Comparison of the Energy Markets of Colombia and Brazil

Abstract

This paper presents a description and comparison of the electricity markets of Colombia and Brazil. First of all, a study of the institutional structures and free and regulated trade environments of both Colombia and Brazil is carried out, as well as the regulated user ratings and the composition of the final prices given to these consumers according to the category to which they belong and how the evolution of these tariff values in both countries has been, regarding to the free environment, the prices of the most recent auctions of these countries are verified. The economic implications that it represents for consumers are then evaluated, belonging to the free or regulated environment in Colombia and Brazil. Moving from the internal comparison through these countries, an analysis between them is carried out, in which it is shown how the stipulated taxes also generate a marked differentiation between the values paid by the consumers of electric energy of the mentioned countries.