February 3, 2017
(Reuters) A government plan to spur the construction of solar energy farms in Brazil is faltering because of high costs, strict rules requiring local components and low-priced competition from Chinese suppliers, say regulators and power sector executives. Developers had been excited about solar power's potential in a continent-sized country with 200 million consumers and plentiful sunlight. But many have grown discouraged, and the government's three-year-old program is moving so slowly that the national development bank is taking another look at rules that require a minimum amount of locally made components in projects.
"Investors are disheartened," says Armando Abreu, director of Braselco, an energy consultancy in the northeastern city of Fortaleza. "Many of these projects, in my opinion and that of many others, probably won't get off the drawing board." Even if the current program were successful, more than doubling the current supply of solar-generated power, it would still amount to only about 2 percent of Brazil's total electricity matrix. That would hardly revolutionize energy in Latin America's biggest country, powered mostly by hydroelectric dams...
Read More At Reuters: http://www.reuters.com/article/us-brazil-power-solar-idUSKBN15F2L8