Iberdrola Brazilian affiliate Neoenergia has officially opened the 350MW Baixo Iguacu hydroelectric power plant in the state of Parana.
The over €500m project will supply electricity to 1 million people, with production equivalent to nearly 8% of the annual electricity demand in Parana.
Baixo Iguacu features three Kaplan turbines and has a 31km-square reservoir, of which 20km-square is river.
Iberdrola said the turbines mean that the necessary flooding area is significantly smaller than at other hydroelectric plants of similar size.
The plant also helps to control the flow of water over the nearby Iguacu Falls, which receives 1.5 million visitors every year, the company said.
The flow of the waterfalls can be affected during periods of drought, and were diminished to mere trickles in 2006, it added.
However, the hydroelectric power plant will mean the falls always have the minimum necessary water flow, Iberdrola said.