HomeRegional NewsInternationalWind may become cheapest energy option in Brazil

Wind may become cheapest energy option in Brazil

New Hampshire, United States — ESI-AFRICA.COM — 19 August 2011 – As renewable energy across leading global markets strives toward grid parity, wind power may have just become the cheapest option in Brazil.

Renewable Energy World reports from here that in a Brazilian government energy auction this week, 44 wind developers saw their bids accepted at an average price of 99.58 reais per megawatt-hour, which converts to about US$62.07. Those wind developments would total more than 1,000MW of new capacity.

The Brazilian government also accepted bids for one hydro plant (102 reais, US$63.58/MWh), four biomass plants (102.41 reais, US$63.83/MWh) and two using natural gas (103.26 reais, US$64.36/MWh).

According to the Global Wind Energy Council, Brazil had just under 1,000MW of installed capacity by the end of 2010. The country has seen strong growth in projects under construction and under development, and this week’s news is expected to increase the nation’s wind energy efforts.

The news came on the same day that Danish wind giant Vestas announced that it was opening its first assembly plant in Brazil.