Brazil’s electricity sectoris one of the most renewable in the world and plays a central role in the low-carbon agenda. To maintain its global leadership and ensure future competitiveness, it will be essential to continue expanding low-carbon generation capacity, increase transparency, consolidate strategies to phase out fossil assets, and strengthen the sector’s climate governance.
The Sectoral Report – Assessment of the Climate Transition Maturity of Electricity Sector Companies, developed by the Climate Finance Hub Brazil, is the first publication in the country to systematically evaluate how the largest companies in the sector are preparing to meet this challenge.
The analysis, conducted using the ACT (Accelerate Climate Transition) sectoral methodology assesses the climate transition maturity of 15 companies responsible for more than 70% of Brazil’s electricity generation in 2023. The results provide a comprehensive overview of how the sector is preparing for decarbonization, while also identifying the gaps that still need to be addressed.
Companies assessed: Alupar, CEMIG, Comerc Energia, COPEL, CPFL Energia, CTG Brasil, EDP Brasil, Elera Renováveis, Eletrobras, Eneva, Enel Brasil, Energisa, Neoenergia, Órigo Energia, and SPIC.
Key Findings
Current overview: Around 90% of Brazil’s electricity matrix is already renewable, and 60% of the evaluated companies have a 100% renewable portfolio.
ACT assessment results: The performance of Brazilian companies regarding the climate transition was 2.3 times higher than the international average for companies in the same sector. The other two components of the assessment—narrative and trend—demonstrate alignment between decarbonization goals and actions, while highlighting opportunities to strengthen consistency and transparency. Overall, the data point to concrete progress in the transition.
Global trends: Increasing demand for renewable energy certification, detailed climate reporting (TCFD, ISSB, SBTi), and leadership in public policy development.
Decarbonization of the power sector: Advancements in fossil asset divestment plans, renewable energy expansion, and targets aligned with a1.5°C pathway.
Challenges and opportunities: Enhancing data transparency, expanding emission reduction strategies across the value chain, deepening engagement with suppliers and clients, and contributing to public policy development.
Why download the full report:
- Understand the maturity of Brazil’s electricity sector in the climate transition.
- Discover the strengths and challenges for electricity sector decarbonization in Brazil.
👉 Download now the Sectoral Report – Assessment of the Climate Transition Maturity of Brazil’s electricity sector Companies.