Amazon grid cuts number of isolated power systems
The number of isolated electricity systems in Brazil’s Amazon region has dropped from 212 to 160 over the past three years, benefiting more than 1 million people who previously had no access to electricity or lived with unreliable power.The number of isolated electricity systems in Brazil’s Amazon region has dropped from 212 to 160 over the past three years, benefiting more than 1 million people who previously had no access to electricity or lived with unreliable power.
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The figures come from a report by the Ministry of Mines and Energy (MME), produced in partnership with the Global Energy Alliance (GEA) and obtained by Valor. Despite the progress, challenges remain in connecting other isolated areas, developing local supply alternatives, and weaning the region off fossil fuels.
Isolated systems are power grids not connected to Brazil’s National Interconnected System (SIN), the country’s main electricity network. The report credits the results to Energias da Amazônia (Amazon Energy), a federal program launched in 2023 to expand access to power—either by linking communities to the SIN or by developing cheaper, cleaner local generation.
Its tools include transmission auctions and authorizations, auctions for power-supply solutions in isolated systems (such as the one held in 2025), programs to structurally lower generation costs, and mechanisms to reimburse investment in these regions.
“The Amazon plays a strategic role in Brazil’s energy agenda. These results reflect the work we’ve been doing since 2023, and show the world that energy security, regional development and sustainability can go hand in hand through innovative public policy and greater use of renewable sources,” Mines and Energy Minister Alexandre Silveira said in a statemenmnt.
One of the biggest milestones, according to the report, was the completion of 15 new connections to the national grid in 2025—including Boa Vista, the capital of Roraima and the last Brazilian state capital to join the grid. That project replaced isolated diesel-fired generation, benefiting roughly 650,000 people and is expected to save around R$1.9 billion a year in sector charges.
The report also highlights the results of the isolated-systems auction, in which hybrid power plants—combining diesel generation with solar photovoltaic power and battery storage, among other technologies—accounted for most of the contracted capacity.
Overall, the findings point to a shift away from diesel-fired thermal generation, which is costlier and more polluting, toward a more efficient energy mix better aligned with decarbonization goals. Even so, fossil fuel dependence remains one of the sector’s biggest hurdles: about 70% of electricity generation in isolated systems still relies on diesel, driving up operating costs and environmental impact.
Isolated systems account for just 0.6% of Brazil’s total electricity consumption, but they’re responsible for roughly 2.5 million tonnes of CO2-equivalent emissions a year—largely due to diesel-based generation.
The report also lays out strategies for 2026 and 2027, including revising future auction and tender guidelines to raise the minimum share of renewable generation required, developing new financing mechanisms, streamlining environmental licensing, and creating auctions focused specifically on “hybridizing” existing systems—that is, adding renewable sources to cut diesel use.
“These measures cut costs for everyone,” said Luiz Eduardo Barata Ferreira, president of the National Front of Energy Consumers. “It’s important to speed this process up, and that’s the government’s responsibility.”
Part of the challenge is simply logistical. Roberto Brandão, scientific and technical director of the Electric Power Sector Studies Group at the Federal University of Rio de Janeiro (UFRJ), says real progress has been made, but doubts every isolated system can eventually be connected to the national grid.
“The vast majority of grid integrations have already happened,” he said, pointing to large systems like Manaus, Acre and Roraima, which were disconnected until recently. “Now we’re left with places so remote that hooking them up to the grid costs more than just building a local solution. We’ll always have isolated systems.”
Even so, Brandão believes the government has the right policy tools at its disposal, including the ability to design auctions with specific requirements that push for more sustainable solutions.
He also pointed to the region’s environmental sensitivity: the Amazon, often called the “lungs of the world,” until recently relied on numerous communities powered by fossil fuels—diesel chief among them. Brazil, he said, has already begun testing hybrid solutions “to reduce dependence on diesel.”
“They may end up being cheaper, given how much the cost of solar power and batteries has come down,” he said. “There’s also the decarbonization angle. One of Brazil’s most environmentally sensitive regions has the country’s most polluting form of power generation. The volume of fuel burned is relatively small, but given the location, it’s always a sensitive issue.”