Brazil's new solar energy frontier: from expansion to the circular economy

In recent years, Brazil has established itself as a global powerhouse in the photovoltaic sector. Solar energy already holds the second largest share of the national electricity mix, placing the country among the world's four largest solar markets. With over R$288 billion in cumulative investment, the sector has also made Brazil the third largest generator of solar energy jobs on the planet.

However, alongside this progress, a challenge that still receives far too little attention is emerging: the management of photovoltaic waste. If we want the just energy transition to be truly sustainable, we need to look at the full lifecycle of the technologies we are scaling up.

It is common to hear that solar panels have a useful life of 25 to 30 years. This estimate often creates the perception that the waste issue is still far off. However, our study Circular Economy for the Photovoltaic Sector: Recommendations for Creating Value from Waste in Brazil, released in March 2026, shows that the challenge is far more immediate.

In the Brazilian context, we observe that the vast majority of discards happen before panels reach the end of their useful life. These premature losses, known as early losses, are driven primarily by external and operational factors.

The main causes include:

• Weather events (48%), such as storms, hail, and extreme winds;
• Logistics damage (38%), including breakage during transport, storage, or installation;
• Fires (13%), generally associated with electrical faults or accidents.

Our projections indicate that by 2030, around 77% of panels discarded in Brazil will result from these premature losses. This means the country cannot wait decades to tackle the issue of solar waste management.

By examining this scenario, we also identified a major opportunity. Transitioning from a linear model based on extract, produce, and discard, toward a circular economy logic has the potential to turn an environmental challenge into a new value chain.

In our study, we applied for the first time in Brazil, within the photovoltaic sector, the SROI methodology (Social Return on Investment), which measures the social return generated by investments.

The results show that for every R$1 invested in solar panel recycling, up to R$3.18 can be returned in benefits to society, under optimistic scenarios.

This circularity chain can generate significant impacts:

Green job creation We estimate the creation of one job for every 20 tonnes of panels recycled, expanding opportunities across disassembly, sorting, processing, and material recovery activities.

Recovery of strategic resources Solar modules are composed primarily of glass (approximately 75%), as well as aluminum (around 10%), silicon (4%), and valuable metals such as silver and copper — all of which can re-enter the supply chain.

Environmental benefits Recycling 16 tonnes of solar panels can prevent approximately 13 tonnes of CO₂ equivalent emissions and save 39 cubic meters of landfill space.

These figures show that circularity is not merely an environmental solution, it can also strengthen supply chains, generate employment, and amplify the social benefits of the energy transition.

Despite this potential, Brazil still faces a significant challenge: the absence of a federal regulatory framework specifically addressing photovoltaic waste.

In 2024, solar modules were removed from the mandatory reverse logistics requirements established by the National Solid Waste Policy (PNRS), creating a normative void around reverse logistics and extended producer responsibility.

Today, legislative progress is happening primarily through state-level initiatives. Mato Grosso, for example, stands out with Law No. 12,919/2025, considered one of the most advanced pieces of legislation on this issue in the country.

At the federal level, bills such as PL 3784/2023 and PL 391/2025 seek to establish guidelines for solar panel reverse logistics.

International experience shows this path is achievable. In the European Union, well-structured policies have built efficient collection and recycling systems. In France, for example, the solar panel recycling rate already exceeds 94%.

For us at Revolusolar, the expansion of solar energy must go hand in hand with environmental responsibility and social justice.

Building sound public policies, encouraging recycling, developing infrastructure, and strengthening shared responsibility among manufacturers, installers, and consumers will be essential to ensure the sector's growth is sustainable in the long run.

The energy transition does not end when a panel is installed. It continues until the end of its lifecycle and it is precisely at that point that the circular economy becomes the new frontier of solar energy in Brazil.

‍