Brazilian Energy Transition: Renewable Leadership and Its Challenges

The chapter analyses the most relevant challenges and opportunities in the Brazilian energy sector. The development of the giant pre-salt oil and gas fields has changed Brazil’s position in the global oil market. Oil exports are growing, with impacts on the attraction of investments and the collection of taxes by the government. In renewable energies, Brazil already has consolidated leadership, with the use of biofuels, hydro, and wind electricity. In 2019, renewable energies accounted for 45% of the Brazilian energy matrix, compared to a world average of 14%. In addition, new technologies, such as hydrogen and offshore wind, bring new opportunities for renewables in the country. The chapter will analyze the apparent paradox of reconciling the growth of fossil energy production and renewable leadership in Brazil.