Viewed from afar, Brazil might appear well on the way to an energy transition, boasting one of the world’s cleanest electric-power grids. A closer look, though, reveals that solar- and wind-power companies are facing a welter of problems. These include renewable energy supply outpacing demand, a dearth of transmission lines, environmental-licensing delays, indebtedness of project developers, high interest rates, and onerous federal regulations. The bottlenecks are vexing for a country that already gets over three-quarters of its electricity from renewable sources. While hydroelectric dams provide a hefty 44% of generating capacity, solar, wind, and biomass now account for an equal share—or 23%, 13%, and 8%, respectively. Due to the acute growing pains, Brazil’s installed wind-power capacity has fallen and gains in solar capacity have slowed. In 2024, the installed capacity of new wind farms fell 32%, compared to 2023. And in 2025, it is... [Log in to read more]