The significant increase in the response time of distributors to respond to complaints about power outages in Brazil is a topic that deserves attention.
In 2024, we have sured the mark of 5 million complaints related to power outages, with an average service time of over eight hours, well above the six hours recorded in 2015. This setback requires an in-depth analysis to understand its causes and identify solutions.
In my experience in the sector, I observe factors internal and external to electricity distributors that contribute to increased response times.
Externally, it has been observed that storms have become increasingly severe in of intensity. In addition, cities have been increasingly covered in trees without, it seems, there being adequate control of this vegetation.
Finally, traffic in large urban centers makes it very difficult for emergency teams to travel to the scene of an incident. Internally, the electrical grid is obsolete or unsuitable for the surrounding environment, due to ineffective construction standards for today's environment.
Furthermore, labor shortages, resulting from distributors reducing technical teams to control costs, have seriously compromised the ability to respond to emergencies, especially during periods of high demand, such as storms or other extreme weather events.
regulatory challenges
The existing framework requires that regulation keep pace with existing transformations and direct the performance of electricity companies towards the desired solution.
Basically, there are two variables to control this situation: the structural response, reducing the number of occurrences, and the recovery response, ensuring that occurrences, once they exist, can be resolved in the shortest possible time.
Therefore, regulation must be such as to stimulate the investments needed to adapt the power grid to current external conditions. An economic and tariff equation must be sought for solutions such as burying the power grid, large-scale replacement of existing grids with more robust construction standards, intensive grid automation, etc.
With regard to network maintenance solutions and the availability of teams for emergency services, there must be a recalibration of the productivity gain mechanisms currently in place in the tariff process.
In fact, there is no debate that rates should be as low as possible, but on the other hand, they should reflect the real need to meet the desired quality standards.
The current reality is that there is more cost pressure on network operation and maintenance activities, and this conflicts with the desire to have increasingly lower tariffs. The balance between these two forces is what must be sought and constitutes the regulatory challenge of our day.
For consumers, the impacts are immediate and tangible. Long periods without electricity compromise perishable foods, disrupt essential equipment, and hamper increasingly common remote work.
This feeling of abandonment undermines confidence in the sector and creates tension between consumers and suppliers. For distributors, the consequences are also severe.
History of poor service can result in million-dollar fines imposed by ANEEL (National Electric Energy Agency), in addition to damaging the reputation of companies with investors. Widespread dissatisfaction may also accelerate demands for stricter regulations, increasing operational challenges.
Virtuous cycle
Modernizing infrastructure is an expensive and time-consuming process, especially in a challenging economic scenario, but it must be addressed, as without it, the occurrences imposed by the environment on electrical networks cannot be reduced.
The solution to this problem requires coordinated actions between government, companies and society. Investments in infrastructure are essential, such as replacing obsolete equipment and expanding the network to more vulnerable areas.
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Smart grids can also improve efficiency in monitoring and responding to problems by significantly reducing waiting times. On the other hand, distributors should invest in contingency plans to deal with extreme weather events, by expanding emergency teams and acquiring replacement equipment.
These teams, so necessary during periods of heavy rain and numerous incidents, can become excessive at other times of the year, but this is exactly where a virtuous cycle can occur, since during periods of low incidents, they can and should be directed to perform more maintenance on the electrical grid, increasing its resilience and, therefore, reducing incidents for the next rainy period.
In addition, effective communication tools, such as apps that provide real-time information on the status of incidents, can mitigate consumer dissatisfaction. These measures can help create a more efficient and responsive system that benefits both consumers and distributors.
The Brazilian electricity sector needs concrete and collaborative solutions to face the challenges of a future increasingly dependent on reliable and affordable energy.
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.