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Home More expensive electricity bill due to water crisis, the biggest in 91 years in Brazil, increases product prices in malls and brakes end-of-year sales in stores

More expensive electricity bill due to water crisis, the biggest in 91 years in Brazil, increases product prices in malls and brakes end-of-year sales in stores

24 November 2021 to 09: 09
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energy - electricity bill - price - electricity - shopping - commerce - water crisis

Cascading effect: an increase in the electricity bill impacts on the value of products, and the rise in prices will harm sales at the end of the year.

Brazil faces, in 2021, the worst water crisis since 1930. According to the National Electric System Operator, this is the most critical moment in 91 years of monitoring of river basins. In September alone, the reservoirs of the Southeast and Midwest system, responsible for 70% of the country's energy generation, operated at around 19% of their capacity.

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One of the sectors most affected by shortages in reservoirs is the supply of electricity. The effects of the crisis also hit the pockets of consumers, who bear additional expenses that go beyond the electricity bill.

Readjustments in electricity tariffs can increase the prices of products in shopping malls in the country by up to 30%

According to the Brazilian Association of Shopping Store Owners (Alshop), readjustments in electricity tariffs can increase the prices of products in shopping centers in the country by up to 30%. The main reason for this increase is related to inflation, a situation in which final consumers are the most affected and which can curb year-end sales, a period in which trade is heated due to Christmas and New Year.

According to Luis Augusto Idelfonso, Alshop's institutional director, the price adjustment may occur due to different factors. In a note released to the press, he said that the main one is the correction in the condominium fees that the mall charges from tenants.

With the increase in electricity, maintenance costs for the mall increase considerably, since the electricity bill represents up to 45% of the condominium cost.

Outro ponto de preocupação é a correção vinda dos produtores de matéria-prima e das indústrias, também em decorrência do aumento da tarifa de luz. Quando uma das fontes primárias de produção é impactada dessa forma, acontece uma reação em ******: aumenta o valor da energia elétrica, que faz os custos de produção subirem, impactando no preço ofertado às lojas que, por sua vez, repassam a alta ao consumidor.

In the field of retail, one of the ways to overcome this increase is to make smarter choices and save where possible. Whether changing lighting for LED lights, deploying a solar or wind energy system, or even opting for devices that use less energy. Every action must be thought out to reduce costs.

How retailers can save on energy

Also according to Alshop, air conditioning represents about 60% of electrical expenses in commerce. Therefore, it is essential that shopkeepers give priority to more modern and economical air conditioning devices.

On its blog, Frigelar, a company specializing in refrigeration and air conditioning, published an article that shows the way to select the most economical technology for acclimatizing physical store environments.

According to the publication on the best air conditioning option for trade, there are many models and technologies on the market that can reduce energy consumption and help with the establishment's savings. To choose the ideal device, however, it is necessary to consider some important factors, such as the size of the environment and the power of the device, the voltage and voltage, the thermal load, among others.

Basically, there are several options on the market that can lower the final cost. One of them is Inverter technology, which consumes less electricity and can reach savings of up to 40% compared to the conventional model.

Another alternative is to carry out an air conditioning project, in which technicians specialized in the subject prepare a solution with the best cost-effectiveness for each establishment.

According to Frigelar, one of the most popular and recommended models for trade is the floor-to-ceiling air conditioner, considered very effective in acclimatizing environments. The device was specially developed for places with large flows of people and is very useful for larger spaces.

Regarding the change in lighting, it is worth opting for LED , which last much longer and consume up to 90% less electricity than fluorescent lamps. Although they have a higher initial cost, in the long term the investment is justified in terms of the economy.

The impact of the price increase on trade

The water, economic and health crises have caused many difficulties for the economy in general. In retail, high unemployment rates and lower wages end up discouraging the consumption of material goods and aggravating the recession.

After the long period of quarantine, which drastically affected the billing of shopping centers and retail in general, the segment is recovering and sees the increase in product prices as yet another obstacle to face.

Therefore, adopting good practices to save energy is important to minimize the situation. It is an action that does not solve the problem in its entirety, but it contributes to the financial health of the stores.

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