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Home / News / Market and Prices / Electricity consumption in Brazil remains stable, points out CCEE

Electricity consumption in Brazil remains stable, points out CCEE

Reduced demand in the regulated environment is associated with the growth of DG
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  • Photo by Ericka Araújo Ericka Araújo
  • February 22, 2023, at 16:45 PM
2 min 16 sec read

After two consecutive months of decline, electricity consumption in Brazil remained stable, ending January with an average demand of 66.794 MW, a volume similar to that recorded in the same period last year.

The prior information is from CCEE Fortnightly InfoMercado Bulletin (Electric Energy Trading Chamber).

Stability shows a slight recovery in Mercado Livre, maintained especially by greater demand from the metallurgical sector. In this segment where industry and large companies purchase energy, consumption was 23.566 average MW, 1,8% higher in the annual comparison.

The regulated market, which serves homes and small businesses, was responsible for a large part of the country's consumption, 43.229 average MW, but continued to decline for the third consecutive month, this time with a slight reduction of 0,9% in relation to same period last year.

The CCEE associates the reduction in demand in the regulated environment mainly with the growth of DG (distributed generation). According to the Chamber, if this type of system did not exist, this environment would have grown by 2,0% compared to January of last year.

Consumption by branch of economic activity

The Commercialization Chamber also monitors the demand for electricity in 15 sectors in Mercado Livre. In the annual comparison, the highest rates of increase were recorded in the Metal Mineral Extraction (10%), Metallurgy and Metal Products (6%) and the Food and Beverage industries, both with a 4% increase. Among those that saw the biggest drops are the Chemicals (-3%), Textiles (-6%) and Non-Metallic Minerals (-7%) sectors.

Consumption by region

In the regional assessment, emphasis on the Northeast, a region where almost all states had higher consumption in January, especially Maranhão, which increased 43% in the annual comparison, the highest rate in the country in the period. Mato Grosso do Sul had the biggest drop, 7%, followed by Rio Grande do Sul (-5%) and Rio de Janeiro (-4%).

Electricity generation

According to the CCEE bulletin, hydroelectric plants continue to play a prominent role in supplying the grid, with production of 54.873 average MW, a volume 4,5% higher compared to the same period last year.

Consequently, thermoelectric plants reduced their share by almost 45%. Alternative sources also continue to gain more space and in January solar farms generated 70% more electricity, while wind farms increased by almost 40%.

The favorable period for electricity generation also allowed Brazil to export 1.133 average MW to Argentina in January.

CCEE Fortnightly InfoMercado Bulletin CCEE Regulated Market
Photo by Ericka Araújo
Ericka Araújo
Communications Leader Canal Solar. Host of Papo Solar. Since 2020, he has been following the renewable energy market. He has experience in producing podcasts, interview programs and writing journalistic articles. In 2019, he received the 2019 Tropical Journalist Award from SBMT and the FEAC Journalism Award.
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