The Brazilian National Electric Energy Agency (Aneel) submitted to public consultation a Regulatory Impact Analysis (RIA/AIR) that presented alternatives to the rules of physical grants within the Energy Reallocation Mechanism (ERM/MRE), applied to participating hydroelectric power plants.
Public consultation n. 45/2020 intends to collect public opinions regarding changes to the MRE, the financial mechanism that shares, seasonally, the hydrological risks in electric-energy optimization applied to participant power plants.
The changes concern the criteria for the seasonal adjustments of physical grants. The AIR presented three different alternatives to the rules in force, while suggesting one of the alternatives.
The main change suggested by the AIR concerns the limitation on the range of the seasonality. This hopes to create isonomy between power plants and to reduce risks of negative exposure to consumers (to the short-term market), although avoiding opportunities of positive exposure.
More information regarding the public consultation, contacts for submission and templates can be found here (in Portuguese). Contributions can be submitted until September 28.