Brazil’s distributed generation reform to respect existing users

Facebook
Twitter
LinkedIn
Reddit
Email
ANEEL: Current distributed rules set to create 'high costs' for other customers and must be reformed (Credit: AES)

The distributed generation arrangements of tens of thousands of Brazilians will be respected by a reform poised to see the light later this year, power market regulator ANEEL has confirmed.

The new rules slated for publication in H2 2019 will only apply to new connections in Brazil, said Daniel Vieira, adviser to ANEEL’s board, at a meeting recently arranged by PV association ABSOLAR.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

The move, he added, will help preserve the “legal certainty and the contracts of the pioneers who believed in this technology”.

The decision is likely to bring respite to the less than 75,000 consumers who – ABSOLAR estimated as of early February 2019 – have been connected to a distributed generation system and injected the surplus back to the network since 2012, when ANEEL first set out the rules.

The figure is not “even a drop in the ocean” of Brazil’s 84 million “captive” consumers serviced by mainstream distributors, ABSOLAR believes. “The fact remains that we are far behind the world,” the trade body commented in early February.

PV and distributors lock horns over reform

Regulator ANEEL has worked in the past few months to fuel a debate on the distributed generation overhaul.

At public hearings and other events, the agency has stressed its support to the innovation – which it is sees as “inexorable” and “empowering for consumers” – but also defended the need for reform.

“Studies indicate that maintaining the current rules indefinitely can lead to high costs for the other users of the network, who did not install their own generation,” ANEEL has argued.

The debate process has been accompanied by opposing lobbying efforts by the PV and mainstream distributor camps. Earlier this year, ABSOLAR criticised the latter for resisting a “new reality” of distributed generation and “intentionally leaving out” its economic, environmental and social benefits.

The distributed generation talk comes at an auspicious time for the broader Brazilian PV ecosystem. The industry recently broke the 2GW installed capacity mark – twice the volume recorded one year earlier – and is gearing up to upcoming auctions, starting with a 27 June tender.

Read Next

April 29, 2025
Developer Nexamp has closed a US$340 million debt refinancing for a portfolio of distributed solar and energy storage projects in the US.
Premium
April 28, 2025
Carrie Xiao assesses the impact of Chinese policy changes as developers rush to complete projects before rules change and module prices go up.
April 25, 2025
Austria has announced a 'Made in Europe' bonus of 20% to government funding for PV and storage projects that use components made in Europe.
April 22, 2025
Solar PV developer Atlas Renewable Energy has secured US$510 million in financing for a solar-plus-storage project in Antofagasta, Chile.
April 22, 2025
Colombian energy supplier Celsia has acquired a 375MW solar PV portfolio in Colombia from renewables developer Mainstream Renewable Power.
April 16, 2025
Ofgem will remove 'zombie projects' from the country's grid connection queue and streamline the connection process for new projects.

Subscribe to Newsletter

Upcoming Events

Media Partners, Solar Media Events
May 7, 2025
Munich, Germany
Solar Media Events
May 21, 2025
London, UK
Solar Media Events
June 17, 2025
Napa, USA
Solar Media Events
July 1, 2025
London, UK
Solar Media Events
July 1, 2025
London, UK