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Home / News / Policy and Regulation / The Chamber of Deputies removes the tax on distributed generation in the report on Provisional Measure 1.304.

The Chamber of Deputies removes the tax on distributed generation in the report on Provisional Measure 1.304.

The text returns to the Federal Senate, where it will be discussed and voted on by the House's parliamentarians.
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  • Photo by Henrique Hein Henrique Hein
  • October 30, 2025, at 16:30 PM
1 min 22 sec read
The Chamber of Deputies removes the tax on distributed generation in the report on Provisional Measure 1.304.
Plenary session of the Chamber this Thursday (30). Photo: Kayo Magalhães/Chamber of Deputies

The plenary of the Chamber of Deputies approved, this Thursday (30), by 233 votes to 148, the removal of the article in the report of Senator Eduardo Braga (MDB-AM) of MP 1304/2025 that provided for the collection of R$ 20,00 for every 100 kWh compensated by new GD (distributed generation) projects.

The device It was part of the text approved hours earlier in the Joint Committee of the Provisional Measure. Its exclusion was considered a victory for the solar energy sector, as it removed an additional cost that could discourage investment and compromise the expansion of micro and mini-generation in the country.

According to industry associations, the decision reinforces the understanding that distributed generation (DG) is a pillar of the energy transition and the democratization of access to clean energy, and should be treated as part of the solution, not as a burden on the consumer.

Behind the scenes, the push to remove the passage was led primarily by Representatives Lafayette de Andrada (Republicanos-MG) and Pedro Uczai (PT-SC), who defended the issue on the floor and managed to mobilize different political groups. 

Lafayette, in fact, guided the vote representing the Republican Party, the opposition and minority party. “They want to charge those who are generating their own energy (…) They are killing distributed generation from now on. Starting tomorrow, there will be no more distributed generation,” the congressman said in the plenary session. 

Now, the proposal will go to the Federal Senate, where further negotiations are expected before the final vote on Provisional Measure 1.304, which needs to be approved by November 7th to remain valid.

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Câmara dos Deputados deputy Lafayette de Andrada GD (distributed generation) MP for the reform of the electricity sector
Photo by Henrique Hein
Henrique Hein
He worked at Correio Popular and Rádio Trianon. He has experience in podcast production, radio programs, interviews and reporting. Has been following the solar sector since 2020.
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An answer

  1. Marcelo Silva said:
    1 November 2025 to 15: 39

    This is thanks to the good work of the opposition and the minority, since the government voted as a bloc to maintain the absurd taxation on solar power generation in the text of the provisional measure.

    Reply

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