EN 
PT_BR 
O Minister of Mines and Energy, Alexandre Silveira, stated, this Monday (15), that the decree containing guidelines for the renewal of distribution concessions of electrical energy should be completed in 15 days.
Silveira gave an interview to journalists after the first in-person meeting of the G20 Energy Transitions Working Group (GT), in Brasília (DF).
According to the minister, the delay in publishing the decree comes from the fact that “new ideas emerge all the time and some are good”.
“As my characteristic as a manager is to listen a lot, I have made great use of good ideas so that we can create contracts upon renewal that are more modern than old contracts, which are much more rigorous in meeting service quality targets. DEC and FEC", he said.
Silveira intends to incorporate into contracts instruments that allow the consumers have a more active participation about quality of service provided and the formation of energy tariffs, in addition to encouraging regulatory improvements to measure the efficiency of services.
“The time is now, after signing the new contracts we will not have the opportunity to re-discuss,” he said.
Minister defends himself from criticism
During the G20 meeting, the minister also defended himself from criticism related to another provisional measure: the MP 1,212/2024, which aims to expand subsidies for renewable sources. “The MP did not reopen the deadline so that no one could request subsidized authorization for new investments,” he said.
“She simply respected those projects that already have authorization for these investments, making [the schedule] compatible with the transmission lines, as you all know that we contracted R$ 60 billion in lines, the largest volume of investment in history. Lines to meet these investments in renewable energy, to transport energy from the Jequitinhonha Valley and the Brazilian Northeast to the load center that is the Southeast”, highlighted Silveira.
“In our view, the MP was extremely assertive, because it showed that Brazil respects contracts, has regulatory stability and legal security and, therefore, becomes fertile ground for national and international investments”, added the minister.
A MP 1,212/2024 was published last week with two clear objectives: reduce energy tariffs and extend the operating deadlines for renewable energy projects by 36 months while maintaining the benefit of wire discounts.
The reduction of around 3.5% in tariffs will be achieved with the payment of two loans taken out on behalf of energy consumers during the pandemic, in 2020, and the water crisis, in 2021.
Payment will be made through the securitization of amounts to be received from Eletrobras as reimbursement in the company's privatization process. Resources are estimated at R$ 26 billion.
According to Silveira, the MME (Ministry of Mines and Energy) and the Ministry of Finance will publish a joint order in the next ten days clarifying how this securitization will be carried out.
Securitization is a financial process in which assets, such as credits or receivables, are transformed into negotiable securities on the financial market.
These securities are then sold to investors, who then hold the rights to the payment streams generated by the underlying assets.
In short, it is a way to transform illiquid assets into tradable securities, allowing originators to free up capital and diversify their risks.
All content on Canal Solar is protected by copyright law, and partial or total reproduction of this site in any medium is expressly prohibited. If you are interested in collaborating or reusing some of our material, we ask that you contact us via email: [email protected].
