Electricity demand in Brazil rises by 2.5%... and new plants soon - Energy

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The demand for electricity in Brazil rebounded during the month of April, thanks to rising temperatures; This has contributed to an increase in the use of air-conditioning and cooling devices.

Brazil relies on generating more than 80% of its electricity on renewable energy sources, led by wind and solar energy.

The largest South American country is considering expanding nuclear energy and enhancing its share in the electricity mix by introducing new plants into operation in 2050.

Electricity demand in Brazil

Electricity in Brazil
Solar panels in Brazil

The demand for electricity in Brazil increased by 2.5%, during last April, compared to the previous year, with the increase in consumption in organized and free markets.

Energy consumption rates in the Latin country jumped to about 65,256 megawatts on average during the past month, compared to about 63,646 megawatts in April 2021, according to preliminary data released by the country’s Energy Clearinghouse “CCEE”.

Electricity consumption among customers of bilateral contracts increased by 6.5% compared to the previous year, while customers of the regulated market – local consumers and small and medium-sized companies – recorded an increase of 0.4%, on an annual basis, according to the “Argos Media” website.

The country’s energy clearinghouse attributed the high demand for electricity to the transition of customers from the regulated market to bilateral contracts and the adoption of off-grid power generation by some consumers of the regulated market.

The services sector recorded the highest demand for electricity, during the month of April, with an increase of 22% compared to the previous year, followed by the timber, paper and cellulose sector by 18%, while the electricity consumption in the beverage sector increased by about 14%, and by 7.8% in the transportation sector compared to consumption in the previous year.

The rate of electricity generation from hydropower increased by about 12% compared to the previous year, during which the country witnessed a wave of drought, while electricity generation from thermal power stations decreased by 47%; Because they are usually used as backup sources for hydro and other sources.

green hydrogen production

The energy giant Shell signed a memorandum of understanding with the Brazilian company, Porto do Aco, last Thursday, May 19th; To build a green hydrogen production plant.

Under the terms of the memorandum of understanding, the two companies are building a 10-megawatt green hydrogen production plant in the Brazilian state of Rio de Janeiro, with construction scheduled to be completed by 2025.

Electricity in Brazil
Shell company logo

Green hydrogen is a carbon-free fuel made using renewable energy to split water into oxygen and hydrogen.

Two subsequent optional phases of the project will increase production to 100 megawatts by 2029.

The investment cost of the first phase of the project is about $20-40 billion, according to statements by responsible sources to Reuters, which were reviewed by the Specialized Energy Platform.

offshore wind farm

The oil and gas giant, Petrobras of Brazil, announced that it is evaluating the environmental feasibility of building a 4 GW offshore wind farm in Aracato, Brazil, in cooperation with Norway’s Equinor; In implementation of the memorandum of understanding signed by the two companies in 2018, according to the Offshore Wind website.

Last February, the Brazilian Electricity Regulatory Agency (ENEL) granted permits for projects to generate electricity from clean sources with a combined capacity of 464.57 megawatts.

Wind farms accounted for the bulk of these permits, with about 346.57 megawatts of renewables connected to the grid, last month, while solar power and small hydropower plants contributed 100 megawatts and 18 megawatts, respectively, according to the Electricity Sector Regulatory Authority.

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