The Brazilian Government has published a decree setting out procedures for ‘assignment of use’ of areas for offshore windfarms
The decree provides for the assignment of use of areas for the generation of electricity offshore. It applies to inland waters, the territorial sea, exclusive economic zone and continental shelf and aims to fill a gap in the regulatory framework identified by public institutions and investors.
Use assignment agreements will be issued through a Planned Assignment, with the Ministry of Mines and Energy (MME) leading the selection of areas and running a public bidding process, or Independent Assignment, with developers proposing their own areas through an open door process. The next step will be for MME to develop and issue the rules related to the Decree’s articles.
A 25 January 2022 statement from the Brazilian Government said the decree “constitutes an important advance” in the development of offshore wind in the country. It was developed by the MME, other ministries, the Brazilian Institute for the Environment and Renewable Natural Resources and national and international organisations.
“Such regulation is desirable and compatible with the transformation of the Brazilian electricity market,” said the statement.
The MME said it believes the measure will help simplify procedures and bring about the necessary legal certainty for investors interested in developing offshore windfarms in Brazilian waters.
The statement highlighted that Brazilian waters have very favourable characteristics for offshore wind, with 7,367 km of coastline, and an extensive continental shelf with shallow waters. It said Brazil has an excellent resource in wind energy and “excellent characteristics for offshore wind projects.”
The country’s National Energy Plan 2050 set out a target of 16 GW of offshore wind capacity by 2050. The statement said it envisaged that offshore generation “will gradually occupy a place of relevance in the Brazilian electricity matrix and help to generate jobs.”
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