Renato Zimmermann

Brazil is currently experiencing a public and silent war between two models of electricity generation: centralized generation and distributed generation. The recent approval of Provisional Measure 1304, entitled "modernization of the electricity sector," has laid bare this conflict. Despite its name, the proposal represents a step backward towards oligopolistic rule, favoring large economic groups and threatening the advancement of a more democratic and sustainable model. Centralized generation is when energy is produced in large power plants — hydroelectric, thermoelectric, or wind farms — and distributed through extensive networks to consumers. Distributed generation occurs when the consumer generates their own energy, usually through solar panels installed on the roofs of homes, businesses, or rural properties. This model has grown exponentially in Brazil, with millions of photovoltaic systems installed and thousands of small businesses operating in the sector. These companies, all less than a decade old, have invested their capital, knowledge, and purpose in building a new energy paradigm. Today, distributed generation is responsible for more than 2 million systems connected to the grid and generates around 300 direct and indirect jobs in all Brazilian municipalities. It is a silent revolution that decentralizes energy power and strengthens the resilience of communities. However, this revolution is unsettling. Distorted narratives have been spread to discredit solar energy, labeling it as "something for the rich," accusing it of promoting "energy racism," or benefiting from "cross-subsidies." This selective discourse hides the hypocrisy of those who fear losing control over the electricity sector. The truth is that distributed generation democratizes access to energy, reduces costs, increases energy security, and contributes directly to the decarbonization of the energy matrix. The resistance from centralized generation is understandable: the distributed model is disruptive. It breaks with the vertically integrated logic of the electricity sector and proposes a decentralized, digitalized, deregulated, and decarbonized system. Imagine a country where energy is traded end-to-end, between consumers and local producers, without intermediaries. This is the vision I presented at Latinoware, an open technology congress in Paraná, when I proposed energy as "open source," where everyone can freely generate, consume, and trade it. Explaining this to young people is easy. They understand the logic of decentralization, autonomy, and innovation. For those who view the electricity sector solely as a robust and closed system, this idea seems utopian. But it isn't. Distributed energy resources — such as solar panels, batteries, electric vehicles, and intelligent management systems — are already a reality. A clear example is the use of solar panels in the Minha Casa Minha Vida program and in public schools, which reduces costs and frees up resources for education. The true modernization of the electricity sector lies not in changing the trading model, as proposed by Provisional Measure 1304, but in preparing the distribution network to integrate these distributed resources. This requires investments in technology, intelligent regulation, and political will. Brazil has abundant solar potential, technical capacity, and an increasingly environmentally conscious society. Unfortunately, society is still confused. The war between energy models is fought behind the scenes, using technical terms and hidden interests. Few people know what's really at stake — and what's best for the country. But one thing is certain: the path to distributed generation has been forged and cannot be stopped. He represents the future of energy in Brazil and the world. We move forward with hope and conviction. Tomorrow's energy will be free, clean, and shared. And this transformation has already begun.

Renato Zimmermann

Published articles

The energy war and the future of distributed generation in Brazil.

The energy that empowers the people is under attack.

Distributed generation in Brazil: what is at stake is energy democracy

Government decree aims to stimulate the digitalization of energy distribution networks

The impacts of heat waves on the electricity sector and solar energy generation