Is it worth the cost of our (Brazilian) regulation?
The question seems naughty!
Theoretically, of course yes!
In practice, the analysis points to a negative answer. A simple but emblematic example.
Unplanned power interruptions that are, on paper, carefully established and perfectly well allocated among everyone involved:
ANEEL (REGULATOR)
The regulator must monitor whether participants in the value chain (generation, transmission and distribution) are complying with the established rules.
CITY HALLS
They must ensure that low voltage power grids are free and unobstructed in their surroundings, precisely to prevent branches or even trees from reaching them and interrupting the supply.
DISTRIBUTORS
They must keep their medium and high voltage power grids free and unobstructed in their surroundings, precisely to prevent branches or even trees from reaching them and interrupting the supply.
In the tariffs there is an allocation of costs to precisely enable this regulatory care. Everyone involved is PAID to enforce the regulation.
The concrete fact, here in the region where I live, for example, in the south of São Paulo, Capital, presents an indicator of hours of unplanned interruptions per year that is dozens of hours the regulatory limit.
This is not an episodic fact. It repeats itself every year. Especially in summer, when rains and winds always occur.
Given the current situation, it would be preferable to reduce tariffs by the amount allocated for pruning and cleaning around the power grids, as this is NOT done. In my opinion, the situation described constitutes THEFT.