EN 
PT_BR 
With a very busy end of the year in the Brazilian political scenario, with several norms approved in the National Congress, demonstrating that the Federal Government has managed to approve the norms it needs for fiscal adjustment, the mergers and acquisitions (M&A) industry must start 2024 with more appetite than in 2023.
Some other factors contribute to the distributed generation sector being one of the target markets for this type of transactions. After the Americanas case, the market sees a resumption of private credit, with lower rates than those applied in 2023. The expectation of a continued decrease in the SELIC rate throughout 2024.
Despite the drop and normalization of prices for photovoltaic solar energy generation equipment in 2023, there is an upward trend due to the increase in the tax burden on imported products, which includes photovoltaic modules.
Capital market appetite for assets that can be classified as fixed income and bring profitability just above the CDI (Interbank Deposit Certificate).
Difficulties in the process of requesting access and connection to the electricity distribution network. Race against time to connect projects classified as GDI, which will also allow compensation of full energy credits (TE + TUSD).
These are some of the examples that lead us to believe that 2024 will be a very busy year for the distributed generation sector.
In addition to these factors, there are also several players who entered this market at the very beginning, and who perhaps, at this moment, with higher purchase offer prices, can verify the expected return, leading them to sell their operational assets.
On the other hand, international investors have sought to invest in Brazil, especially in the electrical energy sector, which in recent years has proven to be not only profitable and sustainable, but strategic for geopolitical thinking.
As a professional who has followed this market since its inception, and experienced in consolidation movements in other markets in the past, I have high expectations for distributed generation in 2024.
The opinions and information expressed are the sole responsibility of the author and do not necessarily represent the official position of Canal Solar.
