Mini-hydro forged ahead swiftly after its initial boost from the government’s 2002 renewable-energy incentive programme, Proinfa, mounting fierce competition with oil-fuelled power stations in the open energy market.

The market was flourishing by 2007, being able to deliver electricity at prices of up to R$180 ($95.60) per megawatt hour (MWh). In addition, dozens of small-hydro schemes came on line this year that were planned in the boom period.

However,