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Politics & Regulation

Bill seeks to impose a ceiling of US$12/kW on Itaipu tariffs

The rule does not apply to the portion of energy that belongs to Paraguay and is transferred to Brazil

Photo: Caio Coronel/Itaipu

Bill 1.830/2025, authored by Senator Esperidião Amin (PP-SC), seeks to impose a ceiling of US$ 12/kWh on the portion of energy from the Itaipu hydroelectric plant that belongs to Brazil. The rule does not apply to the portion that belongs to Paraguay and is transferred to Brazil.

According to the senator, the settlement of the construction debt for the plant in 2023 should have resulted in a reduction in tariffs for Brazilians, as provided for in the Itaipu Treaty. However, part of the resources previously earmarked for debt payment were used for the plant's socio-environmental responsibility programs.

From 2021 to 2023, spending on the plant's socio-environmental programs increased from US$302 million to more than R$921 million, without the amounts being adequately verified. By decision of the STF (Supreme Federal Court), the TCU (Federal Court of Auditors) can only monitor Itaipu through a formal agreement between Brazil and Paraguay.

According to the Ministry of Mines and Energy, the tariff for the Brazilian portion of Itaipu's energy has been maintained at US$16,71/kW until 2026, even after the plant's debt is paid off. The legislative proposal follows the estimate released by the government itself, which projects, from 2026, an operational cost of between US$10 and US$12 per kW.

“Brazilian consumers are prevented from benefiting from a tariff reduction on energy generated by Itaipu, which would alleviate the extremely high electricity tariffs paid by Brazilian families and companies,” says the senator.

The author emphasizes that the project does not change the terms of the Itaipu Treaty, which continues to attribute to the binational company the definition of the price of the energy supplied.

The proposal being processed in the Senate amends Law 5.899 of 1973 and is being analyzed by the CI (Infrastructure Committee), under the reporting of Senator Laércio Oliveira (PP-SE).
It will then go to the CAE (Economic Affairs Committee), which is responsible for the final decision. If approved, it may go directly to the Chamber of Deputies, unless there is an appeal to a vote in the Plenary.

With information from Agência Senado.

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Wagner Freire
About the Author
Wagner Freire

Wagner Freire is a journalist graduated from FMU. He worked as a reporter for Jornal da Energia, Canal Energy and Agência Estado. Covering the electricity sector since 2011. Has experience in covering events such as energy auctions, conventions, lectures, fairs, congresses and seminars.

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