DECREE No. 13,097/2026 | OPENING OF THE FREE ELECTRICITY MARKET

Regulation of the Opening of the Market to Low-Voltage Consumers (Group B) — A New Regulatory Framework for ~90 Million Consumer Units

On August 13, 2026, Decree No. 13,097/2026 was published, regulating the opening of the free electricity market to low-voltage consumers (Group B), including households, small businesses, and small industries. The measure establishes the conditions for migration from the Regulated Contracting Environment (ACR) to the Free Contracting Environment (ACL), and sets a gradual schedule for the opening of the market.

Among its main provisions, the Decree establishes that migration must be carried out with representation by a retail agent and prior notice to the distribution company at least 90 days in advance. It also establishes conditions for returning to the ACR, creates rules governing the operation of the Supplier of Last Resort (SUI), and provides that, until December 31, 2030, this function will be performed exclusively by distribution companies.

The market opening for industrial and commercial consumers is scheduled for November 25, 2027, while other low-voltage consumers will be able to migrate as of November 25, 2028. The operational regulation of the main aspects of the new model remains subject to rules to be issued by ANEEL.

The measure represents a significant change in the dynamics of electricity contracting, and requires companies and consumers to pay close attention to migration conditions, tariff impacts, and the new rules applicable to the free electricity market.

The Global Energy practice of Tauil & Chequer Advogados in association with Mayer Brown are available for any additional clarification on this topic.