Posted on May 31, 2023
France’s TotalEnergies signed an MOU with Brazil’s Rio de Janeiro state to collaborate with the development of offshore wind projects.
The two-year agreement contemplates cooperation for studies related to fiscal and tax incentives and the expansion of the power grid for future projects.
In late 2022, TotalEnergies announced the signing of an MOU with Prumo Logística, which is responsible for the development of the Açu port in Rio state, for studies into the installation of logistical support bases for wind projects.
Brazil has published basic rules for offshore wind generation but still lacks a regulatory framework for the segment, which is necessary to enable the first auction.
According to Elbia Gannoum, executive president of wind power association Abeeólica, the debate on structuring the offshore wind framework has been focused on federal bill 576/2021.
Recently, a request was submitted to tag the bill – authored by senator and current CEO of federally controlled oil company Petrobras, Jean Paul Prates – as urgent to speed up its passing in the lower house.
“We highlight some central points for the sector: criteria for rulings regarding the right to use the sea, guidelines for proportional participation, details regarding the impediment of energy prisms [areas for offshore wind exploration] and operating blocks [areas tendered],” Gannoum told BNamericas.
Even so, besides TotalEnergies, a number of other multinational and local companies, in addition to local authorities, have signed offshore wind MOUs in Brazil, some of which are linked to green hydrogen undertakings.
BNamericas outlines the deals.
Qair Brasil: The French group has an MOU with Ceará state for the development of a green hydrogen production plant with electric energy generated through the Dragão do Mar offshore wind complex and another offshore wind farm. The total expected investment is US$6.95bn.
Vestas (Denmark): In a partnership with Ceará state, the feasibility of the Innowind project is being studied.
Vestas also has an offshore wind MOU with Rio Grande do Norte state.
Mingyang Smart Energy and SPIC (China): Deals signed in April with Ceará foresee the installation of an offshore wind energy pilot plant in addition to the production of ammonia and green hydrogen in the state.
SPIC also has an offshore wind MOU with Prumo Logística.
Neoenergia: The Brazilian subsidiary of Spain’s Iberdrola has an MOU with Prumo Logística to study the production of green hydrogen at Açu port. The agreement also includes studies for offshore wind power generation in that region.
EDF Renewables: The French firm has an MOU with Porto do Açu to study the development and infrastructure of offshore wind farms.
Fortescue Future Industries: The firm signed an MOU with Porto do Açu for the development of green hydrogen and offshore wind projects.
Ocean Winds: A joint venture between Engie and EDPR, the company has an MOU with Rio Grande do Sul state.
Equinor and Petrobras: The companies have inked a letter of intent to evaluate the technical, economic and environmental feasibility of seven offshore projects totaling 14.5GW.
PROJECTS UNDER ENVIRONMENTAL REVIEW
Some of the companies, such as TotalEnergies, Equinor, Neoenergia, Qair, Prumo Logística and SPIC, are among groups that have submitted offshore wind projects to Brazil’s environmental regulator Ibama.
Others include Shell, Camocim, Shizen Energia do Brasil, Cemig, Votu Winds, Bluefloat Energy, H2 Green Power, Kaanda R. M. Cunha, Com. Energia Humberto de Campos, Bosford Participações, Pedra Grande, Ventos do Atlântico, Internacional Energias, Beta Wind Energies, Monex Geração de Energia, Senai, SPE Bravo Vento, Geradora Eólica Brigadeiro, Chiri Renovables, Eólica Brasil and Alpha Wind Morro Branco Projeto.
Together, the undertakings being analyzed by Ibama have total installed capacity of 183GW.