Climate Changed
A Peruvian Bill Is Threatening to Topple a $1.4 Billion Power Deal
- Odebrecht agreed in 2017 to sell hydro plant to Chinese buyer
- Size of penalty unclear, is said to be enough to scuttle deal
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Peru is debating a law that’s threatening a $1.39 billion hydropower deal.
Odebrecht SA agreed in August to sell the Chaglla hydroelectric project to China Three Gorges Corp. The deal was supposed to close by Feb. 23 but has been on hold for months as the government decides how much of the proceeds to keep as a penalty and how much will go to Odebrecht, the Brazilian builder that’s embroiled in a global corruption scandal.