Wind and Solar Power in Brazil and China: Interests, State-Business Relations, and Policy Outcomes

This paper examines developments in the renewable electricity sector in Brazil and China since 2000. The two countries share many interests with respect to solar and wind power, but institutional differences in state-business relations led to different outcomes. In China, in a context of state corporatist state-business relations, state interventions were more far-reaching, with the state coordinating with state-owned banks, offering large financial and investment incentives to state-owned or state-connected enterprises. By contrast, in Brazil’s private-public partnerships, state support to promote renewable energies was shaped by a stronger preference for competitive auctions and stricter financing rules. The differences in the state-business relations help to explain the observed developmental trajectories in wind and solar power.

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Global Environmental Politics 15 (June, 2015):
Wind and Solar Power in Brazil and China: Interests, State-Business Relations, and Policy Outcomes
by Genia Kostka & Kathryn Hochstetler

About the authors
Genia Kostka is the co-chair of the Dahrendorf working group ‘EU and China relations’.
Kathryn Hochstetler is Centre for International Governance Innovation (CIGI) Chair of Governance in the Americas in the Balsillie School of International Affairs and Professor of Political Science at the University of Waterloo.