TCU Presents International Study on Energy Transition

The Brazilian Federal Court of Accounts (TCU) has released an international study aimed at improving audit and oversight practices related to public policies for energy transition at a global level.

Conducted within the framework of the International Technical Cooperation Project between the Government of the Federative Republic of Brazil and the United Nations (UN), established by Decree 59.308/1966, this initiative seeks to develop studies, tools, and innovative methodologies, as well as to implement pilot actions specifically designed for theTCU. With a focus on promoting innovation and international engagement, this effort aligns with the Sustainable Development Goals (SDGs) of the 2030 Agenda.

As Chair of the International Organization of Supreme Audit Institutions (INTOSAI) until the end of 2025, theTCU remains actively engaged in this topic, while its partnership with the United Nations Development Programme (UNDP) reinforces knowledge exchange and the dissemination of best practices.

The study analysed more than 60 audit reports from 20 countries, marking a milestone in the promotion of a fairer and more sustainable energy transition. Based on this review, 30 audit reports conducted by 16 Supreme Audit Institutions (SAIs), including the European Union, were selected, covering various aspects of energy transition. The summary sheets highlight key findings, methodologies used, and observed impacts, providing a comparative overview of global best practices in auditing and oversight.

The selection process considered factors such as topic relevance, diversity of countries, and methodological innovations. The objective was to encompass different realities and identify common trends, particularly in analyzing gaps in public policies, integrating multiple government agencies, and leveraging digital tools for data processing.

Trends in Energy Transition Audits

The comparative study revealed that most audits on energy transition provide in-depth analyses that contribute to improving public policies. The methodologies employed combine traditional audit techniques with structured assessments using risk evaluation and verification tools. Countries have applied sampling techniques to assess specific programs and conducted field inspections to validate information. Transparency and data reliability are reinforced through specialized analyses and well-established monitoring systems. The gap analysis approach proved effective in identifying challenges and proposing solutions.

The international experience also underscored the importance of balancing the three core pillars of energy transition—energy security, energy equity, and environmental sustainability—commonly referred to as the “Energy Trilemma.” These dimensions were consistently considered in the examined audits, highlighting the need to balance climate goals, social protection, and economic feasibility

The study further emphasizes the importance of aligning energy policies with long-term national strategies, integrating program targets with strategic guidelines, and recognizing the fundamental role of robust economic projections in estimating the impacts of subsidies and investments needed for decarbonization.

Beyond these analyses, the study identified best practices and recommendations ranging from the adoption of tools such as big data, statistical modelling, and energy forecasting to the necessity of an integrated national plan with clear targets and continuous monitoring mechanisms. The exchange of these best practices among SAIs serves as a reference for strengthening governance and fostering innovations in the oversight of public policies.

Commitment to Sustainability

Supreme Audit Institutions play a crucial role in the global energy transition by promoting transparency and accountability in public policies. By auditing topics such as energy security, renewable energy, financing, and social sustainability, SAIs strengthen investor confidence and drive more effective public policies.

The study highlighted the growing efforts of SAIs to innovate audit methodologies and implement advanced practices that enable institutions to provide more precise and impactful recommendations, ultimately enhancing the success of energy transition policies.

The findings from this benchmarking study contributed to the development of TCU’s Energy Transition Audit Guide, which will guide future external audit actions at both national and international levels. The publication of this study reflects TCU's commitment to promoting sustainability and efficiency in public management.

For more details and to read the full study, visit Energy Transition: Audit and Innovation.