By Brazil Stock Guide – ArcelorMittal and renewable developer Casa dos Ventos began generating power ahead of schedule at their joint wind-and-solar complex in Bahia, strengthening the steelmaker’s long-term energy security and its transition to cleaner production.
The companies confirmed the accelerated schedule to Broadcast, part of O Estado de S. Paulo, noting that the venture now surpasses 750 megawatts of installed capacity and represents more than R$5 billion in combined investment.
The Babilônia Centro wind complex — 550 MW and R$4.2 billion — was initially slated to start operating at the end of 2025. Instead, turbines began generating in mid-year. “This also brought an economic gain for us this year, due to the earlier-than-expected generation,” said Everton Negresiolo, CEO of ArcelorMittal Aços Longos América Latina, in an interview. He did not disclose specific figures.
A 200-MW solar plant built at the same site has entered the testing phase, with full commercial operation expected by December. According to Casa dos Ventos’ executive director, Lucas Araripe, “we reach more than 310 average megawatts dedicated to ArcelorMittal,” which he described as the largest corporate power purchase agreement ever signed in Brazil.
Unlike many recent self-generation structures — where the developer shoulders construction risks before transferring a stake to the corporate buyer — ArcelorMittal and Casa dos Ventos began the project as equal partners from the outset. The steelmaker holds 55% of the joint venture under a 20-year contract.
With firm energy from both facilities, ArcelorMittal expects to cover more than 40% of its electricity needs in Brazil through 2030. Power accounts for 3% to 6% of the company’s total cost structure. Negresiolo said the strategy enhances competitiveness while advancing decarbonization goals. The company estimates the new sites will avoid over 204,000 tons of CO₂ emissions each year.
ArcelorMittal aims to source 100% renewable electricity by 2030 and reach net-zero emissions by 2050.
The steelmaker is also developing a separate self-generation project with Atlas Renewable Energy: a 269-MW solar plant in Minas Gerais valued at nearly R$900 million, expected to add 74 average MW once operational between late 2025 and early 2026. Combined, the facilities would bring ArcelorMittal to 65% self-sufficiency in its 2030 power demand.
Beyond these initiatives, ArcelorMittal operates a small hydropower plant in Minas Gerais and captures gases from blast furnaces for internal energy use. For now, however, the company is holding off on new investments due to uncertainty surrounding rising renewable-generation curtailments and regulatory changes included in Brazil’s Provisional Measure 1.304/2025. “It’s a moment to wait and understand how the power system will work, especially regarding self-production and the division of system costs,” Negresiolo said.
He noted that curtailments at the Babilônia wind site have exceeded initial economic models. Even so, the wind complex holds a 35-year concession, giving the company room to absorb regulatory adjustments.
Casa dos Ventos, meanwhile, is preparing for significant expansion. With the Bahia assets now delivered, the company reaches roughly 3 gigawatts of installed capacity. Another 1.2 GW is under construction and scheduled for startup in 2026. The developer also plans to approve an additional 2.1 GW by year-end, with operations targeted for 2027.
“These are wind and solar complexes linked to PPAs we are advancing, and we’re working through governance to approve execution,” Araripe said. If completed, Casa dos Ventos will nearly double its portfolio to 6.5 GW.