O custo social da energia elétrica: uma análise a partir da bacia hidrográfica do rio São Francisco

Abstract

This paper examines the question of hydraulics generation ofelectricity in Brazil and calls attention to the fact that, despite the water utilization for electrical power generation be considered as a consumptive use of water resources, hydroelectric generation brings upon sustainability costs to basin systems, because it establishes technical restrictions (the need to guarantee adequate upstream water flow, evaporation losses of reservoirs, and changes ofdownstream water flow), which are not considered by the sector through its electricity pricing mechanism. The fact that the electricity sector does not take into account these social costs, implies that electricity price is being undervalued by the market, generating in this way an inefficient allocation of resources in the Brazilian economy, by inducing economic agents to use hydroelectricity more intensively than its social optimum level, with negative effects to the society as a whole.