Low reservoirs force Brazil to buy energy from Argentina

Matters of electricity supplies hit Brazilian headlines in November when a fire in the northern state of Amapá plunged the vast majority of the region into darkness for 22 days. But the rest of the country is on alert for similar energy-related issues, after the National Electrical System Operator (ONS) issued a warning about the low level of Brazil’s reservoirs, which could overload the grid in the end-of-year period.

The ONS report led electricity regulators Aneel to reinstate extra charges on consumers’ electricity bills as of December 1. Increased tariffs had been suspended until December 31, due to the Covid-19 pandemic.

Electricity companies in Brazil use a color-coded tariff system, which also serves as an indication of the improvement or worsening of the country’s electricity supply....