Wind and solar fury as Brazil tender axe ‘threatens investment’

Visit website

Recharge news

Brazil’s wind and solar industries have slammed the cancellation of the nation’s 19 December reserve tender as a “hard blow” and “counter-sensible”, warning that billions of dollars of investment are at risk and factories could grind to a halt in 2018.

“It’s a sad day for the solar sector in Brazil,” Rodrigo Sauaia, CEO of the Brazilian Solar Power Association (Absolar) told Recharge.

“In the end, it’s a very negative signal for a sector that has been contributing to the recovery of the country’s economic growth.”

Sauaia said the decision would affect potential investments of some R$9bn ($2.7bn) in new projects and supply chain on offer if the 1.5GW in new solar contracts promised by government earlier this year were fulfilled.

The wind sector predicted that more than R$65bn invested in the past decade to build 11GW of capacity and six wind turbine assembly plants would be at risk.