Brazil is one of the few countries which still has a lot of scope for increasing its production of hydroelectric energy. Electricity thus obtained comes from a clean energy source, because it does not involve the use of carbon as a fuel. However, the construction of enormous dams to produce electrical energy brings with it other major problems, such as the destruction of the forests along the rivers involved. To avoid the consequent loss of biodiversity, CONAMA approved a resolution, which makes ecological compensation obligatory in such a situation. Companies, which construct and operate such dams must spend at least 0.5% of the cost of the undertaking in the purchase of another forestland and there establish and maintain an ecological station or similar conservation unit. This provision is unique in the world. Its scope has been extended to any undertaking of importance, for example roads which involve the destruction of forests or other important forms of natural vegetation.

Internet: <http://brazil.org.uk/page.php?cid=894>. Access on Oct. 1^st 2003 (with adaptations).