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Distributed generation in Brazil: rooftop and remote solar, net metering credits and the wire charge phase in

Last verified: 2026-10-27 · Status: Changing

Consumers in Brazil may generate their own renewable or cogeneration power up to 75 kW (micro) or 3 MW non dispatchable and 5 MW dispatchable (mini) and offset it against their bills through the energy compensation system, locally, remotely across their own units or through shared generation. Systems in place when the law was published in January 2022 or requested within the following 12 months keep the old full offset until 31 December 2045. Newer systems pay a rising share of the distribution wire charges on compensated energy, 60 percent in 2026, 75 percent in 2027 and 90 percent in 2028, before ANEEL's cost benefit tariff rules apply from 2029.

Key facts

Maximum capacity of micro generation75 kWLei nº 14.300 art. 1 XI, as of 2026-10-27 · in force
Maximum capacity of mini generation, dispatchable sources5 MWLei nº 14.300 art. 1 XIII, as of 2026-10-27 · in force
Maximum capacity of mini generation, non dispatchable sources3 MWLei nº 14.300 art. 1 XIII, as of 2026-10-27 · in force
Share of distribution wire components paid on compensated energy in 2026 (non grandfathered units)60 %Lei nº 14.300 art. 27 IV, as of 2026-10-27 · in force
End of legacy net metering for grandfathered units2045-12-31 dateLei nº 14.300 art. 26, as of 2026-10-27 · in force

The rule

1. Micro generation is a renewable or qualified cogeneration plant of up to 75 kW installed capacity connected through a consumer unit. Mini generation is above 75 kW and up to 5 MW for dispatchable sources or 3 MW for non dispatchable sources. Dispatchable sources include hydro with controllable output, qualified cogeneration, biomass, biogas and solar with batteries within limits set in the law.Lei nº 14.300 (distributed generation framework), Art. 1 IX, XI and XIII, 2022-01-06 official text · verified 2026-10-27
2. Distributors must process access requests for micro and mini generation, with or without storage, using an ANEEL standard form; they may not ask for documents beyond those listed in the form.Lei nº 14.300, Art. 2 caput and § 3, 2022-01-06 official text · verified 2026-10-27
3. Consumers may join the energy compensation system with local or remote generation, as part of multi unit developments, through shared generation (consortia, cooperatives, condominiums) or as remote self consumption across units of the same legal entity, including head office and branches, served by the same distributor. Free market consumers that bought energy under Lei nº 9.074 arts. 15 and 16, or special consumers, may not join.Lei nº 14.300, Arts. 1 I to III, and 9, 2022-01-06 official text · verified 2026-10-27
4. A generating plant may not be split into smaller units to fit the micro or mini generation limits.Lei nº 14.300, Art. 11 § 2, 2022-01-06 official text · verified 2026-10-27
5. Units with micro or mini generation existing when the law was published in January 2022, or that filed an access request within 12 months of publication, keep until 31 December 2045 the old billing: all tariff components apply only to net consumption after injected energy and credits.Lei nº 14.300, Art. 26 caput and § 1 I, 2022-01-06 official text · verified 2026-10-27
6. Other units pay, on all compensated energy, a rising share of the tariff components for distribution asset remuneration, depreciation and operation and maintenance: 15 percent from 2023, 30 percent from 2024, 45 percent from 2025, 60 percent from 2026, 75 percent from 2027 and 90 percent from 2028, with the full ANEEL rule from 2029.
Example: For every R$100 of those distribution components on compensated energy, the unit pays R$60 in 2026, R$75 in 2027 and R$90 in 2028. / For every US$100 of those components: US$60, US$75 and US$90.Lei nº 14.300, Art. 27 caput I to VII, 2022-01-06 official text · verified 2026-10-27
7. Mini generation above 500 kW from non dispatchable sources in remote self consumption, or in shared generation where one holder has 25 percent or more of the surplus, pays until 2028 100 percent of the distribution wire components plus 40 percent of the transmission use components and other listed charges on compensated energy.Lei nº 14.300, Art. 27 § 1 I and II, 2022-01-06 official text · verified 2026-10-27
8. After the transition, compensated units are billed on all non energy tariff components on energy drawn from the grid, net of the benefits to the system that ANEEL values under CNPE guidelines, including location, losses, transmission and distribution benefits.Lei nº 14.300, Art. 17 caput and §§ 1 to 3, 2022-01-06 official text · verified 2026-10-27
9. The Energy Development Account (CDE) temporarily funds the non energy tariff components not paid by consumer generators on compensated energy, in the form of the art. 27 phase in.Lei nº 14.300 art. 25, as worded by Lei nº 15.269 of 24 November 2025, Lei nº 15.269 art. 14, 2025-11-24 official text · verified 2026-10-27 · changed: Lei nº 15.269 of 24 November 2025 reworded art. 25 on CDE funding of the unpaid wire components.
YearStandard unitsNon dispatchable remote or concentrated shared mini generation above 500 kW
202315 percent100 percent plus 40 percent of transmission and other listed components
202430 percentSame
202545 percentSame
202660 percentSame
202775 percentSame
202890 percentSame
2029 onwardANEEL rule under art. 17ANEEL rule under art. 17

Share of distribution wire components charged on compensated energy (Lei nº 14.300 art. 27).

Worked example

  • A company installs 2.5 MW of solar in 2026 to supply its branches in the same distribution area through remote self consumption. Solar without batteries is non dispatchable, so the 3 MW cap applies and the project fits as mini generation. Because it is above 500 kW and remote, it pays until 2028 the full distribution wire components plus 40 percent of transmission components on compensated energy (art. 27 § 1), and from 2029 the ANEEL rule.

Step by step

  1. 1. Check eligibility: renewable or qualified cogeneration source and capacity within 75 kW, 3 MW or 5 MW.
  2. 2. Choose the modality: local, remote self consumption, multi unit or shared generation.
  3. 3. File the ANEEL standard access form with the distributor.
  4. 4. Model bills with the art. 27 phase in for the connection year, and art. 27 § 1 if above 500 kW remote or concentrated shared.
  5. 5. Keep the unit in the same holder or a valid transfer to preserve credits and any grandfathering.

Common traps

  • Free market consumers cannot join the compensation system.
  • Splitting a plant to fit the limits is prohibited (art. 11 § 2).
  • Grandfathering to 2045 is lost if the contract with the distributor ends, other than by change of holder, or in other cases listed in art. 26 § 2.
  • Large remote solar above 500 kW does not benefit from the gradual phase in; it pays the full wire components from the start.

Sources

Related pages

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