Article

Brazil is undertaking energy reforms to tackle challenges arising from its rapid expansion of renewable energy, particularly solar power, which has grown to nearly 25% of its electricity matrix. Despite this growth, operational issues have led to significant curtailment and financial losses, prompting the government to plan a BESS auction in April 2026 and reserve power auctions to enhance efficiency and address transmission bottlenecks. These initiatives are projected to attract substantial investments, potentially generating returns of $70 billion by 2034 and mobilizing $25.7 billion for new transmission lines.