October 30, 2025
Axia Energia, the newly branded entity of Brazilian energy giant Eletrobras, is advancing a distinctive strategy of colocating data centers with its power generation assets, with a new project planned for the interior of Sergipe—a region not traditionally known for such high-tech investments.
Following a proposal for a data center campus in Campinas, São Paulo, the company is now developing a facility dubbed "DC Xingó" in Canindé de São Francisco, a municipality in the extreme northwest of Sergipe, approximately 213km from the state capital, Aracaju. The project is strategically intended to connect directly to the Xingó hydroelectric plant, which is operated by Axia.
According to information obtained by BNamericas, the project is currently in its initial documentation phase. To proceed, it must secure authorizations from Brazil's ministry of mines and energy (MME), the national electric power regulator Aneel, and the national grid operator ONS for both energization and connection to the SIN, the national interconnected system.
If approved, the venture may face challenges typical for data centers located outside major metropolitan hubs. These include potential limitations in connectivity infrastructure, a smaller local pool of skilled labor, and increased logistics costs for equipment transport.
From an energy standpoint, Axia is a formidable player. The company owns 81 power plants—comprising 47 hydroelectric, 33 wind, and one solar facility—and claims responsibility for 17% of Brazil's total electricity generation capacity.
Sergipe's Push for Data Center Investment
Although Sergipe currently lacks large-scale data centers, the small northeastern state is actively positioning itself as an attractive destination for the sector. The state development agency, Desenvolve-SE, reports that at least eight companies are actively exploring opportunities, with two memoranda of understanding and two letters of intent already signed.
State authorities are promoting competitive energy prices in the free market and the availability of clean energy as key advantages. They also cite the Marituba aquifer and the Xingó hydroelectric reservoir as potential resources for cooling systems, though the possible use of these water sources has drawn concern from civil society groups regarding regional.
Source: bnamericas