Concessionaire contact wins in 2028 and is under analysis by the National Electric Energy Agency; services are marked by technical problems
The City Hall of São Paulo filed a public civil action in the Federal Court on Wednesday (6.ago.2025) to prevent that of the electricity concession agreement of the.
The current contract, which wins in 2028, is in check because of recurring faults by the Italian concessionaire in the supply of energy in the metropolitan region, aggravated by weather conditions.
The lawsuit requests that the Federal Government and the (National Agency of Electric Energy) consider the particularities of São Paulo before authorizing any renewal of the contract.
The mayor’s administration (MDB) argues that it is necessary to ensure significant improvements in the service before any extension, stating that the concessionaire has not adequately met the needs of the population.
“If in 2028 they improve the service, I think perhaps it can talk about renewal. Today you can not accept, the population of São Paulo does not accept, is a company that has no responsibility, that provides a bad service here to the city of São Paulo and to the other 23 municipalities in the metropolitan region.”said Nunes.
Problem history
The crisis in the power supply in the city of São Paulo has intensified since the purchase of Eletropaulo by the Italian multinational Enel, in 2018. São Paulo City Hall reports frequent blackouts, especially in periods of heavy rains and winds, affecting essential areas such as hospitals, schools and elderly shelters.
Complaints against the Italian company include lack of preventive maintenance, such as tree pruning, and omission in responding to subprefectures requests. With over 650,000 trees on public roads, the presence of dense vegetation has been one of the main factors for energy supply failures, which leave whole neighborhoods without light for several days.
On October 11, 2024, those that hit the state capital left 1,160,274 customers without electricity. The situation, marked by the delay in establishing normality, caused friction between the São Paulo City Hall and the state government with the (Ministry of Mines and Energy).
The (Comptroller General of the Union) failures in the activation of the distributor’s contingency plan and in the regulation of the inspection by Aneel, which, in turn, made it difficult to inspect the contracted adopted by the concessionaires.
Enel positioning
In response, Enel stressed that it fulfills all the indicators of the concession contract and that in recent years has implemented improvements in service, such as hiring 1,200 new electricians and reinforcement in the operational plan. The distributor also said it had increased preventive pruning, with over 370,000 pruning made in 2025 so far, 150,000 of them in the state capital.
The company also stressed that it is investing R $ 10.4 billion in improvements in the distribution system by 2027, aiming to adapt to climate change and the expansion of energy infrastructure in the region.
This is the full statement of Enel:
“Enel Distribuição São Paulo reiterates its strong commitment to the 8 million concession clients, which includes the capital and 23 municipalities. The company meets the indicators provided for in the concession contract and has continuously enhanced the service provided. With the structural reinforcement of the operational plan, which included hiring 1,200 new electricians from November to March, Enel reduced the average service to 50%. (TMA), registering the best indicator of recent years.
“In addition to expanding the hiring of their own professionals to work in the field, the company has expanded preventive maintenance and branches in contact with the power grid. Last year alone, the distributor held more than 600,000 pruning, twice as far as 370,000 pruning has been held in the capital. of São Paulo and the other municipalities to monitor the work done.
“The distributor has also been constantly and significantly expanding investments. From 2025 to 2027, the company is investing R $ 10.4 billion, a record amount for the region, due to the advancement of climate events. The investment will be intended for improvement, reinforcement, digitization and expansion of the distribution system.”
