Electricity sector reform aims to reduce regulated tariffs by 10%; minister says there is an imbalance in tariff justice
The Minister of Mines and Energy, Alexandre Silveiradid not indicate whether there will be an increase in the energy tariff in the free energy market to balance the 10% reduction in the regulated market bill, as promised in the government’s proposal for reform of the electricity sector.
Speaking to journalists this Wednesday (11.Sep.2024), Silveira declared that “tariff justice” is a pillar of the project, but did not detail how this rebalancing would be achieved. “I’m not going to say that the free market will pay for it, because that wouldn’t be right, but what I’m saying is that those in the high-voltage market pay less than the regulated market and that’s not fair tariffs.”said Silveira.
The minister confirmed that the government’s intention is for the proposal to reform the electricity sector to be presented to the National Congress in September, but stated that the text has not yet been finalized. According to Silveira, the project has already been passed by the Civil House and returned to the Ministry of Mines and Energy for adjustments.
In an interview with Poder360 On Tuesday (10.Sep), Silveira explained that the project also aims to make it easier for consumers to migrate to the free market. Here are the main points of the reform project:
- tariff justice – correct distortions in the rules of the free energy market to balance costs between free and regulated consumers (served by distributors);
- freedom for the consumer – allow the opening of the free energy market to 100% of consumers, including residential ones, from 2028 to 2030;
- sector rebalancing – review of benefits that exist for some segments in a way that is disconnected from electrical planning.
It has not yet been defined whether the reform will come as a PL (Bill) or as a provisional measure.
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