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12
04
17

The first four-month review shows the load placed on the integrated national system (SIN) increased 362 MWavg

On April 4, the National System Operator (ONS), the Electric Energy Trading Chamber (CCEE), and Empresa de Planejamento Energético (the Energy Planning Company, EPE) published the first 4-Month Review of the load on the National Interconnected System (SIN), as of the coming month.

GDP growth expectations for 2017 have not changed, remaining at 0.5%, while projections for 2018 are more optimistic, up from 1.8 to 2.0%. The expected average annual GDP growth should be 2% through 2021.

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Given the expectation that investments will resume in this country, the SIN believes the energy load on the system will be 2.7% higher this year than it was in 2016. Between 2017 and 2021 the SIN expects the energy load will increase at an average annual rate of 3.6%. Compared to SIN’s initial plan, this means a load that increases by 362 MWavg each year. The largest increases were in the southeast/middle-west and south sub-markets, while the load in the northeast and north actually dropped.

Whenever there is an increase in the energy load, the projected PLD (Price for Settling Differences or spot price) goes up. The reason for this is that increased demand requires switching on more thermal plants, which are more expensive to operate, in order to fully supply demand.

 

 

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