Offshore wind power could boost Brazil’s energy transition

In some regions of Brazil, most notably in the dunes of the Northeast, large wind turbines are part of the landscape. These giant fans generate electricity using the power of the wind. According to research by the National Confederation of Industry (CNI), they will also become a more common feature of the seascape, with offshore wind farms capable of exploiting steadier winds at higher speeds.

This new frontier of clean energy could increase Brazil’s electricity production capacity by 3.6 times and boost the nation’s transition to a world with more and more renewable fuels.

The scenario is outlined in CNI’s study Opportunities and Challenges for Offshore Wind Generation in Brazil and Low-Carbon Hydrogen Production, launched at a pre–COP 28 event in Brasília on Tuesday (Sep. 12).

The meeting was attended by representatives of the productive sector, government, and society, who discussed issues linked to the UN Climate Change Conference (COP), to be held in Dubai, in the United Arab Emirates, between November 30 and December 12.

Potential

According to the study, by 2021, the world had installed capacity to generate 55.9 gigawatts (GW) through offshore wind farms, most of which in China and Europe. The global offshore wind farm is expected to reach 260 GW by 2030 and 316 GW ten years later. Planned investments should add up to some $1 trillion.

The survey points out that Brazil has the potential to reach 700 GW—3.6 times the total electricity capacity currently installed and connected to the national system (194 GW). The estimates do not indicate when Brazil will reach this level, however.

By August 30, Brazil’s environment authority Ibama had received 78 requests for the licensing of offshore wind farms, amounting to a total generation potential of 189 GW.

Energy transition

The incorporation of this type of energy into the Brazilian energy matrix is seen as vital in Brazil’s efforts to pursue the Paris Agreement—a treaty on climate change signed by 195 countries and adopted in 2015. In it, Brazil vowed to slash 37 percent of greenhouse gas emissions by 2025 and 50 percent by 2030, based on 2005 levels. In addition, last year the country pledged to achieve neutral net emissions by 2050—i. e. not to contribute to the greenhouse effect, both by reducing emissions and by capturing carbon from the atmosphere.

“Offshore wind power comes as part of this expansion of renewable energy, to keep Brazil’s electricity matrix increasingly clean and sustainable,” said Davi Bomtempo, CNI’s executive manager for the environment and sustainability.

The Brazilian regions listed as having the greatest potential for generation are on the northeastern coast, between the states of Piauí, Ceará, and Rio Grande do Norte; between the states of Rio de Janeiro and Espírito Santo, in the Southeast; and in Lagoa dos Patos, on the coast of Rio Grande do Sul state.

Global player

The fact that Brazil is seen by the CNI as a strong competitor in the global offshore wind energy market has led the confederation to treat the issue as a priority in the industrial recovery plan unveiled to the government this year.

“Consolidating this value chain in Brazil could boost the economy and facilitate the resumption of industrialization. In addition to offering a clean and renewable source of energy, the sector should create jobs, stimulate technological and scientific development, reduce dependence on non-renewable sources, and contribute to the country’s energy security,” CNI head Robson Braga de Andrade declared.

Licensing

When it comes to environmental licensing, issues such as the migration of birds and marine species plays a significant role. CNI also mentions concerns about the multiple uses of ocean space through fishing, navigation, tourism, and the extraction of oil and gas. The logistical complexity and costs from installing and maintaining offshore wind farms demand a great deal of investment and a favorable regulatory environment, the document argues.

Bomtempo advocated the creation of a regulatory framework for offshore wind. “It’s important for steering the development of this activity.” According to the CNI, the current decree on the transfer of the use of physical spaces and natural resources in federal waters for the offshore power generation does not provide enough legal security for investors.

Offshore experience

The text also points out offshore wind generation projects are increasingly far from the coast, which brings challenges as well as opportunities for companies operating in the oil and gas market in Brazil, “due to their expertise in deep-water operations.”

Petrobras has expressed interest in this challenge. In March, the state-owned oil giant signed a partnership with Norwegian multinational Equinor to assess seven offshore wind projects in Brazil, with the potential to generate up to 14.5 GW.