Energy shock from the Middle East: TCL Solar sees Brazil as the roadmap for the Caribbean

The structural dependence on imported fuels once again exposes island economies to each episode of international volatility. For TCL Solar , this scenario also opens a possibility for transformation to accelerate renewable energy development in the Caribbean, provided the region manages to create investment conditions similar to those of more mature markets like Brazil.

This was one of the key points raised by Eduardo Gómez , Sales Director for Latin America at TCL Solar , during FES Caribe, where he argued that the international situation has reinforced the urgency of accelerating the energy transition in the region. “The cost of fossil fuels has skyrocketed and the outlook is very uncertain, which brings us back to the need to discuss, at the very least, a certain level of energy sovereignty or independence,” Gómez stated.

The proposal resonated in an international context marked by uncertainty. While escalating tensions in the Middle East once again raised concerns about the stability of global energy markets, electrical systems heavily reliant on thermal power generation were particularly vulnerable to renewed pressures on prices and supply.

In the case of the Caribbean, the equation was doubly complex. Energy fragility was compounded by economic dependence on sensitive sectors such as tourism, where sustainability also began to transform into a competitive factor.

“Taking advantage of renewables not only as part of the energy mix, but also as an economic growth objective, generates more jobs and more development than importing fuels,” the executive said.

Relive Day 1 of FES Caribe: https://www.youtube.com/watch?v=OfB3DaSHJSM

Brazil as a mirror: regulation first, investment later

However, for Gómez, the opportunity did not depend exclusively on technological availability or solar resources.

The executive argued that without predictable regulatory frameworks and clear financing mechanisms, the Caribbean will hardly be able to replicate the speed of adoption shown by other Latin American markets.

“Regulation must come before investment because it builds confidence. Of course, clear rules are important,” he stated.

Brazil appeared there as a reference.

According to a report by the Brazilian Photovoltaic Solar Energy Association (ABSOLAR) , using data from the National Electric Energy Agency (ANEEL), the country has not only consolidated one of the world's most dynamic solar markets, with over 68.6 GW of operational photovoltaic capacity , but has also built a highly diversified energy mix. Today, hydropower accounts for 41.6% of installed capacity, followed by solar with 25.9% and wind with 13.1%, while natural gas represents only 7.3%.

Beyond its structural transformation, the country has managed to accelerate new investments in recent years, leveraging regulatory signals, infrastructure expansion, and access to private financing. For TCL Solar, this ecosystem was one of the keys to its growth.

“Brazil is a very important example. Private companies have financed self-consumption in an incredible way, and the government has too,” Gómez said.

He even illustrated the level of financial dynamism with a phrase that summarized the moment in the Brazilian market: "Entities are even fighting to give loans."

The message was clear: without financial instruments that reduce barriers to entry, the island's energy transition could progress more slowly than necessary.

Relive Day 1 of FES Caribe: https://www.youtube.com/watch?v=OfB3DaSHJSM

The technical challenge of the islands: when "what goes in doesn't come out"

But even with regulation and investment, the Caribbean presented particularities that forced a redesign of technological strategies.

Gómez summarized that logic with a simple but forceful definition: "It must be understood conceptually that the product that arrives on the island does not leave."

The phrase highlighted one of the main challenges for island territories: complex logistics, high replacement costs, and limitations in managing technological waste.

Therefore, TCL Solar stated that it has focused part of its product development on solutions with greater durability and adapted to extreme weather conditions.

“The philosophy has been to manufacture products that, first, last longer and can have a longer warranty period; in some cases we even have some products with a 40-year warranty,” he explained.

The technical design also took into account exposure to hurricanes.

Instead of focusing exclusively on the physical growth of the modules, the strategy aimed to increase energy density while maintaining more manageable configurations for this type of geography.

“We are not necessarily aiming to increase the size of the modules, but rather to increase the amount of energy that can be produced in the same space,” he explained.

The approach also followed a circular economy logic. Extending lifespan meant reducing replacements, minimizing waste, and decreasing logistical pressure on territories with limited infrastructure.

While for years solar competitiveness was primarily determined by efficiency and technological cost, the current scenario has added a new variable: logistics.

Gomez argued that the industry underwent a structural change.

“This industry is becoming completely logistics-based,” he warned.

Relive Day 1 of FES Caribe: https://www.youtube.com/watch?v=OfB3DaSHJSM

With pressure on commodities, falling prices and fragmented demand, supply capacity became a competitive differentiator.

Within this framework, TCL Solar promoted a regional strategy supported by a logistics hub in Panama to serve the Caribbean.

“Having a warehouse in Panama as an entry point to the different islands makes it more efficient how we can reach them at a lower cost and more quickly, because each island is different,” he said.

The strategy also relied on the group's industrial scale. TCL, historically recognized for its consumer electronics business, sought to strengthen its solar positioning with manufacturing muscle.

“Today we produce more than 200 GW in G12 type wafers for solar panels,” Gómez highlighted.

In a market where the energy transition no longer depends solely on technology, but also on geopolitical resilience, access to financing and operational efficiency, the Caribbean faces a strategic decision: to turn its energy vulnerability into an opportunity for transformation or to remain exposed to external shocks.

Relive Day 1 of FES Caribe: https://www.youtube.com/watch?v=OfB3DaSHJSM