Report on the Commissioning of Brazil’s Largest Gas-Fired Thermal Plant and Its Impact on Sustainable Development Goals (SDGs)

Introduction

The recent commissioning of Brazil’s largest gas-fired thermal plant, Gas Natural Acu II (GNA II), marks a significant development in the country’s energy sector. This report outlines the operational details of the GNA II power plant, its impact on Brazil’s gas consumption for power generation, and its alignment with the United Nations Sustainable Development Goals (SDGs).

Overview of GNA II Power Plant

• Location: Sao Joao da Barra, Rio de Janeiro State
• Capacity: 1.7 gigawatts (GW), representing approximately 8% of Brazil’s total gas-fired installed capacity
• Operational Since: 31 May 2025
• Part of GNA’s thermal power complex, which includes:
  • GNA I thermal power plant (1.3 GW)
  • Liquefied natural gas (LNG) regasification terminal with 21 million cubic meters per day (MMcmd) capacity
• Technology: Combined cycle configuration utilizing three gas turbines and one steam turbine per plant to maximize efficiency

Impact on Brazil’s Gas Consumption and Power Generation

1. Expected increase in gas consumption for power generation by at least 6 MMcmd from July to November 2025, representing a 23% year-on-year rise.
2. GNA II’s gas consumption forecast:
   • Approximately 6.4 MMcmd between July and October
   • Approximately 5 MMcmd in November
3. Contribution to Brazil’s thermal generation portfolio increased to 3 GW, making GNA the fourth-largest thermal generator in the country.
4. Role in enhancing system reliability, especially during dry months when hydroelectric reservoir levels are low.

Alignment with Sustainable Development Goals (SDGs)

The commissioning and operation of GNA II contribute to several key SDGs as follows:

SDG 7: Affordable and Clean Energy

• GNA II provides a reliable and flexible energy source, supporting Brazil’s energy security and access to affordable electricity.
• The combined cycle technology enhances energy efficiency, reducing fuel consumption and emissions per unit of electricity generated.
• LNG terminal integration allows for fuel supply flexibility, supporting continuous power generation even during periods of low hydroelectric output.

SDG 9: Industry, Innovation, and Infrastructure

• Investment in modern combined cycle gas turbine technology promotes innovation in Brazil’s energy infrastructure.
• Expansion of thermal power capacity strengthens the resilience of the national grid, particularly in response to seasonal variability.

SDG 13: Climate Action

• By operating with relatively low variable costs and improved efficiency, GNA II supports a transition to cleaner fossil fuel use compared to traditional thermal plants.
• Its role in complementing renewable energy sources such as hydro, solar, and wind helps manage variability and reduce reliance on higher-emission fuels.

Challenges and Considerations

• Price volatility of LNG in the global market may affect operational costs, although these are mitigated by retail tariff pass-through mechanisms.
• Lack of connection to the domestic gas transportation grid limits access to potentially cheaper domestic gas supplies.
• Brazil’s electric matrix remains heavily dependent on hydroelectric power (42% installed capacity, 55% generation), which is subject to seasonal variability affecting overall system stability.

Conclusion

The GNA II power plant is strategically positioned to support Brazil’s growing power demand, especially during the dry season when hydroelectric generation is constrained. Its efficient combined cycle technology and LNG fuel flexibility contribute positively to multiple Sustainable Development Goals by enhancing energy affordability, infrastructure resilience, and climate action efforts. Continued focus on integrating renewable energy sources and improving gas supply infrastructure will further strengthen Brazil’s sustainable energy transition.

References

• Rystad Energy
• Oilprice.com

1. Sustainable Development Goals (SDGs) Addressed or Connected

1. SDG 7: Affordable and Clean Energy
   • The article discusses the commissioning of a large gas-fired thermal power plant in Brazil, which impacts the country’s energy generation capacity and energy mix.
   • The focus on reliable and flexible energy supply during dry seasons relates directly to ensuring access to affordable, reliable, sustainable, and modern energy for all.
2. SDG 13: Climate Action
   • The article highlights Brazil’s reliance on hydroelectric power and the increased use of fossil fuels (natural gas) during dry seasons, which has implications for greenhouse gas emissions and climate resilience.
   • The discussion of flexible generation to complement renewable sources like solar and wind ties into climate adaptation and mitigation efforts.
3. SDG 9: Industry, Innovation, and Infrastructure
   • The development and commissioning of advanced thermal power plants and LNG infrastructure reflect improvements in energy infrastructure and industrial capacity.

2. Specific Targets Under Those SDGs Identified

1. SDG 7: Affordable and Clean Energy
   • Target 7.1: By 2030, ensure universal access to affordable, reliable and modern energy services.
   • Target 7.2: Increase substantially the share of renewable energy in the global energy mix.
   • Target 7.3: Double the global rate of improvement in energy efficiency.
2. SDG 13: Climate Action
   • Target 13.1: Strengthen resilience and adaptive capacity to climate-related hazards and natural disasters in all countries.
   • Target 13.2: Integrate climate change measures into national policies, strategies, and planning.
3. SDG 9: Industry, Innovation, and Infrastructure
   • Target 9.4: Upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies.

3. Indicators Mentioned or Implied to Measure Progress

1. Energy Consumption and Capacity Indicators
   • Annual gas consumption for power generation (measured in million cubic meters per day, MMcmd) – used to track fuel use and energy mix changes.
   • Installed capacity of gas-fired thermal plants (in gigawatts, GW) – indicates expansion of energy infrastructure.
   • Share of hydroelectric power in installed capacity and generation (%) – reflects renewable energy contribution.
2. Operational Efficiency and Cost Indicators
   • Variable costs (CVU) and merit order positioning – measure economic efficiency and dispatch priority of power plants.
   • Flexibility of fuel supply and generation – implied as a factor for reliability and adaptation to seasonal changes.
3. Environmental Impact Indicators (Implied)
   • Dependence on fossil fuels during dry seasons – linked to greenhouse gas emissions and climate impact.
   • Reservoir water levels and seasonal patterns – indicators of climate variability affecting energy supply.

4. Table: SDGs, Targets and Indicators

Source: oilprice.com