Brazil has gotten a bum rap because its World Cup preparations have been, shall we say, haphazard. But according to Bloomberg, we can cross one potential problem off the list, because the power supply won’t be a problem. Probably. Fingers crossed.
The risk of power shortages in the southeast region — including Sao Paulo, where Brazil will take on Croatia in the June 12 opening match — has fallen to about 4 percent from 6.7 percent in May, Deputy Energy Minister Marcio Zimmermann said.
The probability of authorities having to ration supply for the first time since 2001 is diminishing after rains last month replenished some of the water lost from hydroelectric dams in the worst drought in more than 40 years. On March 31, Citigroup Inc. put the chances of rationing at 94 percent. Secure power supply means one less concern for organizers of an event whose buildup has been beset by cost overruns and project delays.
“We are very assured that there won’t be any risk,” Zimmermann said in an interview from Brasilia today.
According to the Wall Street Journal, the historic drought led to water rationing last month in Guarulhos, a Sao Paolo suburb of 1.3 million people that is the site of the area’s international airport and will be the home base for the Iranian national team. Before the recent uptick, Sao Paulo, Rio de Janeiro and Minas Gerais states — home to most of Brazil’s orange, sugarcane and coffee production — had only received 40 percent of their usual rainfall.