Brazil Energy Reform
Brazil’s newly enacted Law 15.269/2025 launches a broad modernization of the power sector and creates near-term opportunities for U.S. companies across electricity retail, grid technologies, storage, and power generation.
A full opening of Brazil’s retail electricity market by 2027-2028 will allow all consumers, including households, to choose suppliers. This shift requires rapid deployment of smart meters, billing platforms, cybersecurity solutions, customer-switching interfaces, and retail “energy-as-a-service” tools. U.S. firms offering digitalization, advanced metering, and consumer-facing energy technologies can support utilities and new market entrants.
The law also establishes Brazil’s first comprehensive regulatory and fiscal framework for storage, including centralized capacity auctions beginning in 2026 and eligibility for up to R$1 billion/year in incentives through 2030. Potential tariff reductions for batteries and components further strengthen the business case. These measures expand demand for U.S. suppliers of BESS technologies, inverters, EMS software, VPP platforms, and long-duration storage systems.
Mandatory reserve procurement starting in 2026 (4.9 GW of small hydropower and 3 GW of biomass) creates opportunities for U.S. exporters of turbines, controls, digital twins, biomass systems, and engineering services. New curtailment compensation rules for wind and solar will increase investment in forecasting, grid-compliance equipment, and advanced power electronics. Reduced tariff subsidies also enhance market demand for U.S.-provided efficiency, automation, and high-value grid technologies.
Together, these reforms create a time-sensitive, multi-segment environment favorable to U.S. exporters in storage, generation, grid modernization, software, and engineering. With key regulations expected in 2026, early engagement will be critical for market entry and positioning.
For more information and partnership opportunities, please contact Igly Serafim igly.serafim@trade.gov , Electricity Infrastructure Commercial Specialist, U.S. Commercial Service, Sao Paulo.
To explore additional industry sector intelligence and insights on the Brazilian market, please visit Brazil Published Market Intelligence.