COMGAS is the largest gas distribution company of Brazil
Company’s stakeholders wanted an analytic decision tool to explore and optimize the effects of changing consumer tariffs for the company clients. Setting energy prices for consumers in competitive markets such as the Brazilian one, is particularly challenging for regulated utilities. The company aims to maximize business value while meeting constraints of public regulatory agencies.
The tool had to model the price elasticity of demand, capital investments, and the effects on operating costs over time. This information feeds a financial model to evaluate the effect on financial returns and company value.
One of the main uses of the planning system implemented at Comgas is to explore and discover the combination of tariffs and investments that maximize company outputs captured on financial statements.
The benefits of collaboration through implementing an integrated planning system has spread deeply in the Comgas organization, driving the creation of an integrated planning department formed by representatives from every area of the company.