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    1. Home
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    3. >China's Huawei and UK's Aggreko to develop storage system project in Brazil's Amazon
    Finance

    China's Huawei and UK's Aggreko to Develop Storage System Project in Brazil's Amazon

    Published by Global Banking & Finance Review®

    Posted on March 2, 2026

    2 min read

    Last updated: April 2, 2026

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    Tags:FinanceBankingMarketsEnergyBrazil

    Quick Summary

    Huawei will supply Aggreko with battery storage systems for what’s expected to be Brazil’s largest-ever microgrid-based energy storage project in Amazonas, costing about R$850 million (US $165.5 million), with initial operations anticipated in 2027–28.

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    Huawei and Aggreko to Develop Major Energy Storage Project in Brazil's Amazon

    Overview of the Energy Storage Project

    By Leticia Fucuchima

    SAO PAULO, March 2 (Reuters) - China's Huawei will sell batteries to British business Aggreko for a renewable energy project in Brazil's Amazon region, in what is expected to become the country's largest-ever energy storage system, the two companies told Reuters.

    Project Details and Implementation

    • Integration with Solar Plants and Microgrids

      Huawei's batteries will run alongside solar plants set up in microgrids across Brazil's Amazonas state, in order to diversify Aggreko's power supply in the region away from polluting thermal plants.

    • Investment and Timeline

      Aggreko's project will cost about 850 million reais ($165.55 million) and take up to three years for full implementation, with the first plants coming online between 2027 and 2028, said Cristiano Lopes Saito, Aggreko's director for sales to the utilities sector in Brazil.

    • Project Significance

      "It's an extremely disruptive project, the largest microgrid project currently in the Americas," Barbara Pizzolato, off-grid director at Huawei in Brazil told Reuters.

    Environmental and Social Impact

    • Reduction of Carbon Emissions

      While the thermal plants will remain operational to guarantee supply, the project should allow for lower carbon emissions, the companies said.

    • Energy Supply to Local Communities

      They forecast that the microgrids will supply energy to communities in 24 locations in Amazonas state, including in large cities such as Tefe, home to about 75,000 people.

    Strategic Importance for Huawei and Brazil

    • Expansion of Huawei's Operations

      The project is a boost to Huawei, as the Chinese manufacturer seeks to expand operations in Brazil amid expectations of an upcoming first-ever government auction for batteries.

    • Current State of Battery Energy Storage in Brazil

      Existing Projects

      Brazil is just starting to adopt battery energy storage systems and has only one large-scale project of this type, by the transmission company ISA Energia on the coast of Sao Paulo state.

    ($1 = 5.1345 reais)

    (Reporting by Leticia Fucuchima; Editing by Nia Williams)

    References

    • Huawei e Aggreko vão desenvolver na Amazônia maior projeto com baterias do Brasil – InfoMoney (via Reuters)
    • Huawei y Aggreko ganan el mayor contrato de almacenamiento de baterías de Brasil… – pv magazine Latin America

    Table of Contents

    Key Takeaways

    • •Huawei and Aggreko are partnering to install battery-backed microgrids across Amazonas state to reduce reliance on thermal generation and cut emissions.
    • •The R$850 million (approx. US $165.6 million) project is slated for completion over three years, with first plants going online between 2027 and 2028.
    • •This initiative marks Brazil’s most ambitious energy storage effort to date, aligned with growing interest ahead of the country’s first dedicated battery energy storage auction.
    • •Brazil’s only existing large-scale battery storage system is by ISA Energia in São Paulo, highlighting how novel and pioneering this Amazon microgrid project is.

    Frequently Asked Questions about China's Huawei and UK's Aggreko to develop storage system project in Brazil's Amazon

    1What companies are involved in the new energy storage project in Brazil's Amazon?

    China's Huawei and the UK's Aggreko are collaborating to develop the largest-ever energy storage system in Brazil's Amazon region.

    2What technology will power Aggreko's new project in Amazonas state?
    • Overview of the Energy Storage Project
    • Project Details and Implementation
    • Integration with Solar Plants and Microgrids
    • Investment and Timeline
    • Project Significance
    • Environmental and Social Impact
    • Reduction of Carbon Emissions
    • Energy Supply to Local Communities
    • Strategic Importance for Huawei and Brazil
    • Expansion of Huawei's Operations
    • Current State of Battery Energy Storage in Brazil
    • Existing Projects

    The project will use Huawei batteries alongside solar plants in microgrids to diversify power supply away from thermal plants.

    3How much will the energy storage project cost and when will it be completed?

    The project will cost around 850 million reais ($165.55 million) and is expected to be fully implemented within three years, with the first plants online between 2027 and 2028.

    4What is the environmental impact of the Aggreko-Huawei project?

    The project aims to reduce carbon emissions by replacing polluting thermal plants with cleaner microgrid solutions.

    5Which communities will benefit from the new microgrids in the Amazon?

    The microgrids will supply energy to 24 locations in Amazonas state, including cities such as Tefe.

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