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Brazil’s ANEEL Suspends A-5 New Energy Auction

Brazil Will Not Go Ahead With A-5 New Energy Auction Due To ‘Inconsistency’ In Auction Management System

Anu Bhambhani
  • Brazil has decided to suspend A-5 New Energy Auction that was due to be held on September 16, 2022
  • ANEEL found inconsistency in the Auction Management System due to which the decision was taken
  • It will now investigate the same and release an updated schedule in due course

Brazil's National Electric Energy Agency (ANEEL) has suspended the country's A-5 New Energy Auction that was scheduled to be held on September 16, 2022 for which it registered 83 GW capacity comprising 55.82 GW of solar PV (see 55 GW Solar Registered For Brazil's A-5 Auction).

ANEEL's Special Bidding Commission (CEL) cited 'identification of inconsistency in the Auction Management System' as the reason for A-5 suspension. Now the CEL and the Electric Energy Commercialization Chamber (CCEE) are investigating the causes and effects of the occurrence.

In due course, a new schedule of activities for the A-5 auction will be published and announced.

The decision follows that of Ministry of Mines and Energy (MME) cancelling the A-6 auction, without the participation of PV, citing lack of demand from distributors (see Latin America PV News Snippets).

Meanwhile, Brazil's total installed power generation capacity as on September 6, 2022 added up to an aggregate 185 GW with 83.26% coming from renewables. It includes an addition of 650.14 MW in August 2022 with solar PV contributing 429.99 MW and wind energy 220.15 MW.

"This is the second best mark of the year, surpassed only by the month of July, in which 708.78 MW came into operation. In 2022, until August 31, there was a growth of 3,706 MW in the capacity of the plants," stated ANEEL.

As per the Brazilian solar energy association ABSOLAR, total installed capacity of solar PV in the country exceeds 16 GW comprising both large scale and distributed generation projects. Referring to a MME estimation, ABSOLAR says in 2050 solar PV generation could exceed 100 GW capacity accounting for up to 30% of the country's total installed capacity.