In a milestone for energy transition, Finnish technology group Wärtsilä and Brazilian company Energetica Suape II, part of Grupo Econômico 4M, have launched the world’s first project using sugarcane-derived ethanol for large-scale electricity generation.
The initiative represents a significant advancement in decarbonizing the energy sector. Testing will be conducted at the Suape II plant in Recife, Brazil, where the Wärtsilä 32M engine will be adapted to run on ethanol.
The program includes 4,000 hours of testing over a two-year period between 2026 and 2028. The investment was recorded in Q1 2025 and receives financial support from Business Finland, the Finnish government’s innovation agency.
Strategic Goals
Brazil, currently producing 37% of global ethanol (2024 data), now aims to expand this biofuel’s use to the electricity sector.
This project aligns with two strategic objectives:
- Meeting the International Energy Agency’s (IEA) Net Zero Emissions by 2050 targets, which project 78% global biofuel use growth by 2030
- Coordinating with Brazil’s government decision to include ethanol in energy capacity auctions scheduled for June 2025
José Faustino Cândido, Technology Director at Energetica Suape II, emphasized: “This technology could position Brazil as a leader in bioelectric energy, creating new markets for our 27 billion liters of annual surplus.”
Carlos Alberto Mansur Filho of Grupo 4M added: “Flexible solutions like this will help Brazil reach 45% renewables in its power matrix by 2030.”
Advantages and Implementation Phases
The technology promises 80% lower emissions than traditional fossil fuels. Brazil’s established infrastructure includes 450 operational ethanol production plants.
The solution also effectively complements intermittent generation from solar and wind power.
Implementation involves three critical phases:
- 2026 energy performance validation
- Scalability analysis for 100+ MW plants
- Developing protocols for international ethanol trade in energy applications
This initiative is part of Wärtsilä’s WISE program, aiming to develop fully green fuel-compatible engines by 2030. System operation and maintenance will be covered by a special contract through 2026.
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