According to a study conducted by the World Bank Group in partnership with Brazil’s Empresa de Pesquisa Energética (EPE), Brazil has significant technical potential for offshore wind power, with an estimated potential of more than 1,200 GW.

The study identifies approximately 480 GW of potential in fixed-foundation areas, in waters of up to 70 meters deep, and 750 GW in floating offshore wind projects in deeper waters.

This potential is significant. Offshore wind currently has 92.5 GW of installed capacity worldwide, according to the Global Wind Energy Council (GWEC). China accounts for more than half of this capacity, followed by the United Kingdom and Germany.

The study was presented at Brazil’s Ministry of Mines and Energy in July and examines the potential development of offshore wind power in Brazil.

The study establishes three scenarios for the development of the offshore wind sector through 2050. Under the most ambitious scenario, the sector could create 516,000 jobs and contribute approximately R$900 billion, or US$180 billion, to Brazil’s GDP.

The Regulatory Challenge

Despite having a coastline of more than 7,367 kilometers, Brazil currently has no offshore wind farms in operation or under construction. This is partly related to the lack of a fully established regulatory framework for such projects.

In 2025, Congress approved the regulatory framework for offshore wind farms through Law No. 15,097/2025. However, the market still awaits further regulation, including the definition of methodologies for area selection, bidding criteria, technical and economic qualification requirements, and rules for integrating offshore wind projects into energy and transmission planning.

These rules still require further development by regulatory bodies and energy institutions such as ANEEL — Agência Nacional de Energia Elétrica —, CNPE — Conselho Nacional de Política Energética —, and other government authorities.

As covered in some of Brazilian Finance’s guides, including Buying Land in Brazil as a Foreigner, Brazil has a strict regulatory system governing the use of the sea and coastal areas for ownership and commercial activities.

These areas are subject to federal jurisdiction and specific rules regarding their use by private parties. For offshore wind development, one of the key issues is therefore the establishment of rules governing concessions and the use or leasing of these areas for commercial operations.

The major regulatory advance came in May 2026, when the CNPE issued rules under Law No. 15,097/2025, refining responsibilities and strengthening the legal framework for the sector.

CNPE Resolution No. 1 of May 1, 2026, established four major regulatory measures:

  • Location (Prisms): Defines rules for selecting offshore areas that may be offered for projects. The process must take into account traditional communities, artisanal fishing, and environmental factors such as potential impacts on coral reefs and migratory routes of birds and cetaceans. The rule establishes an initial minimum distance of 12 nautical miles from the coast for offshore wind farms.
  • Area Management: Creates the PUG Offshore (Portal Único de Gestão de Áreas Offshore), a centralized digital platform for requests and procedures related to offshore areas.
  • Prior Interference Declaration (DIP): Establishes that the licensing and area-assignment process will require a DIP to prevent conflicts with other activities already taking place at sea.
  • Priority Areas: Gives the CNPE authority to define areas considered economically and logistically advantageous for public offering.

However, the regulatory framework still requires further development. The CNPE framework assigns additional work to the Ministry of Finance and the Ministry of Mines and Energy (MME), including the definition of financial rules and regulations related to royalties and fines payable to the federal government.

The Ministry of Mines and Energy is also designated to establish the technical, economic, and legal requirements necessary for these concessions.

The Ministry of Development, Industry, Foreign Trade and Services (MDIC) will be responsible for leading studies aimed at promoting domestic industries and evaluating potential incentives for the sector.

The 12-Nautical-Mile Rule

Among the regulatory measures, one of the most debated is the requirement establishing a minimum distance of 12 nautical miles from the coast for offshore wind development.

This issue is expected to be the subject of further studies by the Empresa de Pesquisa Energética and other institutions.

The 12-nautical-mile distance corresponds to the internationally recognized limit of a country’s territorial sea. Brazil, however, also has an Exclusive Economic Zone (EEZ) extending up to 200 nautical miles, or approximately 370.4 kilometers, commonly referred to in Brazil as the Amazonia Azul (Blue Amazon).

In this context, the regulation places offshore wind development outside the territorial sea and largely within Brazil’s EEZ. his raises questions about the practical viability of applying the 12-nautical-mile rule along Brazil’s more than 7,367 kilometers of coastline.

The Need for Major Additional Investments

Today, wind power represents 17% of Brazil’s electricity matrix, with a total of 35.9 GW of installed capacity, all of it onshore.

The sector has experienced significant growth, supported by major investments from private-sector companies and other institutions.

Offshore wind, however, requires a different type of infrastructure. Developing the sector will require investments in port infrastructure and logistics, as well as effective cooperation between the public and private sectors.

According to the Associação Brasileira de Energia Eólica (ABEEólica), 59 projects have been submitted to Ibama for environmental licensing.

These projects represent a total of 135 GW of planned capacity and are distributed along the coast of Brazil’s Northeast (62 GW), Southeast (19 GW), and South (53 GW). This planned capacity is equivalent to almost four times the total capacity of all wind power plants currently installed in Brazil, all of which are onshore.

Connectivity to major consumption centers and the distribution of electricity will also be important. Major areas such as Ceará and Rio Grande do Sul, as well as Brazil’s Southeast, are close to important consumption centers. However, excess energy generation and the lack of adequate distribution and transmission infrastructure connecting these regions to the national grid are challenges that will need to be considered for offshore wind projects.

Brazil’s existing onshore wind sector has already faced challenges in this area, particularly due to periods of excess solar generation in the electricity system, which can contribute to grid constraints and require reducing the output of wind turbines.

The challenges associated with investment in transmission lines are another factor that will need to be addressed. These issues represent risks that regulators and policymakers will need to consider before large-scale offshore investments can become fully operational and economically viable.

Low-Carbon Hydrogen as a Potential Solution

One potential solution for dealing with excess electricity is the conversion of unused energy into low-carbon hydrogen for export and industrial use.

Recently, the Brazilian government approved green transition rules covering SAF, carbon capture, and low-carbon hydrogen. Under Decree 13,096/2026, the government regulates the Low-Carbon Hydrogen Policy and suspends taxes on equipment, machinery, and construction services for hydrogen facilities, with R$18.3 billion (approximately US$3.56 billion) in tax subsidies aimed at promoting the development of the new economic sector.

See also: Brazil Sets Green Transition Rules on SAF, Carbon Capture and Green Hydrogen

A region that could benefit from this development is Ceará, where the Port of Pecém is being positioned as a major hub for green energy and industrial development. The region already has significant onshore wind generation and is also attracting projects linked to low-carbon hydrogen. The planned hydrogen hub at the port could attract up to $10 billion in investment, with a focus on future exports and infrastructure connected to the planned Pecém–Rotterdam Green Corridor.

This combination of renewable electricity generation, port infrastructure, and industrial demand could create opportunities for the future development of offshore wind projects in the region, particularly given the area’s shallow waters.

See also: The Growing Importance of the Pecém Industrial Complex

However, the development of the Pecém Industrial Complex also faces challenges. European demand for low-carbon hydrogen has been slower to materialize, delaying large-scale projects aimed at the export market. At the same time, efforts to advance the decarbonization of international shipping have faced setbacks after the United States blocked the adoption of a carbon levy at the International Maritime Organization (IMO) in 2025.

The Brazilian government is expected to publish the tender rules later this year, with the first subsidy auction scheduled for early 2027. The competition will prioritize projects that use low-carbon hydrogen for their own industrial consumption, particularly in sectors such as fertilizers, steel, and petrochemicals.

A Potential New Energy Industry for Brazil

Brazil’s offshore wind sector remains at an early stage, but the combination of its extensive coastline, large offshore wind potential, existing onshore wind industry, port infrastructure, and developing low-carbon hydrogen industry creates the basis for a potentially significant new energy sector.

The development of this market, however, will depend on the continued evolution of the regulatory framework, the availability of infrastructure, investment in transmission and ports, and the ability of public and private stakeholders to develop commercially viable projects.