Renewable energy in Brazil

[1] Brazil started focusing on developing alternative sources of energy, mainly sugarcane ethanol, after the oil shocks in the 1970s.

[6][7] The European Investment Bank, as of 2023, signed a €200 million loan to make renewable energy to homes in Sao Paulo's favelas more available.

Argentina was also later incorporated in some of the governmental planning and agreements because it is directly affected, being downstream, by the regulation of the water on the river.

On 14 December 2009, around 1,800 megawatts (MW) were contracted with energy from 71 wind power plants scheduled to be delivered beginning 1 July 2012.

[17] The total installed solar power in Brazil was estimated at 34.2 GW at October 2023, which consists of about 15.6% of the country's electricity matrix.

Over half of all cars in the country are of the flex-fuel variety, meaning that they can run on 100% ethanol or an ethanol-gasoline mixture.

According to ANP, Brazil also produced about 20,000 bbl/d of biodiesel in 2008, and the agency has enacted a 3% blending requirement for domestic diesel sales.

[citation needed] The importance of ethanol in Brazil's domestic transportation fuels market is expected to increase in the future.

It reduces environmental pollution as it uses organic garbage, agricultural remains, wood shaving or vegetable oil.

[33] More than 1 million people in the country work in the production of biomass, and this energy represents 27% of Brazil's energetic matrix.

With the discontinuation of the tax incentives in 1988, plantation establishment in Brazil has slowed, although the commercial feasibility of using eucalyptus for energy and other products has been clearly demonstrated.

[35] The European Investment Bank provided a €200 million loan starting 2021 to support renewable energy projects, specifically to establish a wind farm and solar power plant.