Brazil fails to prevent energy crisis
Government inaction and rapidly changing climate have combined to highlight the importance of diversifying the country’s energy mix
A combination of lack of planning, political miscalculations, technical mistakes and dire climatic conditions have caused an energy crisis in Brazil. And the precarious situation is likely to be as bad as, if not worse than, the crisis of 20 years ago, which left severe economic and political upheaval in its wake. Government initiatives directed at attenuating the effects of the crisis are mostly too little, too late—especially those involving centralised government planning, such as conservation of hydro capacity by altering water flows to different sectors or dispatching sufficient new thermal sources. Since the 2001 energy crisis, Brazil has added much wind, biomass (mostly sugarcane), ga
Also in this section
9 April 2026
The April 2026 issue of Petroleum Economist is out now!
9 April 2026
Offshore operators are working through an FID backlog as the rig market consolidates, helped by improving project economics and a renewed security drive
2 April 2026
Alongside a rapid continued build-out of renewables, China’s latest five-year plan stresses the value of domestic hydrocarbon production for energy security and calls for increased Russian gas imports
2 April 2026
The government is taking important steps to revive domestic production, lift investment and benefit from the geopolitical crisis even if more needs to be done in the longer term







