ANEEL tries to reverse decision on constrained-off payment

Agency warns of transfer of R$1 billion to consumers in a short space of time
ANEEL tries to reverse decision on constrained-off payment
Joédson Alves/Agência Brasil/Archive

A ANEEL (National Electric Energy Agency) filed a request for suspension of urgent relief to reverse a court decision by the Federal Regional Court of the 1st Region.

The determination obliges the regulatory body to compensate wind and solar generators for generation cuts carried out by the ONS (National System Operator).

The Agency argues that the decision, favorable to ABSOLAR (Brazilian Association of Photovoltaic Solar Energy) and ABEEólica (Brazilian Association of Wind Energy), could generate a significant financial impact, with the transfer of around R$ 1 billion to electricity consumers in the short term, starting in January 2025.

Action of associations

According to documents obtained by the report, the legal action brought by the associations seeks to guarantee full compensation to generators for the operating restriction events (constrained-off), according to the Normative Resolution ANEEL No. 1.030/2022. However, the associations request that this compensation:

  • Include all generation curtailment events, regardless of the sub-legal classification assigned.
  • Do not have any deductibles, regardless of the date of the events.

The associations also argue that REN 1.030/2022 would be in disagreement with Law No. 10.848/2024, justifying the need to review the normative act.

Positioning of ANEEL

The agency argues that generation restriction events are intrinsic to the operation of any electrical power system. And that this risk must be assumed by entrepreneurs.

A ANEEL declared that the emergency relief granted represents a “serious and immediate risk to public order and the economy”.

According to the agency, the court decision subverts the rules established for determining and paying operating restrictions, unduly benefiting wind farms and photovoltaic plants associated with ABEEólica and ABSOLAR, to the detriment of the country's electricity consumers.

Generation cuts, known as constrained-off ou curtailment, have been frequent, especially in 2024, due to the supply of renewable energy exceeding demand and the limited flow capacity of transmission networks. The topic was widely discussed in the latest issue of the magazine Canal Solar, available for free .

Read also: Cuts in solar and wind generation accumulate waste of R$1 billion.

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Photo by Wagner Freire
Wagner Freire
Wagner Freire is a journalist graduated from FMU. He worked as a reporter for Jornal da Energia, Canal Energy and Agência Estado. Covering the electricity sector since 2011. Has experience in covering events such as energy auctions, conventions, lectures, fairs, congresses and seminars.

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