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Brazil

Brazil has a FIT law.

The current law is "Dispõe sobre a expansão da oferta de energia elétrica emergencial, recomposição tarifária extraordinária, cria o Programa de Incentivo às Fontes Alternativas de Energia Elétrica (Proinfa), a Conta de Desenvolvimento Energético (CDE), dispõe sobre a universalização do serviço público de energia elétrica" Lei Nº 10.438, de 26 de Abril de 2002.

Summary

According to the International Energy Agency:

"The Brazilian Parliament passed Law 10438 in April 2002. Law 10438 was responsible for the creation of the Programme of Incentives for Alternative Electricity Sources (Programa de Incentivo a Fontes Alternativas de Energia Elétrica-PROINFA) among other programmes.  The PROINFA programme is to be implemented in two stages:

"STAGE 1: 3,300 MW of renewable energy (from wind, biomass and small hydroelectric sources) will be brought on stream before the end of 2007 through a system of subsidies and incentives, which draw on an Energy Development Account funded by end-use consumers through an increase on energy bills (low-income sectors are exempt from this increase). Under the PROINFA rules, the programme will be operated by Electrobrás, which will buy energy at pre-set preferential prices ("economic values" for each of the three sources) and will market "renewable" electricity. Definitive "economic values" will be published at the end of October 2003 and will have a reference value floor of 70% of the national average supply tariff. Contracts between Electrobrás and the "renewable" generator are valid for a period of 20 years, are applicable to plants that began production before 2007 and must be signed within 24 months of the publication of Law 10438. . . .

"STAGE II: Once the 3,300 MW objective has been met, PROINFA will target increasing the share of electricity produced by three renewable sources to 10% of annual consumption within 20 years. In Stage II, PROINFA renewable generators will be required, before December 30th of each year, to issue a number of Renewable Energy Certificates proportional to the amount of clean energy produced by the plant."

Legal analysis

There currently is no legal analysis of this law.  If you are a lawyer from Brazil, and interested in submitting an analysis, or providing more up-to-date information about the current status of the renewable energy policy, we would be happy to hear form you. Contact us

More information

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