Renova Energia SA has awarded Alstom (Euronext: ALO) with a contract to provide more than $1.35bn of wind turbines in South America’s largest order.

Alstom won the contract ahead of the Brazil-based developer’s current supplier General Electric Co (NYSE: GE).
Renova Energia Chief Financial Officer Pedro Pileggi
The project involves installation of 440 onshore turbines with 1200 MW of capacity starting in 2015.

Bloomberg News reports that the France-based power-equipment maker will invest in its South America supply chain to achieve economies of scale.

According to Renova Energia Chief Financial Officer Pedro Pileggi (pictured), “The deal put on the table by Alstom was better. Price is always important. By providing manufacturers with long-term planning capabilities they’re able to reduce costs.”

Demand for wind turbines in Brazil will more than double in 2013 to 2024 MW from 732 MW in 2012, according to data compiled by Bloomberg.

“Two years ago, virtually all of our onshore wind turbine sales were in Europe,” Jerome Pecresse, president of Alstom’s renewable power unit told the news agency. “Now, more than half are in Latin America.”

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