Sugarcane bagasse mills led sales in the A-5 new energy auction held in September this year, accounting for more than 32% of the total sales to be delivered in 2026. The thermal source also had the biggest discount among the participating generators. The thermal traded 9.3 million MWh, or about 37% of the total 25.14 million MWh sold at the auction, according to data from the Electricity Trading Chamber (CCEE), which held the auction together with Brazil’s power regulator Aneel. Among the leading sugarcane companies, the largest investment was made by Raízen in Paraguaçu Paulista (SP), with BRL 114.14 million, followed by Coruripe plant, located in the state of Alagoas, which will invest BRL 100.2 million; and Bioaroeira, from Tupaciguara (MG), which will invest BRL 83 million. “Biomass is a traditional source in the Brazilian matrix and showed good competitiveness in this auction, which boosted its results, in addition to the higher initial price being attractive for entrepreneurs”, explained Rui Altieri, chairman of the Board of Directors of CCEE.
Sources: Reuters/Nova Cana (*Translated by Ia Niani)