Solatio to invest USD5.4bn in 7.2 GW of solar in Brazil

Spanish energy developer Solatio Energia in a meeting with Minas Gerais state Governor in Brazil last week has announced the investment of BRL 21 billion (USD 5.4 billion) by 2023 in photovoltaic plants in the state. It´s estimated that about 7.2 GW of solar capacity will be developed.

The company considers 10 mining sites to be used for the installation of the solar plants, among them Araxá, Coromandel, Várzea da Palma, Janaúba, Arinos, Francisco Sá and Buritizeiro.

Solatio said that BRL 2.5 billion (USD 637 million) for 782 MW are already guaranteed. The rest of the investment will be used for the production of 6.43 GW in the next four years. Solatio President Pedro Vaquer told State Governor Romeu Zema that about 70% of the project will be completed by the end of 2022. The other 30% is scheduled for 2023. Vaquer ensured that eight mining cities will have their projects started by December 2019, namely Bocaiúva, Pirapora, Paracatu, Corinth, Jaiba, Janauba, Mirabela and Manga.

In his presentation to the governor, Pedro Vaquer stated that the energy developed by Solatio could currently supply more than seven million homes. One of the responsible for this great achievement is the Marambaia Plant in Pirapora, considered the largest photovoltaic plant in Latin America and the third-largest in the world. “With the investments, the Arinos and Janaúba plants will be the largest photovoltaic plants in the world,” he concluded.

Minas Gerais has high solar radiation level and that has been a decisive factor in boosting renewable energy production in Minas Gerais. As the state seeks alternatives for economic diversification, photovoltaic production is seen as a strategic activity for economic, social and sustainable development, especially for the possibilities of technological innovation, job creation and reduction of environmental impacts.

According to data from the Brazilian Association of Photovoltaic Solar Energy (Absolar), the national ranking of distributed generation is led by Minas Gerais, followed by Rio Grande do Sul, Sao Paulo and Mato Grosso. Minas Gerais has an installed potential of 173.9 MW, representing 18.9% of the national production.

In addition to the high incidence of solar radiation in the state, which contributes positively to renewable generation leadership is state legislation. Minas Gerais has the best tax incentives for distributed generation in the country. The State also grants ICMS exemption on the purchase of any equipment, part or part of the micro and mini generation photovoltaic systems when purchased within Minas Gerais.