Brazil unveils draft rules for $2.2bn transmission auction to expand power grid
The tender includes over 2,000 km of transmission lines and key grid infrastructure to enhance reliability and support power system expansion across multiple regions.
The tender includes over 2,000 km of transmission lines and key grid infrastructure to enhance reliability and support power system expansion across multiple regions.
The initiative aims to strengthen grid reliability, expand transmission capacity and support rising electricity demand across key regions, boosting economic and social development.
The new solutions expand solar PV storage and energy management capabilities, with a strong focus on the commercial and industrial (C&I) segment. The highlight is Huawei’s new LUNA2000-241-2S1 cabinet battery, offering up to 241 kWh.
With captured solar prices falling below €15/MWh and more than 40 GW competing for 30 GW of demand, the market is reshaping contracts. “The window is closed from the seller’s perspective,” warns Álvaro de Simón, while Royal Decree-Law 7/2026—already ratified—introduces key relief measures for the industry, such as an 80% reduction in grid charges and the expansion of self-consumption schemes to a 5 km radius.
According to Javier Gaona, Principal BESS Consultant & Software Architect at Power Flow Analytics, the new contract reduces regulatory uncertainty and could lower the cost of capital by 150–250 basis points, enabling revenue streams such as energy arbitrage, frequency regulation and firm capacity—services that previously lacked clear monetisation.
Piura (7,098 MW) and Lambayeque (7,017 MW) stand out among the regions with the highest wind generation capacity, positioning them as strategic development hubs.