Ministry of Mines and Energy Proposes to the Government to Reduce the Light Bill's Grants

The Ministry of Mines and Energy sent today (19) to the Civil Chamber of the Presidency of the Republic a proposal for a decree to reduce some of the tariff subsidies on the invoice of Electricity, which are paid by the Energy Development Account (EDC).

The CDE is a kind of integrated rate in the electricity bill that finances social programs, tariff reductions and subsidized loans for the sector.

According to the Ministry, the purpose of the measure is to remove electricity bills, paid for by the country's consumers, from benefits for activities considered alien to the electricity sector, such as public utilities for water supply, sanitation and sanitation. The proposal was sent by the portfolio owner, Moreira Franco, who advocates the elimination of this type of subsidy in order to reduce the prices of light tickets.

"The decree proposes a five-year transition period for the total elimination of benefits deemed unjustifiable.According to the decree, as of January 2019, the benefits will be reduced by 20% per year until the end of the year. its extinction, "informed the Ministry of Mines and Energy.

Eliminate Cumulativity of Two Subsidies Granted to Irrigation and Aquaculture in Rural Areas "which now allows the same beneficiary to have access to both grants at the same time ". [[19659005] CDE

The Energy Development Account is a sectoral fund that provides benefits to several groups, such as the social tariff for low income and the Luz para Todos program; discounts for various groups, such as farmers, irrigators and sanitation companies; subsidies to producers and consumers of renewable energy and the purchase of mineral coal; Subsidized loans to Eletrobras distributors and purchase of fuel for thermoelectric power plants in remote areas

Next year, CDE expenses borne by consumers will rise to around 17.2 R $ billion, out of a total projected spending in the account budget of R $ 20.2 billion.

This amount was approved Wednesday (18) by the National Electric Power Agency (Aneel) to cover the budget of the CDE. Out of a total of R $ 20.2 billion, the sectoral fund will have its own revenue sources of R $ 3.021 billion. With that, the total cost of the CDE will increase by 1% compared to 2018. Last year, the general budget of the CDE reached 20,053 billion R $.

Agência Brasil