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The Brazilian Ministry of Mines and Energy (MME) has announced plans to launch its energy auctions called A-4 and A-6 for new electricity generation capacity in 2024. Solar PV technology will compete alongside other power generation sources in both the auctions.
Apart from solar PV, other competing technologies in these auctions are hydropower projects of up to 50 MW capacity, wind energy and thermoelectric facilities. Expansion of existing projects and hybrid solutions are also welcome.
Winners of the A-4 category will win power supply contracts for 15 years, while those selected under A-6 will win contracts for 20 years.
Scheduled to take place sequentially in December 2024, both A-4 and A-6 auctions are targeted to start supplying the national grid from selected projects from January 1, 2028 and January 1, 2030, respectively.
The auction guidelines have been published in the Official Gazette of the Union. The ministry has now invited public consultation to the draft of the auction guidelines. Submissions will be accepted till June 3, 2024.
Brazil conducted its previous A-4 auction with solar PV as a competing technology in 2022 when it selected 948 MW new capacity. Solar PV comprised 166.06 MW capacity (see Latin America PV News Snippets).
Since the beginning of 2024 till May 17, 2024, Brazil's power generation capacity increased by 4.284 GW, according to the country's National Electric Energy Agency (ANEEL). Out of this 93.79% came from clean and renewable energy sources.
According to ANEEL, solar PV represents 49.23% of the newly added power, followed by wind with 44% share.
In the month of April, Brazil grew its capacity by more than 1.5 GW capacity. It comprises a total of 733.74 MW solar and 559.90 MW wind energy capacity that entered commercial operations during the month.
In 2024, it forecasts 57 new solar PV projects with 2.11 GW of combined capacity to come online in the country.