By Roberto Samora and Ana Mano
SAO PAULO - Brazil's government agencies warned of droughts this week as the country faces its worst dry spell in 91 years, increasing fears of energy rationing, hitting hydroelectric power generation and agriculture while raising the risk of Amazon fires.
Late on Thursday, the Electricity Sector Monitoring Committee (CMSE), which is linked to Brazil's Mines and Energy Ministry, recommended that the water regulator ANA recognize a state of "water scarcity," after a prolonged drought hit Central and Southern parts of Brazil along the Paraná river basin.
Separately, a weather monitoring agency linked to the Agriculture Ministry issued its first "emergency drought alert" for June to September, saying rains are likely to remain scarce in five Brazilian states during that period.
The lack of rain across much of Brazil has negative implications for grain cultivation, livestock and electricity generation, as Brazil relies heavily on hydro dams for its power. The dry weather could lead to severe fires in the Amazon rainforest and Pantanal wetlands, scientists said.
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