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Electricity Infrastructure Energy Grid Transmission Distribution Brazil

Brazil Energy Electricity Transmission

Following the positive results of its latest transmission auction, which secured approximately US$1.65 billion in estimated infrastructure investments, Brazil plans seven additional auctions between 2027 and 2029, creating a pipeline of infrastructure projects and opportunities for international suppliers. According to the Ministry of Mines and Energy (MME), the auction calendar includes three rounds in 2027 and two annually in 2028 and 2029, with auctions scheduled for April and October and an additional round in December 2027. The new schedule also introduces a requirement for certain projects to have a previously executed Transmission System Use Contract (CUST) with the National Electric System Operator (ONS) before inclusion in an auction. This requirement applies to specific transmission installations serving distribution utilities and free-market consumers, linking infrastructure development to demonstrated electricity demand. For the first 2027 auction, the applicable CUST deadline is November 16, 2026.

The latest auction, held October 30, 2026, awarded all eight lots, representing approximately US$1.65 billion in estimated investments, 1,866 kilometers of new transmission lines, and 12,694 MVA in substation transformation capacity. The projects also include four synchronous compensators and upgrades to existing substations and transmission infrastructure. These investments create opportunities for suppliers of power transformers, high-voltage circuit breakers, disconnectors, instrument transformers, protection and control systems, conductors, insulators, and synchronous compensators, as well as substation automation, monitoring, and digital technologies. For U.S. exporters, the upcoming auction pipeline offers opportunities to supply both new infrastructure and equipment for system upgrades. Companies should engage prospective concessionaires and their engineering, procurement, and construction (EPC) contractors early to identify technical specifications, procurement schedules, and supplier qualification requirements, while monitoring individual auction notices.

For more information about opportunities in the energy industry for U.S. companies in the Brazilian market, please contact Igly Serafim, Commercial Specialist at the U.S. Consulate São Paulo, at igly.serafim@trade.gov.

To explore additional industry sector intelligence and insights on the Brazilian market, please see Brazil Published Market Intelligence.