The National Electric Energy Agency (Aneel) informed that it will keep the green flag activated in September for all consumers connected to the national electricity system. With the decision, electricity bills continue without additional charges for the fifth consecutive month.
“This signal reflects good conditions for generating electricity without additional charge on electricity bills, even considering the forecast for growth in energy consumption in the country,” the agency said in a note.
The green flag has been in effect since April 16. From September 2021 to April 15, consumers paid an additional BRL 14.20 per 100 kilowatt-hours (kWh) consumed, referring to the water scarcity flag. The threshold was created to cover the costs of measures adopted due to severe shortages in reservoirs.
The tariff flag system was created in 2015 to indicate the costs of energy generation in the country to consumers and mitigate the impacts on energy distributors’ budgets.
Before, the cost of energy in times of more difficult generation was passed on to tariffs only in the annual readjustment of each company, with interest. In the current model, resources are charged and transferred to distributors on a monthly basis through the “Bandeira account”.
The green flag, when there is no additional charge, means that the cost of producing energy is low. The yellow and red flags 1 and 2 represent an increase in the cost of generation and the need to activate thermal plants, which is mainly linked to the volume of the reservoirs.
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