Neoenergia Unveils Major Grid Investment Plans for Pernambuco and Rio Grande do Norte Through 2030
Neoenergia has announced a significant new round of investments aimed at modernising and expanding electricity infrastructure in the Brazilian states of Pernambuco and Rio Grande do Norte. The multi-billion-real programmes are designed to strengthen grid reliability, accelerate digital transformation, support renewable energy integration and create the conditions necessary for sustained economic growth across both regions during the remainder of the decade.
The company revealed the investment plans during business meetings held in the cities of Recife and Natal in partnership with LIDE Pernambuco and LIDE-RN. The events brought together business leaders, government representatives and executives from the energy sector to discuss the future of electricity infrastructure and its role in regional development.
Among those attending were Pedro Azagra, Chief Executive Officer of Iberdrola, Neoenergia Chief Executive Officer Eduardo Capelastegui, Neoenergia Pernambuco Chairman and CEO Saulo Cabral, and Neoenergia Cosern Chairman and CEO Fabíola Almeida. During the meetings, the executives highlighted the importance of strengthening electricity networks to support increasing demand, facilitate industrial expansion and improve energy reliability for millions of consumers.
The new investment cycle represents one of the largest infrastructure commitments made by Neoenergia in northeastern Brazil. The initiatives will focus on increasing grid capacity, deploying advanced digital technologies and implementing projects that can support economic sectors including tourism, manufacturing, agribusiness, mining and oil and gas.
Major Expansion Programme in Pernambuco
In Pernambuco, Neoenergia plans to invest approximately 9.7 billion reais, equivalent to around €1.56 billion, by 2030. The amount more than doubles the level of investment allocated during the previous planning cycle, demonstrating the company’s commitment to transforming the state’s electricity infrastructure.
The investment programme includes the construction of 25 new substations and the expansion of another 34 facilities throughout the state. These projects will add approximately 766 MVA of additional installed capacity to the system, significantly increasing the ability of the grid to accommodate rising electricity demand.
Neoenergia also plans to build more than 9,000 kilometres of medium- and high-voltage distribution lines and install 141 new feeder lines. These developments are expected to improve the quality and reliability of electricity supply while reducing congestion and increasing network flexibility.
The investments will reach all regions of Pernambuco and are intended to stimulate economic activity in both urban and rural areas. Enhanced electricity infrastructure is expected to support industrial operations, tourism facilities, commercial enterprises and agricultural activities, helping to attract new investments and strengthen regional competitiveness.
One of the most visible elements of the programme involves the undergrounding of electricity networks in some of Recife’s most iconic historical and tourist areas. Locations such as Marco Zero, Cais da Alfândega and Praça do Arsenal are set to benefit from underground infrastructure projects designed to improve urban aesthetics while increasing the resilience of the power system.
The company also plans to modernise the electricity network in Boa Viagem, one of Recife’s most important tourist and residential districts. New underground power lines will replace portions of the existing infrastructure, improving service reliability and reducing the visual impact of overhead networks.
Additional investments will target areas that host Pernambuco’s famous Carnival celebrations. Upgrading electrical infrastructure in these locations is expected to enhance power reliability during one of the state’s most important cultural and economic events, which attracts millions of visitors annually and generates substantial economic activity.
Strategic regions throughout Pernambuco will also receive new substations and advanced grid technologies. Neoenergia intends to accelerate the deployment of smart grid solutions capable of improving system monitoring, reducing outage response times and enabling more efficient network management.
The company is also evaluating projects involving energy storage technologies and solar generation systems in Fernando de Noronha, the renowned archipelago located off Brazil’s northeastern coast. These initiatives could contribute to reducing dependence on conventional generation sources while supporting sustainability objectives.
Increased Investment in Rio Grande do Norte
Neoenergia Cosern, the company’s distribution subsidiary in Rio Grande do Norte, has also announced a significant increase in investment levels. The utility plans to allocate approximately 4.1 billion reais, or around €660 million, to strengthen the state’s electricity infrastructure by 2030.
This investment represents an 81% increase compared with the previous 2021-2025 investment period and underscores the growing importance of Rio Grande do Norte as a centre for economic and energy development in Brazil.
The programme includes the construction of 10 new substations and the expansion of 16 existing facilities. Together, these projects will add around 460 MVA of new capacity to the system, representing a 25% increase in the current installed capacity of the state’s electricity network.
Neoenergia Cosern also plans to develop approximately 1,800 kilometres of new power lines to improve network connectivity and ensure that growing energy demand can be met across all regions of the state.
One of the flagship projects involves the construction of a new transmission line to strengthen electricity supply in the northern region of Natal, the state capital. The investment is expected to improve network reliability and support urban expansion and economic development.
The company will also invest in underground electricity networks in important urban and tourist destinations such as Mossoró, Pipa and Ponta Negra. These projects aim to enhance system resilience, improve visual appeal and support the tourism sector, which plays a crucial role in the regional economy.
The investment programme extends beyond urban centres and includes initiatives across different regions of Rio Grande do Norte. Improved electricity infrastructure is expected to support key economic sectors including tourism, agribusiness, mining activities and the oil and gas industry.
In addition to physical infrastructure expansion, Neoenergia Cosern intends to accelerate the digitalisation and automation of its distribution system. Advanced technologies, including smart monitoring systems and automated network management solutions, are expected to improve operational efficiency and reduce service interruptions.
The company also plans to implement energy efficiency initiatives and solar generation projects aimed at supporting vulnerable communities and institutions. These programmes could contribute to lower energy costs and greater access to sustainable energy solutions for social organisations and underserved populations.
Supporting Long-Term Development
The new investment cycles announced by Neoenergia reflect broader trends occurring within Brazil’s electricity sector, where increasing demand, economic expansion and the energy transition are driving significant infrastructure requirements.
By modernising and expanding distribution networks in Pernambuco and Rio Grande do Norte, Neoenergia aims to ensure that both states possess the electricity infrastructure needed to accommodate future growth while integrating emerging technologies and renewable energy resources.
The investments are also expected to generate employment opportunities during the construction and implementation phases, contributing additional economic benefits to local communities.
Through these programmes, Neoenergia continues to reinforce its position as one of Brazil’s leading electricity companies and demonstrates its commitment to building a more resilient, digital and sustainable power system. The company believes that modern and efficient electricity networks will play a central role in supporting social development, enhancing competitiveness and enabling long-term prosperity in northeastern Brazil throughout the next decade.
Source Link: https://www.iberdrola.com/
