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Modelling features and outcomes of Brazil's electricity tariff flag program

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  • Goulart de Freitas Machado, Bruno

Abstract

Brazil's Tariff Flag Program is presented with its main modelling features and outcomes explored. The program's virtue is coupling several independent procurement commitments in a single target cash flow linked to an information framework, which seeks to provide real-time awareness about the power system's production costs. Regulatory principles such as simplicity and stability challenge the modelling approach. The framework may be useful for non- or partially liberalised power markets, where uniform tariff rates are common. It also may help utilities to deal with wholesale prices' volatilities.

Suggested Citation

  • Goulart de Freitas Machado, Bruno, 2024. "Modelling features and outcomes of Brazil's electricity tariff flag program," Utilities Policy, Elsevier, vol. 88(C).
    • Handle: RePEc:eee:juipol:v:88:y:2024:i:c:s0957178724000523
    DOI: 10.1016/j.jup.2024.101759
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