(Opinion) Brazil stands at an power paradox, endowed with wealthy renewable assets but affected by exorbitant electrical energy prices.

Understanding this contradiction requires a better have a look at a number of key elements.

First up is the taxation system. In Brazil, taxes and subsidies account for practically 40% of the electrical energy invoice.

Yearly, the federal government introduces new levies, usually with out clear justification. This sophisticated tax construction contributes considerably to skyrocketing electrical energy prices.

Turning our consideration to subsidies, the state of affairs seems much more perplexing. Brazil possesses a powerful renewable power sector that features wind and solar energy.

Oddly, these already profitable sectors obtain authorities subsidies, driving up prices for the common Brazilian.

Subsequent, let’s look at public coverage selections. Nations like Canada and the U.S. use good coverage choices to supply reasonably priced electrical energy.

Canada capitalizes on its hydroelectric assets, whereas the U.S. balances renewable and non-renewable sources.

Brazil’s coverage, in distinction, hasn’t been fine-tuned to leverage its pure wealth successfully. Diving into worldwide comparisons sheds additional mild on the difficulty.

For example, Turkey has a per capita GDP just like Brazil however costs its residents half the associated fee for electrical energy.

This disparity isn’t a coincidence; it highlights the inefficiencies rooted in Brazil’s power coverage.

One other angle to contemplate is Brazil’s standing in comparison with rising economies. Whereas it tops the listing in electrical energy prices, international locations like Chile and Costa Rica fare significantly better.

This distinction emphasizes the pressing want for coverage reform in Brazil.

To wrap up, the exorbitant electrical energy prices in Brazil can’t be attributed to an absence of assets.

As an alternative, they’re a byproduct of misaligned insurance policies, a convoluted taxation system, and unwarranted subsidies.

These systemic flaws want instant consideration for the advantage of Brazilian shoppers.