Minister of Mines and Energy said in the House hearing that provisional measure needs to be processed without jabutis in Congress
The Minister of Mines and Energy, (PSD) said on Wednesday (9.Jul.2025) that the federal government will send to Congress a provisional measure to limit the expansion of the cost of CDE (Energy Development Account) in Brazil.
“President Lula’s government is so radicalized and determined to defend the Brazilian people that we will refer to this House a provisional measure that limits the expansion of the cost of CDE. It is no longer admissible that we will receive the high costs in defense of interests other than Brazilian consumers.”he said during a session at the Mines and Energy Commission of the Chamber of Deputies, called to discuss the reform of the electricity sector.
The minister said that the measure will need to be processed without amendments that “Deturpam” the interests of the electricity sector and “disturb” approval. He criticized the insertion of jabutis into important measures.
“It will be sent to the latest next week, so that we can bar a little what we see happening in recent days, and the press calls Jabutis, which often do not meet the needs of the electricity sector.”
Silveira said that the executive has the approval of the MP in the house so that there is no increase in cost and the national industry is no more burdened than necessary and loses competitiveness.
“Energy, besides being a source of life, is a fundamental input for national industry. We cannot depress this sector as a result of interests that are not always the nation’s interests.”
CDE adjustments act as one of the main components that affect the final price of electricity in Brazil.
Every year, Aneel (National Electric Energy Agency) defines the CDE budget, based on public policies defined by the Ministry of Mines and Energy and the cost projections of the electricity sector.
The readjustment depends on the volume of resources required for:
- Cover subsidies (social tariff, encouraged energies, irrigation, generation in the legal Amazon);
- Compensate for universal service costs;
Indemnify distributors in certain situations.
CDE’s budget proposal undergoes public consultation. The final version is usually published in the first half of the year, with values that will be passed on to the tariffs. The approved amount is passed on to energy tariffs proportionate to consumption.
Electricity is one of the main inputs of industrial production in Brazil. Sectors such as metallurgy, mining, paper and pulp, chemistry, cement and food are highly electrointensive.
High CDE adjustments increase the fixed cost of energy, directly impacting the profit margin or the final price of the product.