Brazil Approves Higher Auction Rate for Solar, Wind Energy

Brazil approved higher rates for wind and solar farms that are planning to participate in an energy auction next month as the country’s currency slumps.

The energy regulator Aneel approved a ceiling price of 381 reais ($97.86) per MWh for solar projects, according to a statement on Oct. 13. That compares with a maximum price of 349 reais per MWh in a similar auction in August. It also set a ceiling price of 213 reais per MWh for wind farms.

The real has declined more than 60 percent since Oct. 31, when more than 1 GW of solar farms won contracts in the country’s first-ever national solar auction. That’s making imported solar panels and wind turbines more expensive.

In Brazil’s energy auctions, regulators set a ceiling price and developers bid down the price at which they are willing to provide electricity from planned projects. The lowest bids win contracts to sell power.

Energy developers in Brazil applied to sell power from 1,379 plants with a total of almost 39 GW of capacity in the Nov. 13 auction, according to Brazil’s energy research agency EPE. That includes 20.9 GW of solar capacity and 17.9 GW of wind power.

Copyright 2014 Bloomberg

Lead image credit: Enel Green Power.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


Making DDoS Mitigation Part of Your Incident Response Plan: Critical Steps and Best Practices

Like a new virulent strain of flu, the impact of a distributed denial of service (DDoS) attack is...

The Multi-Tax Challenge of Managing Excise Tax and Sales Tax

To be able to accurately calculate multiple tax types, companies must be prepared to continually ...

Operational Analytics in the Power Industry

Cloud computing, smart grids, and other technologies are changing transmission and distribution. ...

Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Latest Energy Jobs

View more Job Listings >>

Archived Articles

PennEnergy Articles
2008 | 2009 | 2010 | 2011 | 2012 | 2013

OGJ Articles
2011 | 2012 | 2013

OGFJ Articles
2011 | 2012 | 2013

Power Engineering Articles
2011 | 2012 | 2013

Power Engineering Intl Articles
2011 | 2012 | 2013

Utility Products Articles
2011 | 2012 | 2013

HydroWorld Articles
2011 | 2012 | 2013

COSPP Articles
2011 | 2012 | 2013

ELP Articles
2011 | 2012 | 2013