News

Bill 5.017/2019, which is currently being processed in the Senate and provides, among other measures, for the contracting of 2,5 GW of natural gas-fired power plants, originated with a proposal quite different from the issues that now place the project at the center of discussions in the electricity sector. The original text dealt with granting discounts on energy tariffs for irrigation, aquaculture, and the exploitation of semi-artesian wells. However, during the legislative process, the bill gained new provisions related to the electricity sector. In July, the Senate's Infrastructure Services Committee (CI) approved a substitute bill. Among the measures included in the text is the contracting of 2,5 GW of natural gas-fired thermal power plants with 70% inflexibility. One of the criticisms of the proposal lies precisely in the inclusion of contracts that were not part of the initial objective of the proposal, as explained by Daniela Coutinho, executive vice-president of ABRACE Energia (Brazilian Association of Large Energy Consumers and Free Consumers). “The mandatory contracts in the bill, which have nothing to do with the original scope of the project, create long-term obligations to contract energy at a high cost, disregarding all the technical alternatives that sectoral planning could evaluate for more efficient contracting,” he explains. According to the organization's estimate, the annual cost of this contract could reach R$ 12 billion per year in the electricity bills of Brazilian consumers. https://canalsolar.com.br/pl-termicas-curtailment-perdas-energias-renovaveis/ Inflexibilidade das térmicas é questionada A inflexibilidade significa que as usinas deverão gerar energia durante determinado período independentemente da necessidade momentânea do sistema. Daniela explains that this mechanism is not aligned with the main current challenge in the operation of the electrical system, which is to meet the increased demand in the late afternoon and early evening, when solar generation decreases. For her, the problem lies in turning into legal obligations contracts that could be defined based on the needs identified by the planning of the electricity sector. The executive also draws attention to the risk of increased curtailment, a situation in which some of the available renewable energy is not used because the system cannot absorb it all. In this scenario, the mandatory generation of thermal power plants could increase competition for space in the system during periods of high production from renewable sources. Natural gas from the Amazon Another point of contention is the requirement to contract natural gas-fired power plants from the Amazon region, linked to the structuring hydroelectric plants in the Northern region. The proposal envisions using these power plants as a way to supplement hydroelectric generation and reduce the effects of seasonality. In Daniela's assessment, however, defining the source and location of the plants beforehand reduces the possibility of choosing potentially more efficient alternatives. "The big problem isn't exactly using natural gas, it's establishing by law that this will have to be the mandatory alternative adopted," he states. According to her, even if studies by EPE (Energy Research Company) indicate the need to contract thermoelectric plants, it would be possible to evaluate different alternatives regarding location, infrastructure, and contract duration. Other solutions could also be considered to meet the system's needs, such as energy storage using batteries or reversible power plants. Abrace estimates that contracting for gas-fired power plants originating from the Amazon could reach R$ 31 billion per year, considering the full implementation of the measure. This amount is part of a set of costs that, according to the entity, could put pressure on consumers' electricity bills. Infrastructure also comes into play. For Ricardo Vidinich, coordinator of the Energy Technical Chamber of the IEP (Engineering Institute of Paraná), the infrastructure needed to enable these contracts is another point that needs to be considered. He questions the need to build infrastructure to transport natural gas to regions that already have transmission lines capable of carrying energy produced in other parts of the country. "It makes much more sense to build a thermal power plant in Rio de Janeiro, in Campos dos Goytacazes, which is where the gas from the offshore exploration platform arrives."Petro

News

The bill that foresees the contracting of 2,5 GW in thermal power plants was born promising discounts on electricity bills.

Court ends Light's bankruptcy protection scheme after three years.

Can Redata increase Brazil's advantage in attracting data centers? EBM's founding partner answers.

Companies in the electricity sector are intensifying partnerships with Climatempo due to the Super El Niño.

GreenYellow and TTS announce the construction of an R$8 million grid-zero solar power plant in Ceará.

Solis expands its commitment to energy storage in Brazil with solutions ranging from 5 kWh to 261 kWh.

WEG, Moura and five others: BNDES accredits the first suppliers for the battery auction.

ANEEL wants to give distributors control over distributed generation.