Cane surpasses power dams in Brazil energy complex

RIO DE JANEIRO (Reuters) – Sugar cane and cane-based ethanol became a more important energy source than hydroelectric power plants in Brazil’s overall energy complex last year, topped only by petroleum and oil products.

The government’s EPE energy planning agency said on Thursday sugar cane had a 16 percent share in the country’s so-called energy matrix — a combination of all sources of energy including fuels and electricity — while power dams were left behind with a 14.7 percent share.


Oil and derivatives had a 36.7 percent weighting, dropping from 37.8 percent in 2006.

“It’s a historic year in that sense, it’s an irreversible trend,” EPE President Mauricio Tolmasquim told reporters.

He attributed the growing role of sugar cane to booming demand for ethanol as a motor fuel, but expected more cane and ethanol to be used for electricity generation as well.

Brazil is a world leader in biofuels with decades of valuable expertise in using ethanol in cars.

Reuters