Brazil’s government working to avoid electricity rationing during drought

RIO DE JANEIRO, BRAZIL – The Ministry of Mines and Energy said that energy sector institutions have been working “tirelessly” to curb risks of energy rationing in the country, due to the hydrological crisis.

“Energy sector institutions continue to work tirelessly to provide energy security in the year experiencing the worst water crisis on record in 91 years,” the Ministry said in a statement.

The problem has also been discussed in the federal government’s situation room, created to address the issue, with the participation of several public administration agencies.

“Thus, with the timely action of all involved and considering how much the Brazilian electricity sector has evolved, the federal government, in coordination with federated entities, has been exploring all measures within its reach that will allow us to undergo the 2021 dry period without imposing an electricity rationing program on Brazilians,” said the Ministry.

The note was published on Saturday, June 12, after reports that the government is preparing a Provisional Measure (MP) to allow adopting an energy rationing program in Brazil.

According to the report, the measure would create a “compulsory electricity consumption rationing program, with a committee to implement measures to reduce energy consumption, with powers to determine the reduction of water flow in reservoirs of the country’s main hydroelectric basins.”

Also according to the report, the program provides for the possibility of priority adoption of thermoelectricity with increased costs paid by the consumers on their electricity bill.

In the note, the Ministry does not address the possibility of decreeing an MP. The Ministry further advises that the “timely measures occur due to the rainfall shortage that has affected energy generation in Brazil”. Some 65% of electricity production in the country comes from hydroelectric plants.

Also according to the Ministry, although hydroelectric power is the main source of energy in the country, since 2001 the share of this source has been giving room to others such as wind, thermoelectric and solar energy.

“In an intentional strategy to diversify this matrix, seeking to reduce dependence on hydroelectricity, one of the main vulnerabilities identified in the rationing observed in 2001,” said the Ministry.

The note also highlights that, as well as diversifying the energy matrix, the coordinated action of entities such as the National Agency of Electrical Energy (ANEEL), the Energy Research Company (EPE), the National Agency of Petroleum, Natural Gas and Biofuels (ANP), the National Operator of the Electric System (ONS) and the Chamber of Commercialization of Electrical Energy (CCEE) aims to ensure security in the supply of electricity to the population.

“In this respect, the tireless efforts the sectorial institutions are currently developing, in the present context of critical hydrology, for the adoption of measures aimed at expediting the implementation of measures to ensure the normal supply of electricity to the entire population, is based on this very competent and consistent institutional base, which has ensured that there will be no shortage of electricity for Brazilians,” said the Ministry.