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Latin America

Brazil

With a power score of 2.53, Brazil ranks number 6 among Emerging Markets and number 1 in the Latin America region

Power score

2.53/5

135135135

Score over time

2021 - 2024

7
2021
7
2022
5
2023
6
2024

Overview

Brazil has a power score of 2.53, which puts it at rank 6 in the Emerging Markets power ranking. In comparison to 2023, Brazil has dropped in the power rankings by 1 place, from rank 5, to rank 6.

At 2.53, the power score of Brazil is better than than the regional average of 1.93 in the Latin America region and puts it at rank 1 in the region.

Regional comparison chart

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Brazil

Power

Power policy

Brazil implements policies in 6/9 power policy categories tracked by Climatescope, including Renewable energy target, Renewable energy auction, Net metering, Import tax incentives, VAT incentives, and Renewable Energy Certificates.

Power policies

Renewable energy target
Renewable energy auction
Feed-in tariff
Net metering
Import tax incentives
VAT incentives
Priority grid access
Renewables mandate
Renewable Energy Certificates

Power prices and costs

The average electricity price in Brazil has increased from 159.21 USD/MWh in 2022 to 165.83 USD/MWh in 2023. Since 2017, the average electricity price in Brazil has fluctuated between 138.55 USD/MWh (2020) and 183.26 USD/MWh (2017).

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Power market

The top amount of capacity installed in Brazil in 2023 was in Large Hydro at 38.99%, down from 43.05% in 2022. The technology with the biggest increase in capacity installed in 2023 was Small-scale PV - commercial at 7.01%, up from 4.98% in 2022.

Installed capacity (in MW)

20002005201020152020050K100K150K200K MW

Electricity generation (in GWh)

200020052010201520200200K400K600K800K GWh

The top amount of electricity generated in Brazil in 2023 was in Large Hydro at 50.35%, down from 52.87% in 2022. The technology with the biggest increase in electricity generated in 2023 was PV at 7.15%, up from 4.45% in 2022.

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Investment in clean energy in Brazil was around $10,869.64 million in 2023, a decrease of 14.72% from 2022 ($12,745.61 million). Between 2018 and 2023, the highest investment in clean energy was in 2022 at $12,745.61 million, while the lowest was in 2018 with $3,332.16 million.

Utility privatisation

Which segments of the power sector are open to private participation?

generation: Yes
transmission: Yes
retail: Yes

Doing business and barriers

Type

Question

Availability

Currency of PPAs

Are other PPAs (eg. corporate PPAs) signed in or indexed to U.S. Dollars or Euro?

Yes

Type

Question

Availability

Bilateral power contracts

Can a C&I (Commercial and Industrial) customer sign a long-term contract (PPA) for clean energy?

Yes

Type

Question

Availability

Fossil fuel price distortions - Subsidies

Does the government keep the wholesale price of electricity from fossil fuels artificially low through subsidies?

Yes

Type

Question

Availability

Fossil fuel price distortions - Taxes and carbon prices

Does the government significantly�increase the wholesale price of electricity from fossil fuel through targeted taxes and/or carbon prices?

No

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