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Paraná Energy Crisis: Copel Given 30-Day Deadline to Address Power Outage Woes

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Brazil's Senate orders energy company Copel to present a 30-day action plan following widespread complaints about power outages in Paraná, which have caused significant economic damage to agriculture and industry.

In a decisive move to address a growing energy crisis, Brazil's Federal Senate has put the energy company Copel on the clock. The utility has been given a strict 30-day deadline to deliver a comprehensive action plan aimed at curbing the frequent and damaging power outages plaguing the state of Paraná. This ultimatum came at the conclusion of a tense public hearing held on Tuesday, which brought together frustrated representatives from the industrial and agricultural sectors.

The hearing was convened in direct response to mounting complaints and documented economic losses. One particularly stark example highlighted was the catastrophic impact on a poultry farm in São Miguel do Iguaçu, where a single power interruption led to the death of 20,000 chickens. This incident underscores the severe financial risks that unreliable power poses to the state's vital agribusiness sector.

Leaders from the productive sectors did not mince words during the debate. The president of the Paraná Federation of Agriculture (Faep), Ágide Eduardo Meneguette, painted a grim picture, stating that for rural producers, "electricity has become a constant risk factor for agricultural activity." He emphasized that without stable power, production simply halts, leading to what he described as "stratospheric losses."

Adding to the industrial perspective, a director from the Federation of Industries of Paraná (Fiep), João Arthur Mohr, pointed out that even brief, seconds-long outages can be devastating. Modern, sensitive production lines are instantly disrupted by such "instantaneous faults," causing costly shutdowns and equipment issues, even if the total outage time falls within regulatory limits.

The National Electric Energy Agency (Aneel) confirmed that complaints against Copel have increased, prompting the regulator to include the company in its technical supervision actions for the second half of the year. While Aneel noted that Copel's average outage time of seven hours in 2025 was within the regulatory limit, the spike in complaints has raised a red flag.

Copel's leadership, represented by Director-General Antônio Villela de Abreu, attributed part of the problem to an increase in severe weather events like storms and gales. The company's commercial director, Julio Shigeaki Omori, outlined their strategy, stating their major goal is to strengthen the grid before the rainy season begins in September and October, with a special focus on rural areas.

The contentious issue of a potential tariff hike was also on the table. A scheduled five-year tariff review could see energy bills rise by up to 19% for general consumers and as high as 51% for some industrial sectors starting in June. Participants sharply questioned the justification for such increases given the current service quality, demanding that any plan from Copel must translate into real, effective improvements to prevent further economic damage.

Based on reporting from g1.