Energy Security in South America: The role of Brazil

The report argues that South American countries currently struggle with domestic energy security despite vast resources, often opting for high-cost domestic solutions over cheaper regional trade due to perceived risks of supply cuts. It positions Brazil as a decisive leader for regional integration due to its geographical location, market size, and leadership in both fossil fuels and renewable energy. The author proposes the creation of a Multilateral Energy Security Reserve (RMSE) treaty to provide a legal framework for accessing reserves and infrastructure during shortages, while noting that the lack of a legal basis for private investment remains a primary obstacle to integration.

• South American countries currently fail to ensure domestic energy security, leading them to adopt expensive energy solutions and leave low-cost resources and infrastructure unused due to the perceived risk of supply cuts from neighbors.
• Brazil is uniquely positioned to lead South American energy integration and the transition to a low-carbon economy because of its market size, central geography, and abundance of both renewable and non-renewable energy resources.
• The report proposes a Multilateral Energy Security Reserve (RMSE) treaty to establish the legal, economic, and technical conditions for countries to access regional infrastructure and reserves during supply insecurities.
• A major barrier to energy integration in South America is the absence of a legal framework for private investment and a regional mechanism for dispute settlement, noting that the European Energy Charter was rejected because its settlement system was based outside the region.
• The Brazilian government's use of subsidies and proposals to renew hydropower concessions at prices below opportunity costs are criticized as distortions that fail to solve structural supply security problems.

APA

de Oliveira,, A. (2010). Energy Security in South America: The role of Brazil. International Institute for Sustainable Development. https://www.iisd.org/publications/report/energy-security-south-america-role-brazil

Chicago

de Oliveira,, Adilson. Energy Security in South America: The role of Brazil. International Institute for Sustainable Development, 2010. https://www.iisd.org/publications/report/energy-security-south-america-role-brazil.

Wikipedia

{{cite report |last1=de Oliveira, |first1=Adilson |title=Energy Security in South America: The role of Brazil |publisher=International Institute for Sustainable Development |date=31 August 2010 |url=https://www.iisd.org/publications/report/energy-security-south-america-role-brazil |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{deoliveira2010energy, author = {de Oliveira,, Adilson}, title = {{Energy Security in South America: The role of Brazil}}, institution = {International Institute for Sustainable Development}, year = {2010}, month = aug, url = {https://www.iisd.org/publications/report/energy-security-south-america-role-brazil}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }