Electric energy: how to improve cost allocation?
For a customer who locks a power deal with a supplier that is based on a non-firm source (solar for example), there is no difference (in Brazil) in terms of supply conditions if the source were firm.
But… what actually happens?
The non-firm source provides energy when there is sunlight or wind. Otherwise, the energy needs to come from alternative sources.
But the Brazilian model points to an inconsistency. The customer signs a contract for a total desired volume of energy with this non-firm source, although it depends on other sources, since during the 24 hours of the day as it will not be the non-firm source that will be “delivering” the energy.
I propose that energy trading be established in contracts that foresee the “mix” of sources to represent what actually happens, avoiding an apportionment that ends up penalising customers who lock firm power deals.