Brazil Emerges As Fourth-Largest Solar Market With 18.9 GW In 2024

(MENAFN- The Rio Times) According to ABSOLAR and SolarPower Europe, Brazil added 18.9 GW of solar PV capacity in 2024. The country ranked fourth globally behind China, the United States and India.

By December, Brazil's total solar capacity reached 56 GW, representing 22.5 percent of its installed power mix. This share placed solar second only to hydropower in the national grid.

Developers connected 147 new utility-scale solar farms and thousands of rooftop and small ground-mounted systems. Investors poured 53.7 billion reais into solar projects last year.

Brazil's high solar irradiance-averaging 4.8 kWh per square meter daily-fuels strong energy yields. States like Minas Gerais, Bahia and Rio Grande do Norte drove the bulk of new installations.

Since 2012, the solar sector attracted 238.3 billion reais in investment, created 1.5 million green jobs and generated 73.8 billion reais in tax revenues. Solar power has avoided roughly 63 million tonnes of CO2 emissions to date.



ABSOLAR forecasts an additional 13.2 GW of solar capacity in 2025, with 8.5 GW from distributed generation and 4.7 GW from large-scale plants. The association expects investment to approach 40 billion reais this year.
Brazil's Solar Boom Balances Growth and Risk
Brazil holds the world's fifth-largest market for renewable energy power purchase agreements, driven by data centers and industrial buyers seeking price stability and long-term green credentials. Solar's proximity to consumption centers also cuts grid losses and eases transmission needs.

Developers face grid bottlenecks and a recent 25 percent import tariff on PV modules. Uncertainty over curtailment compensation adds risk to new projects.

Heavy reliance on hydropower leaves Brazil vulnerable to droughts, which reduce output and raise supply risks. Solar expansion offers a hedge by diversifying the energy matrix.

In 2022, authorities revised net-metering rules to cap consumer exports back to the grid. Late in 2024, they raised PV module import tariffs to boost local manufacturing, though industry groups warn higher costs may slow uptake.

Major international developers and equipment makers have started investing in Brazil's solar supply chain. They aim to secure local manufacturing capacity for panels and inverters.

Institutions such as the IFC and regional development banks provided credit lines for small-scale solar, lowering upfront costs for residential and rural customers.

Lawmakers recently approved an energy transition plan to fund renewables and upgrade grid infrastructure. The plan offers low-cost loans to firms investing in clean power and transmission.

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