The Brazilian Association of Energy Storage Solutions (ABSAE) welcomed the opening of the public consultation on the distribution of the Capacity Reservation Charge associated with storage systems (ERCAP-SAE) . However, it warned that the regulatory debate highlights shortcomings in current legislation that could create uncertainty for project development.
The entity indicated that they will actively participate in the process promoted by the National Electric Energy Agency (ANEEL) , although they believe that the different alternatives under discussion reveal a fundamental problem: the legislation established that generators must assume the costs of contracting batteries, but did not define clear parameters to implement that obligation .
In that regard, ABSAE highlighted that the official rapporteur's own vote acknowledges the existence of this regulatory gap.
While the law identifies those responsible for payment, it does not determine fundamental aspects such as the amount of the charge, the frequency of its evaluation, or the criteria for distributing it among the different generators .
This situation forces the regulator to develop a methodology that allows the legal provision to be applied objectively and operationally, while guaranteeing the financial security of the contracts, despite the absence of specific guidelines in the legislation.
The debate over who should bear the storage costs
One of ABSAE's main concerns relates to the nature of the service that the batteries contracted through Brazil's first storage auction will provide.
According to the association, both the rapporteur's vote and the contributions of the National Electric System Operator (ONS) recognize that the LRCAP-Storage contracts are intended to guarantee the availability of energy for the electric system.
The need for this capacity is especially evident during periods of peak demand , when it is essential to have resources that contribute to the security and reliability of the supply.
This interpretation coincides with the approach put forward by the Ministry of Mines and Energy (MME) in Public Consultation 229/2026, which proposes to distribute costs among end consumers according to their demand during the hours of highest load of the National Interconnected System (SIN) .
For ABSAE, both approaches show that the need to contract reserve capacity responds to the behavior of electricity demand as a whole and not to the activity of a specific generation segment .
For this reason, the association considers it necessary that any allocation methodology include a sufficiently broad base of agents responsible for payment, accompanied by transparent criteria and mechanisms that ensure predictable income.
The entity also stressed the importance of establishing tools to cover potential payment defaults , so that awarded projects are not exposed to financial risks unrelated to their operation.
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They are demanding changes in legislation to correct the asymmetries.
Although ABSAE expressed its willingness to collaborate with ANEEL in the development of the methodology, it clarified that its participation does not imply support for the differentiated treatment established by legislation for battery storage systems.
On the contrary, he believes that the current discussion reinforces the need to move forward with a structural modification of the legal framework.
In particular, the association supports the elimination of paragraph 6 of Article 3-A of Law 10.848/2004 , as contemplated in Bill 3716/2026 .
The initiative seeks to eliminate the exception established for storage and recover a cost distribution criterion in accordance with the systemic nature of the capacity reservation service.
From ABSAE's perspective, the procurement of batteries responds to general needs of the electrical system , so its economic treatment should be consistent with that function.
They are asking that the regulatory discussion not delay the battery auction.
Another key point in ABSAE's position is the need to prevent the definition of the cost allocation mechanism from becoming an obstacle to the schedule of Brazil's first storage auction.
The association maintains that the methodological debate should not condition the implementation of the LRCAP-Storage or the signing of capacity reservation contracts with the selected projects .
According to the entity's proposal, the regulation of the charge and the formalization of the network use contracts can be completed up to 30 days before the start of the supply scheduled for August 2028 , without needing to postpone the previous stages of the process.
In this way, ABSAE proposes to move forward in parallel with the structuring of the contract and the definition of the economic rules, preserving the predictability necessary for developers and investors.
The entity insisted that the country's first battery auction requires legal certainty, consistent technical criteria, and financial conditions that allow for long-term contracts .
However, he stressed that a suitable methodology for distributing the position will not, by itself, solve the problem identified in the regulatory framework.
Consequently, ABSAE considers it essential that the regulatory discussion move forward without compromising the contracting schedule, while promoting a legislative amendment that will definitively correct the differences in the treatment of storage systems.