Utility-scale, or centralised generation, refers to large-scale front-of-meter plants of 100 MW and larger. These plants sell energy on the free market, or via Government auctions.
Large-scale solar PV plants have become increasingly cost-competitive due to greater efficiencies and falling component costs. They have delivered the most competitive megawatt-hour prices in recent auctions compared with wind, hydro and biomass. In the second 2019 auction in Brazil, for example, the average price for utility-scale solar was under US $21/MWh, having fallen from a high of almost US $90/MWh in 2014.
Brazil has 4.574 GW of installed capacity in utility-scale solar, which serves about 2.4% of the country’s electricity mix. Many new projects have already been contracted as a result of energy auctions, requiring new investment totalling around US $9 billion.
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