DG (distributed generation) has established itself as a viable and sustainable alternative for the production of electrical energy in Brazil. Currently, Normative Resolution No. 1.000/2021 regulated by ANEEL (National Electric Energy Agency), brings together the rights and duties of consumers and other s of the service in a single document, facilitating understanding and adherence to the different types of DG.
Understand the different types of distributed generation is essential for anyone who wants to plan a renewable energy project efficiently. Each modality presents unique characteristics, challenges and opportunities that can directly impact the viability and success of the project.
This article is designed to guide you on this journey, offering a clear and detailed overview of the types of GD, their differences, and future prospects. Keep reading and find out how to choose the best option for your project!
Types of distributed generation
Normative Resolution No. 1.000/2021 of the ANEEL defines specific modalities for distributed generation, covering different forms of participation in the Electric Energy Compensation System (SCEE). Below, we present the main types:
Local self-consumption
Definition: According to Normative Resolution No. 1.000/2021, local self-consumption is characterized by microgeneration or distributed minigeneration installed at the same address as the consumer unit, where the surplus energy generated is directly offset by the same unit. (page 12 of the document)
Example: A residence that has solar s on the roof, generating energy to meet its daily needs and offsetting the surplus on the monthly bill.
Remote Self-Consumption
Definition: Participation modality in the SCEE characterized by:
- Consumer units owned by the same natural or legal person, including head office and branch;
- Have a consumer unit with microgeneration or minigeneration distributed in a different location from the consumer units that receive surplus energy;
- Service to all consumer units by the same distributor. (page 12 of the document).
Example: A company that installs a solar plant in a rural area to supply branches located in different cities, as long as they are served by the same distributor.
Shared Generation
Definition: Shared generation involves consumers who come together through a consortium or cooperative to share the benefits of energy generated in a single unit with distributed microgeneration or minigeneration. (page 12 of the document)
Example: A group of residents of a condominium who collectively invest in a solar farm, sharing the energy generated proportionally among the participants.
Differences between modalities
Each modality has its own characteristics that influence the planning and operation of distributed energy projects. Let's explore the main differences:
Local self-consumption:
- Production and consumption in the same place.
- It requires adequate physical space for the installation of generating systems.
- Immediate benefit in reducing your electricity bill.
Remote self-consumption:
- Energy production in a different location from consumption.
- Ideal for those who do not have space at the place of consumption, but are able to invest in another region.
- It requires infrastructure to transmit the energy generated.
Shared generation:
- It involves collective investments.
- Expands access to renewable energy for consumers who do not have the space or resources for their own system.
- It requires the formalization of a consortium or cooperative, with clear rules of participation.
Evolution of modalities
The development of distributed generation modalities in Brazil followed different paths over time, driven by different regulatory and market factors.
Local generation
Local generation was the modality that developed the most initially. Between 2012 and 2015, it was the only option available, driven by the formation of a robust solar ecosystem, led by integrators and by the growing adoption of homes and small businesses.
This ecosystem has encouraged the popularization of solar energy and the creation of favorable conditions for investment in the sector.
Remote self-consumption
From 2016 onwards, large energy consuming groups, such as telecommunications companies, pharmacy chains, banks, restaurant chains and gyms, began to adopt the remote self-consumption model.
This growth was facilitated by the possibility of allocating consumer units in locations with more favorable conditions for generation and by the popularization of asset leasing contracts, eliminating the need for significant initial investments by customers.
shared generation
Shared generation began to gain ground in 2020, with the first cooperatives and consortiums emerging in Minas Gerais. In 2024, this model became the most widely used, especially due to the need to spread out customers and make new projects viable.
As with remote self-consumption, asset leasing has been a key factor in the growth of shared generation, allowing greater access to customers who were previously unable to invest directly in DG projects.
Current size
According to the most recent data from ANEEL, the installed capacity of distributed generation in Brazil reached the following numbers:
Local self-consumption:
- Number of Plants: 2.548.968
- Installed Power: 25.949.062,64 kW
Remote Self-Consumption:
- Number of Plants: 537.316
- Installed Power: 7.646.868,70 kW
Shared Generation:
- Number of Plants: 12.515
- Installed Power: 1.358.581,28 kW
Condominiums:
- Number of Plants: 386
- Installed Power: 16.959,66 kW
Other Modalities:
- Number of Plants: 183
- Installed Power: 5.287,14 kW
Conclusion
Distributed generation has proven to be one of the fundamental pillars for democratizing access to renewable energy in Brazil. Each modality — local self-consumption, remote self-consumption and shared generation — plays a unique role, offering solutions adapted to the different needs of consumers.
The sector’s exponential growth, driven by regulatory and technological advances and market maturity, reflects the transformative potential of DG. Local self-consumption has led the way, creating a robust ecosystem of integrators and suppliers.
Subsequently, remote self-consumption gained ground, serving large consumers with multiple units. Finally, shared generation has consolidated itself as a viable and inclusive alternative for small consumers and cooperatives.
Looking ahead, distributed generation is expected to continue to grow, fueled by technological innovations, new business models and a growing awareness of sustainability. This advancement will not only transform the electricity sector, but will also contribute to the creation of a more resilient, decentralized and accessible energy system for all.
Now, with detailed information about each modality and its perspectives, you are better prepared to identify the opportunities and challenges that make sense for your renewable energy project.
The opinions and information expressed are the sole responsibility of the author and do not necessarily represent the official position of the author. Canal Solar.
