Brazil's grid operator says January rain to be 44pc of average

SAO PAULO: Brazil's national electric grid operator, the ONS, on Friday said rainfall over reservoirs in the southeast and center-west would be just 44 percent of the historical average, down from 56 percent expected a week earlier.

Below-average precipitation in what should be the rainiest month of the year is a nightmare scenario for Brazil's most populous region, with drinking water reservoirs nearly dry and export crops like cane and coffee facing another year of damage.

The ONS said reservoirs that feed hydro-electric dams in the southeast would likely end January at 18.5 percent capacity.

The government has ruled out energy rationing, however, as power distributors turn to expensive alternatives like thermal power and raise rates for consumers.