The National Electric Energy Agency (Aneel) announced on Friday, October 31, 2025, the maintenance of the red flag level 1 tariff for November electricity bills. This means an additional cost of R$ 4.46 per 100 kWh consumed, as in October. The decision reflects low rainfall volumes and the need to use more expensive thermal power plants.
Aneel justified the measure due to the unfavorable scenario in hydroelectric generation, with below-average rainfall and reduced reservoir levels. “The scenario remains unfavorable for hydroelectric generation due to below-average rainfall volumes and reduced reservoir levels. Thus, to ensure energy supply, it is necessary to activate thermal power plants, which have higher costs, justifying the maintenance of the red flag level 1,” the agency stated.
Additionally, the agency noted that solar generation is intermittent and does not provide continuous energy, especially at night and during peak hours, requiring thermal plants to meet demand. In 2025, flags were green from January to April, yellow in May, and red consecutively since June. August and September had level 2, with an additional R$ 7.87 per 100 kWh, raising energy prices by 12.17% in September.
The tariff flag system, created in 2015 and marking 10 years in 2025, allows passing variable generation costs to consumers immediately, encouraging mindful consumption. This variation affects inflation: the IPCA-15 slowed to 0.18% in October, driven by a 1.09% drop in electricity prices after September's level 2.
The maintenance of the red flag level 1 continues to reflect climatic challenges in the National Interconnected System (SIN), impacting households, businesses, and industries.