Electricity in Brazil in 2023/2024

In the period from November 2023 to October 2024, Brazil has showcased significant progress in its electricity sector by deriving more than four-fifths of its electricity from low-carbon sources, cementing its status as a leader in sustainable energy. Among these clean energy sources, hydropower stands out, accounting for more than half of the electricity generated, which highlights Brazil's long-standing reliance on its vast water resources. Wind energy contributes almost 14%, further supporting the country's commitment to clean energy generation. Solar energy represents a bit over 9%, showing substantial potential for growth in Brazil's sunny regions. On the other hand, fossil energy—which is responsible for harmful emissions contributing to climate change and air pollution—accounts for slightly more than 10% of the electricity mix, indicating room for improvement as Brazil aims for a more sustainable future. Meanwhile, the contribution from nuclear energy is just about 2%, indicating an area ripe for development. Looking forward, Brazil faces the challenge of expanding its electricity supply to accommodate the electrification of sectors such as transport, heating, and industry, which will require a significantly larger amount of electricity.

Suggestions

To enhance its low-carbon electricity generation, Brazil can focus on expanding its wind and solar capacities, given their already significant contributions and the country's favorable conditions for these technologies. Wind power, which already constitutes a significant share, can be strategically expanded by investing in new wind farms, especially in coastal and inland areas where wind conditions are optimal. Solar energy also offers great potential, and harnessing this abundant resource will be crucial to meeting growing electricity demands. Additionally, expanding nuclear capacity can provide a stable and continuous source of low-carbon electricity, crucial for a balanced energy portfolio. These efforts will not only reduce dependency on fossil fuels but also strengthen Brazil's commitment to a sustainable energy future, helping to mitigate the adverse effects of climate change and reduce air pollution.

History

The history of low-carbon electricity in Brazil has been marked by steady progress and some challenges. In the early development of the sector, during the late 1970s and throughout the 1980s, Brazil consistently increased its hydroelectric capacity, with significant additions like the 13.8 TWh in 1979 and 16.6 TWh in 1984. However, there were setbacks, notably in the early 21st century, with hydroelectric generation decreasing by 36.5 TWh in 2001. This was offset by rapid recovery and expansion, with positive changes such as an 18.2 TWh increment in 2002 and subsequent stable growths through the 2000s. Yet, challenges persisted, as evidenced by declines in 2013 and 2014. Most recently, the country has seen tremendous gains, especially in 2022 with a substantial hydro increase of 64.3 TWh. The last few years have also marked the rise of wind and solar, with notable achievements such as the 15.2 TWh increment in wind energy in 2021 and 21.3 TWh in solar in 2023, showcasing Brazil's continuous commitment to diversifying and strengthening its low-carbon electricity generation. This trajectory underscores both the resilience and potential of Brazil’s clean energy sector.

Electricity Imports and Exports

Balance of Trade

Data Sources