Distributed solar in Brazil getting more economically viable – report

April 14 – Small solar plants in certain parts of Brazil are now able to pay for themselves in less than six years, says business newspaper Valor Economico, citing a survey by PSR consulting.

The research report shows that distributed solar energy is already economically viable in 23 states and the Federal District. “Solar plants can make a profit in their seventh year,” states Rafael Kelman, director of PSR, as quoted by Valor Economico.

The calculation takes into account the degree of solar radiation in each region and the power tariff offered by electricity suppliers.

With a roughly 40% increase in tariffs charged by electricity distributors only in the first quarter of this year, it is expected that the Brazilian distributed-generation solar market will become even more attractive in the future. Another measure that could stimulate the sector is the proposed ICMS tax exemption for the power produced by solar modules.

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