Visit facilitated by PSR within the scope of the Meta Price Formation project promotes institutional dialogue

In June, PSR coordinated a series of technical visits that took a representative delegation of Brazilian electricity sector institutions to meet companies and entities in the Norwegian electricity market. The main objective of these visits was to encourage the exchange of experiences and knowledge between the two countries, considering the interest in improvements to the Brazilian electrical market and the physical similarities between the two electrical systems, especially with regard to the significant hydroelectric participation.

The Brazilian delegation was made up of members from the Ministry of Mines and Energy (MME), the National Electric Energy Agency (Aneel), the National Electric System Operator (ONS) and the Electric Energy Commercialization Chamber (CCEE). During the visit, the delegation had the opportunity to learn in detail about the operation of Nord Pool, the Nordic market operator, the local regulator NVE, as well as the facilities of two of Norway’s main energy generators, Statkraft and Hafslund. The agenda also included a visit to a hydroelectric plant south of Oslo, the Norwegian capital.

Nord Pool is recognized as one of the most sophisticated electricity markets in the world, being a reference in energy trading in Europe. In addition to contributing to promoting competition, price transparency and efficiency in electricity markets, Nord Pool has been playing an important role in the integration of renewable sources into Europe’s electrical systems.

During the meeting in Norway, there were important exchanges of experiences and discussions on the operation of the market, including receiving offers and price formation, dialogue with the operation of the physical system, interfaces with standardized contract markets, the importance of monitoring by the regulator to monitor and control market power, in addition to market strategies and risk management by the agents themselves. “It was a very rich discussion, which makes clear the importance of careful market design and collaboration between institutions,” reported Gabriel Cunha, technical director of PSR and leader of the project that included this technical mission.

The visits are part of the META II Price Formation project, carried out by a consortium led by PSR and contracted by CCEE, within the “Meta II” program, established by the International Bank for Reconstruction and Development (IBRD) and the Ministry of Mines and Energy . The project, started last year, is scheduled to continue until November 2025, with reports available on the project website.

The delegation was composed of: Gabriel Cunha (PSR), João Pedro Bastos (PSR), Matheus Gonçalves (PSR), Rodrigo Sacchi (CCEE), Mariana Iizuka (CCEE), Mariana Andrade (EPE), Felipe Calabria (ANEEL), Bianca Alencar (MME) and Danielle Andrade (ONS).