History

Below is a brief history of electricity governance in Brazil, from the creation of the Water Directorate to the beginning of ANEEL’s activities in 1997.

1933

The Geological and Mineralogical Service of Brazil was reorganised, leading to the creation of the Water Directorate, later transformed into the Water Service.

1934

The National Department of Mineral Production (DNPM) was established, encompassing, among others, the Water Service, as a result of the Juarez Távora Reform.

1939

The National Council for Water and Electric Energy (CNAEE) was created by Decree-Law No. 1,285 of 18 May 1939, directly subordinated to the Presidency of the Republic, as a body for consultation, guidance and oversight regarding the use of hydraulic resources and electric energy throughout the national territory.

1940
Decree No. 6,402, dated October 28, 1940, transformed the Geological and Mineralogical Service of Brazil into the Division of Geology and Mineralogy and restructured the Water Service as the Water Division

1960

Law No. 3,782 of 22 July 1960 (in portuguese) established the Ministry of Mines and Energy, subordinating the CNAEE to the Ministry.

1961

The National Department of Mineral Production was detached from the Ministry of Agriculture and integrated into the Ministry of Mines and Energy.
The incorporation of Centrais Elétricas Brasileiras S.A. – Eletrobras, authorised by Law No. 3,890-A of 25 April 1961 (in portuguese), absorbed several responsibilities previously under the CNAEE.

1965

The Water Division of the National Department of Mineral Production was transformed into the National Department of Water and Energy (DNAE).

Law No. 4,904 of December 17, 1965 (in portuguese), established the National Department of Water and Energy (DNAE). However, the law did not expressly state that the National Council for Water and Electric Energy (CNAEE) would cease to intervene in matters falling within the jurisdiction of the DNAE. The existence of two bodies with similar functions resulted, for several years, in difficulties that affected Brazil's national energy policy.

1968

Decree No. 63,951, of December 31, 1968 (in portuguese), approved the basic structure of the Ministry of Mines and Energy and provided, in the sole paragraph, item (a), of Article 1: "The process of transferring to the Departments indicated below the responsibilities currently assigned to the bodies listed hereafter shall be initiated: (a) to the DNAE, which shall henceforth be designated the National Department of Water and Electric Energy (DNAEE), the responsibilities of the National Council for Water and Electric Energy (CNAEE), within a period of 60 days."

1969

Decree-Law No. 689, of July 18, 1969 (in portuguese), completed the legal procedures by abolishing the CNAEE and formally transferring to the DNAEE all responsibilities of the former CNAEE as established under the applicable legislation.

1977

By Ministerial Ordinance No. 234, of February 17, 1977, issued by the Minister of Mines and Energy, the Internal Regulations of the DNAEE were approved. The nature and purpose of the DNAEE were established in Article 1 of those Regulations:

Article 1 - The National Department of Water and Electric Energy (DNAEE), established by Law No. 4,904 of December 17, 1965, with financial autonomy ensured by Article 18 of Decree No. 75,468 of March 11, 1975, is the central senior management body responsible for the planning, coordination, and execution of hydrological studies throughout the national territory; for the supervision, inspection, and control of water developments that alter natural water regimes; and for the supervision, inspection, and control of electricity services.

1996

Law No. 9,427 of 26 December 1996 (in portuguese) established the National Electric Energy Agency (ANEEL), a special autonomous agency linked to the Ministry of Mines and Energy, headquartered in the Federal District, with the purpose of regulating and supervising the production, transmission and commercialisation of electricity in accordance with Federal Government policies and guidelines.

1997

Decree No. 2,335 of 6 October 1997 (in portuguese) approved the organisational structure of ANEEL.

On 28 December 1997, through Ordinance No. 349 issued by the Minister of Mines and Energy, the Internal Regulations of ANEEL were approved, defining the Agency’s powers in accordance with the Water Code, Laws No. 8,987 and No. 9,074, and subsequent complementary legislation.