The ONS (Operador Nacional do Sistema Elétrico – National Electricity System Operator) is the agency responsible for coordinating and controlling the operation of the electricity generation and transmission facilities in the National Interconnected System (SIN), and for planning the operation of the isolated systems in the country, under the supervision and regulation of the ANEEL (Agência Nacional de Energia Elétrica – Brazilian Electricity Regulatory Agency).
The expansion of the transmission industry takes place by means of public sales of public concessions promoted by ANEEL, system in force since the late 90s. The winning party of the bidding is the participant who tenders the lowest RAP (allowed annual revenue), who becomes responsible for building, operating, and maintaining the transmission facilities, which are normally offered for a 30-year period. In addition to determining the winner of the bidding, the RAP is the basis for the remuneration earned by the bidding.
A safe and well-defined regulatory environment is one of the main factors that makes investments in the transmission industry reliable, in addition to: In addition, other contributing factors are: