With significant growth in distributed generation and record progress in renewable sources, Brazil is establishing itself as a global clean energy powerhouse, despite structural challenges.
Brazil is leading one of the largest energy transitions in the world. In just the first quarter of 2025, the country added 1.742 gigawatts (GW) to its installed electricity generation capacity, with a strong emphasis on renewable sources such as solar, wind, and small hydroelectric plants. This data comes from the National Electric Energy Agency (ANEEL), which also projects a jump of 9.95 GW throughout this year, approaching previous records set in 2023 and 2024.
This progress is mainly driven by the strength of solar energy, which has become the second-largest source in the national electricity matrix, representing 22% of the total. From January to March, the country installed more than 147,000 new photovoltaic systems, according to Agência Brasil, which allowed the supply of energy to approximately 228,700 homes across 11 states — proof that distributed generation is decentralizing and democratizing access to clean energy.
Infrastructure needs to keep pace
Despite the positive numbers, rapid growth has revealed major bottlenecks, especially in transmission infrastructure. According to the National Electric System Operator (ONS), investments in transmission lines are not keeping up with the expansion of renewable sources, which could limit the integration of these energies into the national system.
Another point of concern is the stability of generation. Since sources like solar and wind depend on weather conditions, there are times when production is reduced, requiring the activation of thermal plants. This dependence highlights the importance of diversifying the matrix and investing in energy storage and management technologies.
The debate on revising discounts on transmission and distribution system usage tariffs (TUST and TUSD), currently granted to incentivized sources like solar and wind, has also gained relevance. ANEEL is currently discussing potential changes to these rules with industry entities such as ABSOLAR and ABEEólica — which could impact the pace of clean generation project expansion and require a new balance between economic sustainability, regulatory predictability, and legal security for investors.
According to ABSOLAR, any tariff revision must ensure the continued competitiveness of renewable sources and preserve the long-term signals that sustain the confidence of agents who have already invested in the sector. The risk is halting the expansion trajectory just as Brazil is consolidating itself as a green powerhouse on the global stage.
Strategic opportunity for Brazil
With vast natural potential and an already consolidated path in clean sources, Brazil is in a strategic position to lead the global energy transition. But to do so, it will need to resolve regulatory issues, ensure legal certainty to attract new investments, and move forward with logistical planning and modernization of the electrical grid.
According to experts interviewed by Canal Energia and Exame, the 2020s will be decisive. This is the moment when the country can turn its renewable leadership into a global competitive advantage, both to attract sustainable industries and to fulfill international climate commitments.
A future that has already begun
Data shows that the expansion of clean energy in Brazil is already a reality — but it is not a path without obstacles. What is at stake now is the ability to plan with a long-term vision, combining technological innovation, stable regulation, and social inclusion.
The outlook is promising: more Brazilians have access to clean energy, the country is reducing its dependence on polluting sources, and the sector is emerging as one of the most dynamic and strategic in the national economy. Brazil’s green shift is underway — and with the right choices, it can inspire the world.
GNPW: the Solário Carioca and the role of local solutions in the energy transition
Responsible for major cogeneration and clean energy projects in the country, GNPW stood out in previous editions of the New Energy Auctions by Availability, winning more than 40% of the awarded projects between 2005 and 2016. The company is also recognized for its ability to anticipate regulatory trends and promote energy infrastructure solutions aligned with the country’s future needs.
A recent example is the Solário Carioca, one of the most emblematic projects under development in the state of Rio de Janeiro, focused on medium-scale distributed solar generation and direct service to communities and urban enterprises with significant energy demand. The initiative, carried out in partnership with V-Power Energia, is being implemented at the former Santa Cruz landfill site, in the West Zone of Rio de Janeiro’s capital — a degraded area now being reconverted into a strategic sustainability asset.
Covering 85,000 square meters and equipped with more than 11,000 solar panels, the project involves an estimated investment of R$ 45 million and has an installed capacity of 5 megawatts (MW), enough to power approximately 45 public schools or 15 health care units. The projected savings for public coffers exceed R$ 60 million over the 25-year concession.
Beyond economic and energy impacts, the project stands out for its environmental and social impact: it aims to reduce 40,000 tons of CO₂ per year and generate more than 1,600 direct and indirect jobs during implementation. The Solário Carioca is therefore more than a solar power plant: it is a viable model of urban regeneration and just transition.
By leading this initiative, GNPW reaffirms its commitment to the country’s energy future: decentralized, sustainable, and focused on the real development of cities.
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