Issue 64 • April 2012

The Roller Coaster of the PLD


The abrupt increase of the PLD in the months of March and April 2012 surprised many agents of the electricity sector, causing a great impact on consumers and energy traders. This price rise occurred despite the current scenario of generation oversupply, and despite the rainy season inflows (November to March) having been very close to the long-term average. PSR examines the forecasts of the April PLD performed from November to March, and outlines some possible causes for this sudden change.


Themes of this issue: (i) ANEEL accepts the possibility of changes in new energy contracts, originated from bilateral agreements between generation and distribution utilities; (ii) regulations for mini and micro generation; (iii) discount on TUST and TUSD for solar energy; (iv) review of the CAR; and (v) public hearing for postponement of PROINFA.


In late March 2012 a civil action was issued contesting the validity of Teles Pires hydro plant environmental licenses, along with an injunction ordering the suspension of the works. This section analyzes the justifications given by Public Prosecution for this decision.


This section presents an overview of energy supply in Brazil, through the structural balances of supply and of peak developed by PSR. We analyze such factors as delays in new power plants, transmission constraints and uncertainties in future generation.

Electronically published since 2006, the PSR Energy Report is a monthly newsletter developed by PSR, whose main objective is to present a comprehensive and current analysis of regulatory, legal issues, water resources and environment and supply of the electricity sector in Brazil.