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facilitating the purchase of alternative energy by free customers (known as "special" free customers),reducing taxes on equipment, among other measures.Co-generation is an example of this growth. This activity consists of a heat and electric powerproduction process, along with another undertaking, from one single fuel that is common to or a subproductof the latter. For example, the burning of natural gas or organic waste (biomass) generatesthermal energy (heat) and, at the same time, drives the generators.This activity allows companies to become self-sufficient in the production of energy with the help ofgas or of the industrial waste itself. The material that was previously discarded by the pulp industry, forexample, is now used as fuel to heat the boilers.Companies that wish to invest in co-generation must obtain qualification from ANEEL for theimplementation of their projects, as regulated by an ANEEL resolution.Brazil currently has 106 wind farms in operation. The production of wind power doubled in 2012, withan installed capacity of 2.4GW.Today, 125 wind farms with a total of 3.4GW installed capacity are under construction. They areexpected to start operating by 2015, which shows a growing investment interest in this alternative,clean and unlimited energy source. New technologies have also been used. Among otherimprovements, the height of wind turbines has been increased to better capture the wind.Solar power is also an attractive investment opportunity, given Brazil's geography (high solarincidence) and the fact solar power generation is still in an infant stage. Investors have been trying todevelop local equipment because dependence on foreign technology is still high, which hindersaccess to cheaper loans offered by government banks.Finally, energy from Small Hydroelectric Centers also represents an investment opportunity, due to theabove-mentioned government incentives, the shorter amount of time needed for construction andoperation, and the fact that they do not require large dams and reservoirs – they can use the course ofthe abundant Brazilian rivers instead.11.3.2. TransmissionTransmission is the transportation of the electric power generated in high current and voltage bymeans of conductors.74

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