RIO DE JANEIRO, BRAZIL – Consumers benefiting from the Social Tariff for Electrical Energy will be charged the green flag in March, with no increase in their electricity bills.
The decision was announced yesterday, February 25, by the National Agency of Electrical Energy (ANEEL). However, other users will be charged the Water Scarcity Flag, which stands at R$14.20 (US$2.75) per 100 kWh consumed.
According to the government, this extra charge was necessary in order to cover energy costs, which have risen as a result of the water shortage period in 2021, the worst in 91 years. The Water Shortage flag will remain in effect until April 2022.
Minister of Mines and Energy Bento Albuquerque believes that as of April the Water Scarcity flag will no longer be in effect.
“We believe that the Water Shortage flag will not be needed from April. It was used to pay for the additional power generation cost. As we didn’t have water to run our hydroelectric plants, we were forced to buy energy from abroad, from Argentina, from Uruguay, and we had to use our thermoelectric plants, which are more expensive because of oil and gas.”