Consumption impacted by lower residential consumption in areas with milder temperatures

In January 2020 Energisa Group’s 11 distribution companies’ consolidated captive and free electricity consumption (3,021.9 GWh) dropped by 0.8% over the same month last year. Captive sales dropped by 1.8% and free sales rose by 0.4%. If unbilled sales are included, the volume was 3,019.8 GWh, a decrease of 0.5% in the same period.

The main drivers of captive and free energy consumption growth occurred in the following concessions: i) EMT, with an increase of 3.4% (24.4 GWh), primarily impacted by the residential (+7.2% or 18.2 GWh) and commercial sectors (+1.6% or 2.3 GWh), both influenced by warmer than average weather; and rural (+6.5% or 6.0 GWh), due to higher use of irrigation in cotton and soy production; ii) EPB, with an increase of 2.9% (11.1 GWh), due to the residential (+3.2% or 5.1 GWh) and commercial sectors (+3.8% or 2.7 GWh), due to the low level of rainfall and higher number of days with warmer than average temperatures; iii) ERO, with an increase of 1.2% (3.1 GWh), due to the residential (+2.4% or 2.6 GWh) and commercial sectors (+2.9% or 1.6 GWh) and iv) EAC, which experiences modest growth of 1.1% (1.0 GWh), also driven by the commercial sector (+2.1% or 0.5 GWh) and residential sectors (+2.4% or 0.4 GWh), driven by the combination of warmer weather and lower rainfall.

Unlike consumption growth in other concession areas of Energisa Group, energy sales contracted most at EMS, which saw a decrease of 4.4% (22.3 GWh) and ESS, with a decrease of 4.9% (20.0 GWh), both due to milder temperatures resulting in lower consumption by the residential and commercial sectors. ESE saw a decrease of 6.2% (16.8 GWh), due to the contraction in the industrial output of the paper sector following the loss of a major client to the National Grid. ETO experienced a contraction of 1.3% (2.4 GWh), due to the stoppage of mining and livestock slaughter activities. EMG and ENF experienced decreases of 2.9% (3.9 GWh) and 4.3% (1.2 GWh), results driven by milder temperatures in January.

Click here to read the Investor Relations Newsletter, edition February 2020.