The scare, the benefit and the cost

OPINION

In this issue we discuss the procedure for calculating the risk of rationing and the interpretation of the results, and the possible impact of conjunctural factors in the new electricity tariffs, particularly due to contracts by availability and to transfer of thermoelectric generation costs via ESS.

REGULATIONS

This section addresses the following issues: (i) a new provisional measure and a new decree alter once again the sector's model; (ii) conversion of Provisional Measure No. 579 into law; (iii) provisions vetoed by the Executive Branch in the new law; and (iv) implementation of the new measures.

JURIDICAL

This section makes an analysis of the evolution of legislation and regulations that govern situations of electric energy rationing, giving special attention to the possible consequences of such an event on the regulated contracts for electric energy marketing.

ENVIRONMENTAL

In this section, we analyze the fact that Decree No. 41318 becomes, as of now, part of the environmental licensing process of thermal power plants in Rio de Janeiro State. This Decree establishes that any investment in these plants must be accompanied by other investments in renewable energy e energy efficiency projects.

SUPPLY

This section presents an overview of electric energy supply in Brazil.