In the Free Market, you choose

Brazil offers two types of electric power contracting

The regulated contracting environment – known as captive market for a local distribution concession holder (Distributor) provides the customer with both the contract for use of the distribution system and the consumed energy.
The free contracting environment – known as free market for the local distribution concession holder (Distributor) provides only the contract for use of the distribution system and the contract for electric power supply is jointly signed with a supplier freely chosen by the customer.
Characteristics Captive Market Free Market
Demand Contracting Distributor Distributor
Energy Supplier Distributor Free Choice
Energy Price Regulated Negotiated
Contracting of renewable sources Choice not permitted

(mix of the distributor’s contracts)
Free choice
0
free and special consumers
0
total of market agents
  • ACR
  • ACL