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Investor Relations

PT | EN

    General Notions

    The public electricity transmission service of the National Interconnected System (SIN) comprises the facilities of the Basic Network (RB – Rede Básica) and the Basic Border Network (RBF – Rede Básica de Fronteira). While the RB is composed of installations with a voltage level equal to or greater than 230kV, operated by the transmitters, the RBF is composed of power transforming units, connecting the RB to the Other Transmission Facilities (DITs – Demais Instalações de Transmissão), which have a voltage lower than 230kV and are usually operated by distributors.

    The Brazilian Electricity Regulatory Agency (ANEEL) is responsible, through a delegation of the public authority, for conducting bids for the contracting of a public electricity transmission service through auctioning, issuing of permits for the implementation of reinforcements and improvements, as well as for signing the respective concession agreements.

    The bidding process begins with the publication of bidding documents by ANEEL for the concession of transmission facilities of the SIN’s Basic Network. The bidding documents make it possible for national and foreign legal entities, as well as mutual investment funds, alone or in a consortium, to participate in the dispute. Considering the adopted systematic, the habilitation judgement is made after the auctions and the disclosure of the winning proposals. It is in the habilitation phase, therefore, that the legal, fiscal, technical and economic-financial regularity of the winning bidders are analyzed, according to the requirements described in the bidding publications.

    Winning bidders who are not holders of a transmission concession must establish a Specific Purpose Entity (SPE) to operate the respective concession. The final step in the process of granting a tendered transmission facility is the signing of the concession agreement.

    Thus, the concession agreement, executed through ANEEL, guarantees that the transmission concession holder that won the auction will explore the transmission facilities for a period of 30 years. This contractual instrument establishes the deadline for the installations to enter into commercial operation, which may vary between 18 and 60 months from the contract signing, depending on the size of each project. The construction schedule of the bidding project is also an integral part of this instrument, which includes the project and the construction milestones, the basic and executive projects, the date of the contracts signing, the environmental licensing, the acquisition of equipment, services, and civil works, as well as the stages of equipment assembly, operating tests, commissioning of the facilities, and yet its commercial operation start.

    After signing the concession contract, ANEEL becomes responsible for managing the contractual terms, performing activities regarding the analysis and approval of basic projects, the qualification for the Special Regime of Incentives for Infrastructure Development (REIDI), priority projects, as well as the issuance of Public Utility Declarations (DUP) and the inspection of projects during the entire contract term.

    Concession Categories of the Transmission Sector

    Category 1 – Extended concessions

    • Assets granted before 1999
    • Concessions renewed in 2012 for 30 more years, pursuant to Provisional Measure 579 (MP 579), subsequently converted into Law No. 12,783/2013
    • As from 2013, the Annual Permitted Revenues (RAP) are annually restated by the IPCA index (National Broad Consumer Price Index)
    • Tariff review every five years

     

    Category 2 – Tendered concessions with protected base

    • Assets auctioned between 1999 and November 2006
    • Annual Permitted Revenues (RAP) restated annually by the IGP-M index (General Market Price Index)
    • Annual Permitted Revenues (RAP) reduced by half from the 16th year of operation
    • No tariff review of the bid base
    • 30-year concession term

     

    Category 3 – Tendered concessions

    • Assets auctioned as of November 2006
    • Annual Permitted Revenues restated annually by the IPCA index
    • Tariff reviews in the 5th, 10th and 15th years of the concession agreement
    • 30-year concession term

    Contracts for the Provision of Service, Use and Connection to the Transmission System

    Once the concession agreement has been signed, any and all other agreements governing the concession must be signed.

    That being the case, the Transmission Service Provision Agreement (“CPST”), for example, must be signed by and between the National Electric System Operator (“ONS”) and the concessionaire to establish the technical and commercial terms and conditions for the provision of transmission services. Through this agreement the concessionaire assumes responsibility for the operation and maintenance of the facilities and receives the Annual Permitted Revenue (“RAP”) for making the facilities available, and agrees to eventual discounts for any unavailability observed. On the other hand, the transmission agent authorizes the ONS to carry out all the necessary action to represent it before the users of the transmission network in the Transmission System Use Contracts (“CUST”).

    The signed CPST is a requirement for the issuance of the Test Release Term (“TLT”), which is necessary for the start-up of the Transmission Functions (“FT”).

    In turn, the CUST agreements sets forth the terms and conditions that will regulate the use of the Basic Grid by users of the transmission system, providing for, among other things, (i) the provision of the transmission service by the concessionaire to the user, through coordination, control and supervision by the ONS; (ii) the provision by the ONS of services to coordinate and control the operation of the National Interconnected System (“SIN”), and the administration of transmission services provided by the concessionaire; and (iii) the administration by the ONS of the collection and settlement of transmission use charges and the execution of the guarantee system, acting on behalf of the transmission concessionaire.

    In addition, users of the transmission system who sign the CUST also sign the Transmission Facilities Connection Agreement (“CCT”) with the transmission agents responsible for the facilities to be accessed, with the intervention of the ONS. The CCT establishes the technical and commercial conditions and responsibilities that will regulate the user’s connection to the system and assures the access of the necessary conditions for its connection to the network. It is worth noting that the signing of the CUST and CCT agreements is upon the issuing of the Access Report by the ONS.

    Implementation Phase of Transmission Facilities

    With regard to the implementation phase of transmission facilities, environmental licenses must be issued, namely prior (“LP”) and installation (“LI”), to certify the viability of the project and authorize the assembly of the facilities.

    Upon the completion of the construction work has been completed and the assembling of the equipment, commissioning tests can start. Once the environmental operating license (“LO”) is obtained, it is possible to request the National Electric System Operator (“ONS”) for the facility’s Test Release Term (“TLT”). Upon the completion of the assembly and testing phases, the concessionaire is able to request the integration of the new facility into the National Interconnected System (‘SIN”).

    In this context, if there are no pending impediments to integration, the ONS issues and forwards to ANEEL the respective Definitive Release Term (“TLD”) or, when there are pending impediments from third parties or of a systemic nature, the Revenue Release Term (“TLR”), ensuring full receipt of the RAP corresponding to the transmission facility made available to the SIN.

    In cases where non-impeding pending issues are identified, after issuing the TLT, the ONS will proceed to issue the Pending Release Term (“TLP”).

    Lastly, the ONS can annul the TLT, TLP, TLR or TLD when it finds that the concession agreement, authorization or the requirements and deadlines of the Network Procedures have not been complied with.

    Remuneration of Transmission Companies

    From the economic regulation standpoint, the transmission segment is characterized by the revenue ceiling strategy (pre-defined annual revenue).

    The Annual Permitted Revenue (“RAP”) is the compensation due to the transmission companies for providing the public energy transmission service to users, from the moment the transmission facilities go into commercial operation. In this case, the users are all those who sign the use agreements, for example: generators, distributors, free consumers, among others. In the case of facilities put out to tender, the revenue is defined at the time of the winning bid, taking into account the lowest value of the RAP, which is paid from the time the facilities go into commercial operation. The RAP is adjusted annually in accordance with the concession agreement. For assets put out to tender between 1999 and November 2006, the RAP is adjusted annually by the IGP-M and reduced by 50% (fifty percent) in the 16th year of operation and there is no tariff review in relation to the asset base (Category 2). For assets put out to tender after November 2006, the RAP is adjusted annually by the IPCA and subject to tariff reviews every 5 (five) years (Category 3). Both categories have a 30-year concession term.

    On the other hand, in the case of non-tendered concessions (Category 1), which had their concession agreements extended by Provisional Measure 579/2012 (converted into Law 12.783/2013), the revenue is kept fixed, and the RAP is calculated based solely on Operation and Maintenance costs, which can be reviewed every 5 (five) years, under the terms of the contracts. It is worth noting that TAESA currently has no Category 1 agreements.

    Sector Charges, Transmission Usage Fee and Connection Charge

    Sectoral Charges are the non-manageable costs borne by transmission concessionaires, established by law and passed on to consumers on a monthly basis. The sectoral charges that are currently part of the calculation of the RAP received by the transmission companies are: the Global Reversion Reserve – “RGR” (no longer considered in concession contracts after 2012); the Electric Energy Services Inspection Fee – “TFSEE”; the Energy Development Account – “CDE”; the Program to Encourage Alternative Sources of Electricity – “PROINFA”; and Research into Energy Development and Efficiency – R&D and “PEE”. These charges form part of the basis for calculating federal taxes, namely PIS – Social Integration Program, Pasep – Public Servant Equity Formation Program and COFINS – Social Contribution for Social Security Financing; and they also form part of the basis for calculating the state tax, ICMS – Tax on the Circulation of Goods and Services.

    The use of the transmission system by consumers connected to electricity systems requires the payment of a tariff to the transmission companies, called the Transmission System Use Tariff (“TUST”). According to the applicable regulations (ANEEL Normative Resolution No. 1,024/2022), the TUST must be readjusted annually in the same period as the readjustment of the transmission concessionaires’ RAP (starting in July and ending in June of the year following publication).

    The Charge for Connection to the transmission system is also considered another mechanism by which transmission companies receive payment for connection to their system. Thus, all users connected to Other Connection Facilities – “DITs” (other than the Basic Grid) for exclusive use for the provision of the public transmission service, such as distributors, must pay the transmission companies for the provision of the public transmission service. The connection charge is part of the transmission companies’ RAP and, in accordance with specific regulations (Submodule 9.3 of the Tariff Regulation Procedures – “PRORET”), must be paid by the transmission companies when the connected users are readjusted or revised.

    Growth of the National Interconnected System - SIN

    The transmission expansion planning process, covered by the Ten-Year Energy Expansion Plan (“PDE”), is yet another incentive and growth mechanism for the SIN since it encourages interaction between the generation and transmission segments, considering the different degrees and variables of uncertainty and complexity that are still present in the planning process. This expansion proposal is aimed not only at the growth of the SIN, but also at planning the expansion of the transmission segment within a feasible timeframe of ten years.

    Empresa de Pesquisa Energética – Energy Research Company (“EPE”), which is connected to the Ministry of Mines and Energy (MME), is responsible for preparing studies and analyses that will guide the Union’s choices, seeking to promote the efficient provision of public services and the effective development of the entire energy industry, to better serve social welfare, collective interests and sustainable development.

    Upon the definition of the energy policy guidelines, different studies and research are carried out to effectively guide the development of the energy industry. These studies and this research, when systematized and continued, constitutes the integrated energy planning cycle and produces important instruments for actions and monitoring, such as ten-year plans, long-term plans, periodic bulletins and reviews, analyses of conjunctures and specific studies.

    The PDE is an informative document prepared annually by EPE under the guidelines and support of the Energy Planning and Development Secretariat (SPE / MME) and the Petroleum, Natural Gas and Biofuels Secretariat (SPG / MME).

    Its key goal is to indicate the prospects for expansion of the energy industry over a ten-year horizon, from an integrated viewpoint of the various energy sources. This makes it possible to extract important elements for planning the energy industry, with benefits in terms of greater reliability, lower production costs and lower environmental impacts.

    On April 6, 2022, the Ministry of Mines and Energy (MME) launched the Ten-Year Energy Expansion Plan (“PDE”) 2031, , approved by Normative Ordinance No. 40/GM/MME. The document, drawn up by the MME with the support of EPE, indicates the prospects for the expansion of the energy industry over a ten-year horizon (2022 – 2031), within an integrated vision for different energy segments.

    The PDE 2031 estimates a need for investments of about R$ 3.2 trillion by 2031, with the Brazilian economy expected to recover and maintain a high level of renewability in the energy and electricity matrices in the coming years. The plan’s studies support energy policy decisions and provide the market with information that allows it to analyze the development of the electricity system and the conditions of supply adequacy for different possible future scenarios.

    For expanding the SIN, the PDE estimates R$100.7 billion in investments in transmission by 2031, about 50% of which to be allocated to new bidding processes.

    Transmission Auctions - ANEEL

    ANEEL Transmission Auction n. 02/2019:

    ANEEL approved the opening of a public hearing (Public Hearing n. 23/2019) for analysis and contribution to Bidding Notice n. 02/2019, regarding the contracting of a public electricity transmission service. The contribution period started on May 30, 2019 and ended on July 1, 2019.

    The auction will be divided into 13 lots (lots 10 and 11 coming from expired concessions of Chesf and Eletronorte, respectively) with an expectation R$ 4 billion of investments. 2,380 km of transmission lines will be auctioned with 7,900 MVA of transformation.

    The Bidding Notice is expected to be published on November 14, 2019 and the public session of the auction will take place on December 19, 2019.

    Among the innovations proposed in the Bidding Notice n. 02/2019, we highlight the following points:

    • Change in the processing for publication of the Auction’s Bidding Notice: Now, after the end of the Public Hearing, ANEEL will make the Bidding Notice available for appreciation by the Brazilian Federal Court of Audit (TCU) more than 120 (one hundred twenty) days prior to the date of the public auction session.
    • Reduction of the time frame for entering into the CCI: The period was reduced from (12) twelve  to (6) six months, counted from the signing of the concession contract.
    • CUST: Prior formalization of the Transmission System Usage Contract (CUST) with distributors by July 2019.
    • Noncompliance and guarantees: Changes in the form of execution of the Guarantees of Faithful Compliance (GFC) and application of penalties due to non-compliance with the agreed-upon deadlines. ANEEL may trigger the GFC in case of non-payment of the fine.
    • New contractual clauses: Inclusion of contractual anticipation clauses, evidencing that the anticipation of commercial start-up is related to the business risk; and inclusion of a clause in the concession contracts to show that the amortization/depreciation of the investments, originally planned for the project, will occur within the concession period.

    Further information can be accessed through ANEEL’s official website.

     

    ANEEL Transmission Auction n. 04/2018:

    On December 20, 2018, ANEEL promoted the Transmission Auction n. 04/2018, with the purpose of negotiating 16 lots from projects located in the States of Amazonas, Amapá, Bahia, Espírito Santo, Minas Gerais, Pará, Paraná, Rio de Janeiro, Rio Grande do Sul, Rondônia, Santa Catarina, São Paulo, and Tocantins.

    This Auction offered 7,152 km of Transmission Lines and Substations that add 14,819 MVA in substation capacity to the system. The maximum RAP was R$ 2.139 billion (accounting for 67.77% of equity and 32.23% of third-party capital) and the term for commercial start of the projects varied from 48 to 60 months.

    Some of the projects included in lots 10, 11, 12 and 13 were related to facilities granted to Laranjal Transmissora de Energia S.A. and Eletrosul Centrais Elétricas S.A., whose concessions were terminated due to expiration (according to ANEEL Decrees n. 2,194/2018 and n. 2,421/2018 and MME Ordinance n. 466/2018). For these lots, the term for commercial start was reduced from 60 to 48 months, since such projects have already advanced on their implementation schedules (project, environmental licensing, etc.).

    In addition to the novelty of relicitation of expired projects, Transmission Auction n. 04/2018 also innovated in some aspects:

    • Anticipation of the commercial start-up date: The transmission company has the prerogative to anticipate the date of commercial operation, without the need for ANEEL’s request, in cases where the new date is equal to or greater than the date of systemic need. For the hypotheses of the new date to be prior to the date of need, the requirement of the Agency was maintained for that purpose. In the case of installations that depend on other transmission companies, the new date of commercial start must be made compatible with the start date of the facilities of the accessing transmission and formalized through a CCI contract.
    • Participation in the Auction: The participation in Auction n. 04/2018 was allowed through direct participation of the existing SPE (previously established), and proof of its shareholders’ equity can be verified through its direct controlling shareholders. The possibility of setting up a new SPE to manage the concession remained.
    • Auction Costs: The winners of lots from Auction n. 04/2018 are now obliged to pay a single amount to the Stock Exchange (current B3 S.A.), related to the fees to hold the event and the costs of managing the Guarantees of Faithful Fulfillment.
    • Qualification for the Special Regime of Incentives for Infrastructure Development-REIDI and as Priority Project: Auction n. 04/2018 started to allow the presentation of the application forms for qualifying to REIDI and as a priority project concomitantly with the delivery of the documentation at the concession agreement signing.
    • Economic and Financial Statement: Auction n. 04/2018 started to consider the real economic capacity of the projects. For this, the winning bidder should discount the amounts spent on lots won in the previous auction (Auction n. 02/2018) when presenting the economic-financial authorization. This new rule limited the participation of companies in the event, as the resources committed in the Auction n. 02/2018, by the winners of the offered lots, should now be included in the calculations of the Shareholders’ Equity for the event 04/2018.

    TAESA won Lot 12 of Transmission Auction n. 04/2018, offering a RAP of R$ 58.956 million to build and operate the concession (a discount of 38.8%). This lot, arising from the expiration process related to the project acquired by Eletrobras in 2014, is composed of four transmission lines, as well as other smaller sections, totaling 587 kilometers of extension, and two substations, to be built in the State of Rio Grande do Sul. The project is linked to the integration of the wind power potential of the State of Rio Grande do Sul, especially in the region of Coxinha de Santana, and will be implemented within 48 months.

     

    ANEEL Transmission Auction n. 02/2018:

    ANEEL promoted, on June 28, 2018, Transmission Auction n. 02/2018 referring to 20 lots of projects contemplated in 2,560 km of transmission lines and substations with a transformation capacity of 12,230 MVA.

    The event aimed at the construction, operation and maintenance of 44 projects, being 21 transmission lines and 23 substations, located in 16 States (Alagoas, Bahia, Ceará, Goiás, Maranhão, Minas Gerais, Pará, Paraíba, Piauí, Rio de Janeiro, Rio Grande do Norte, Rio Grande do Sul, Santa Catarina, São Paulo, Sergipe, and Tocantins).

    According to the descriptions contemplated in the Bidding Notice and in the Concession Agreement, the commercial start-up period of the projects was estimated at 36 to 63 months, considering concessions of 30 years, counted from the conclusion of the concession agreements.

    The total value of the maximum RAP considered for the payment of the transmission companies was approximately R$ 1.0 billion.  The new facilities of the SIN reached investments to the order of R$ 6.0 billion, with expectations of generating 13,600 direct jobs.

    The Columbia Consortium, made up of TAESA and Companhia de Transmissão de Energia Elétrica Paulista – ISA Cteep, was the winner of Lot 1 of the Auction, located in Santa Catarina, related to the operation of the Transmission Line LT 230kV Biguaçu – Ratones – C1 and C2 , with 28.6 km each (aerial, underwater and underground sections), as well as the Substation SE 230/138kV Ratones – 2 x 150 MVA. The RAP winning bid was R$ 38,231,291.00.

    However, prior to the auction day, TAESA exercised its right of withdrawal from the Columbia Consortium for the operation of Lot 1. Therefore, ISA Cteep had fully assumed the entire concession.

    Regulatory Issues in the Spotlight

    Public Hearing n. 031/2018 and ANEEL’s Reference Prices Database:

    Public Hearing n. 031/2018 (“AP 031/2018”), which collected contributions from the sector between June 28, 2018 and August 28, 2018, aimed to define the methodology for updating ANEEL’s Reference Prices Database, to be used in the processes of authorization, bidding and revision of the RAPs of the electric power transmission concessionaires.

    Among the contributions suggested by the transmission companies regarding the improvement of the methodology applied to update the Reference Prices Database, we highlight the following: (i) the need to establish a new Price Database with the necessary flexibility to incorporate new standards and facilities technologies, associated with the analytical composition of the services, term and location of the enterprises; (ii) allow the identification of fixed costs of transmission projects; (iii) development of a standardized model regulated by ANEEL, through the creation of an automated platform, in order to concentrate data from the energized and unitized projects and to compose the Database that should be used to update the Database of Prices; (iv) promotion of adjustments in the Database of Prices due to sudden changes in the market in order to incorporate market and economic aspects not included in the normal standards of the construction; (v) establishment of objective criteria regarding retroactivity of the old Database of Prices to calculate the RAP, allowing a retroactivity at the date of the authorizing act.

    The aforementioned Database of Prices was approved on February 19, 2019, through the publication of ANEEL Ratifying Resolution n. 2.514/2019, and generated the updating of around 300 service items, which will be considered in the tariff review process of the concessionaires’ RAPs. In ANEEL’s understanding, although the review of the Database resulted in an increase in the cost of certain services for the transmission companies, it provided an average reduction of 35.3% for Maneuver Modules and 21.7% for Equipment Modules, having been comprehended by the Agency as a measure to ensure greater stability and regulatory security for the electricity transmission sector.

     

    Public Consultation n. 015/2018 and Public Hearing n. 09/2019 for the purposes of Updating the Regulatory Rate of Capital Remuneration (WACC):

    The Public Consultation n. 015/2018 (“CP 015/2018”), which collected contributions from the sector between 08/17/2017 and 09/30/2018, had the objective of proposing a new methodology and updating of the Regulatory Rate of Capital Remuneration for the segments of transmission, distribution and generation. According to the Superintendency of Economic Regulation and Market Studies – SRM, such fee is interpreted as the minimum return required by investors for the application of resources in projects.

    The WACC/CAPM (Weighted Average Cost of Capital / Capital Average Capital Cost) method is used to calculate the regulatory rate, criticized by some agents because they understand that the methodology does not estimates the real cost of capital of investors.

    In view of this context, ANEEL presented to the sector, during the term of CP 015/2018, and later with AP 09/2019, three possible regulatory alternatives: (i) to keep WACC/CAPM methods in force; (ii) maintain WACC/CAPM in force, but with substantial changes in the way of estimating the parameters; and (iii) no longer use WACC/CAPM.

    Among the points discussed in AP 09/2019, we mention the establishment of a WACC percentage of 7.11% applicable to transmission concessionaires, with a tariff review scheduled for 2019 (RBS-nontendered and reinforcements/improvements-tendered). In the case of concessionaires that have already undergone review in 2018 (as is the case of Brasnorte, TAESA’s concession), the proposal is for 7.32% of WACC, with retroactive application to the date of review of the concessionaires with RBSE assets existing in May 2000, and to the dates of authorizations for reinforcements and improvements. Until the new percentage of WACC is approved, ANEEL considers the percentage of WACC currently in effect at 6.64%.

    Considering that TAESA has only tendered concessions, the aforementioned proposal of AP 09/2019 is aimed at establishing a fixed percentage of WACC for reinforcements/improvements approved after 2018/2019 (7.11%/7.32%), with annual updating of the compensation rate for application in the next tariff review (2023–2024), when the new investments will be considered in order to compose the new value of WACC.

    According to ANEEL: (1) the fixed amount contributes to the stability and regulatory predictability; (2) the annual updating will allow the historical context to be gradually incorporated through the evolution of the parameters, aside from attenuating the accumulation of expectations in function of the shift of the windows used; and (3) the updating will always be motivated by the Agency’s previous analysis of the suitability of regulatory parameters, having compensation consistent with the market reality.

    Moreover, in dealing with WACC of auctions, these percentages are calculated at each auction, based on own and third-party capital, being defined provisionally according to the standards of the Bidding Notices.

     

    Public Hearing n. 44/2018 and the Regulatory Agenda of ANEEL for the 2019-2020 biennium:

    Between 09/19/2018 to 05/11/2018 ANEEL received contributions from the transmission segment of topics that will make up the Regulatory Agenda for the years 2019 and 2020.

    TAESA confirmed the improvement of Public Hearing n. 044/2018 (“AP 044/2018”), proposing the inclusion of topics considered of great relevance to the transmission segment, among them: (i) the resumption of the improvement of ANEEL’s Normative Resolution 063/2004, through the Public Hearing n. 077/2011, which regulates the imposition of penalties to the concessionaires for the poor provision of the public transmission service; (ii) the revision of ANEEL Normative Resolution n. 669/2015, which regulates the minimum requirements for maintenance and monitoring of transmission facilities of the Basic Network; and (iii) the adequacy of the procedures carried out by ANEEL and the Ministry of Mines and Energy-MME regarding the qualification of projects in REIDI in order to guarantee the speed in issuing the ordinance by MME.

    On January 29, 2019, ANEEL approved, during the 2nd Ordinary Public Meeting of the Board of Directors of 2019, some topics that will compose the Regulatory Agenda of the electric sector in the 2019-2020 biennium.

    For the transmission segment, topics considered relevant were approved, such as: (i) the definition of regulation for transmission equipment with an exhausted useful life, expected to be implemented in the fourth quarter of 2019; (ii) the establishment of a specific standard for geospatial transmission, also expected for the fourth quarter of 2019; (iii) in addition to issues related to the regulation of market studies, such as the Reference Prices Database, expected to be regulated in the third quarter of 2019, as well as the WACC definition for the generation, distribution and transmission segments, also foreseen to be regulated in the third quarter of 2019.

    With this, ANEEL is expected to regulate approximately 36 topics considered of great relevance to the electricity sector by 2020.

    Main Regulations of the Electric Sector

    Laws:

    Law No. 8.987 of 13/02/1995 published on 14/02/1995 – Provides for the concession and permission regime for the provision of public services provided for in art. 175 of the Federal Constitution and makes other provisions.

    Law No. 9.074 of 07/07/1995 published on 08/07/1995 – Establishes rules for granting and extending concessions and permissions for public services and makes other provisions.

    Law No. 9427 of 26/12/1996 published on 27/12/1996 – Establishes the National Electric Energy Agency – ANEEL, regulates the regime of concessions for Public Electric Energy Services, and makes other provisions.

     

    Normative Resolutions:

    ANEEL Normative Resolution No. 903/2020 – Approves the restructuring and revision of the Network Procedures and establishes procedures and criteria for amendments.

    ANEEL Normative Resolution No. 905/2020 – Approves the Rules for Electricity Transmission Services in the National Electric System, based mainly on the Consolidation of Transmission Services Regulations.

    ANEEL Normative Resolution No. 948/2021 – Approves the Economic-Financial Regulation – regulation of operations, applicable to electricity distribution, transmission and generation delegates.

    ANEEL Normative Resolution No. 1.003/2022 – Approves the structure and submodules of the Tariff Regulation Procedures (“PRORET”) and consolidates the regulations on tariff processes applicable to concessionaires and permit holders of public electricity distribution, transmission and generation services.