Electricity consumption grows 5,6% in August 2024

National consumption in the month reached 45.855 GW, according to EPE's Monthly Review
Electricity consumption grows 5,6% in August 2024
The increase is led by industry, which recorded a 7% increase in electricity consumption. Photo: Freepik/Disclosure

The latest edition of EPE Monthly Review (Energy Research Company) points to a significant growth in electricity consumption in Brazil. In August de 2024, national consumption reached 45.855 GWh, representing an increase of 5,6% compared to the same month in 2023. 

They increase is led by industry, which ed a 7% increase in electricity consumption, but it was also observed in other segments, such as residential and commercial.

National electricity consumption in August. Source: EPE
Source: EPE

Industry boosting consumption in Brazil

In August, the electricity consumption in industry reached 17.253 GWh, the highest in the entire historical series for the second consecutive month, with an increase of 7% compared to August 2023. 

According to EPE, consumption grew in all regions of the country: Northeast (+9,3%), Central-West (+9,1%), South (+6,7%), North (+6,7%) and Southeast (+6,3%). The increase in consumption spread across almost the entire industry, reaching 31 of the 37 sectors monitored. 

Todos os ten most electro-intensive sectors expanded consumption in the period, highlight: 

  • Metallurgy (+271 GWh; +6,6%), with an increase in consumption again divided between aluminum production and steelmaking; 
  • Paper and pulp manufacturing (+138 GWh; +17,2%), driven by the entry into operation of a large pulp unit, and by the reduction in electricity generation in two self-producing units due to the annual maintenance shutdown, which increased grid consumption in the units. 

The expansion of cellulose production also contributed, due to the increase in exports; extraction of metallic minerals (+132 GWh; +11,1%), driven by exports of copper and aluminum ores; Chemicals (+125 GWh; +8,2%), where the increase in consumption is contributed by the low base effect compared to August 2023, due to the maintenance shutdown at a large consumer in that month. 

These four sectors together ed for more than half of all the expansion in industrial electricity consumption during the period. textile products (+4 GWh; +0,8%), was the sector with the lowest consumption expansion in the period among the 10 most electro-intensive in the industry

Source: EPE

Impacts of floods in Rio Grande do Sul

An important factor that influenced the August statistics, according to EPE, was the impact of heavy rains and floods that reached the state of Rio Grande do Sul in May 2024

"The consumption in Rio Grande do Sul grew 11,6% in August, compared to August 2023, a higher increase than that recorded by other states in the region. This expansion is explained by the resumption of post-flood consumption and by ing for consumption of more than 200 thousand consumer units that were in flooded regions, including the accumulated and unbilled portion in May, June and July 2024”, assesses EPE.

With gradual normalization of conditions and resumption of power supply in affected areas, consumption in the state recorded an impressive increase of 11,6% compared to August 2023.

This growth is explained, in part, by the resumption of activities in the more than 200 consumer units that were located in flooded areas, in addition to the ing of accumulated consumption that was not billed in previous months. 

Renewable generation supplies 90,4% of electricity demand in Brazil

Growth in the Free Energy Market

O free energy market , which allows consumers to choose their suppliers, ed a 12,3% increase in consumption in August 2024, reaching 20.399 GWh. 

The ACL (Free Contracting Environment) now s for 44,5% of total electricity consumption in Brazil, with the number of consumers migrating to this model increasing by 39,9% compared to August 2023. 

This trend is in line with the new rules of MME ordinance 50/2022, which expand the possibility of migration to the free market to all consumers in group A.

O The Northeast was the region that stood out the most in of growth in consumption in the free market, with an expansion of 15,9%, in addition to a 62,8% increase in the number of free consumers.

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Regulated distributor market also grows

Despite the migration of many consumers to the free market, consumption in the regulated market – which includes energy distributors – also showed growth, although more modestly.

In August 2024, consumption in this environment was 25.456 GWh, representing 55,5% of the national total, with an increase of 0,7% compared to the previous year. The number of consumer units in the regulated market grew by 1,4%, with emphasis on the South, which had the greatest expansion in consumption (+5,3%).

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Photo by Ericka Araújo
Ericka Araújo
Communications Leader Canal Solar. Host of Papo Solar. Since 2020, he has been following the renewable energy market. He has experience in producing podcasts, interview programs and writing journalistic articles. In 2019, he received the 2019 Tropical Journalist Award from SBMT and the FEAC Journalism Award.

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