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The end of solar energy? Distributors ask for 70% reserve with new law – PL 4831, bringing uncertainty and revolt to those who invested in renewable energy in Brazil!

Written by Valdemar Medeiros
Published 24/12/2024 às 11:10
Solar energy - taxation of the sun - PL 4831
Photo: Reproduction

Energy distributors want 70% reservation through PL 4831 for solar taxation, leaving entrepreneurs and installers of solar energy systems worried.

END OF SOLAR ENERGY? Energy distributors are now demanding, through PL 4831, 70% market reserve. This was the information released in recent days and it caused a lot of repercussion. However, this solar tax project is not recent, having been launched since the middle of last year and now the urgent request. 

Understand how PL 4831 benefits energy distributors and it could be the end of solar energy

It is in the interest of energy distributors to hold 70% of the market, in other words, the companies want, with PL 4831 on solar taxation, that 70% of energy users electricity do not have the right to install a solar energy system and consume their own generation, with only 30% having this right.

When reaching 30% of customers with photovoltaic systems, energy distributors will deny any request for access for installation. Currently we have more or less 8% of users who have solar energy, that is, around 12 million projects that have already been installed. So when it reaches 30%, the objective of PL 4831 it would supposedly kill the solar installation industry.

In this way, the market would accept installations until a maximum of 2028 and from then on, energy distributors would prohibit installations to guarantee this 70% reserve.

Around 70% of users will continue to be captives, purchasing 100% from distributors and not being able to install any system. Sector experts, in relation to PL 4831 of taxation of the sun They state with complete certainty that nothing will happen to the segment, even if governments in general are not so supportive and are on the side of the energy distributors.

Experts say that PL cannot harm the solar energy sector

In 2019, when the taxation of solar energy began, there was the same concern that the solar energy sector would end and we have already reached 2024 even with the taxation. There was an agreement that was good for distributors and not so good for consumers, but it wasn't enough to 'kill the sector', which continues to do very well.

The market has carried out several installations across the country. Still according to experts, assuming that PL 4831 on solar taxation is approved, it will have to undergo changes.

Experts point out that the project will probably undergo changes during processing to reconcile the interests of different stakeholders such as the government, energy distributors and the energy sector. distributed generation, which includes solar energy.

These changes can mitigate the negative impact pointed out by critics of the project, such as restrictions on the growth of solar DG. In short, many of those who are there to defend will not accept 70%, however it is not known for sure how many percent will remain in the end.

Why can't solar taxation negatively impact the segment?

Even though energy distributors get a percentage from solar taxes, the solar energy sector will not be affected, as we will never be able to adopt 100% of energy users.

Not everyone can purchase solar energy systems on the roof for several reasons, the main one being the lack of space on the roof, the vast majority of the population has land available for installation and remote generation which is not very worthwhile. 

This market reserve that the electric company is demanding will exist regardless of whether PL 4831 is approved or not, because not everyone will install solar energy. As a result, experts say that entrepreneurs and installers should not be worried about the approval of the bill.

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Márcio
Márcio
24/12/2024 19:38

Brazil is seen as a country of scams

Paul Torres
Paul Torres
24/12/2024 20:02

Country of junk...nowhere in the world is there so much junk per square meter

Renato
Renato
In reply to  Paul Torres
26/12/2024 18:57

Do the L

Antonio Araújo
Antonio Araújo
In reply to  Renato
26/12/2024 20:10

See which party the author of this PL is from, then even you will do the L

Alberto
Alberto
In reply to  Antonio Araújo
27/12/2024 04:57

Author Deputy João Carlos Bacelar (PL-BA)

Enois
Enois
In reply to  Alberto
27/12/2024 07:02

He studied with me. I know who he is!

Jorge Emerson
Jorge Emerson
In reply to  Alberto
28/12/2024 13:50

Party allied with Bolsonaro.

Claudio
Claudio
In reply to  Renato
27/12/2024 16:51

What does this have to do with L? These PLs are the ones who make them become law are our rich federal deputies.

Valdemar Medeiros

Journalist in training, specialist in creating content with a focus on SEO actions. Writes about the Automotive Industry, Renewable Energy and Science and Technology

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