Energy: Risk Mitigation (Brazil)

Energy: Risk Mitigation (Brazil)

Rationing, service interruptions, and/or curtailments in the electricity supply have recently emerged as key topics regarding the medium-term outlook.

Officially, the focus is on the Capacity Reserve Auction (LRCAP) to ensure the operational stability of the National Interconnected System, particularly given the growth of intermittent renewable sources such as solar and wind power.

The capacity reserve auction contracts power availability from dispatchable plants—such as those fueled by natural gas, oil, or biodiesel, as well as hydroelectric plants—allowing the National Electric System Operator (ONS) to activate them as needed, without requiring continuous generation.

Consumers now face a critical decision: trust that ANEEL (regulator), the ONS (Independent System Operator) , and the MME (Ministry of Mines and Energy) will effectively resolve this challenge, or should they take the initiative to implement their own local generation solutions to avoid the financial losses associated with supply interruptions.

For companies, the reality is straightforward: the losses resulting from interruptions are—as a rule—dozens of times higher than the cost of the undelivered electricity, as they represent the loss of associated revenue.

So, what is your stance on this matter?