Regulatory changes could shape Brazil’s 2026 battery storage auction

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From ESS News

Brazil’s capacity reserve auction for battery energy storage systems (BESS), first anticipated in 2024, moved closer to execution in 2025 as projects advanced and auction rules were formalized.

As projects matured over the past year, the estimated supply volume for the auction increased from about 2 GWh in 2024 to 18 GW in 2025.

Scheduled for April 2026, the auction is being conducted under the Long-Term Energy Acquisition Program (LRCAP), which took clearer shape in 2025 following the launch of a public consultation on auction rules by the Ministry of Mines and Energy (MME) in November.

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