In an interview with the newspaper O Globo, shared by the Brazilian Association of Energy Storage Solutions (Absae) on February 11, 2026, the association's president, Markus Vlasits, argued that the capacity reserve auction aimed at batteries has become indispensable for Brazil's power system. According to him, this procurement is the way to reduce the risk of blackouts at times of highest demand, amid the rapid growth of intermittent renewable sources. Vlasits also estimated that battery storage systems could move around R$ 80 billion in the country by 2034.
Why the battery auction became a priority
The executive's central argument stems from a structural change in the energy mix. Sources such as solar and wind produce energy according to the availability of sun and wind, not necessarily when consumption is highest. With the rapid expansion of these plants, the gap between peak generation hours and peak consumption hours widens, putting pressure on system operation precisely during peak periods.
This is where battery storage systems come in, known by the acronym BESS (Battery Energy Storage System). They can store energy when there is a surplus and return it to the grid when demand rises, with a very fast response. For Vlasits, this feature makes batteries a direct tool to mitigate the risk of energy shortages during peak hours.
The role of capacity reserve
The capacity reserve auction, often called LRCAP, is a mechanism through which the government procures resources to ensure the system has power available when needed. Unlike traditional energy auctions, the focus is not on the total volume produced over time, but on the ability to meet demand at critical moments.
In the view of Absae's president, an auction dedicated specifically to batteries plays a decisive role. The expectation expressed in the interview is that this first auction focused on the technology will act as a trigger to unlock a pipeline of new projects, offering the revenue predictability that investments of this kind usually lack.
The size of the projected market
The estimate of around R$ 80 billion by 2034 gives a sense of the potential the association sees for storage in Brazil. The figure, however, should be read with caution: it is tied to the battery auction actually taking place. Without a clear regulatory and commercial signal, many projects are likely to remain on paper, waiting for procurement conditions.
- Who spoke: Markus Vlasits, president of Absae.
- Where: interview with the newspaper O Globo.
- Main thesis: the battery auction is indispensable to reduce the risk of blackouts at peak consumption.
- Projection: around R$ 80 billion moved by BESS by 2034.
What changes in practice for the BESS sector
For developers, the signal reinforces the importance of keeping mature projects ready to compete in the auction, with technical studies, land and grid connection issues well advanced. Those who reach the auction with advanced documentation and engineering are likely to have a competitive edge.
For EPCs, the prospect of a market of this scale points to future demand for engineering, installation and commissioning of battery systems, which requires preparing teams and processes in advance.
For manufacturers and suppliers of cells, inverters, control systems and other components, the scenario points to a significant volume of orders, conditional on the auction schedule. Planning delivery capacity and local support can make a difference.
In all cases, the key point is the same: the announced potential depends on the first battery-specific auction moving beyond rhetoric and becoming a reality. Closely following the next regulatory steps will be essential to turn the projection into contracts.
Original source: ABSAE — Presidente da Absae destaca importância do leilão de baterias em entrevista ao jornal O Globo