Wind Energy

Brazil Eliminates Taxes on Wind Parts to Spur Turbine Production

Brazil’s government approved a provisional measure that eliminates some taxes for wind components

Bloomberg
09/10/2014 15:22
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Brazil’s government approved a provisional measure that eliminates some taxes for wind components, an effort aimed at boosting demand for turbines produced locally.

 

The measure means manufacturers will no longer need to pay taxes under the Social Integration Program and the Contribution to Social Security Financing to buy components used in wind turbines, according to Brazil’s official gazette today. The two taxes totaled 9.25 percent and the change covers parts made in Brazil or imported from abroad.

 

“This measure is aimed at offering relief to the wind industry, which wasn’t getting the same benefits as other industries,” said Elbia Melo, president of Brazil’s wind power association known as Abeeolica. “Without the benefit, wind turbines would be more expansive and ultimately would mean higher costs for energy consumers.”

 

Wind-power developers will continue to pay the same tax for buying imported turbines.

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