Brazil is among the countries with the greatest potential for renewable energy in the world. With abundant natural resources and public policies that encourage energy transition, the country has increasingly attracted investment in the sector. But what are the main areas of growth and what makes Brazil an attractive destination for investors?
Current scenario of renewable energy in Brazil
Brazil already stands out globally in terms of clean energy generation. According to data from the International Energy Agency (IEA), in 2023, more than 83% of the Brazilian energy matrix was composed of renewable sources, a number much higher than the global average of 28%. This number is driven by the predominance of hydroelectric power, but sources such as solar and wind are rapidly gaining ground.
Solar Energy: Exponential Growth
In recent years, solar energy in Brazil has experienced significant growth. According to the Brazilian Association of Photovoltaic Solar Energy (ABSOLAR), installed solar energy capacity exceeded 32 GW in 2024, positioning Brazil as one of the main emerging markets in the sector. In addition, installation costs continue to fall, encouraging both residential and commercial projects.
Investment opportunity:
Brazil has become a magnet for international investors, especially in the distributed solar sector. The growing demand, combined with the vast solar exposure in regions such as the Northeast, creates an ideal scenario for new projects and partnerships.
Wind energy: Coastal and inland potential
Wind power has also been gaining momentum in Brazil, especially in the coastal regions of the Northeast. With constant and strong winds, the country offers ideal conditions for the development of wind farms. According to the National Electric System Operator (ONS), wind power already accounts for 11% of the national electricity grid, with significant potential for expansion in the coming decades.
Investment opportunity
Wind energy projects in Brazil have attracted large investment funds due to the stable return and predictability of winds. The expansion of transmission lines and government incentives through energy auctions reinforce the sector as a solid opportunity for investors.
Biomass: The strength of Brazilian agribusiness
Another promising area for renewable energy in Brazil is biomass. Agribusiness, which is already one of the pillars of the national economy, is also responsible for generating energy from waste such as sugarcane bagasse, rice husks and wood. In 2023, biomass accounted for 8.3% of electricity generation in the country, with expectations of continued growth.
Investment opportunity:
The diversification of biomass sources and proximity to large agricultural production hubs make this an area of growing interest. With global decarbonization goals, Brazil offers a fertile environment for investments in waste-to-energy technologies.
Green Hydrogen: The Future of the Energy Transition
Green hydrogen has gained prominence as one of the most promising solutions for decarbonization on a global scale, and Brazil has the potential to be one of the main producers. This type of hydrogen is produced through the electrolysis of water, using energy from renewable sources, such as solar and wind, without emitting greenhouse gases.
Brazil’s geographic location, with ample availability of solar and wind energy, places the country in a strategic position for large-scale green hydrogen production. In addition, the Brazilian government has already begun to develop policies and incentives to support the growth of this market.
Investment opportunity:
The green hydrogen market in Brazil is still in its early stages, but it has enormous potential for growth. International companies are already looking at this segment, and expectations are that green hydrogen will become a key component of the country’s energy mix in the coming decades. Investing now could mean being at the forefront of a global energy revolution.
Brazil is in a prime position to lead the global renewable energy market. For investors, the country offers a promising environment, full of opportunities in solar, wind and biomass energy, as well as government incentives that make the sector even more attractive.
Are you looking to take advantage of investment opportunities in the renewable energy sector in Brazil? At Bring Consulting, we offer comprehensive support for companies looking to expand their business internationally. Contact us and find out how we can help you reach new horizons of sustainable growth.
