Brazil links data center tax incentives to renewable power supply

Bill 278/2026 creates a special taxation regime designed to attract data center investment while tying incentives to cleaner electricity procurement. The Senate approved the text without substantive changes after it passed the Chamber of Deputies, and the final step is presidential sanction. The renewable-power condition could support corporate PPAs, self-production structures and storage-linked clean power portfolios as digital loads expand. For Brazilian solar developers, Redata could create a new class of large, creditworthy demand tied directly to data-center growth.