This special interest group is where customer care professionals share tactics on how utilities are improving interactions with their customers. 


Power prices: opportunity (Brazil)

Rafael Herzberg's picture
Consultant energy affairs, Self employed

Rafael Herzberg- is an independent energy consultant, self-employed (since 2018) based in São Paulo, Brazil* Focus on C level, VPs and upper managers associated to energy related info, analysis...

  • Member since 2003
  • 2,271 items added with 1,317,674 views
  • Jan 9, 2023

Power prices: opportunity (Brazil)

Two factors contribute to the market's very attractive ongoing deregulated prices:

1°) Reservoirs

That supply the hydroelectric plants (which represent the largest fraction of the country's power matrix) are full!

2nd) Demand

The Brazilian GDP is anaemic and therefore the demand for energy is low


* Long-term (2024 to 2027) market price is at BRL 130/MWh 

* Long-term "equilibrium" price is BRL 167/MWh

This is the calculation I always do (marginal cost of expansion).

Bottom line: market prices are BELOW the one that would properly compensate the power generation investmentos.

1 USD = BRL 5.2


No discussions yet. Start a discussion below.

Rafael Herzberg's picture
Thank Rafael for the Post!
Energy Central contributors share their experience and insights for the benefit of other Members (like you). Please show them your appreciation by leaving a comment, 'liking' this post, or following this Member.
More posts from this member

Get Published - Build a Following

The Energy Central Power Industry Network® is based on one core idea - power industry professionals helping each other and advancing the industry by sharing and learning from each other.

If you have an experience or insight to share or have learned something from a conference or seminar, your peers and colleagues on Energy Central want to hear about it. It's also easy to share a link to an article you've liked or an industry resource that you think would be helpful.

                 Learn more about posting on Energy Central »