PV Module Demand in Brazil’s Centralized Generation Market Declining After Reaching 5.1 GW in 2024

Wedoany.com Report-May 8, Brazil’s centralized solar generation market experienced a decline in photovoltaic (PV) module demand in 2024, reaching 5.1 GWp, an 18% decrease from 6.2 GWp in 2023, according to a study by São Paulo-based consultancy Greener. The share of imported modules for this segment dropped to 23% of the 22.3 GWp total modules entering Brazil in 2024, down from 35% of the 17.5 GWp imported in 2023.

A utility-scale PV project in Brazil

Despite the reduced import volume, new solar plant installations grew in 2024, with 5.6 GW connected to the grid, compared to 4.1 GW in 2023. However, Greener projects a slowdown in 2025 due to low energy prices and increasing curtailment, which may delay new investments. Curtailment, the reduction of solar output to balance grid supply, averaged 17.1% from April 2024 to March 2025, leading to notable generation losses.

A Greener analyst stated: “The combination of low energy prices and worsening curtailment has increased investor caution, impacting the pace of new solar projects.” These challenges heighten perceived risks, necessitating thorough technical assessments to ensure project viability.

Nevertheless, the market remains active. Between March 2024 and February 2025, module suppliers secured contracts for 5.4 GWp, matching the previous year’s volume and driving over BRL 14.5 billion ($2.53 billion) in investments for large-scale solar plants. Additionally, Greener reported 2.4 GWp in solar power purchase agreements (PPAs) and self-production deals during the same period, consistent with the prior year, contributing to a cumulative total of 15.8 GWp, with 90% attributed to self-production by equivalence.

The centralized solar sector’s growth is tempered by economic and operational hurdles, yet ongoing contracts and PPAs demonstrate sustained interest. Brazil’s efforts to expand renewable energy capacity continue, with stakeholders adapting to market dynamics to support long-term sustainability goals.