Energy: challenging times (Brazil)

Energy: challenging times (Brazil)

The scenario being “designed” favours (1) solar, (2) wind and (3) hydroelectric sources without large reservoirs.

The outcome – perfectly predictable – is a significant increase in future electricity costs.

The reason is very simple. “New” energies are less and less “firm”. They depend on factors outside the control of the National System Operator such as (1) sunshine, (2) winds and (3) rain.

In short, it is equivalent to saying that to supply the market it will be necessary – proportionally – to have more installed power plants to meet the same market demand.

And so the marginal cost of expanding the electrical system becomes more expensive. And, of course, it will be passed on to industrial, commercial, institutional and residential consumers.

If you wish to explore this challenge and explore alternatives, just send an invite for a virtual meeting including the designated link considering date and hour of your preference and that I am based in São Paulo, Brazil (GMT-3).