Investment Risks and Obstacles in Wind Energy Generation in Brazil

Abstract

The planned short and medium term investments for the private sector in the construction and exploration of wind energy generation plants in Brazil are considered in this article. The objective is to lay out the investment demand projected by the government plan, aside from points of general and specific risks of the venture and operation of the main Brazilian financial sponsor, BNDES [Brazilian Development Bank]. The possible obstacles to planning, implementation and operation that investors come across with during the period prior and after the business’ contracting process were analyzed. In accordance with the results, we can conclude that the growth of generation in Brazilian wind energy, just as in the last two years, must be sustained above the national PIB [ Gross Domestic Product – GDP] up to at least the next five years.