Brazil has significantly increased its renewable energy capacity to strengthen energy security and become a regional energy hub. With appropriate national policies and support from foreign investors, the country has achieved green industrial development in recent years. By 2025, it is expected that about 50 percent of Brazil's energy will come from renewable sources such as solar, wind, and bioenergy.
Expansion of Renewable Capacity
In August, Brazil added approximately 1.68 gigawatts of new capacity, including solar, wind, and thermal energy, to its electricity grid. According to the Brazilian Electricity Regulatory Agency (Aneel), 20 new facilities were connected to the grid this month, including 15 solar power plants, three thermal plants, and two wind farms. This increase brings the total additions for 2026 to 4.85 gigawatts, of which 3.5 gigawatts are related to solar energy. Currently, Brazil has 221 gigawatts of installed electricity generation capacity, with nearly 85 percent sourced from renewables.
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Investment in Clean Energy
In May, the World Bank's board approved a new project to encourage investment in low-carbon industrial goods, clean fuels, and related infrastructure in the industrial and energy value chains in northeastern Brazil. The bank has provided a $500 million loan as part of a $968 million financing package to assist Brazil in developing renewable energy resources in this largely untouched region. Northeastern Brazil is one of the poorest areas of the country, and the development of the clean energy industry is expected to bring job opportunities and economic growth.
The New Development Bank has also provided financing for a large wind project in the state of Paraíba. The Serra da Palmeira wind complex, with a capacity of 648 megawatts, is set to be completed in October 2025 by CTG, a Brazilian subsidiary of China Three Gorges Corporation. In recent years, China and Brazil have established deeper cooperation in renewable energy and the development of clean technologies.
On the eve of the presidential elections in October, business groups have urged candidates to support green growth. The Brazilian Business Council for Sustainable Development (CEBDS), representing 11 major Brazilian business groups, called on candidates in a letter in 2026 to pay more attention to strategies and governance to enhance Brazil's competitiveness and sustainable development.
Marina Graciano, president of CEBDS and special envoy of the business sector to the COP30 climate conference in 2025, explained that the letter aims to propose a project for the country that contributes to progress. The letter emphasizes Brazil's assets, including clean energy and productive soils, stating: "This nature is our greatest economic infrastructure, and the world is ready to pay for it."
Despite the two leading candidates in the election, Luiz Inácio Lula da Silva and Senator Flávio Bolsonaro, Lula seeks to reduce Brazil's dependence on oil, coal, and natural gas while supporting Brazil's vital oil and mineral resources. In recent weeks, he has promised to protect Brazil's oil resources from foreign control. Strong national policies and high levels of foreign investment have helped Brazil diversify its energy mix and strengthen its position as a regional energy hub.
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