Instituto Brasileiro de Geografia e Estatística

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National System of Consumer Price Indices

Technical Note - 03/2001

Methodology of Electrical Energy - Explanation

The estimate of price changes of the Electrical Energy sub-item in the National System of Consumer Price Indexes has been calculated, since its implementation, by means of a theoretical calculus associated with the monthly average consumption of households obtained from the Consumer Expenditure Survey. The price of the kWh and the value of the Sales and Services Tax (ICMS) are monthly obtained from the supply companies as well.

With the energy-rationing plan that became effective on the 4th of June of the current year, the average price per kWh became a function of the behavior of each household, considering the goal to reduce consumption, received bonuses and overtax.

Consequently, a methodological adjustment, which considered the monthly average values effectively paid by residential consumers categorized in the different consumption levels of IPCA and INPC, was necessary. Thus, electrical energy supply companies were asked to supply spreadsheets with those values, including overtax or bonuses, according to the real consumption of each household.

The apparent simplicity of the adjustment proposed was not feasible in practice, because the required spreadsheets meant a new and complex data processing system. Since June of the current year, IBGE interacted with supply companies and the National Electrical Energy Agency-ANEEL with the purpose of obtaining the average values of the bills for each area. However, the companies had difficulties in providing the required information because of the complexity aforementioned and the change of procedures for charging for electricity.

Considering the operational impossibility of the proposed method at the moment, IBGE adopted the same methodology used to calculate the price changes for electrical energy, that is, collecting price changes resulting from the components of the prices charged only (price of kWh and ICMS). The effects relative to bonuses or overtaxing are not considered in the indices.

All the investigative process, proposal and analysis of viability of the alternative methodology was analyzed by the Consulting Council of the National System of Consumer Price Indexes, which thoroughly validated the actions and decisions of IBGE.

The contacts with the supply companies and ANEEL will continue in order to identify information for the continuous improvement of the methodology to calculate the Electrical Energy sub-item.

Therefore, the procedures described on the Technical Note 02/2001 are integrally maintained.