New tariff rule causes rush for solar energy in Rio Preto

The number of solar energy generating systems in Rio Preto increased by 72.9% between 2021 and 2022, according to data from the National Electricity Agency (Aneel). In just five years, from 2018 to 2022, that number increased by 2,241%. Rio Preto currently has 3,723 photovoltaic power generation plants spread across the city, compared to 2,153 in 2021. Of these, 92% correspond to residential consumption. Solar power has even surpassed wind power in electricity generation in Brazil.

This increase in the number of generation plants has a reason: the new tariff rules established by law 14.300/22 will come into force on 6 January. Anyone requesting the installation of micro-generators and mini-generators of photovoltaic energy by that date is exempt from tariffs for the use of the energy distribution network until 2045.

The photovoltaic generation system consists of solar panels, charge controllers, inverters and batteries. The panels are used to generate the energy itself, while the charge controllers control the transfer of charge to the batteries, which store energy for the days when there is no sun.

The inverters are responsible for transforming the 12 V direct current (DC) from the batteries into alternating current at the desired voltage. In the case of systems connected to the electricity grid, they are also responsible for synchrony.

With the law 14.300/2022, which created the regulatory framework for the self-production of energy, a transitional period is foreseen which guarantees, until 2045, the maintenance of the regulations in force for consumers who request access to solar self-production plants by 6 January. After that date, the law provides that the new connections will have a gradual and staggered charge on the energy fed into the electricity grid.

According to the Brazilian Solar Photovoltaic Energy Association (Absolar), solar energy experienced record growth in the country in 2022. According to data from the institution, from January to August 2022 more than 382,700 new photovoltaic systems were connected to the grid, with an increase of more than 57% compared to the 243,600 added in the same period of 2021.

“Here in Rio Preto we have noticed an increase in consumers who want to invest in solar energy before Law 14.300. Even with the change in the norm, generating your own energy will still be cheaper than buying 100% of the power company, coupled with a growing public awareness of the need for clean energy and corporate focus on ESG factors and reduction of carbon footprint. We are in an excellent region for solar energy. Furthermore, it is important to say that, even with taxation, having solar energy does not become unattainable or a bad deal,” says Arthur Santini, director of Ecori Energia Solar.

From 7 January, with the new regulation established by law 14.300, credits generated by “prosumers” – energy consumers who also generate – do not return 100% to whoever generated it. A percentage is deducted from each kWh to remunerate the electricity company for using the grid, even if the electricity company has sold this kWh to another consumer.

“It is worth mentioning that this charge is only for energy that has been generated and fed into the grid, i.e. it has not been used at the time of generation. For example, a company that generates its own energy and already consumes it during the day will not feed it into the grid. Therefore, it will not suffer this taxation,” explains Arthur Santini.

Businessman Valu Lopes da Costa, from Rio Preto, is one of those who decided to invest in solar energy and felt the benefit in his pocket almost instantly.

“I installed the solar power generation system five months ago in my house and restaurant. I’ve already noticed a 50% savings on my electric bill. At first it was difficult to connect the plant to the distribution networks, but everything worked out. I wish I had done the setup sooner, because I was spending around R$3,000 on the restaurant electricity bill alone. And with the setup I was able to keep the current rate rules,” he says.

According to Absolar, with the slabs installed on the roofs, it is possible to save up to 95% on the electricity bill in homes and 60% to 70% in medium voltage companies. The solar panel, or photovoltaic module as it is called, captures sunlight and transforms it into electricity for home or business use.

If the consumer spends the day away from home, for example, and does not consume the energy produced, it is sold to the local energy concessionaire to supply other consumers and generates a “credit” for up to five years for whoever supplied it. .

The value of electricity is composed of two tariffs. The TE, which is the energy itself and the TUSD, which is the tariff for using the distribution system. This second tariff covers the costs of installations, equipment and components of the distribution network, used to supply energy to the consumer.

Within the TUSD we have the TUSD Fio B, which corresponds to the costs associated with the use of the distribution network infrastructure from the local dealer to the consumer.

“Currently, energy credits from energy generation are credited at the same rate as for normal consumption, i.e., if the consumer receives credits for their entire consumption, they will only pay a minimum which each consumption unit pays according to their own profile (Single-phase Standard pays 30 kWh/month, Two-phase pays 50 kWh/month and Three-phase pays 100 kWh/month).

What changes with law 14,300 is that, in addition to this same minimum, the consumer will also pay the TUSD Fio B tariff applied to the amount of kWh that the consumer uses as credit”, explains José Angelo Pascholão, commercial director of Ecolumi SP – Photovoltaic .

According to Pascholão, this TUSD Fio B charge will not apply immediately. “It will be staggered, starting in 2023, with a charge of 15% on the calculated amount for TUSD Fio B, 30% in 2024, 45% in 2025, and so on until the full charge is reached,” he says. (MMM)

According to Ademilson Domingos, an executive at Ecolumi, in Rio Preto the TUSD Fio B rate is R$0.1984 for CPFL and R$0.3243 for CERRP. The problem is that you are only actually charged for the energy that passes through the watch.

“That energy that is consumed during the day and supplied by the generation that occurs at the same time, will not go to the clock. This is what we call “self-consumption”. Now, what is generated more is fed into the dealer’s network during the day to compensate for what will be consumed at night (time when there is no generation), will be taxed. Therefore, users who consume much more during the day than at night will pay less, because little energy is fed into the concessionaire’s network and; whoever consumes more at night will pay more,” she explains.

Absolar forecasts steady growth in solar energy in 2023, driven by the increase in electricity bills and the benefits provided by the source to all Brazilian consumers.

“Solar energy is currently the third source in the Brazilian electricity matrix, equal to 10.5% of the country’s electricity matrix. Photovoltaic technology has become increasingly popular in the country, reaching all classes of consumers and causing a positive multiplier effect in society,” comments the chairman of the board of directors of Absolar, Ronaldo Koloszuk. (MMM)

New power limits for mini and microgeneration

According to the regulatory framework, micro-generators generate up to 75 kW of energy through renewable sources, such as wind and photovoltaics, in their consumption units. Mini-generators, on the other hand, generate a power greater than 75 kW, with a limitation of up to 3 MW for water sources and 5 MW for other types of sources.

This variation will depend on the consumption of your home or business.

Greater autonomy in the distribution of credits

The consumer-producer will be able to choose how to distribute the credit, being able to request the modification of the percentages or the order of use of the excess energy or to reallocate the excess to another consumption unit of the plant
same owner and same concession area.

Additionally, energy credits generated within a concessionaire can now be offset within the concessionaire concession area in which the concessionaire is located.

The payment of a tariff component not previously charged to the consumer with micro and mini distributed generation has been established, the TUSD Fio B, which refers to distribution costs.

This charge will be made only on the portion fed into the concessionaire’s network – or on credits – and does not affect the energy generated and consumed simultaneously.

Already installed micro and mini-generator plants will continue without paying distribution tariffs until 2045. The rule also applies to those who install and
archive the system by January 6, 2023.