Regulation & Sale
The market for electricity sale in Brazil is divided into two environments: the Regulated Contracting Environment (ACR), also called Captive Market, and the Free Contracting Market (ACL), known as Free Market.
In the Captive Market, Electricity Generators sell power to Distributors through auctions promoted by the National Energy Agency (ANEEL), where the lowest bidder wins.
In the Free Market, Agents can acquire Electricity directly from Electric Power Generators (hydroelectric, thermoelectric, wind and solar sources, among others), whether they are small, medium or large.
In the case of Belo Monte, 70% of the physical guarantee was sold in the Captive Market to 17 Brazilian states in 2010. Five years later, surpluses and deficits in amounts purchased in the Regulated Contracting Environment (ACR) were redistributed through a reallocation process among Distribution Agents participating in the Chamber of Electric Energy Commercialization (CCEE), using the Surplus and Deficit Clearing Mechanism (MCSD). New distribution agents were acquired thus extending coverage to the entire country.
Today, beyond serving all 26 Brazilian states, including the Federal District, approximately 20% of the energy generated by the Belo Monte HPP is sold through the Free Market.
Please, contact our Sales Department for more information about purchasing power generated by the Belo Monte HPP:P: (61) 3410-2010 | firstname.lastname@example.org
LEARN MORE ABOUT HOW POWER IS SOLD
How does the Free Market work?
In order to provide cost reduction and budget predictability the operation is based on freedom of choice, competition, and negotiation. These are the main mechanisms that govern the Free Market for Electricity in Brazil.
Every company authorized to sell electricity is regulated by the National Energy Agency (Aneel), and is required to follow the rules determined by the Chamber of Electric Energy Commercialization (CCEE).
Interested parties may choose their preferred provider by contacting them directly or through regularly scheduled electricity auctions. The operation is performed at the convenience of the buyer, which may involve factors as location and best price by MWh offered by the generators or selling agents.
Who may buy electricity in the Free Market?
Companies with contracted demand greater or equal to 500 kW. The demand can be per unit or aggregate, as long as the purchase comes from the same Corporate Entity (CNPJ). In this case, the purchase of electricity can be from hydroelectric, thermoelectric, or biomass plants, according to the matrix that best meets the needs of this “free consumer”.
Companies with contracted demand greater or equal to 3,000 kW
Geared towards large enterprises, which are thus allowed to purchase electricity directly from electricity generators or electricity sellers.
Why purchase electricity from Belo Monte in the Free Market?
Belo Monte HPP is a 100% Brazilian hydroelectric plant, and one of the most modern in the world. Besides generating electricity from a renewable, sustainable, safe, and efficient source for the entire country, Norte Energia meets the requirements for supplying electricity throughout the year to the free consumer.
Advantages of acquiring electricity in the Free Market
Companies benefit from budget predictability and the freedom of choice afforded by the ability to negotiate prices directly with the generating company.