Tariff flags and electricity consumption response in Brazil

IF 3.8 3区经济学 Q3 ENERGY & FUELS Utilities Policy Pub Date : 2024-04-15 DOI:10.1016/j.jup.2024.101751

Alexandre Schwinden Garcia , Frederick Fagundes Alves , João Marcello Pimentel Filgueiras

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Abstract

We evaluated the effectiveness of the tariff flags system (TFS) on electricity consumption in Brazil. Tariff flags represent a demand-side management (DSM) mechanism used in the Brazilian electricity sector and act as a signal sent to agents about electricity production costs. The effectiveness of the flags in reducing electricity consumption is assessed using monthly consumption data from 26 Brazilian states between 2015 and 2022, and panel data models with fixed effects were estimated. The results indicate that only the water scarcity flag effectively reduced electricity consumption by 2.89%. When the Yellow, Red I, and Red II flags were in operation, there was a median increase in electricity consumption of 0.61%, 4.24%, and 1.47%, respectively. In addition, the other variables indicate that the higher the temperature and income of the States, the higher the consumption, and the higher the electricity tariff, the lower the consumption. We also observed persistence in the consumption of electricity in the States, possibly related to consumer habits.

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巴西的电价标志和用电反应

我们评估了巴西电价旗制度（TFS）对电力消费的影响。电价旗是巴西电力部门采用的一种需求侧管理（DSM）机制，是向代理人发送的有关电力生产成本的信号。利用 2015 年至 2022 年巴西 26 个州的月度用电数据评估了电价旗在降低用电量方面的效果，并估算了具有固定效应的面板数据模型。结果表明，只有缺水旗帜能有效降低 2.89% 的用电量。当黄旗、红旗 I 和红旗 II 启用时，用电量增加的中位数分别为 0.61%、4.24% 和 1.47%。此外，其他变量表明，气温越高、收入越高的国家用电量越大，而电费越高的国家用电量越小。我们还观察到各国用电量的持续性，这可能与消费者的习惯有关。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Utilities Policy ENERGY & FUELS-ENVIRONMENTAL SCIENCES

CiteScore

6.80

自引率

10.00%

发文量

审稿时长

66 days

期刊介绍： Utilities Policy is deliberately international, interdisciplinary, and intersectoral. Articles address utility trends and issues in both developed and developing economies. Authors and reviewers come from various disciplines, including economics, political science, sociology, law, finance, accounting, management, and engineering. Areas of focus include the utility and network industries providing essential electricity, natural gas, water and wastewater, solid waste, communications, broadband, postal, and public transportation services. Utilities Policy invites submissions that apply various quantitative and qualitative methods. Contributions are welcome from both established and emerging scholars as well as accomplished practitioners. Interdisciplinary, comparative, and applied works are encouraged. Submissions to the journal should have a clear focus on governance, performance, and/or analysis of public utilities with an aim toward informing the policymaking process and providing recommendations as appropriate. Relevant topics and issues include but are not limited to industry structures and ownership, market design and dynamics, economic development, resource planning, system modeling, accounting and finance, infrastructure investment, supply and demand efficiency, strategic management and productivity, network operations and integration, supply chains, adaptation and flexibility, service-quality standards, benchmarking and metrics, benefit-cost analysis, behavior and incentives, pricing and demand response, economic and environmental regulation, regulatory performance and impact, restructuring and deregulation, and policy institutions.