Electricity sector calls on Lula to veto amendments that could increase costs and emissions

by Andrea
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In addition to the financial impact, entities warn that this could compromise Brazil’s climate neutrality goal, increasing greenhouse gas emissions by 25%

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The bill, which has already been approved, establishes guidelines for the installation of wind energy equipment on the high seas, allowing the use of areas in the exclusive economic zone and on the continental shelf

Entities representing the electricity sector are appealing to the president Lula da Silva so that he vetoes amendments to the bill that regulates . According to these organizations, the proposed changes could result in an additional cost of R$22 billion per year until 2050. The letter sent to the president highlights that these amendments, labeled as “jabutis”, have the potential to increase tariffs by up to 9% , which would worsen the financial situation of consumers, who are already dealing with high energy bills. The groups specifically request a veto on articles 19, 22 and 23 of the project. These sections deal with the flexibility in contracting natural gas thermal plants, the extension of coal contracts until 2050 and the mandatory contracting of small hydroelectric plants. The letter argues that these amendments benefit a minority to the detriment of the majority of consumers and that they could harm the planning of the electricity sector, which must be managed by the Executive Branch and its competent entities.

In addition to the financial impact, the entities warn that the amendments could compromise Brazil’s climate neutrality goal, increasing emissions from the electricity sector by 25%. This concern is especially relevant at a time when the country is seeking sustainable alternatives and reducing its carbon footprint.

The bill, which has already been approved, establishes guidelines for the installation of wind energy equipment on the high seas, allowing the use of areas in the exclusive economic zone and on the continental shelf. The concession for these projects will depend on a contract signed with the Executive Branch. To date, the Ministry of Mines and Energy has not commented on the requests made by entities in the sector.

published by Patrícia Costa

*Report produced with the help of AI

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