On wind energy, electricity free market, and life cycle assessment in Brazil

Abstract

This paper assesses strategies to foster market development for the wind energy in Brazil, based on the importance of the consumption of this renewable energy to minimise environmental and social impacts of the productive life cycles, assuming the existence of economic and legal incentives. The analysis encompasses five descriptive phases. The first one describes the Brazilian wind energy program, characterising its perspectives and its current status quo. The second phase reveals the existence of various degrees of environmental impacts and externalities for different energy power plants, highlighting relevant economic issues for the creation of wind electricity markets. Then it analyses the relationship between energy demand generated with their products' life cycle assessment, and how the decrease of production environmental impacts influences market development in a free competition scenario in order to, in the next phase, suggest how economic and legal instruments should be promoted. The concluding part points out actions and tolls already available to implement these strategies.