Federal Government Aid – Subsidy for Small Distributors, with 350 GWh/Year, Will Receive R$ 15 Million in 2022

Written by Roberta Souza

Published on 03/02/2022 at 08:35

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Law Sanctioned In January Allows Utilization Of CDE Resources To Equalize Tariffs For Companies Below 350 GWh/Year With Those Of Larger Utilities

In 2022, seven small distributors with their own market under 350 GWh/year will receive a total of R$ 15 million from a new subsidy provided by the Energy Development Account aimed at tariff scarcity. The economic aid was defined in a law sanctioned by the Federal Government in January and will be applied, thus far, only to the low voltage sector, which will benefit consumers from the distributors João Cesa, Forcel, Urussanga, Sulgipe, Cocel, Cooperaliança, and DCelt.

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The National Electric Energy Agency (Aneel) will also regulate the aid defined in Law 14,299 for smaller utilities; however, it opted to immediately apply what is provided for in the legislation, aiming to equalize the tariffs of these companies to those of large distributors in the same state.

This assistance will result in a decrease in the average tariff for group B, which will vary from 3.66% to 30.25%, depending on the utility. The tariffs came into effect on January 6 and will remain until the month in which the tariff process for each of them occurs throughout 2022. According to Aneel’s calculations, R$ 2.2 million will be transferred monthly from the CDE until the end of August, when the last companies will receive adjustments.

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Companies That Will Not Undergo Adjustments

Eight of the 15 utilities with a market below 350 GWh/year will not need any adjustments, as they have a tariff level for group B lower than that of adjacent utilities. These utilities are: Energisa Nova Friburgo, DMED, Eletrocar, Demei, Chesp, Hidropan, Uhenpal, and Mux Energia.

According to an explanation from Aneel, for the low voltage market, “there is technical conviction regarding the application of the legal provision.” The complete regulation, which is planned for a second phase, will require a deeper analysis that will also include, in addition to group A (high voltage), the effects of the law on tariff processes, impacts on the Energy Development Account, and the timing of the regulation’s implementation, along with other aspects. The discussion will be held through public consultation.

Federal Government Aid – Subsidy for Small Distributors, with 350 GWh/Year, Will Receive R$ 15 Million in 2022

Law Sanctioned In January Allows Utilization Of CDE Resources To Equalize Tariffs For Companies Below 350 GWh/Year With Those Of Larger Utilities

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Companies That Will Not Undergo Adjustments

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Federal Government Aid – Subsidy for Small Distributors, with 350 GWh/Year, Will Receive R$ 15 Million in 2022

Law Sanctioned In January Allows Utilization Of CDE Resources To Equalize Tariffs For Companies Below 350 GWh/Year With Those Of Larger Utilities

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On the Greek island of Ithaca, archaeologists have found what may be a sanctuary dedicated to the legendary Odysseus, with inscriptions bearing his name and votive offerings that span from the Mycenaean to the Hellenistic era.

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