Business · Energy & Commodities · 1 hr ago
Taesa will skip Brazil’s first battery auction over regulatory uncertainty
Brazilian power transmission company Taesa will not enter next month’s first battery auction for the country’s electricity sector.
Finance director Catia Pereira said the company is concerned that rules for transmission companies are not clear enough.
The regulator, Aneel, has indicated that winning transmission companies would have to return part of their battery revenues to help limit electricity tariffs.
Taesa says it wants clearer rules before competing, but is studying batteries and speaking with suppliers for possible future work.
Another large transmission company, ISA Energia, has also voiced concern but had not made a final decision on taking part.
Taesa reported third-quarter regulatory net profit of 363.8 million reais, up 12.5% from a year earlier, and regulatory EBITDA of 687.2 million reais, up 25.2%.
The company will pursue other growth opportunities, including transmission auctions, acquisitions and upgrades to its existing network.
Taesa will not take part in Brazil’s first battery auction, its finance and investor relations director told Reuters.
Catia Pereira said the company was concerned about regulatory uncertainty for transmission companies.
Aneel has indicated that winning transmission companies would have to return part of their battery-business revenue to help keep tariffs affordable.
Taesa remains interested in batteries and is studying the sector and talking with suppliers.
ISA Energia has also expressed concern about the rules but had not made a final decision on whether to participate.
- Who
- Taesa, a Brazilian power transmission company, will not participate.
- What
- The company will skip Brazil’s first auction to contract batteries for the electricity sector.
- When
- The decision was reported on November 11, 2026. The auction is scheduled for the following month.
- Where
- Brazil.
- Why
- Taesa cited uncertainty about rules for transmission companies, including how battery revenues would be used to help keep tariffs affordable.
This story does not have two clearly opposing sides.
Taesa completed an investment cycle that included delivering three transmission projects, upgrading its existing network and buying operational assets from Energisa.
Taesa reported that it would not participate in the battery auction planned for the following month.
- Auction
- Brazil’s first battery auction is planned for the month after November 11, 2026.
- Regulatory concern
- Aneel indicated that winning transmission companies would have to return part of battery-business revenue to help keep tariffs affordable.
- Taesa position
- The company will not participate but remains interested in batteries.
- ISA Energia
- The company had expressed concern about the rules but had not made a final participation decision.
- Investment cycle
- Taesa said it invested R$6.7 billion, including R$2.9 billion in 2026.
What people are saying
This issue of tariff affordability, who will pay for the contracting, has these uncertainties the company talked about: no, I think there needs to be greater maturity.
We are interested in batteries and are carrying out studies and conversations with suppliers.
In this investment cycle, we invested R$6.7 billion, R$2.9 billion just this year.