In 2023, there was a notable reduction in thermal power generation in Brazil, particularly highlighted by decreases in natural gas (-7.9%) and petroleum derivatives (-14.4%) in the national electrical grid. Additionally, there was an almost 20% increase in biodiesel consumption, attributed to the rise in the blending percentage with mineral diesel to 12% (B12) starting from April 2023. These insights are from the National Energy Balance (BEN 2024), released this month by the Energy Research Company (EPE) in partnership with the Ministry of Mines and Energy (MME).

"This demonstrates that the Ministry of Mines and Energy is steadfast in its actions to reduce the country's dependence on diesel, whether through public policies like the Fuel of the Future program, transmission line interconnections, or renewable energy in isolated communities," emphasized Minister Alexandre Silveira, highlighting initiatives such as Energias da Amazônia and the Fuel of the Future program.

Thermal power generation saw a reduction of nearly two percentage points in the Brazilian electrical grid, reaching a 19.2% share in 2023. Biomass had the largest share in electricity generation from thermal sources, reaching 42.6% in 2023. Other contributions to thermal power generation included natural gas (28.4%), nuclear (10.7%), coal and derivatives (10.4%), and petroleum derivatives (7.9%).

According to the report, thermal generation accounted for 135.7 TWh generated in 2023, representing approximately 19% of the country's total electricity generation.

BIOELECTRICITY

Bioelectricity was predominantly composed of sugarcane bagasse (63.3%) and black liquor (26.1%) in 2023, maintaining an 8.2% share in total electricity generation, as per the balance. This type of generation peaked in 2020 at 58,742 GWh but remained high in 2023 at 57,825 GWh.

ISOLATED SYSTEMS

Most electricity generation in Isolated Systems comes from thermal sources. In 2023, they generated 4,030 GWh compared to 4,011 GWh in 2022, representing an increase of about 0.5%. The majority of electricity generation in these systems comes from diesel and natural gas. However, Isolated Systems account for only 0.6% of Brazil's total electricity generation. Another important data point from BEN 2024 is that while diesel dependency has decreased, contributions from natural gas and other biomass sources have increased.

Most Isolated Systems are located in the Northern region, with two additional systems in Mato Grosso and Fernando de Noronha Island. These systems range from small communities to larger cities like Boa Vista in Roraima, which remains the only Brazilian capital not connected to the National Interconnected System (SIN).

MORE ABOUT BEN

The National Energy Balance annually publishes extensive research and data accounting for energy supply and consumption in Brazil, conducted by EPE. The report covers activities related to primary energy resource extraction, their conversion into secondary forms, import and export, distribution, and final energy use.

By the end of this week, the Ministry of Mines and Energy will release a series of articles detailing the main highlights of BEN 2024 regarding electricity, energy planning, oil, natural gas, and biofuels sectors.