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Electricity Market in Brazil: A Critical Review on the Ongoing Reform

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  • André Quites Ordovás Santos

    (Research Group on Energy & Energy Sustainability (GPEnSE/CNPq), Federal University of Latin American Integration (UNILA), Paraná, CEP 85866-000, Brazil)

  • Adriel Rodrigues da Silva

    (Research Group on Energy & Energy Sustainability (GPEnSE/CNPq), Federal University of Latin American Integration (UNILA), Paraná, CEP 85866-000, Brazil)

  • Jorge Javier Gimenez Ledesma

    (Research Group on Energy & Energy Sustainability (GPEnSE/CNPq), Federal University of Latin American Integration (UNILA), Paraná, CEP 85866-000, Brazil)

  • Adriano Batista de Almeida

    (Department of Electrical Engineering, State University of Western Paraná (UNIOESTE), Paraná, CEP 85870-650, Brazil)

  • Marco Roberto Cavallari

    (Research Group on Energy & Energy Sustainability (GPEnSE/CNPq), Federal University of Latin American Integration (UNILA), Paraná, CEP 85866-000, Brazil)

  • Oswaldo Hideo Ando Junior

    (Research Group on Energy & Energy Sustainability (GPEnSE/CNPq), Federal University of Latin American Integration (UNILA), Paraná, CEP 85866-000, Brazil
    Department of Electrical Engineering, State University of Western Paraná (UNIOESTE), Paraná, CEP 85870-650, Brazil)

Abstract

With the current worsening of climate change-associated risks, the transition to low-carbon energy sources has become a global priority. In this context, the advances in the implementation of smart grids, which, in addition to greater efficiency and resilience, also allow greater penetration of renewable distributed energy resources, are becoming increasingly important. However, the necessary investments will be colossal. Many specialists see the process of opening up the electric energy markets as essential to boosting these new technologies. Greater decentralization of the decision-making process can potentially promote greater scalability. However, not all liberalization reforms have led to good results. Several researchers have been evaluating experiences in different countries. Brazil, a country with continental dimensions and peculiar characteristics, already counts with a mostly renewable electric energy generation mix. In recent decades, however, it has become increasingly dependent on fossil fuel sources. Brazil has been conducting a process of opening the electric energy market since the 1990s. This process has faced a series of barriers. This article presents a critical bibliographic review of the Brazilian Power System history and its ongoing opening process, its possible successes and errors, as well as its perspectives and challenges.

Suggested Citation

  • André Quites Ordovás Santos & Adriel Rodrigues da Silva & Jorge Javier Gimenez Ledesma & Adriano Batista de Almeida & Marco Roberto Cavallari & Oswaldo Hideo Ando Junior, 2021. "Electricity Market in Brazil: A Critical Review on the Ongoing Reform," Energies, MDPI, vol. 14(10), pages 1-23, May.
  • Handle: RePEc:gam:jeners:v:14:y:2021:i:10:p:2873-:d:555629
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    References listed on IDEAS

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    Cited by:

    1. Štefan Bojnec & Alan Križaj, 2021. "Electricity Markets during the Liberalization: The Case of a European Union Country," Energies, MDPI, vol. 14(14), pages 1-21, July.
    2. Rodrigo Antonio Sbardeloto Kraemer & Douglas Pereira Dias & Alisson Carlos da Silva & Marcos Aurelio Izumida Martins & Mathias Arno Ludwig, 2022. "Cost and Cybersecurity Challenges in the Commissioning of Microgrids in Critical Infrastructure: COGE Case Study," Energies, MDPI, vol. 15(8), pages 1-14, April.
    3. Robson Porsch Delavechia & Bibiana P. Ferraz & Raul Scapini Weiand & Leonardo Silveira & Maicon Jaderson Silveira Ramos & Laura Lisiane Callai dos Santos & Daniel Pinheiro Bernardon & Rui Anderson Fer, 2023. "Electricity Supply Regulations in South America: A Review of Regulatory Aspects," Energies, MDPI, vol. 16(2), pages 1-33, January.
    4. Maestri, Cláudia Olímpia Neves Mamede & Andrade, Maria Elisabeth Moreira Carvalho, 2022. "Priorities for tariff compensation of distributed electricity generation in Brazil," Utilities Policy, Elsevier, vol. 76(C).
    5. Frederico de Oliveira Assuncao & Luiz Eduardo Borges-da-Silva & Helcio Francisco Villa-Nova & Erik Leandro Bonaldi & Levy Ely Lacerda Oliveira & Germano Lambert-Torres & Carlos Eduardo Teixeira & Wils, 2021. "Reduced Scale Laboratory for Training and Research in Condition-Based Maintenance Strategies for Combustion Engine Power Plants and a Novel Method for Monitoring of Inlet and Exhaust Valves," Energies, MDPI, vol. 14(19), pages 1-23, October.
    6. Mateusz Piwowarski & Mariusz Borawski & Kesra Nermend, 2021. "The Problem of Non-Typical Objects in the Multidimensional Comparative Analysis of the Level of Renewable Energy Development," Energies, MDPI, vol. 14(18), pages 1-24, September.

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