Amazonas Energia faces concession loss amid R$ 9.6 billion debt

Privatization has failed to resolve the financial and operational crises facing Amazonas Energia. Despite moving to private control in 2019, the distributor accumulated a net debt of R$ 9.6 billion by September 2023, leading to a state of economic and financial unsustainability.

In November 2023, the National Electric Energy Agency (Aneel) refused to approve a request for a transfer of corporate control and recommended that the Ministry of Mines and Energy declare the concession expired. This procedure could result in the company losing its right to operate energy distribution services in the state of Amazonas.

Beyond debt, the company faced regulatory scrutiny regarding its billing processes. A results plan implemented between October 2021 and September 2022 was rejected by Aneel. Additionally, the company reported significant consumer dissatisfaction, with 43% of 3,949 second-level complaints being ruled valid.