Energy auctions in Brazil could attract up to R$57bn in 2025
Forecast includes investments in power generation and transmission, but experts warn of risks due to complexity and tight timelines
Brazil’s planned electricity auctions in 2025 could drive between R$47 billion and R$57 billion in investments, according to a study by the Energy Research Company (EPE), an agency linked to the Ministry of Mines and Energy (MME), commissioned by Valor. The estimate includes R$45 billion to R$50 billion in generation projects and R$7.6 billion in transmission infrastructure.
Major energy companies are already mobilizing to secure their place in the upcoming tenders. Confirmed participants include Eletrobras, Eneva, Petrobras, Âmbar (part of the J&F group), CPFL, CTG, Spic, Auren, Copel, among others.
Equipment manufacturers, essential to delivering the projects, are racing against time. Companies such as WEG, Voith, GE, and Hitachi are preparing for a sharp increase in demand for turbines, transformers, control systems, and storage equipment.
The EPE study analyzed the year’s main auctions: the energy security auction (known as the Capacity Reserve Auction or LRCAP); the energy storage auction; the transmission auction; the A-5 auction (for projects that begin supplying energy in five years); and the supply auction for still-isolated areas not connected to the National Interconnected System (SIN).
“The R$45 billion to R$50 billion figure reflects direct investments from generation and transmission companies,” said Thiago Prado, head of EPE and author of the study.
Mr. Prado noted that the government is pushing for the auctions to be held this year, as the process typically takes six months from the publication of the relevant ordinance. As a result, he expects a concentration of events in the final two months of 2025. Despite the optimistic outlook, industry players are concerned that not all auctions will be completed in time. The capacity reserve and transmission auctions are more likely to meet the timeline, while others, such as storage and the A-5, could be pushed to 2026.
By Robson Rodrigues and Ma Leri via Valor International