Chinese state-owned company CGN is set to invest more than 3 billion reais (approximately $530 million) in a renewable energy hub located in Piauí, Brazil. This ambitious project will focus on developing wind, photovoltaic (PV) solar, and thermosolar generation, along with energy storage solutions. According to a statement from the Brazilian government, the investment is expected to create over 5,000 jobs during the construction phase.
The announcement came during Brazilian President Luiz Inácio Lula da Silva’s recent visit to China, where discussions included energy cooperation between the two nations. In April, CGN was among several Chinese firms, including BYD and Huawei, that met with Brazil’s Minister of Mines and Energy, Alexandre Silveira, to explore investment opportunities in Brazil’s energy sector.
During Lula’s visit, a memorandum of understanding (MOU) was signed between Brazil’s Ministry of Mines and Energy and China’s Windey Energy Technology Group. This agreement aims to develop energy storage solutions as Brazil prepares for its first battery tender. The partnership will also establish a research and development center in Brazil, focusing on advancements in wind energy and green hydrogen technologies.
The project will extend across various regions of Brazil, integrating energy solutions with agriculture. This approach aims to promote sustainable irrigation practices and regional development, particularly in remote agricultural areas.
In addition to renewable energy initiatives, Minister Silveira signed an MOU with China’s National Energy Administration (NEA) to facilitate Brazilian ethanol exports to China. As China implements E10 (10% ethanol) in its gasoline mix, this agreement will include research and development of first and second-generation ethanol, as well as advanced fuels like sustainable aviation fuel (SAF).
Furthermore, the protocol between MME and NEA focuses on technological development and investment in electricity transmission systems, nuclear energy, and renewable generation. This is part of Brazil’s broader strategy to transition to cleaner energy sources.
Brazil’s federal oil giant, Petrobras, is also seeking partnerships with Chinese companies. CEO Magda Chambriard recently met with local investors and government representatives to discuss potential collaborations, emphasizing the benefits of strengthening ties between Brazil and China.
CGN’s significant investment in Brazil highlights the growing interest in renewable energy projects amid rising global energy demands. With initiatives focused on sustainability and technological innovation, Brazil aims to enhance its energy infrastructure while fostering international partnerships. As these developments unfold, the collaboration between Brazil and China could reshape the future of energy in both nations.
