Direct and Indirect Tax Incentives for Alternative Sources of Electrical Energy in Brazil: An Overview in 2025

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Analysis highlights tax incentives' role in fostering renewable energy investments in Brazil, suggesting economic viability improvements.

Tax incentives drive Brazil's renewable energy sector growth, encouraging significant investment and technological advances.
In 2024, approximately 68% of Brazil's electricity came from renewable sources, with substantial solar and wind contributions.
Public policies, including the National Biofuels Policy, aid sector expansion and offer critical support for renewable investments.
The transition supports emissions reduction and aligns with climate agreements, emphasizing the need for sustained policy support.

Santos et al. (2025) studied this question.

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