The Bolivia–Brazil gas pipeline operator, TBG, welcomed the results of this year’s Power Capacity Reserve Auction (known by its Portuguese initials, LRCAP), which was held on Wednesday, March 18. According to the company, the bidding process represented potential progress in securing capacity in its system.

Contracts between TBG and thermoelectric power plants may represent a flow of approximately 14 million cubic meters of natural gas per day. This volume is considered strategic in terms of enabling new investments and expanding transportation capacity, both within the company’s system and across Brazil’s gas infrastructure.

TBG also highlighted the fundamental role of thermoelectric power plants connected to the natural gas transportation network in Brazil’s energy mix. These plants are capable of generating electricity continuously and can be dispatched immediately, complementing intermittent renewable sources such as wind and solar and contributing to the stability of the power system, demonstrating the reliability of supply provided by the infrastructure of the Brazilian natural gas transportation system.

According to TBG’s CEO, Jorge Hijjar, the auction result represents another step toward greater integration between the gas and power sectors in Brazil. “The result of LRCAP 2026 provides a solid basis for expanding the system. This movement contributes to energy security, optimizes the use of the transportation network and increases the efficiency of the sector as a whole,” he says.

The addition of new thermoelectric power plants to the transportation network demonstrates the system’s importance in providing a secure and cost-effective base for power generation and enabling an important consumption driver for growing domestic natural gas production.