Dangerous contradictions (Brazil)
Whoever is a regulated energy user in Brazil pays for the existing scams in the electricity sector. The deregulated, on the other hand, obtains a list of advantages, which are reflected in much lower costs than the regulated.
And it is worth mentioning that the cost of producing one kWh is the same! What changes are associated costs, such as tariff flags, power theft, subsidies that are embedded in regulated rates.
The free market prices for future delivery has been falling for over a year now. The regulated have been rising!
Remaining a regulated energy user becomes indefensible for everyone who can (by regulation) migrate. After all, why pay way more?
Along the same lines, it is worth considering that in a few years the free market will also be available to residential consumers. And then - potentially - migrating will be an exceptional alternative.
Unless our regulators create the "tortoises" (as they are known in the Brazilian electricity sector to identify costs originated by sweet heart deals that are transferred to the rates).
Rafael Herzberg
Expert Member
Top Contributor