The economic potential of the State of São Paulo is supplied by an established energy mix containing important renewable energy sources, of which sugar cane biomass represents 31.4% of the total energy produced in the State and hydraulic energy 18%. For non-renewable energy, the share is 46.9%, while oil and derivatives have a participation of 38.3% and natural gas has a share of 6.9%, according to data from the State Department of Energy and Mining (SEM - 2014).
The State is responsible for 16.7% of the national capacity for generating hydropower (SEM – 2014) and 48.2% of the Country’s alcohol fuel production (UNICA – 2014/2015 harvest), making São Paulo a recognized leader in the generation of clean energy in the country.
In addition to a significant set of hydroelectric power stations, a huge capacity for the production of sugar cane ethanol and distribution of piped gas brought from the Brazil-Bolivia pipeline, São Paulo also has hydrocarbon reserves in the Santos Basin, which extends along the entire São Paulo coastline and represents the most promising area of exploration on the entire Brazilian coast.
According to the State Department of Energy, São Paulo produced 5,538 million cubic meters of natural gas in 2015 – this value is 33% higher than the previous year. The State is responsible for 11.6% of proven natural gas reserves in Brazil (SEM-2014). Moreover, the State accounted for more than 10% of Brazilian oil production in 2015, despite having approximately 4% of proven reserves (SEM and ANP).
Aiming to foment scientific research and scientific and technological development in the petroleum, natural gas and biofuels industry, the Funding Authority for Studies and Projects (Finep) manages CT Petro, a science and technology fund devoted to increasing productivity, cost reduction and improvement of product quality.
In the State of São Paulo, dedicated to supporting research in the area of biofuels, creating knowledge for sustainable production and applications based mainly on sugar cane ethanol, the State of São Paulo Research Support Foundation (Fapesp) uses the Bioenergy Research Program (Bioen) to link academic and applied research into bioenergy with companies in the sector.
In São Paulo is also located The Brazilian Bioethanol Science and Technology Laboratory (CTBE) that is a research, development and innovation institution dedicated to obtaining highly productive sugar cane ethanol through maximum utilization of raw materials and compliance with sustainable practices by the production sector. Situated in Campinas, the CTBE develops research programs in the areas of agriculture, industry, technology and sustainability. As well as the budget allocated by the federal government, the research activities undertaken by the CTBE may be subsidized by funds deriving from companies in the public sector and research support institutions such as Fapesp and the National Council for Scientific and Technological Development (CNPq).