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Brazil may dominate the global uranium market but its HUGE nuclear potential is blocked by an outdated regulatory framework and slow political decisions. Understand:

Written by Caio Aviz
Published 07/12/2024 às 01:32
Uranium nuclear plant symbolizing Brazil's regulatory challenges in the nuclear sector.
Uranium nuclear plant: a reflection of the regulatory challenges that Brazil needs to face to lead the sector.

Discover Brazil's challenges and opportunities to explore its uranium reserves, overcome regulatory bottlenecks and become a global leader in the nuclear market.

Brazil, with the major sixth world uranium reserve and complete control of the nuclear production cycle, faces a historic opportunity, but faces significant obstacles. Although its strategic position is advantageous, regulatory bottlenecks and legal uncertainty continue to drive away investors essential for the sector's growth. Therefore, urgent adjustments to the regulatory framework are essential to transform this potential into reality, especially considering the global energy transition.

The importance of uranium reserves in the global energy context

Although the federal Constitution of 1988 guarantees national sovereignty over nuclear minerals, the state monopoly hinders progress. Despite the approval of Law No. 14.514 in 2022, which brought timid progress, much still needs to be done to make Brazil competitive in the global uranium market. Thus, reforming the legislation proves crucial to attract investors and unlock projects such as the Santa Quitéria mine, which has been awaiting licensing for two decades.

Challenges for the regulatory framework in the Brazilian nuclear sector

At the same time, the National Energy Policy Council (CNPE) is seeking to create guidelines to modernize the sector. However, it is undeniable that the lack of clarity in the rules has caused Brazil to miss strategic cycles in the global market, such as the price peak in 2010. Therefore, accelerating decisions and establishing clear policies are fundamental steps to attract investors and ensure the development of the nuclear sector.

Uranium and the energy transition: Opportunities for Brazil

There is no doubt that uranium is positioning itself as a clean and reliable source of energy, making it crucial in energy transition. However, delays in projects such as Santa Quitéria exemplify the mismatch between potential and reality. On the other hand, with the completion of Angra 3 scheduled for 2026, Brazil can finally consolidate its position as a leader in the global uranium market and meet the growing international demand.

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Caio Aviz

I write about the offshore market, oil and gas, job vacancies, renewable energy, mining, economy, innovation, geopolitics and government. Always seeking daily updates and relevant topics, I expose rich, considerable and meaningful content.

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