The case now moves to a new phase, in which the São Paulo distributor will be given another opportunity to defend itself
The board of directors of the National Electric Energy Agency (Aneel) approved this Tuesday (7) the opening a contract expiry process of the distributor Enel São Paulo, after verifying “structural failures” in the provision of services that can lead to the application of most serious penalty planned for an electricity concessionaire.
The case now moves to a new phase, in which the São Paulo distributor will be given another defense opportunity before the regulatory body votes on a possible recommendation, to the Brazilian government, of losing the company’s contract.
The change in the process, previously supervisory and now punitive, prevents automatic renewal of the Enel São Paulo contract, which expires in 2028.
This would complicate a possible sale of the concessionthe main alternative used in the past by companies that have already faced similar situations in the electricity sector. Enel, however, has publicly said that does not intend to sell the asset.
When contacted, Enel did not immediately respond to a request for comment.
*With information from Reuters
