Brasil one of the wind markets with the highest potential Interview mit brasilianischem Windverband ABEEólica

Juliano Martins, ABEEólica, berichtet über die brasilianischen Ambitionen im Bereich Windenergie.

REH: Dear Juliano, can you please introduce yourself and describe the mission of ABEEólica?

Juliano Martins: "I’m Juliano Martins, author of the book "Innovation and Sustainability for Energy Transition" and Coordinator of New Business at ABEEólica - Brazilian Association of Wind Energy and New Technologies. I’m currently responsible for supporting the Brazilian offshore wind industry development. I hold a Master’s degree in Strategy and Innovation in International Business from the School of Advertising and Marketing (ESPM) and a bachelor’s degree in Chemical Engineering from Santa Cecilia University (UNISANTA).

Founded in 2002, ABEEólica is a nonprofit organization that represents the wind energy and new technologies sector in Brazil. Since the beginning, our goal has been to contribute effectively to the development and recognition of wind energy as a clean, renewable, low-environmental-impact, competitive, and strategic source for the national energy mix.

We work to ensure that wind energy—and the new technologies associated with it— become the solution that generate the greatest value for society in the transition to a low-carbon economy. Furthermore, we seek to be recognized as an institution that drives Brazil toward a socially just, sustainable, and low-carbon economy. ABEEólica is guided by the principles of quality, ethics, compliance; social and environmental responsibility; sustainability; transparency; and cooperation across the entire production chain."

REH: Brazil has one of the cleanest electricity systems in the world. According to the International Energy Agency (IEA), nearly 90% of the electricity generated today in Brazil comes from renewable sources. How has wind power developed and what role does it play in the country’s power supply?

Juliano Martins: "Wind energy in Brazil was developed through regulated initiatives, such as the reserve power auctions and the new power auctions between 2009 and 2011, coordinated by the Ministry of Mines and Energy (MME). Through these auctions, the first wind projects were contracted and developed, marking the beginning of wind energy’s participation in Brazil’s electricity mix.

Subsequent initiatives were developed to create a network of suppliers of machinery, equipment, and operation, maintenance, and repair services. The National Bank for Economic and Social Development (BNDES) played a major role by developing dedicated credit lines for the electricity and energy sectors, with local content requirements (accreditation rules). This mechanism led to the consolidation of Brazil’s wind energy production chain, resulting in up to 80% of components being produced domestically, thereby generating jobs, lease income during the operation of the wind farms, and tax revenue for state governments.

Beyond the production chain, wind energy plays a significant role in supplying electricity to the states of the Northeast, where nearly 36 GW of installed capacity and more than 1,100 wind farms are currently in operation. For example, during certain periods of the year, it can supply more than 100% of the Northeast submarket’s demand, allowing surplus electricity to be exported to other regions of the country, strengthening Brazil’s clean and renewable energy system."

REH: You mentioned that wind power has experienced period of lower growth due to certain constraints and challenges. What are the main factors behind these slowdowns, and how has the government responded at the policy level?

Juliano Martins: "Wind power continues to operate under very adverse conditions in the short term due to two distinct crises: the first is an energy imbalance, characterized by a mismatch between energy demand and supply at certain periods of the day, caused primarily by the rapid expansion of rooftop solar generation (called in Brazil micro and mini distributed generation, MMGD), which has significantly increased renewable generation curtailment (also known as “constrained-off”) due to oversupply in the system and other factors related to the electricity network. The second is a macroeconomic crisis, which is affecting general infrastructure projects—such as wind power and others—due to high interest rates, increased cost of capital, rising labor costs, higher raw materials prices, among other factors.

These curtailments have resulted in estimated losses for wind farm developers of approximately R$ 7 billion, which is equivalent to 39.3 TWh of constrained generation, thereby increasing the operational risk for renewable energy companies. As a result, low demand has reduced the need for new renewable power purchase agreements (PPA) for comercial wind and solar projects, decreasing the industrial demand of capital goods for wind turbines and leading to mass layoffs.

To address some of these issues, the Brazilian government has developed regulatory and financial initiatives to compensate for losses and created programs to incentivize new electricity loads, such as data centers, green hydrogen, industrial electrification, and demand response mechanisms. In addition, the federal government is promoting regulated auctions to expand the transmission network, enable new grid connections in the states, and launch the battery energy storage system (BESS) market."

REH: With 7.500 km of coastline, strong wind and extensive shallow shelf areas, Brazil is widely viewed as one of the most promising markets globally for offshore wind over the next decade. What actions is the national government taking to unlock this potential? How could offshore wind development shape the future of Brazil’s energy supply?

Juliano Martins: "The development of a legal framework for offshore wind power based on Law 15.097/2025 was a major national initiative. The law defines the models for allocating energy corridors for offshore wind projects (permanent and planned), establishes mechanisms to identify any interference between the corridor and other facilities or activities, and sets forth the payment of government royalties. This regulatory framework is comprehensive and has ensured the legal certainty expected by investors. The next step is to finalize the implementation of regulations for the law, which are expected to be published in the coming months of 2026.

Offshore wind farms can contribute in various ways to Brazil’s future energy supply, given their viability in three macro-regions: the South, Southeast, and Northeast. First, they can provide firm power to meet projected demand by 2050. Second, it plays a strategic role in complementing Brazil’s hydroelectric system, mitigating the risk of shortages during periods of low water inflows and in the face of climate change impacts. Furthermore, generating power near load centers enables the connection of additional generation capacity, reducing dependence on long transmission lines. Finally, offshore wind indirectly acts as a catalyst for new investments in logistics, port, and industrial infrastructure. These contributions are significant for the future of energy in Brazil and for the current state of the electricity sector and the economy."

Thank you very much!