Environmental Licence for Sao Luiz do Tapajos Hydroelectric Dam Denied

The Tapajos River flows undammed for hundreds of miles through the heart of the Amazon. (Photo: Edinilson Barrozo Ramos/ Creative Commons Attribution-Share Alike 4.0 International license)

Environmental Licence for Sao Luiz do Tapajos Hydroelectric Dam Denied

Brazilian environmental agency rejects Tapajós River mega-dam, citing likely major impacts on Amazon’s indigenous people and the environment.

Brazil's environmental agency, Ibama, has decided not to give an environmental license to the Sao Luiz do Tapajos hydroelectric dam, the first of a series of dams planned for the Tapajos river basin. The project's rejection is seen as a significant victory by the Munduruku indigenous people -- whose livelihoods and lands would have been impacted, and by environmentalists.

If it had gone ahead, the 8,000-megawatt Sao Luiz do Tapajos dam would have been the country's second largest hydroelectric power station, after the controversial Belo Monte dam, which became operational earlier this year. It would have also been one of the largest hydroelectric dams in the world.

The decision took into consideration reports from the federal attorney's office (Advocacia-Geral da Uniao, AGU), the indigenous agency Funai and Ibama itself, all of which advised against authorization. The ruling now has to be endorsed by Suely Araujo, the president of Ibama. However, as she is a member of the licensing commission, which voted unanimously against authorization, she is expected to ratify the decision shortly.

While the decision was welcomed by environmentalists and indigenous groups, it is not being well received by others. Luiz Barreto, president of EPE, Brazil's Energy Research Company, which draws up the country's energy studies, told the Folha de S. Paulo newspaper (which broke the story on Wednesday) that the dam's cancellation could increase energy costs: "To do without Sao Luiz do Tapajos necessarily implies finding other sources of supply, with different costs".

The Sao Luiz do Tapajos dam was heavily opposed by the Munduruku Indians, who were alarmed by the impact of the Belo Monte dam on indigenous groups who live beside the Xingu river -- the large Amazon tributary to the east of the Tapajos. They've lobbied vigorously and effectively against the Tapajos dam. Recently, international NGOs, including Greenpeace, rallied to their campaign.

The construction of Sao Luiz do Tapajos would have meant the flooding of Munduruku territory known as the Sawre Muybu, where some Indians live. According to the Brazilian constitution, such an action is not permitted. Brent Millikan, the Amazon program director from the NGO International Rivers, is clear on the topic: "Indigenous land can only be exploited in very unusual circumstances, and then only after approval by Congress".

In the past, the federal government has argued that it was not required to give this protection to the 170,000 hectares (656 square miles) of Sawre Muybu land, as it was not formally recognized as indigenous territory.

However, a turning point occurred in April of this year when Funai finally published a long awaited initial report that recognized the Sawre Muybu lands as indigenous. This came after the Indians themselves, frustrated by extensive delays, had marked out their own land boundaries.

The federal government could overrule the constitution by resorting to special powers, created during the military dictatorship. Indeed, it used these powers to push through the construction of the Belo Monte dam, but experts say that it seems unlikely that the government will invoke that authority now, given the degree of strong organized opposition to the Sao Luiz do Tapajos dam.

The decision does not mean that the federal government has given up its development plans for the Tapajos river basin. It intends to build 43 "big" dams throughout the basin, of which ten are considered priority, to be completed by 2022.

At the same time, the transport ministry has developed plans to convert the Tapajos and its tributaries, the Teles Pires and the Juruna rivers, into industrial waterways to transport soybeans from Brazil's interior -- especially the state of Mato Grosso -- to ports along the Amazon River, and then to the Atlantic Ocean for export.

The industrial waterways plan, known as the Tapajos Complex, is also likely to stir up controversy. It will only be viable if the series of dams is completed, including the Chacorao dam, which would flood 18,700 hectares (72 square miles) of Munduruku land.

While environmentalists and indigenous groups have reason to celebrate the Sao Luiz do Tapajos decision, the conflicts concerning the future of the Tapajos river basin are likely far from over.

The Sao Luiz do Tapajos dam's reservoir would have encompassed 72,225 hectares (278 square miles), part of it flooding Munduruku territory. Brazil still has plans to build 43

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