Brazil CNI April Survey: Electricity Prices Affect Industrial Competitiveness

en.Wedoany.com Reported - A recent survey by the National Confederation of Industry (CNI) of Brazil shows that electricity prices have become a significant factor affecting the country's industrial competitiveness. 83% of surveyed industrial companies stated that energy costs are directly related to their market competitiveness; 67% of companies pointed out that rising electricity prices have already pushed up production costs.

In terms of the magnitude of price increases, 3% of companies consider the electricity price hike to be high (exceeding 30%), 20% consider the impact moderate (an increase exceeding 10%), and 39% classify the increase as low (not exceeding 10%). Faced with pressure from electricity costs, 64% of surveyed companies have already adopted energy-saving or cost-reduction measures. Among these, migrating to the free energy market (Mercado Livre de Energia) is the most common choice, adopted by 30% of companies; 13% of companies have invested in self-generation (autogeração) and energy efficiency retrofits; another 28% of companies have not yet taken any optimization measures.

By sector, the rubber products industry has the highest share of investment in self-generation, reaching 25%, and its adoption rate of the free energy market is also relatively high, at 38%. The footwear industry leads in migrating to the free energy market, with 47% of companies having completed the transition. The computer equipment and electronics industry is the most active in energy efficiency investments, with a share of 25%.

This study, titled "Special Survey on Industry and Energy" (Sondagem Especial Indústria e Energia), was conducted by CNI in April and surveyed 1,498 companies in the extractive and transformation industries, including 601 small companies, 529 medium-sized companies, and 368 large companies.