Brazilian electricity market seen stabilizing for sugar mills after banner year

In Brazil, electricity produced from bagasse is expected to see consolidated sales in 2015 thanks to long-term contracts in regular government energy auctions while spot market sales are expected to provide smaller returns. Spot market sales in 2014 soared after a drought dried up hydropower resources and prices reached record highs of an average near ceiling limits of $307.09/MWh, more than triple 2013’s levels. As of Jan. 1, the ceiling limit will come down by two-thirds.