The content has been shared, if you want to share this content with other users click here.
Brazilian power trading company Comerc Energia has outlined plans to expand its client base by 35% next year as it capitalizes on the country's burgeoning free electricity market.
In a statement, Comerc CEO Cristopher Vlavianos said consumers were being drawn to the deregulated segment by lower prices as higher rainfall boosts hydroelectricity and a recession erodes demand.
"The difference between prices on the captive and free markets Is evident, favoring the migration of consumers," Vlavianos said.
Comerc said its business has grown 125% so far this year to 1,300 consumer units, representing 15% of the country's free market.
Projected growth next year will lead to a 20% rise in revenue, according to Vlavianos.
Among industries to lead an exodus from the regulated market are food, manufacturing, plastics and shopping centers, according to Comerc.
"We previously established a partnership with these companies to individually analyze their situation and conditions, and then identify the ideal moment for each one to migrate," Vlavianos said.
Brazil's CCEE power market clearing house expects the number of free-market consumers to rise 139% this year to 4,367.
Comerc said greater predictability of costs and the chance for consumers to choose their energy source were other factors drawing consumers to the free market.