Evaluating Public Policies for Fair Social Tariffs of Electricity in Brazil by Using an Economic Market Model

Leticia dos Santos Benso Maciel, Benedito Donizeti Bonatto, Hector Arango and Lucas Gustavo Arango
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Leticia dos Santos Benso Maciel: ISEE-Institute of Electrical Systems and Energy, Federal University of Itajuba, Itajuba MG 37500-903, Brazil
Benedito Donizeti Bonatto: ISEE-Institute of Electrical Systems and Energy, Federal University of Itajuba, Itajuba MG 37500-903, Brazil
Hector Arango: ISEE-Institute of Electrical Systems and Energy, Federal University of Itajuba, Itajuba MG 37500-903, Brazil
Lucas Gustavo Arango: ISEE-Institute of Electrical Systems and Energy, Federal University of Itajuba, Itajuba MG 37500-903, Brazil

Energies, 2020, vol. 13, issue 18, 1-20

Abstract: This paper presents an evaluation of public policies for fare social tariffs of electricity in Brazil by using an economic model of the electricity market (TAROT-Optimized Tariff) that represents the regulated market of distribution of electrical energy. It was considered the scenario of an increasing number of prosumers (residential consumers who self-generate energy) in two of the five major regions of Brazil which have quite different socioeconomic characteristics. However, the current electricity regulation is the same for all concessionaires. In this work a new public policy is proposed, allowing the use of regulation in a different way aiming for a best result for Brazil and particularly for the poor population that today are not able to enjoy the benefits of electricity due to high tariff values. It is also discussed how this can contribute in a positive way to improve the income distribution in these regions, which is evaluated by using the GINI index.

Keywords: social electricity tariff; gini index; energy policy; economic market model; smart market; energy poverty (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

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