and domestic uses. Before the beginning of the 20th century, several cities had already been granted with public lighting services. By that time, however, hydroelectric generation units were small (exploitation of the water stream of a waterfall) and had a single purpose, in the manner that it was enough to supply one industry, a mine or a city. In 1920, Brazil had a total of 343 hydroelectric dams representing 88.4 % of the total electricity supply. In 1930, 1211 hydropower plants were operating in the country (Carvalho de Oliveira, 2018).

Composed of small private actors, the energy sector was decentralized. However, until the early 1930s, the sector was being controlled mainly by two foreign companies, Light (Canadian) and Amforp (American), becoming almost a monopoly. Both companies had a great significance in initiating Brazil's electrification by expanding the electricity generation, transmission and distribution. On the other hand, the progression of the energy sector into a quasi-monopoly had been criticized by Brazilian politicians, the press and industrialists considering that pricing, concession conditions and profit controls were handled by both foreign companies (Carvalho de Oliveira, 2018).

5.2.2

Considering the previous period's situation, the federal government was increasingly urged to act. The Brazilian intervention marks its start during the government of Getúlio Vargas when his centralizing administrative policy aimed at promoting national industrial development. The Water Code (Código das Águas), established in 1934, marks the beginning of the legal basis for hydroelectric exploitation as well as of the governmental control over the energy sector in Brazil (Morch et al., 2009).

At first, the Water Code determined that constructions capable of polluting the ordinary use of water from wells and springs were prohibited, but later considered by the president at the time, Getúlio Vargas, as a legislation in disagreement with the needs and interests of the national community. He claimed the need to provide an adequate legislation that was in accordance with the current trend and that would allow the public authorities to control and to encourage the industrial use of water. The code represented a complete change of the previous regime, which was merely contractual, giving to the public power the possibility of a stricter control (Venancio Filho, n.d.). In the following years and decades, a number of legislations were introduced as an attempt to improve the electricity sector model, reflecting the strong legalistic base faced by the sector as an inherent political constraint (Morch at al., 2009).

During the first half of the 20th century, generation and distribution of energy in Brazil was granted by mostly foreign private companies, which formed a generation system based mostly on hydroelectric sources. However, industrial growth and urbanization, which started in the 1940s, increased the demand for energy and companies weren’t able to meet the needs. Blackouts and rationing periods were frequent when reservoir levels were low (Morch et al., 2009). The government involvement in the hydroelectric generation was affected by the energy crisis in the 1940s, when the energy demand - due to the rapid urbanization, industrialization and common use of electrical appliances - increased faster than the energy generation capacity. The energy crisis aggravated after World War II, since it became impossible to import the necessary equipment that came mainly from Europe. Also, there was a decrease in foreign investments as an effect of the crash of the Stock Exchange in New York that had occurred in 1929. As a consequence, the construction of new large hydropower plants decreased between the years 1930-1940. Yet, generation and distribution of hydroelectricity in Brazil was granted by mostly foreign private companies (Morch et al., 2009), accounting for ⅔ of Brazil's electric concessions at the time (Carvalho de Oliveira, 2018).

Thus, the government focused on increasing the electric power installed capacity of hydropower plants that were already in operation. This was achieved through the enlargement of reservoir areas (by elevating the dam structures, see “Processor” in section 5.1.1) or through the development of new reservoirs as river channeling. Considering that the energy expansion was scarce in many Brazilian regions, the first state incentives of energy generation occurred at a regional level in response to local circumstances. Thereby, this situation was not congruent with the centralization plan of the energy sector, intended by the government (Carvalho de Oliveira, 2018).

5.2.3

The former president, Getúlio Vargas, had returned to the presidency in 1951, with the ambition of establishing the base industry in Brazil (as equipment was usually imported to the country), where the emphasis was laid on energy and transport infrastructure.

The government's strategy for hydroelectricity exploitation consisted of the idea of creating a state-owned company - a holding company for regional companies - which would be responsible for conducting studies and projects as well as for constructing and operating hydropower plants: Eletrobrás. Although it was required a large initial assortment of resources and a slow rotation of the invested capital, the hydroelectric option had the benefit of its reduced operating costs. However, the plan was never approved during Vargas' government. The cooperation of the State in electricity generation was impeded by the privatists who advocated private capital in the electricity sector. In this manner, the constitution of a public energy sector arose in the following years (Carvalho de Oliveira, 2018).

However, the proper technology and skilled professionals were still lacking in the projected construction of appropriate hydropower plants by public initiative. Therefore, during the 1950s, the government invested in research and development of the necessary materials, which was not enough for self-financing. International loans that imposed the importation of equipment was still necessary in the public energy sector. Despite the initiatives and investments to establish the public energy sector in Brazil, blackouts were frequent when reservoir levels were low (Morch et al., 2009), lasting between five and seven hours a day (Carvalho de Oliveira, 2018).

When Juscelino Kubitschek took over the presidency in 1956, Brazil had its first significant industrial expansion, in which public investment in infrastructure played a central role. The president established the MME, incorporating the former electricity regulation structures, which until then were part of the Ministry of Agriculture (Venancio Filho, n.d.). Regional public energy companies would later join Eletrobrás as distributors of electric energy.

During this period, hydroelectric power increased by 138% even though hydropower plant projects remained mainly in the southern regions of Brazil. In 1961, Eletrobrás was promulgated during the government of João Goulart (Carvalho de Oliveira, 2018). The energy sector had undergone radical transformation with the development of public electricity programs, managed by Eletrobrás since 1961 (Venancio Filho, n.d.).

5.2.4

The fast expansion of large hydroelectric power plants continued and was pointed up as indispensable for the military regime's envisaged economic growth. That is, the Brazilian military dictatorship only consolidated the state model of hydroelectric generation through institutional reforms and the given autonomy and importance of Eletrobrás.

Until the 1980s, many public investments were made to build large hydroelectric power plants and transmission lines through Eletrobrás’s control of the electricity system, guaranteeing energy supply even after long periods of adverse rainfall (Morch et al., 2009). During this period, nearly all of the hydropower plant constructions were carried out under the responsibility of the state through Eletrobrás.