Financial crisis, energy and sustainability in Brazil

Abstract

The recent global financial crisis brings about effects such as a reduction in the economic activity and consequently in energy consumption. This may be an important opportunity to reorganize the energy system under more solid and sustainable foundations: efficiency, higher share of renewables and decentralized energy production. Brazil and other developing countries can leapfrog the experience acquired by developed nations in energy efficiency, complementing with a vigorous program in renewables, particularly the "modern" (wind, solar, biomass and small hydros). However, there is a concern about the inertial Brazilian scenario, based on an increasing share of fossil fuels in the matrix, in prioritizing resources to oil and gas exploration and in the continuing unsustainable patterns of production and consumption.