Solar drives Brazil’s power matrix despite curtailment

Even in the face of structural bottlenecks, Brazil’s solar power generation capacity is expected to show significant growth in 2026.

According to watchdog Aneel, 3,530MW of centralized solar generation will be added this year, equivalent to 45% of the total projected growth of 7,897MW.

There are 73 new plants, located mainly in the Northeast region, which has the best incidence of solar radiation in the country. In Piauí state, for example, the Lins solar complex is under construction, with a capacity of 100 MW, owned by Lins Energia SPE.  

Outside the Northeast, the highlight is Minas Gerais, where the Draco Solar Complex of Atlas Renewable Energy is advancing.

Made up of 11 photovoltaic plants, the complex brings together 462 generating units, totaling 505MW of installed capacity.

The first nine plants entered commercial operation in January, and the forecast is that the last two will start operating in April.

The total centralized photovoltaic generation capacity in the country is 20.9GW, which corresponds to about 10% of the national installed capacity of 217GW.

In distributed generation, the country has just surpassed 45GW, and the expectation is to reach 50GW by the end of this year.

Challenges

The main barrier to the expansion of centralized generation in Brazil today is the generation cuts determined by the National Electric System Operator (ONS). Known as curtailment, they aim to ensure the safety, stability, and reliability of the National Interconnected System (SIN), preventing overloads on the transmission grid.

As a result, in addition to the “congestion” of the power grid, legal and regulatory uncertainties and Brazil’s high interest rate, several projects have been discontinued.

In the case of distributed generation, there is concern about attempts to change in advance or retroactively the transition rules set out in the sector’s regulatory framework (Law No. 14.300/2022) and about its subjection to curtailment.

(The original version of this content was written in Portuguese)