EN 
PT_BR 
In collaboration with Henrique Hein
Despite the exponential growth of solar energy in Brazil, there are still many barriers that limit this source of generation. Due to restrictions determined by the ONS (National Electric System Operator), entrepreneurs of photovoltaic plants are finding it difficult to sell their own energy generation.
In 2020 alone, around 70 GWh were not delivered due to system limitations, while in 2019 there were 33.5 GWh, according to data from ABSOLAR (Brazilian Photovoltaic Solar Energy Association).
The restrictions are called constrained-off, events determined by ONS (National System Operator), in which the production of electrical energy from plants is temporarily reduced or interrupted. Such restrictions reduce plant generation and hinder compliance with obligations assumed in electricity purchase and sale contracts, which implies losses for generators.
“We need to understand the reason, the cause of the existence of constrained-off, which in our opinion is related to disorderly planning for the expansion of the transmission network in line with the expansion capacity and deployment of renewables, which is very fast”, explains Anderson Concon, vice-president of centralized generation at ABSOLAR.
"O constrained-off directly impacts the generation available in the system. In other words, it frustrates the generation. Generation of sources that are available and abundant and with immediate production and delivery capacity. The impact is actually blocking this capacity”, highlights Concon.
According to him, another impact on this frustrated generation are the penalties provided for in the PPAs (Power Purchase Agreement), in the regulated market, for non-delivery of this energy throughout the year. In other words, entrepreneurs are penalized for not delivering energy established by contract.
“By failing to generate, they [entrepreneurs] fail to deliver on their commitment to that PPA and, consequently, subject themselves to the penalties provided for in that PPA. So, it is a directly financial impact that these people are suffering. More than that, it is the impact of the uncertainty of whether or not it is worth investing”, explains Concon.
Currently, there is no regulatory treatment defined by ANEEL (National Electric Energy Agency) in relation to restrictions determined by the operator. It is necessary for energy producers to file requests with the agency for reimbursement of the amounts they had to pay for non-compliance with contractual obligations.
Also according to the vice-president of ABSOLAR, the association is looking for an agenda for the debate on the construction of rules of this effect. “First we need to try to address the problems that have already been experienced, how are we going to remedy them? Will there be compensation or not?” he asks.
“Second, establish a rule that brings predictability, what rule is that? How much can I be paid for this? And third, really establish when it will come into force, covering the past and future of the effects that we have suffered, that entrepreneurs in general have suffered”, adds Concon.
To date, ANEEL has regulatory resolution 927/21 which provides for the possibility of reimbursement for losses caused by constraints in specific cases for wind energy generators.
