Due to Brazil‘s infrastructure development ahead of the FIFA World Cup, the country’s smart meter market revenue is predicted to rocket more than tenfold, from $36m in 2013 to $432m by 2020.

A report from research and consulting firm GlobalData states that Brazil is leading the way in smart grid investment and development in South America.

It says that this growth is being driven by the need to upgrade grid reliability and power outages, as well as improve the integration of renewable energy generation into the system.Brazil World Cup

GlobalData adds that with power theft as high as 20 per cent in some Brazilian regions, “local utilities are pursuing investments in smart meters as the technology provides a simpler way for companies to track such activity”.

Sowmyavadhana Srinivasan, GlobalData’s senior power analyst, said: “Brazil’s National Electric Energy Agency (ANEEL) was expected to mandate the roll-out of smart meters in the country to achieve its objective of better energy efficiency.

“However, the agency simply defined a set of rules and norms, which indirectly requires the roll-out of smart meters by utilities instead.

“Furthermore, ANEEL has introduced a policy requiring utilities to supply precise geographic information regarding the location of cables, transformers and customer metering points. It is also planning to implement a net metering system, which would enable customers to connect their micro-generation system to the Brazilian power grid with ease.”

However, GlobalData adds that “major market restraints remain in the region, such as bureaucracy and non-transparency, which could harm the protection of investor interest and the enforcement of contracts”.