Aneel declares yellow flag in December and electricity bill will be further reduced

The National Electric Energy Agency (Aneel) announced on Friday that the tariff flag for December will be changed to the yellow level. In this way, the additional fees that will be charged on your electricity bill this month will be reduced.

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This means that the consumer stops paying R$4.46 for every 100 kWh consumed and starts paying R$1.885 for every 100 kWh consumed. This procedure applies to all energy consumers connected to the national interconnected system.

The Level 1 red flag was introduced in October and remained in place until November, after becoming effective at Level 2 red in September.

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According to Anil, the rainfall forecast for December is higher than for November, but it is still necessary to be careful, with additional charges being imposed on the electricity bill.

“However, this rainfall forecast is, in general, below its historical average for this month of the year. Due to slightly more favorable power generation conditions, it was possible to change from red flag level 1 to yellow. Therefore, the activation of thermal power plants is still necessary to meet demand,” he explains in a note.

What are tariff flags?

The system, implemented in 2015, is a different way of displaying a cost that was already on the energy bill, but that was not generally noticed. Thus, there is no new cost, but rather a price signal that tells the consumer the true cost of generation at the time he consumes the energy, giving him the opportunity to adapt his consumption, if he so desires.

What was the situation like before the flags?

Any changes that occurred in power generation costs, up or down, were rolled over up to a subsequent year, in the next tariff adjustment, which was corrected by Selic.

What does each color mean and how much does it cost?

  • Green flag: Favorable conditions for power generation. The fare is not subject to any increase;
  • Yellow flag: less favorable generating conditions. The tariff increases by R$1,885 per 100 kilowatt-hours consumed;
  • Red Flag – Level 1: Most expensive generating conditions. The tariff increases by R$4,463 for every 100 kWh consumed.
  • Red Flag – Level 2: More expensive generating conditions. The tariff increases by R$7,877 for every 100 kWh consumed.