The CEBDS initiative brings together more than 70 organizations to develop proposals that preserve a clean energy matrix, expand the electrification of the economy, and make the electricity system more competitive and resilient.
Brazil possesses unique conditions to make electricity one of the main drivers of its transition to a low-carbon economy. Approximately 901 Tbp of the electricity produced in the country comes from low-emission sources, such as hydroelectric, wind, solar, biomass, and nuclear power. Transforming this advantage into effective emission reductions, competitiveness, and sustainable development is the objective of the Electricity Sector Coalition, one of the Business Coalitions for Climate Action coordinated by the Brazilian Business Council for Sustainable Development (CEBDS).
The initiative promotes a space for dialogue between companies, associations, experts, and public authorities to build consensus and implementation proposals. Coordinated by CEBDS, with technical support from PSR, the Coalition brings together more than 70 entities and is made possible by the Brazilian Association of Electricity Distributors (Abradee), the Brazilian Association of Electricity Transmission Companies (Abrate), the Brazilian Association of Wind Energy and New Technologies (ABEEólica), the Brazilian Association of Large Industrial Energy Consumers and Free Consumers (Abrace), the Brazilian Association of Investors in Self-Production of Energy (Abiape), and the Brazilian Association of Electricity Generating Companies (Abrage).
The Energy Coalition is part of a broader CEBDS agenda, alongside the Transport, Agriculture and Land Use, and Essential Minerals coalitions. Together, they connect strategic sectors of the economy to identify opportunities for emissions reduction, address barriers, and support the implementation of Brazil's Nationally Determined Contribution (NDC).
In the first phase, the coalitions mobilized more than 270 organizations and mapped approximately 150 climate transition levers. The estimated combined potential is approximately 1.1 billion tons of carbon dioxide equivalent (GtCO₂e) mitigated per year by 2050, compared to an inaction scenario.
Clean energy to decarbonize other sectors.
In the case of the electricity sector, the action was initially organized into four axes: generation, transmission, distribution, and consumption. The process resulted in a long-term agenda guided by three objectives: preserving the high share of clean sources in the energy mix, guaranteeing competitive energy for consumers and businesses, and increasing the security and resilience of the infrastructure.
Although the electricity sector itself has a relatively small share of national emissions, its contribution to decarbonization goes beyond its operations. The availability of clean electricity allows for the replacement of fossil fuels in activities such as transportation, industrial processes, and residential uses.
The study produced by the Coalition estimates that the electrification of industry and transport could reduce the country's net emissions by up to 181 tp³. The economically efficient expansion of the electricity sector, while maintaining high renewability, could also contribute to a net reduction of up to 176 million tons of CO₂ equivalent per year by 2050.
This opportunity requires planning. The growth in consumption associated with electric mobility, industry, data centers, low-emission hydrogen, and other new uses will depend on the expansion and modernization of networks, the growth of clean energy generation, and the adoption of resources such as energy storage, demand response, and smart metering systems.
From identifying the levers to implementation.
In 2026, the Coalition entered its second phase, focusing on the conditions necessary to implement and scale up the identified solutions. Four areas began to guide the work: electrification of the economy; system flexibility; infrastructure resilience; and economic signals, including prices, tariffs, and rationalization of subsidies.
The first two workshops of this phase were held in September and October, in Rio de Janeiro and Brasília. The meetings brought together companies, associations, and government representatives to discuss expanding the use of electricity in industry and transportation, as well as the necessary changes to the Brazilian Electrical System to respond to new technologies, demands, and consumption patterns.
Discussions have shown that electrification should not be treated in isolation. Its expansion depends on economic competitiveness, climate benefits, adequate infrastructure, financing, and regulatory security. It also requires greater coordination between energy, industrial, climate, and transport policies.
The agenda also includes improving price signals, modernizing tariffs, evaluating subsidies, and recognizing the role of consumers in transforming the system. Flexible resources, such as batteries, reversible hydroelectric plants, demand management, and network digitization, are gaining importance as the share of variable sources grows and new consumption profiles emerge.
Resilience and just transition
Another key focus is preparing infrastructure for the effects of climate change. Alterations in rainfall patterns, droughts, heat waves, and extreme events can affect energy generation, transmission, and distribution. Incorporating climate scenarios into system planning and operation will be necessary to preserve security of supply and guide adaptation investments.
The transformation also needs to consider economic and regional inequalities. Among the challenges identified are energy poverty and dependence on fossil fuels in isolated systems, which serve communities not yet connected to the National Interconnected System. The Coalition proposes combining efficiency, technological innovation, and social protection so that the costs and benefits of the transition are distributed in a balanced way.
By bringing together different segments of the sector around a common agenda, the Energy Coalition seeks to convert technical diagnoses into proposals capable of guiding public policies and business decisions. The initiative reinforces that Brazil's advantage lies not only in the availability of renewable resources, but also in its capacity to coordinate generation, grids, consumption, regulation, and investments.
With the shift from identifying the key drivers to implementation, the work of the coalitions enters a crucial stage. For the electricity sector, the challenge is to expand its contribution to the decarbonization of the entire economy without sacrificing renewability, competitiveness, reliability, and inclusiveness.
What are coalitions?
Business Coalitions for Climate Action are an initiative of CEBDS (Brazilian Business Council for Sustainable Development) aimed at building collective decarbonization agendas for strategic sectors of the Brazilian economy. The work brings together companies, associations, experts, public officials, and other organizations to identify opportunities for emissions reduction, build consensus, and transform diagnoses into implementation actions.
The first phase mobilized more than 270 organizations across the Transport, Energy, Agriculture and Land Use, and Essential Minerals sectors. Together, the coalitions mapped approximately 150 climate transition levers, with a combined potential to mitigate roughly 1.1 billion tons of carbon dioxide equivalent (GtCO₂e) per year by 2050, compared to an inaction scenario.
In the second phase, which began in 2026, the agenda progressed from identifying the levers to defining the technical, regulatory, financial, and institutional conditions necessary for implementation. The work also began to delve deeper into cross-cutting solutions, such as electrification and biofuels, that connect different sectors of the economy.
Download the document on Initial Contributions from Coalitions
The Intersectoral Climate Center will monitor the implementation of the coalitions.
As part of this new phase, CEBDS will launch the Intersectoral Climate Hub at COP31, a governance structure for Phase 2 of the Sectoral Coalitions. The launch will take place on November 19th, during the panel “Coalitions for Implementation in Action: levers to accelerate the climate transition in Brazil”.
The Center will have a public platform, in the form of a monitoring dashboard, to track the results of the different pillars of the coalitions. The information will be organized by modal, block, and lever, allowing visualization of the evolution of the measures, identification of challenges, and monitoring of the contribution of each front to the decarbonization of the Brazilian economy.
The platform will bring together more than 50 priority actions agreed upon until 2030 and more than 100 monitoring indicators. The aim is to provide transparency in implementation, support coordination between sectors, and provide evidence for business decisions and public policies.
With the Intersectoral Climate Center, coalitions will have a permanent structure to monitor the implementation of identified levers, strengthen coordination between companies, government and funders, and track their contribution to fulfilling Brazil's Nationally Determined Contribution (NDC).
About CEBDS
Founded in 1997, the Brazilian Business Council for Sustainable Development (CEBDS) is a non-profit civil association that works to connect businesses, governments, and civil society to promote sustainable development in Brazil. Its activities cover topics such as climate, energy, sustainable finance, biodiversity, socio-bioeconomy, agri-food systems, social impact, water, and the circular economy.
