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Electricity Bill Flags and How They Work

Want to understand how light bill flags work? Read on to see how they affect your account value!

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Electricity bill flag system

Bandeiras da Conta de Luz e Como Funcionam. Fonte: Diário do Nordeste.
Electricity Account Flags and How They Work. Source: Diário do Nordeste.

Want to better understand how the light bill flag system works? Below we will talk more about it and how it affects your pocket. Check out!

The flag system was created in 2015 by ANEEL (National Electric Energy Agency) to pass on additional energy generation expenses to consumers. Generally, these expenses occur during periods of drought, when the lack of rain decreases the water level of the hydroelectric plants.

Thus, during these periods, thermoelectric plants need to be activated to guarantee energy generation. However, this causes an increase in the cost of production, which is passed on to Brazilians' electricity bills.

But if the reservoirs are full and there is no need to activate the thermoelectric plants, there is no increase in the tariff. All these conditions vary according to the climate and the amount of rain in a given period.

Therefore, it is important to know what changes your light bill may undergo. That way, you won't have any surprises when paying for it.

Want to know how light bill flags work and how it affects your finances? Check below for more information!

What are Electricity Account Flags and how do they work?

Let's understand now what the light bill flags are and how they work. Thus, you will learn more about how this system influences the lives of Brazilians.

The tariff flags are a way of indicating to the consumer what will be the increase suffered in his electricity bill every month.

The flag changes monthly. Thus, ANEEL makes available on its website at the end of the month which will be the flag for the next one.

They have the same colors as a traffic light to indicate in a didactic way what is happening with the electricity bill rates: green, yellow and red. Each indicates which tariff will be added and whether conditions in power generation are favorable or unfavorable.

Below we will explain each one of them. This will make it easier for you to understand how your electricity bill is charged.

It is worth remembering that the state of Roraima is not part of the National Interconnected System, so it does not suffer changes in tariff flags.

What are the light bill flags?

Bandeiras da Conta de Luz e Como Funcionam. Fonte: Idec.
Electricity Account Flags and How They Work. Source: Idec.

As already mentioned, the flags use the same colors as a traffic light to indicate to the consumer what the tariff for that month will be.

When the flag is green, it means that the conditions in energy generation are at a favorable level. When it is yellow, conditions are at an intermediate level. The red flag is divided into levels 1 and 2 and indicates that energy generation costs are quite high.

When reaching the red color, it means that the hydroelectric water reservoirs are low. This happens in periods when there is little rain.

In addition to being in a time when naturally less rain occurs (from May to September), deforestation and global warming have generated a serious water crisis in Brazil.

With low water reservoirs, thermoelectric plants are activated and they have a higher cost, making it necessary to pass on part of this increase to Brazilian consumers. Therefore, these are some of the reasons for the increase in rates.

Let's talk now about the weight of flags in your electricity bill. Check it out below!

How much does the system weigh on your electricity bill?

Bandeiras da Conta de Luz e Como Funcionam. Fonte: Blue Sol.
Electricity Account Flags and How They Work. Source: Blue Sol.

It is very important to know each tariff so as not to incur losses at the end of the month. That way, you won't be taken by surprise when the light bill arrives at your house, will you?

Therefore, read now what is the increase in each of the tariff flags. Let's go?

  • Green: There is no increase in the rate.
  • Yellow: the consumer pays R$ 1.874 for every 100 kWh consumed in that month.
  • Red: when on level 1, the rate increases by R$ 3.971 for every 100 kWh consumed. And on level 2 the increase is R$ 9.492 for every 100 kWh.

Thus, knowing each flag and what they mean in our electricity bill, we can make conscious decisions about our consumption. So, check out our tips on how to save energy below!

How to save light?

So let's talk about some ways to save energy. So you can reduce your account amount at the end of the month!

Some small attitudes that we take in our daily lives can already have a big impact not only on our electricity bill, but on how we affect the planet.

One of the actions you can take is to unplug electronic devices that are not being used.

Also, avoid opening the fridge unnecessarily and make sure the rubber door is well sealed. Also, do not store hot food in the refrigerator, as this uses more energy.

Another way is to reduce bath time and regulate the temperature according to the season. The hotter you leave the water, the more energy it will use.

Also, don't forget to turn off the lights when leaving a room and use air conditioning only with all doors and windows closed.

When using the washing machine, prefer to wait until it is at its maximum capacity. This way, you will be calling the machine less often.

Finally, replace your home's fluorescent light bulbs with LED light bulbs. In addition to lasting longer, they use less energy.

All these attitudes are very important to help your pocket and also the environment! By reducing consumption according to the flag on their account, the consumer is contributing to reducing the cost of generating energy for the entire system. So stay tuned on your light bill flag to save money!

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