The Brazilian Electricity Regulatory Agency (ANEEL) held Public Hearing No. 005/2026 on September 1, 2026, at its headquarters in Brasília. The meeting was dedicated to improving the draft tender documents, annexes and Capacity Reserve Power Contracts (CRCAP) for Auctions No. 05 and No. 06/2026-ANEEL. These will be the country's first auctions aimed at procuring large-scale battery energy storage systems. The session was chaired by director Gentil Nogueira and had about 70 in-person participants, approximately 200 people watching on YouTube and eleven speakers. Anyone wishing to contribute can still send suggestions by email until September 14.
Two auctions, one key difference
Both auctions share the same purpose. Both will procure power availability through standalone battery-based Electric Energy Storage Systems (SAEs). In practice, these are the so-called BESS (Battery Energy Storage Systems) that operate independently, without being coupled to a generating plant.
What sets the auctions apart is the origin of the equipment:
- Auction No. 05/2026 (National Storage): requires batteries manufactured in Brazil. It is scheduled for December 2.
- Auction No. 06/2026 (General Storage): carries no such requirement. It is scheduled for December 4.
The domestic manufacturing requirement works as a local content policy. This type of rule seeks to stimulate the domestic industrial chain, but it also affects costs, delivery times and supplier availability. With two separate auctions, the regulator can test both paths at the same time.
The role of the CRCAP contract
The CRCAP is the document that will govern the relationship between the winner and the system throughout its term. It sets out:
- the remuneration criteria for the power made available;
- the operational requirements the storage system must meet;
- the penalties for failing to comply with the contracted conditions.
In capacity reserve auctions, the logic is to pay for the ability to deliver power when the electricity system needs it, not just for the energy actually produced. That is why the wording of the availability and penalty clauses directly affects investor risk and, therefore, the price they will bid.
Deadlines and term
In both auctions, contracts will last 15 years. Supply is scheduled to begin on August 1, 2028. The hearing is linked to two public consultations: No. 22/2026, on Auction No. 05, and No. 23/2026, on Auction No. 06. The timeline is as follows: contributions until September 14, auctions in early December and start of commercial operation in August 2028.
What changes in practice for the BESS market
For developers, the immediate priority is the contribution window. Until September 14, it is still possible to propose adjustments to remuneration, operational requirements and penalties, that is, the points that define the financial viability of projects. After that, the focus shifts to preparing bids for December.
For EPCs, the deadline of August 2028 requires engineering, procurement and construction planning starting now. The construction schedule must be compatible with the supply start date.
For manufacturers, Auction No. 05 creates specific demand for batteries produced in Brazil. This may guide production decisions and local partnerships. Auction No. 06, on the other hand, keeps room open for imported equipment, with broader competition.
For suppliers of components and services, the long-term contracts point to continuous demand for operation, maintenance and performance guarantees over 15 years. A thorough understanding of the CRCAP requirements will be decisive for structuring competitive offers and reducing exposure to penalties.
Original source: ANEEL — Audiência Pública debate editais dos primeiros leilões de baterias de grande porte no Brasil