In 1993, the Brazilian electricity sector initiated a restructuring process by unbundling the generation, transmission, and distribution components of the existing companies. This ultimately led to the privatization of most distribution assets and some of the generation assets. However, little attention was paid in the process to the expansion of services to low-income and rural areas. This paper characterizes the main policy, institutional and regulatory barriers that have negative impacts on electricity supply to low-income consumers in rural and urban areas in the country. It also analyzes the effect of the power sector reform and discusses existing institutional arrangements that may affect the policy goal of universal access to electricity. Finally, it provides recommendations for feasible developments in policy, regulatory and institutional arrangements that would facilitate the expansion of electricity supply to low-income consumers and rural areas.