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On the electrical two-part tariff—The Brazilian perspective

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  • Steele Santos, Paulo E.
  • Coradi Leme, Rafael
  • Galvão, Leandro

Abstract

This paper discusses, in terms of Brazil's situation, the use of a nonlinear pricing approach in the application of a two-part tariff to electricity distribution networks. The principles that uphold charging access and usage are to optimize energy systems that are based on a generation technology mix. Such a pricing approach is used in Brazil, where the generation mix is mainly hydro-generation. This study shows that, in a case like Brazil's, a two-part tariff may be used as a tool for network optimization. The paper presents a design for a two-part tariff for a distribution system with varying consumer behavior. To validate the discussion, we offer a numerical example. Finally, remarks are given concerning pricing access and usage for low voltage level consumers.

Suggested Citation

  • Steele Santos, Paulo E. & Coradi Leme, Rafael & Galvão, Leandro, 2012. "On the electrical two-part tariff—The Brazilian perspective," Energy Policy, Elsevier, vol. 40(C), pages 123-130.
    • Handle: RePEc:eee:enepol:v:40:y:2012:i:c:p:123-130
    DOI: 10.1016/j.enpol.2011.10.029
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    Cited by:

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    2. Juan Pablo Herrera Saavedra & Natalia Cantor Vargas & Jenny Paola Lis Gutiérrez & Jacobo Alberto Campo Robledo, 2014. "Discriminación de precios de segundo grado: el caso de tarifas multi-clase para el registro marcario en Colombia," Revista Facultad de Ciencias Económicas, Universidad Militar Nueva Granada, vol. 0(1), pages 63-78, June.
    3. Leme, Rafael C. & Paiva, Anderson P. & Steele Santos, Paulo E. & Balestrassi, Pedro P. & Galvão, Leandro de Lima, 2014. "Design of experiments applied to environmental variables analysis in electricity utilities efficiency: The Brazilian case," Energy Economics, Elsevier, vol. 45(C), pages 111-119.
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