POTENCIAIS RISCOS DE IMPLEMENTAÇÃO PARA O PILOTO DO LEILÃO DE EFICIÊNCIA ENERGÉTICA EM RORAIMA

This report by the Climate Policy Initiative (CPI/PUC-Rio) analyzes the design and implementation risks of a pilot energy efficiency (EE) auction proposed by the National Electric Energy Agency (ANEEL) for the city of Boa Vista, Roraima. The study identifies risks related to the auction format, the measurement and verification (M&V) methodology, and the misalignment of incentives for energy distributors.

• The proposed energy efficiency auction in Boa Vista is structured into eight lots: one for public lighting and seven 'wide competition' lots covering various neighborhoods. Eligible actions include replacing electronic equipment, civil installation changes, distributed generation, storage, and behavioral changes. Bidders submit closed envelopes with the price they wish to receive per megawatt-hour of avoided energy, and the lowest bidder wins if their offer is at least 5% lower than others.
• The use of a closed-envelope auction format creates a risk of the 'winner's curse,' where the winning bid is higher than the actual value of the asset or indicates the winner is less capable than other participants. This can lead to significant losses for proponents or a failure to deliver expected energy efficiency actions due to underpricing.
• The chosen Measurement and Verification (M&V) methodology relies on randomization and a 'Difference-in-Differences' approach, splitting users into treatment and control groups. This creates a duality: while it allows for scientific verification, it restricts EE actions only to the treatment group, meaning the total potential for energy efficiency in the region may not be fully exploited.
• The M&V process faces risks of 'contamination,' where users in the control group may independently implement energy efficiency measures after discovering they were not selected for the treatment group, potentially invalidating the calculation of avoided energy.
• There is a fundamental misalignment of interests because the buyers of the avoided energy credits are the energy distributors. Since distribution tariffs are based on total electricity consumption, distributors are essentially implementing a policy that reduces their own revenue.
• The pilot in Roraima may lack external validity for replication in other Brazilian states. Roraima is unique as the only state not integrated into the National Interconnected System (SIN), making it dependent on expensive and polluting diesel thermoelectric plants following the interruption of energy imports from Venezuela.
• The auction design focuses exclusively on the quantity of avoided energy, which fails to incentivize projects that shift energy consumption to off-peak hours rather than reducing total consumption.

APA

Schutze, A., Holz, R., & Assunção, J. (2020). POTENCIAIS RISCOS DE IMPLEMENTAÇÃO PARA O PILOTO DO LEILÃO DE EFICIÊNCIA ENERGÉTICA EM RORAIMA. Climate Policy Initiative. https://www.climatepolicyinitiative.org/wp-content/uploads/2020/08/Destaque-Potenciais-riscos-de-implementacao-para-o-piloto-do-leilao-de-eficiencia-energetica-de-Roraima.pdf

Chicago

Schutze, Amanda, Rhayana Holz, and Juliano Assunção. POTENCIAIS RISCOS DE IMPLEMENTAÇÃO PARA O PILOTO DO LEILÃO DE EFICIÊNCIA ENERGÉTICA EM RORAIMA. Climate Policy Initiative, 2020. https://www.climatepolicyinitiative.org/wp-content/uploads/2020/08/Destaque-Potenciais-riscos-de-implementacao-para-o-piloto-do-leilao-de-eficiencia-energetica-de-Roraima.pdf.

Wikipedia

{{cite report |last1=Schutze |first1=Amanda |last2=Holz |first2=Rhayana |last3=Assunção |first3=Juliano |title=POTENCIAIS RISCOS DE IMPLEMENTAÇÃO PARA O PILOTO DO LEILÃO DE EFICIÊNCIA ENERGÉTICA EM RORAIMA |publisher=Climate Policy Initiative |date=August 2020 |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2020/08/Destaque-Potenciais-riscos-de-implementacao-para-o-piloto-do-leilao-de-eficiencia-energetica-de-Roraima.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{schutze2020potenciais, author = {Schutze, Amanda and Holz, Rhayana and Assunção, Juliano}, title = {{POTENCIAIS RISCOS DE IMPLEMENTAÇÃO PARA O PILOTO DO LEILÃO DE EFICIÊNCIA ENERGÉTICA EM RORAIMA}}, institution = {Climate Policy Initiative}, year = {2020}, month = aug, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2020/08/Destaque-Potenciais-riscos-de-implementacao-para-o-piloto-do-leilao-de-eficiencia-energetica-de-Roraima.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }