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Brazil to add up to 500MW cogeneration capacity in 2023

Bnamericas Published: Tuesday, January 17, 2023
Brazil to add up to 500MW cogeneration capacity in 2023

Brazil’s power cogeneration capacity is expected to grow between 400MW and 500MW in 2023, considering biomass and natural gas projects, a spokesperson for industry association Cogen told BNamericas. 

Cogen executive president Newton Duarte says that there is great potential for growth, especially with the possibility of using sugarcane and the associated waste, such as vinasse from ethanol production and filter cake from biomethane production.

"We're also betting on the growth of natural gas cogeneration, especially with new suppliers of gas at more competitive prices, a factor that can provide greater feasibility to cogeneration projects," he said in a public statement. 

Duarte added that cogeneration projects consist of distributed energy, generated in plants close to points of consumption, which eliminates the need for investments in long transmission lines. 

"And it's non-intermittent energy. Cogeneration is essential for a more balanced electricity matrix, saving water in hydroelectric plant reservoirs," he added.

Cogeneration is the process operated in a specific facility to produce a combination of heat and power from a primary energy source.

In December 2022, nationwide cogeneration in commercial operation reached 20.4GW, which is equivalent to 10.8% of Brazil's electric power matrix (189GW).

The total increase last year was 887MW, which was equivalent to 4.5% growth. 

A total of 639MW was added in 18 new power plants and 248MW in seven capacity expansions.

There are now 652 cogeneration plants in the country. 

Production of energy from sugarcane bagasse is done in 386 mills, totaling 12.3GW of installed capacity, which represents 60.3% of total cogeneration. 

The second biggest source for cogeneration is black liquor, which is done in 21 mills, with total capacity of 3.41GW (16.7%). 

Natural gas cogeneration, on the other hand, is carried out in 93 plants, with installed capacity of 3.15GW (15.4%), while cogeneration using wood chips reached 880MW (4.3%) in 70 plants. 

There is also 371MW (1.8%) of cogeneration using biogas at 50 plants. Other sources add around 300MW from 32 plants (1.5%).

In terms of the Brazilian states with the most biomass cogeneration, São Paulo is the leader installed capacity of 7.5GW, followed by Minas Gerais (2.1GW), Mato Grosso do Sul (1.9GW), Goiás (1.5GW), Rio de Janeiro and Paraná (1.3GW each) and Bahia (1.1GW).

The five industrial sectors that use the most cogeneration are sugar-energy (12.47GW), paper and cellulose (3.26GW), petrochemicals (2.31GW), timber (832MW) and foods and beverages (638MW).

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