The regulatory challenge of integrating microgrids in the Brazilian context

Sustainability of microgrids depends on a successful business model, enabling technology, and regulation policies. Technical challenges are still significant, but they can be divided and solved in diverse levels with application of existing technology in several ways. However, the regulatory context is vital to incentive microgrids integration into the electricity market. This article aims to explore and categorize different regulatory challenges existing nowadays in Brazilian scenario, in order to identify them, propose possible solutions and encourage investment in microgrids. The main conclusion is that, in general the regulatory environment in Brazil is adapting to include microgrids in the electric system. Though, some regulatory difficulties tend to be solved with the implementation of regulations relating to micro-generation that can be subsequently applied to microgrids and through benchmarking with international experiences from other countries.