Between 2013 and 2015, the water levels at storage reservoirs of the Brazilian hydroelectric power plants were reduced by the droughts that impacted the country. As a consequence, the National System Operator restricted hydro power generation in its offer composition, increasing the thermal energy generation to meet the demand. However, this restriction on hydro power energy prevented suppliers from fulfilling their contracts through their own energy production, which forced them to purchase short-term-trade energy and accumulate loss. This water crisis highlighted how exposed hydro power generators are to hydrological risks, a consequence of the contractual modality practiced in this market, in which suppliers take on all of the risk associated with generating power. This study presents an alternative to this contractual model, one in which part of the hydroelectric energy is sold in a modality of contract where risks are borne by the buyer. In exchange, the hydro generator is expected to pay a premium, reflected on the price difference between the two contractual modalities and calculated in a way that would not alter the expected total costs for the buyer. The results showed gains in terms of certainty equivalent and a considerable decrease of CVaR for the hydro generator in all analyzed scenarios. The premium, however, showed significant sensitivity in regards to many factors of the model.