A report from research and consulting firm GlobalData states that Brazil is leading the way in smart grid investment and development in South America.
GlobalData adds that with power theft as high as 20 per cent in some Brazilian regions, “local utilities are pursuing investments in smart meters as the technology provides a simpler way for companies to track such activity”.
Sowmyavadhana Srinivasan, GlobalData's senior power analyst, said: “Brazil’s National Electric Energy Agency (ANEEL) was expected to mandate the roll-out of smart meters in the country to achieve its objective of better energy efficiency.
“However, the agency simply defined a set of rules and norms, which indirectly requires the roll-out of smart meters by utilities instead.
“Furthermore, ANEEL has introduced a policy requiring utilities to supply precise geographic information regarding the location of cables, transformers and customer metering points. It is also planning to implement a net metering system, which would enable customers to connect their micro-generation system to the Brazilian power grid with ease.”
However, GlobalData adds that “major market restraints remain in the region, such as bureaucracy and non-transparency, which could harm the protection of investor interest and the enforcement of contracts”.