Brazil wants 40% renewables in 2030 and Galp is eyeing investments in wind and solar

  • ECO News
  • 14 February 2022

Besides its investment in oil (where it still has reserves for another 50 years) and gas, Galp wants to gain more ground in the gigantic Brazilian market and focus on solar and wind energy by 2030.

On his way to Moscow, where he will accompany Brazilian President Jair Bolsonaro to a meeting with Russian counterpart Vladimir Putin on Tuesday, Brazil’s Minister of Mines and Energy, Bento Albuquerque, passed through Lisbon to show giants Galp and EDP the investment opportunities in the country over the next decade, particularly in renewable energy.

The same investment opportunities will also be presented to Putin, in the Kremlin. The only difference is that the pitch in Moscow will be made in the middle of a threat of invasion of Ukraine by Russia, due to the energy crisis being experienced in Europe, with gas prices hitting €88 per MWh and the barrel of oil approaching $100.

“Brazil is for a peaceful resolution of disputes. We have a relationship of many years with Russia. It is not on the agenda, but the Ukraine issue could be on the table,” Bento Albuquerque said in response to ECO/Green Capital.

By 2030, the South American country wants to have 40% solar and wind energy in its energy mix, and promises investment opportunities in energy to the tune of $620 billion in direct investment for foreign companies, the minister told journalists at a press conference.

This is Galp’s case, the third-largest oil producer in Brazil, which has been in the country for 20 years and has now also begun to invest heavily in gas, since the liberalisation of the sector, which is no longer closed only to Petrobras, as was the case for decades.

But Galp’s primary interest in Brazil at the moment is in renewable energies: solar and wind, confirmed the oil company’s CEO at the same press conference. At this moment, Brazil already has 20% of renewables in its energy mix, but it wants to double this percentage by the end of the decade.

“Galp will have a substantial contribution in this evolution. We came to Lisbon to present our 10 and 30-year energy plan, which brings greater predictability for direct investments from partners. We have already held around 20 electricity auctions, in which Galp has already participated, and as of March 2022, we will hold another 8 auctions for the production and distribution of electricity. Brazil has the cleanest and most renewable network”, said the minister.

And he reinforced that Galp will be an important player, as well as EDP.

Andy Brown confirms: “We want to position ourselves in the gas market, in solar and wind.”