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Home / News / MME signs renewable energy MP and reduction of tariff impacts

MME signs renewable energy MP and reduction of tariff impacts

Provisional measure will encourage investments of more than R$165 billion in renewables and generate 400 jobs
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  • Photo by Mateus Badra Mateus Badra
  • April 9, 2024, at 17:58 PM
2 min 37 sec read
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Brazil is the protagonist of the global energy transition, emphasizes Silveira. Image: Freepik

With the collaboration of Viviane Lucio

A MP (Provisional Measure) de Renewable energy e Tariff Reduction was signed today (09) by the President of the Republic, Luiz Inácio Lula da Silva, and by the minister of MME (Ministry of Mines and Energy), Alexandre Silveira.

Also participated in the ceremony Geraldo Alckmin, vice-president and minister of Development, Industry, Commerce and Services (MDIC); Waldez Goes, Integration and Regional Development; Rui Costa, from the Civil House; It is Fernando Haddad, from the farm.

According to the MME, in total, the MP will encourage investments more than $ 165 billion em renewable and generate 400 jobs. The measure also foresees an impact on account de light. The expectation is that there will be a reduction in energy tariffs between 3,5%. e 5% per year.

"The Brazil is the protagonist of the global energy transition. Let's make real and viable projects generate wealth for Brazil and bring renewable energy, jobs and income to our population. We will enable more than 30 GW of clean energy power in the country, from wind, solar and biomass sources”, highlighted Silveira, in a live broadcast on Youtube channel of the Ministry.

About MP

The MP's role is to advance resources from Eletrobras to reduce electricity bills and extend discounts on network usage rates for wind and solar projects that are not yet under construction as they were hampered by a lack of transmission lines.

Eletrobras' anticipated resources refer to R$32 billion that the company committed to paying when it was privatized. The value relates to renewal grants for its hydroelectric plants. Five billion have already been redeemed in 2022 and the remainder can be paid until 2047 with annual contributions to the CDE (Economic Development Account).

The government wants to raise funds in the financial market and payments will be the guarantee. The money will be used to pay off loans to pay off the Covid Account, from 2020, and the Water Scarcity Account, from 2022.

Last week, the government released a draft and it says that the difference between interest rates should be enough to guarantee a reduction of up to 4% for residential rates. The measure will also allow the adjustment in electricity tariffs of 44% in Amapá to be reduced to 4% of residential tariffs.

According to the government, the majority of projects are located in the Northeast region and are at a standstill due to a lack of transmission lines. With this resolution, projects will be able to request an extension of up to 36 months to enter into operation. During this period, new plants and new transmission lines would be within the same deadline for delivery.


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electricity bill MME (Ministry of Mines and Energy) MP renewable
Photo by Mateus Badra
Mateus Badra
Journalist graduated from PUC-Campinas. He worked as a producer, reporter and presenter on TV Bandeirantes and Metro Jornal. He has been following the Brazilian electricity sector since 2020.
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