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Rafael Herzberg
Rafael Herzberg
Expert Member
Top Contributor

Trend in electricy prices (Brazil)

Trend in electricy prices (Brazil)

Power prices on the free market are still attractive in relation to regulated tariffs BUT there is an upward trend to be considered.

In the last twelve months, free market prices rose 25%.

And the natural tendency would be for them to continue to rise. For a very simple reason: current prices do not cover the cost of amortizing the invested capital ("CAPEX") and this situation is not sustainable in the long term.

What is keeping prices low is abundant  supply and weak demand.

It will be worth considering this scenario to make good quality decisions when contracting power for your company or institution.