Operating Costs - R$ Thousand
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3Q21
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3Q20
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Variation (%)
|
Analysis
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Energy Purchased for Resale
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2,761,409
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-191,773
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-1,539.9
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The variation is mainly due to:
(i) positive effect of the renegotiation of the hydrological risk, in the amount of R$ 3,029.39 million, recorded as recovery of expenses arising from resolution 2,932 of 09/14/2021 which ratified the term for extending the concession of the hydroelectric plants. For Eletronorte, was extended: HPP Curuá-Una 2,313 days, HPP Samuel 1,042 days, and HPP Tucuruí: 518 days. This effect was partially offset by:
(ii) the increase in the costs of the purchase contracts of AMAZONAS G, incorporated in July/21, by R$ 11 million resulting from the contractual readjustment of the PIEs (Independent Power Producers) based on the IGPM, which in Nov/20, which presented an accumulated increase of 23, 14%;
(iii) 435% increase in PLD (Differences Settlement Price), R$92/MWh in 3Q20 X R$490/MWh in 3Q21; and
(iv) worsening of GSF by 22% (66% in 3Q20 vs. 51% in 3Q21).
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Charges upon use of electricity network
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-207,464
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-185,654
|
11.7
|
The variation is mainly due to: (i) annual increase in charges for the use of the electricity transmission network, which is readjusted considering the variation of the IPCA index. Overall, the EUST (Charges for the Use of the Transmission System) had an average increase of 11.5%, while the EUSD (Charges for the Use of the Distribution System) was around 17.5%.
The main Aneel Resolutions that ratified the readjustments are:
a) ReH 2,958/2021, ReH 2,748/2020 and ReH 2,586/2019 for the Tucuruí and Samuel plants and TPP Mauá 3; and
b) ReH 2.920/2021, ReH 2.750/2020 and ReH 2.566/2019 for the Curuá-Una plant.
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Construction Expense
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-40,646
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-33,777
|
20.3
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The variation is justified by the same factors (i) and (ii) of Transmission Construction Revenue, excluding the effect of the margin.
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Fuel
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-616,830
|
-567,385
|
8.7
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The variation is mainly due to:
(i) increase of R$100.1 million, due to the 10.15% annual readjustment in the Natural Gas Price, which are indexed to the IGPM and IPCA, and the average increase of 11.45% in energy generation, highlighting the TPPs Aparecida and Mauá 3, which had an energy increase of 28% and 21%, respectively, which contributed to an average increase of 16% in the Contract's natural gas consumption, as these plants began operating in 3Q21 in a more continuous way and at full load, following an order from the ONS (National Electricity System Operator) due to the water crisis that is causing the low in the SIN (National Interconnected System) HPP reservoirs;
(ii) reduction of R$ 64.6 million in ancillary expenses with Ship or Pay and Take or Pay, due to the increase in natural gas consumption;
(iii) an increase of R$20.1 million related to the reversal of ICMS on sales of energy produced by TPP Mauá 03, due to the plant's self-consumption of natural gas. The reversal occurs because the sale is outside the state of AM and exempt from ICMS.
(iv) reduction of R$6.2 million related to the rental of a generator set recorded in 3Q20 and reclassified in 3Q21.
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(-) Expenses recovery - Grant received
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306,092
|
195,844
|
56.3
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The variation is mainly due to: (i) the 10.15% annual readjustment of the Natural Gas Price, which is indexed to the IGPM and IPCA; and (ii) the increase in the consumption of natural gas at the TPPs Aparecida and Mauá 3 , equivalent to 33% and 24%, respectively, with these plants being the only beneficiaries of the CCC (Fuel Consumption Account) Reimbursement of the natural gas consumed.
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Depreciation and Amortization
|
-120,773
|
-143,947
|
-16.1
|
The variation is mainly due to: (i) being related to differences in the asset base over the past few years.
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TOTAL OPERATING COSTS
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2,081,788
|
-926,692
|
-324.6
|
|
|
|
|
|
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Operating Provisions - R$ Thousand
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3Q21
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3Q20
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Variation (%)
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Analysis
|
|
333,333
|
-134,027
|
-348.7
|
The constitution of a provision reversal in 3Q21 is due to:
(i) Reversal of Provision, referring to:
(a) R$104 million referring to civil contingencies, with emphasis on the reversal of R$101.4 million referring to the court settlement of the El Paso Rio Negro Energia Ltda process;
(b) R$98.8 million impairment - HPP Samuel, impacted by the improvement in the result: (a.1) extension of the concession period, due to the renegotiation of the Hydrological Risk; (a.2) better selling price of ACL (Free Market) contracts and higher PLD (Differences Settlement Price); and (a.3) decrease in the discount rate calculated by Eletrobras;
(c) R$88.4 million in Onerous Contract - HPP Coaracy Nunes;
(d) BRL 28.8 million in Others, with emphasis on the reversal of BRL 52.5 million, related to the right to reimbursement resulting from the inspection and monthly reprocessing of the CCC (Fuel Consumption Account) in the period from July 2009 to June 2016, paid to Eletronorte the lowest in the amount of R$ 116 million, updated by the IPCA of August/2021;
(e) R$12.4 million in investment losses - NBTE; and
(f) R$4.2 million of PCLD - (Allowance for Doubtul Accounts).
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|
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Regulatory Remeasurement - Transmission - R$ thousand
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3Q21
|
3Q20
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Variation (%)
|
|
|
312,819
|
971,325
|
-67.8
|
The variation is mainly due to the following reasons: (i) in 3Q20, the effects of the Tariff Review on concession 057/2001 were recognized, pursuant to ANEEL Resolution REH 2716/2020. The increase in the amount receivable from RAP (Annual Allowed Revenue) is related to the recalculation of the RBSE (Basic Network of the Existing System) due to the revision of the BRR (Regulatory Remuneration Basis), WACC adjustments and monetary restatement and the renegotiation of the KE portion.
(ii) In 3Q21 refers to the remeasurement of the concession assets referring to RBSE. The remeasurement was mainly due to the following:
a) reprofiling of the RBSE financial component. The decision caused a reduction in the payment curve of the amounts related to the periodic review of the RAP associated with transmission facilities for cycles 2021/2022 and 2022/2023 and an increase in the flow of payments in cycles after 2023, extending such installments until the 2027 cycle /2028, preserving, however, the remuneration for the cost of equity (Ke) for RBSE; and
b) complementary recognition of the cost of equity (Ke). In 2020, ANEEL ratified only the correction by the IPCA of the RBSE amounts not paid between 2017 and 2020, resulting from the ABRACE injunction. In cycle 2021/2022, in response to a request from the Transmition Companies, ANEEL recognized, in addition to the correction by the IPCA, the remuneration of this amount by Ke'.
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|
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|
|
|
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Financial Income - R$ Thousand
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3Q21
|
3Q20
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Variation (%)
|
Analysis
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Financial Income
|
435,523
|
242,256
|
79.8
|
|
Income from financial investments
|
33,591
|
24,181
|
38.9
|
The variation is mainly due to: (i) the increase in the profitability of investments (3Q21: 0.69% vs 3Q20: 0.38%); and (ii) an increase in the average balance of financial investments of R$ 2.5 billion (3Q21: R$ 3.4 billion vs 3Q20: R$ 0.9 billion).
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Additional interest on energy
|
57,166
|
8,381
|
582.1
|
The variation is mainly due to: (i) an increase of R$23 million in interest income on late payments, due to late payment by Eletronorte customers; (ii) an increase of R$7.9 million in revenue from late payment, compensatory and sanctioning fines; and (iii) R$18 million from the 2020 quarter were reclassified and are being considered in the Other Financial Income account.
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Monetary adjustment gain
|
16,454
|
28,188
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-41.6
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The variation is mainly due to: (i) a reduction of R$15 million in the Monetary variation other credits/others (PIS, PASEP) account; (ii) reduction of R$4.5 million in Cofins; and (iii) an increase of R$9.5 million due to delays in receiving invoices.
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Gains on derivatives
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247,136
|
163,847
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50.8
|
The variation is mainly due to: (i) asset pricing as provided for in the energy sale agreement with Albras. The contract provides for a sale price of energy plus payment of a premium, which varies according to the price of aluminum on the London Metal Exchange (LME), quoted in dollars.
Observing net (gains and losses with derivatives), the positive variation is mainly due to the appreciation of the aluminum price in the period, which was around 50%.
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Other Financial Income
|
81,176
|
17,659
|
359.7
|
The variation is mainly due to: (i) monetary restatement according to Technical Note 195/2021 SFF-SFG-SRG/ANEEL which establishes payment of the CCC (Fuel Consumption Account) account to Eletronorte due to lower historical payments, in the amount of R$ 66 millions. Aneel recognized R$106 million, of which R$52 million was already provisioned and was reversed.
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Financial Expenses
|
-303,554
|
-254,773
|
19.1
|
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Debt Charges - Financing and Loans
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-100,431
|
-76,910
|
30.6
|
The variation is mainly due to: (i) expenses with debentures of R$35 million that did not exist in 2020; (ii) 5.0 million reduction in debt charges with Eletrobras; and (iii) reduction of 2.3 million with interest on various financing.
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Leasing charges
|
-106,722
|
-84,801
|
25.8
|
The variation is mainly due to: (i) increase in the balance resulted of the Lease Agreements accounting (IFRS 16). Highlighting the PIEs (Independent Power Producers) incorporated from AmGT and the new lease agreement for Eletronorte's headquarters.
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Charges on shareholders' compensation
|
-8,374
|
-3,658
|
128.9
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The variation is due to: (i) increase in the SELIC rate in the period, which in 3Q20 was 0.52%, while in 3Q21 it was 1.25%.
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Monetary adjustment loss
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-39,483
|
-39,164
|
0.8
|
The variation is mainly due to: (i) increase in expenses with the updating of dividend reserves by R$14.3 million; (ii) R$12.4 million reduction in expenses with monetary restatement on contingencies; and (iii) R$6.1 million reduction in expenses with the updating of obligations with the Parent Company.
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Exchange variation loss
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-34,738
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-21,858
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58.9
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The variation is exclusively due to the correction of financing contracts indexed to the Dollar and Yen.
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Other Financial Expenses
|
-13,806
|
-28,382
|
-51.4
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The variation is mainly due to: (i) a reduction of R$ 15.9 million, due to the payment in 3Q20 of fines arising from the Notices of Violation AI 0024/2020 - SFE, in the amount of R$ 8, 6 million, and AI 0028/2020 - SFE, in the amount of R$5.2 million, partially offset by (ii) an increase of R$1.2 million with monetary restatement of R&D.
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Financial Result
|
131,969
|
-12,517
|
1,154.3
|
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Equity - R$ Thousand
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3Q21
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3Q20
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Variation (%)
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Analysis
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Equity
|
25,654
|
5,040
|
409.0
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The Companies that had the greatest impact on the quarterly variation were:
(i) Positive impacts:
(a) NESA: variation of R$41 million, mainly due to the effects of REH nº 2932/2021 ANEEL, which ratified the extension term of the HPPs participating in the MRE (Energy Reallocation Mechanism). NESA had its concession extended by 319 days; and
(b) EAPSA: variation of R$13 million, mainly due to the readjustment of contracts in the ACR (Regulated Market) and reduction in the purchase of energy for resale. The impact of the renegotiation of the hydrological risk REH nº 2932/2021 ANEEL was also registered, which ratified the extension period of the HPPs participating in the MRE. EAPSA had its concession extended by 2,147 days.
(i) Negative impacts:
(c) NBTE: negative variation of R$18 million. The SPE went through the sale process completed in the 3rd quarter of 2021, however the result for the quarter is impacted since it compares the result of the SPE with the same period in 2020 when the SPE was part of the Eletronorte portfolio;
(d) TNE: negative variation of R$14 million due to the reclassification of the accounting balance; and
(e) SINOP: the negative variation of R$3.6 million was mainly impacted by the need to purchase energy to recompose backing and the increase in financial expenses due to the increase in the TJLP.
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Other Operating Income/Expenses
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|
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Income Tax and CSLL - R$ Thousand
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3Q21
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3Q20
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Variation (%)
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Analysis
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Current IR and CSLL
|
-240,194
|
-253,412
|
-5.2
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The variation is mainly due to the following reasons: (i) earnings before taxes in 3Q21 grew R$3.9 billion (512%) compared to the same period in 2020; (ii) additions in 3Q21 surpassed 3Q20 by R$127 million (12%), essentially influenced by the R$494 million increase in (Allowance for Doubtul Accounts);
However, (iii) exclusions in 3Q21 were R$4.3 billion higher than in 3Q20, mainly due to the exclusion of the GSF result. Thus, (iv) the Taxable Income, after compensation, in 3Q21 was R$ 855 million against R$ 676 million in 3Q20, a variation of 26%.
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Deferred IR and CSLL
|
-1,244,549
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-355,911
|
249.7
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The variation is mainly due to the following reasons: (i) increase in deferred charges up to Sep/21, of R$ 248 million (470%) on write-offs and reversals of provisions, mainly due to reversals of civil provisions and PCLD (Allowance for Doubtul Accounts); and (ii) accounting of deferred charges on the result of the extension of grants at the Curua-Uná, Samuel and Tucuruí plants in the amount of R$ 1 billion, in September/2021 (non-recurring fact).
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Revenue from Tax Incentives
|
222,786
|
154,410
|
44.3
|
The variation is mainly due to the following reasons: (i) Net income before IRPJ, the starting point for exploration profit, in 3Q21, had a positive variation of 512% in relation to 3Q20, ie, going from R$775 million to R$4.7 billion; (ii) Unlike taxable income, the GSF result was not excluded from the calculation of exploration profit, which contributed to the increase in the tax incentive in September/2021 (non-recurring fact).
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