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Home / News / Distributed generation: how did this light come on?

Distributed generation: how did this light come on?

This article aims to draw attention to something that often goes unnoticed: the importance of electricity in our lives.
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  • Photo by Renato Zimmermann Renato Zimmermann
  • November 27, 2025, at 15:01 PM
4 min 10 sec read
Distributed generation: how did this light come on?
Photo: Canva

It's everywhere — from the simple act of turning on a light to the complex machinery that powers hospitals, industries, and communication systems. Without energy, modern society simply wouldn't function.

But there is a crucial point: how to ensure that this vital resource remains available in the face of climate change and extreme events that are already becoming routine?

It is in this context that distributed generation emerges, a model that allows consumers to produce their own energy, usually through photovoltaic solar generation, and which proves essential for the resilience of the electricity sector.

In Brazil, this story began timidly in 2012, when... ANEEL published Regulatory Resolution No. 482, opening the way for consumers to generate energy in their homes and offset the surplus on the grid.

In 2015, a new resolution expanded the possibilities, allowing for remote generation—that is, not only at the point of consumption, but also in different areas, such as solar farms. It was the beginning of a silent but powerful transformation.

Technological evolution was another decisive factor. The first solar panels had low efficiency and high costs. Inverters—equipment that transforms the direct current generated by the panels into alternating current, compatible with the electrical grid—were also limited.

Today, both panels and inverters are more powerful, intelligent, and accessible, allowing for smoother and more reliable systems. This technological evolution has paved the way for solar energy to cease being a luxury and become a viable and attainable alternative for millions of Brazilians.

But the trajectory was not linear. In 2018, the ANEEL It initiated a Regulatory Impact Analysis (RIA), a process that assesses the effects of potential changes to industry rules. The "bitter pill" the agency was holding back was the charge on energy injected into the grid.

In simple terms: when the sun is at its peak, the generator sends surplus energy to the distributor and, at night, consumes it back. The proposal of ANEEL The problem was charging for this compensation, making the model economically unviable.

In 2019, after public hearings packed with solar energy advocates, the decision was made to opt for the worst possible alternative: charging the full price. The result would be disastrous for the nascent market.

What few realize is that the pandemic changed this destiny. With the lockdown — a period in which activities were suspended to contain the spread of Covid-19 — regulatory deadlines were also suspended.

The deliberation of ANEEL It remained frozen. Meanwhile, a combination of factors boosted the sector: historically low interest rates (2% per year compared to the current 15%), banks eager to lend, a water crisis and the risk of blackouts, in addition to increased domestic consumption.

Energy bills skyrocketed, and thousands of people, with their businesses shut down, saw solar energy as a business opportunity. Thousands of companies were born, and hundreds of thousands of jobs were created. It was a perfect storm—this time, a positive one.

Nevertheless, the ANEEL She was under pressure from the TCU (Federal Court of Accounts) to resume the deadlines. The sector reacted. In June 2020, the demonstration “Brazil, say yes to solar energy” took place, bringing together around 700 people from 20 states in Brasília — the only public demonstration during the pandemic.

Political pressure, media coverage, and protests led to the approval of the Solar Energy Legal Framework (Law 14.300/22). The law did not please everyone, but it was necessary to organize timelines and provide predictability to the market. It was a watershed moment.

During this intense period, I participated in public hearings, lectures, interviews, and trips throughout Brazil. More than just speaking, I acted as an activist in defense of Distributed Generation. My concern was twofold: companies closing due to regulatory uncertainty and distributors remaining inactive, failing to invest in modernizing the electrical grid.

This modernization is vital: a smart grid, prepared to receive distributed energy, benefits society, reduces losses, increases resilience, and democratizes access to energy.

Today, Distributed Generation is structured, but it still needs protection. Large generators and marketers try to capture consumers with contracts that promise economic gains, but that's not what society needs.

The real benefit lies in generating energy close to where it's consumed — on rooftops, in parking lots, on rural properties — and not in multi-billion dollar mega-projects that concentrate power and weaken the system.

I conclude this article with optimism. Society is awakening to the importance of generating its own energy not only as a way to save money on electricity bills, but as a true cry for freedom. Distributed Generation is more than a technology: it is a social movement, a response to crises, and an investment in the future. May this light continue to burn brightly and have a long life.

all the content of 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 part of our material, please contact us by email: redacao@canalsolar.com.br.

renewable energy GD (distributed generation)
Photo by Renato Zimmermann
Renato Zimmermann
Mentor, Speaker and Sustainability Activist. Member of INEL National Institute of Clean Energy.
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