Electricity Prices/Costs: 3 mixed signals in Brazil
- Oct 9, 2021 8:51 am GMT
Electricity Prices/costs: 3 mixed signals in Brazil
A combination of factors makes the scenario of future prices quite confusing.
1. Recent auctions point to very competitive prices
Out of wind, hydraulic and biomass power plants. Even the thermals closed at very reasonable levels!
2. "Trojan horse"
There is a list of not competitive projects with a potential cost increase of USD 10 billion that have a chance of being included in MP 1055, such as
* Gas pipelines to be assigned to electric energy transmission tariffs,
* Extension of subsidies for coal,
* Extension of the market reserve period for the compulsory purchase from small hydro power plants
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