Enel São Paulo contests potential termination of energy concession

Enel São Paulo has submitted its final arguments to the National Electric Energy Agency (Aneel) to contest the recommendation for the termination of its energy distribution concession in the São Paulo metropolitan area.

The process was initiated by Aneel following service failures and prolonged power outages experienced between 2023 and 2025, particularly during extreme weather events. The regulator noted that the company's performance was below the average of other distributors.

In its defense, Enel argues that the termination is a disproportionate measure and claims it has been treated unequally compared to other distributors. The company highlighted significant operational improvements, including a 90% reduction in interruptions lasting over 24 hours as of June 2026, a 73% increase in investments, and a 31% increase in personnel and services.

Enel also raised concerns regarding the potential risks to consumers, noting a lack of studies on how a transition to a new operator would affect electricity tariffs, service continuity, and the complexity of asset transfers. The company requested that Aneel evaluate the net benefit to consumers before proceeding. The final decision on the concession rests with the Ministry of Mines and Energy.