The PV Market in Brazil, though young, is currently in a favourable phase and it offers some interesting investment opportunities for international investors. In general, the country has a functioning grid system, good solar irradiation and, most importantly, growing institutional interest in solar power. Funding schemes are currently in place, and PPA in the free and regulated market are possible, even with regulated PPAs driven by public auctions. Also business opportunities occur in further segments such as fuel-safe, or the Net-Metering scheme. Conditions are therefore favourable for investment.
Currently, the two main available business models for investors are regulated PPAs (Auctions) and Net Metering. PPAs established in the free market are technically possible, however only Net Metering for small PV and Auctions for big power plants are considered to be able to offer a secure and rentable investment, as long-term-contracts are guaranteed by the federal government.
This website provides detailed information on the processes and steps necessary to enter the PV market for large PV power plants and connect to the grid under the regulated market or the free market. In this section, instead, the project focuses on a few specific aspects that should be carefully considered by all investors interested in getting involved in Brasil. Namely, this page refers to some specific barriers to investment and on solutions and recommendations where available.
The auction system, although being viable for investments, should also be considered in light of some aspects, as described in the following sections.