New rules for DG net metering take effect in Brazil, growth expected

March 1 (SeeNews) - As of today any renewable source, in addition to qualifying cogeneration, can be used in Brazil's distributed generation (DG) compensation programme, announced power sector regulator Aneel.

With the new terms, which also simplify registration procedures, Aneel expects Brazil to have about 1.2 million DG systems with a total capacity of 4.5 GW by 2024.

Consumers will be able to gain credits for the surplus output and use these to lower the electrical bill for later months or the cost of other DG systems as long as these are connected to the same distributor company. Aneel also permits DG systems to be installed in condominiums and in small consortia.

In Brazil, DG systems are divided into two groups, microgeneration with power capacity of up to 75 kW, and minigeneration with power between 76 kW and 5 MW for most sources, except hydropower where the upper limit is set at 3 MW.

Since the first DG installations in 2012, the sector has expanded significantly. Especially between 2014 and 2016 it quadrupled, going from 424 to 1930 connections.