by PublicABCP
Translated and reviewed by Matheus Lucas Hebling
The article “Public Policies and Solar Power Plants: Socioeconomic Indicators and Public Perception in Municipalities of Minas Gerais,” by Carolina Botelho Marinho da Cunha Hecksher (INCT/SANI), investigated the effects of solar power plant installation in 22 municipalities in the state of Minas Gerais through the year 2019. Drawing on the analysis of public indicators and field interviews, particularly in the city of Pirapora — home to the largest solar power plant in Latin America — the study sought to understand the local socioeconomic impacts of these initiatives.
The research combined quantitative and qualitative methods, adopting triangulation as a strategy to deepen the understanding of the impacts under analysis. On the quantitative side, the study used publicly available data from sources such as IBGE and the Atlas of Human Development to track the evolution of indicators related to population, education, infrastructure, the economy, and income in municipalities with centralized solar generation.
The qualitative dimension was developed through semi-structured interviews with political, business, and community actors in Pirapora. This municipality was selected because it housed the largest solar power plant in Latin America (at the time of the research) and because it combined institutional and geographic conditions deemed strategic for the implementation of the energy policy in question.
The quantitative data reveal that the main socioeconomic effects associated with solar plant installation were concentrated in the initial phase of the projects, especially during the construction period. There were increases in tax revenue and punctual improvements in indicators such as employment and economic activity in some municipalities, but these effects were limited in duration and did not persist after the completion of construction.
Across the 22 municipalities analyzed, formal employment directly linked to the electricity sector remained below 1.2% of total employment, and growth in indicators such as GDP per capita, vocational education, and infrastructure showed no direct relationship with the presence of solar power plants.
In Pirapora, the city selected for the field study, data collected through interviews with political, business, and community representatives indicate that the positive effects of the solar plant were likewise concentrated in the installation period. Political alignment across different levels of government and the granting of tax incentives were identified as determining factors in making the project viable in the municipality.
Accounts indicate that communication with the local population was limited and generated expectations that did not materialize in the medium term, particularly with respect to job creation and increased municipal revenue. Residents and local representatives reported difficulty identifying lasting benefits after the plant began operating.
The research findings indicate that, although solar energy represents an environmentally advantageous alternative, the deployment of large-scale photovoltaic plants has generated socioeconomic impacts that are localized and concentrated in the installation period. During the operational phase, positive effects diminish significantly, with reductions in jobs, economic stagnation, and lower tax revenues.
Even though some municipalities experienced real GDP growth beginning in 2015, the study found no evidence attributing this growth directly to the solar plants. Furthermore, benefits such as ICMS revenue remained opaque, to the point that local authorities and residents were unsure whether the amounts had actually been incorporated into the municipal budget.
The research concludes that positive effects tend to be diffuse, without articulation with local productive development, and that the viability of these projects depends heavily on institutional and political incentives — which imposes limits on their capacity to foster regional development.
Author Profile
Carolina Botelho Marinho da Cunha Hecksher holds a Ph.D. in Political Science from the IESP/UERJ, a master’s degree in Sociology and Anthropology from UFRJ, and an undergraduate degree in Social Sciences, also from UFRJ. She is a senior postdoctoral researcher at the Instituto Nacional de Ciência e Tecnologia em Neurociência Social e Afetiva (INCT/SANI — National Institute of Science and Technology in Social and Affective Neuroscience).
PUBLICATION DETAILS
Title: Public Policies and Solar Power Plants: Socioeconomic Indicators and Public Perception in Municipalities of Minas Gerais (Políticas Públicas e Usinas Solares: Indicadores Socioeconômicos e Percepção da População em Municípios de Minas Gerais)
Author: Carolina Botelho Marinho da Cunha Hecksher
Year of Publication: 2024
Available in: Revista Aracê, vol. 6, no. 4




