COVID-19: measures to support the energy sector

The federal government published Provisional Measure nº 950/2020, which provides for temporary measures in response to the pandemic, aimed at the energy sector. It exempts low-income consumers who are beneficiaries of the Social Electricity Tariff from payment for consumption up to 220 kWh per month, for 3 months. It also foresees that regulated consumers (such as residential) and free consumers must pay, through increases in the electricity bill, bank loans made by distributors, which had the cash flow affected by the drop in consumption resulting from the pandemic. More information at: http://www.planalto.gov.br/CCIVIL_03/_Ato2019-2022/2020/Mpv/mpv950.htm (in Portuguese)

Note: Provisional Measures are norms with force of law, issued by the President of the Republic in situations of relevance and urgency. Despite producing immediate legal effects, Provisional Measures need further consideration by the Houses of Congress (Chamber and Senate) to become ordinary laws.