​Clean Energy

We contribute to making the Brazilian energy matrix one of the cleanest and most renewable in the world. Being one of the three largest clean energy global companies is one of the commitments expressed in our vision for the future.
 

• Biodiversity and Ecosystem Services - Belo Monte

• Community Relations - Belo Monte
  

• Ethics and Corporate Integrity - Belo Monte
  

• Biodiversity and Ecosystem Services - Jirau
  

• Community Relations - Jirau

• Biodiversity and Ecosystem Services - Santo Antônio​
  

• Relationship with Communities - Santo Antônio

• Ethics and Corporate Integrity - Angra 3
  

• Relationship with Communities - Teles Pires

• Relationship with Communities - Tapajós Project
  

• Relationship with Communities - Tucuruí Line (Manaus-Boa Vista)

• Biodiversity and Ecosystem Services - Sinop

• Community Relations - São Manoel

Biodiversity and Ecosystem Services - Belo Monte

Regarding the riverine communities located within the direct influence area of the Belo Monte HPP, in compliance with condition LO No. 1317/2015 issued by Ibama, Norte Energia committed to resettling these families on islands and riverbanks to restore their traditional way of life, which depended on the Xingu River. This involves 322 families identified by the company through an extensive social recognition process.

These families are being resettled in the Permanent Preservation Areas of the Xingu Reservoir (Riverside Territory), a proposal developed by the Riverside Council and its support group, in collaboration with the stakeholders – Norte Energia, the Riverside Council, the Federal Public Prosecutor's Office, and Ibama.

By November 2023, out of the 322 families, 160 had been resettled and four were in the process of resettlement. Norte Energia is also implementing supplementary projects, following the guidelines of the PBA-General, such as psychosocial support and strengthening family agriculture.

Regarding the fishermen, within the scope of the PBA-General, the Sustainable Fishing Incentive Project aims to assess changes in commercial fishing activities for consumption and ornamental fish, including possible variations in subsistence fishing and local fish consumption, to guide mitigation actions in the region impacted by the project. The project also seeks to integrate other actions related to fishing activities, according to the objectives set out in the PBA, aiming to understand and mitigate the impacts observed and anticipated in the EIA of the Belo Monte HPP.

The initiative incorporates various factors related to the fishing chain in the project area, such as: fishermen and vessels; commercial fishing for consumption; commercial ornamental fishing; participatory monitoring of subsistence fishing; protein consumption monitoring; population dynamics and stock sustainability assessment; Indigenous fishing (Paquiçamba and Arara Indigenous Lands in the Big Bend stretch of the Xingu River); social monitoring and support; and technical fishing assistance actions.

Additionally, the Technical Cooperation Agreement No. 006/2014 was entered into by Norte Energia and the former Ministry of Fisheries and Aquaculture, which includes infrastructure implementation actions by Norte Energia and fishery management actions in the reservoir areas to be carried out by government authorities.

As part of the compensations for the fishing community, Norte Energia began implementing sustainable fishing technical assistance projects in the area affected by the formation of the Xingu Reservoir and the Reduced Flow Stretch.

In 2022, Norte Energia strengthened the Fishermen's Colonies in the municipalities within the Direct Influence Area (AID), through the renovation of the colony headquarters in Altamira, Anapu, and Senador José Porfírio, as well as the donation of vehicles to improve mobility and support the development of their activities.

To compensate and mitigate the impacts on Indigenous peoples living in the area affected by the Belo Monte HPP and in compliance with requirements set by the intervening agency as a condition for granting the Preliminary License, Norte Energia developed the Basic Environmental Plan for the Indigenous Component (PBA-CI). This plan was presented and discussed in each village and approved by Funai in 2012. The PBA-CI has been in execution since 2013 across 11 Indigenous Lands and one Indigenous area. Its progress, challenges, and outcomes have been systematically reported to the licensing and intervening bodies through consolidated semiannual reports.

Within the scope of the PBA-CI, targeting approximately 4,800 Indigenous people of the Middle Xingu stretch, who occupy over five million hectares, including the Indigenous Lands of Trincheira do Bacajá, Paquiçamba, Arara da Volta Grande, Kararaô, Cachoeira Seca, Arara, Koatinemo, Araweté do Igarapé Ipixuna, Apyterewa, Xipaya, and Kuruaya, as well as the Indigenous Area of Km 17, and urban and riverine Indigenous communities, the following actions stand out:

• Management Plan;

• Institutional Strengthening Plan;

• Non-Indigenous Communication Program;

• Indigenous Subsistence Project;

• Project for the Development of Productive Stages and Commercialization;

• Project for Territorial Planning and Shared Socio-environmental Management;

• Territorial Monitoring Project;

• Territorial Conservation Project;

• Indigenous School Education Policy Establishment Project;

• Indigenous Schools Structuring Project;

• Indigenous Teachers Training and Didactic Materials Development Project;

• Structuring Incentive Project: Buildings, Access, and Health Equipment for Indigenous Health;

• Health Surveillance Project;

• Health Education Project;

• Indigenous Traditional Health Practices Strengthening Project;

• Artistic and Cultural Production Support Project;

• Cultural Heritage Education Project;

• Altamira Indigenous Museum Restructuring Project;

• Infrastructure Program in the Villages;

• Project for the Registration of Indigenous Families in the PRR;

• Project for the Negotiations and Acquisition of Lands and Improvements in the Rural Area;

• Project for the Negotiations and Acquisition of Lands and Improvements in the Urban Area;

• Environmental Oversight Coordination Project;

• Terrestrial Ecosystems Conservation Plan Monitoring Project;

• Aquatic Ecosystems Conservation Plan Monitoring Project;

• Water Resources Management Plan Monitoring Project;

• Project for Monitoring the Integrated Management Plan for the Big Bend Stretch of the Xingu River;

• Indigenous Communication Program;

• Territorial Protection Plan for the Indigenous Lands of the Middle Xingu Stretch.

As a result of fulfilling commitments to the Indigenous Component, Norte Energia has already built and equipped 56 classrooms and 31 Indigenous Health Basic Units in Indigenous Lands. Currently, there has been a reduction of more than 90% in malaria cases in the region.

Regarding infrastructure, as stipulated in the licensing, 17 airstrips have been built to serve the communities; 115 radios and 78 satellite antennas have been installed for internet access in the villages; 354 Sanitary Sewage Systems have been built in 15 different villages and in one riverine community; and 395 poultry farms, 78 flour production spaces, 16 cocoa greenhouses, 22 barns for nut drying, five pens, and five canteens have been set up. To support production activities, 101 boats, one ferry, 58 cars, 132 motorcycles, and 13 tractors have been donated to Indigenous communities. For three years, Norte Energia fulfilled the commitment to provide a helicopter to Ibama, as established in the Environmental Commitment Agreement of the licensing authority.

A cooperation agreement was also signed between Norte Energia and Funai to protect the Indigenous Lands of the Middle Xingu stretch, which includes 11 Indigenous Lands (Trincheira do Bacajá, Paquiçamba, Arara da Volta Grande, Kararaô, Cachoeira Seca, Arara, Koatinemo, Araweté do Igarapé Ipixuna, Apyterewa, Xipaya, and Kuruaya).

All 11 Territorial Protection Units outlined in the cooperation agreement were built and equipped by Norte Energia. The company also committed to create, implement, and operate the Remote Monitoring Center (CMR) for Indigenous Lands at the Funai head office.

The CMR was created and implemented in 2015/2016 and has been operating regularly since then, allowing the Brazilian state to enhance and optimize its surveillance actions in Indigenous territories, not only in the Belo Monte area but also in all Indigenous Lands in the Amazon, as outlined in the cooperation agreement.

For further information, please refer to news articles on the subject, where there are statements from Funai regarding the CMR, highlighting its importance for the removal of trespassers from the Trincheira do Bacajá and Apyterewa Indigenous Lands in the Middle Xingu region.

The Brazilian states are responsible for the actions to formalize Indigenous Lands in the country, a responsibility outlined in the previously mentioned cooperation agreement.

Does the topic have indicators and goals?

The indicators and goals related to the topic correspond to the fulfillment of the objectives and targets of the plans, programs, and projects that are part of both the General Environmental Program (PBA-General) and the Indigenous Component Environmental Program (PBA-CI).

Within the scope of the actions undertaken, social monitoring has been conducted since 2012, attesting to both the maintenance and improvement of the quality of life of the population within the influence area of the Belo Monte HPP. Regarding the Project for Oversight and Social Monitoring of the Surrounding Communities of the Project and the Host Communities, which is part of the PBA-General, where the Family Development Index (IDF) indicator of the Institute of Applied Economic Research (Ipea) is evaluated, there has been an improvement in the index for all populations affected by the project.

Furthermore, through the Socioeconomic Aspects Monitoring Program, also included in the PBA-General, Norte Energia monitors, on a sample basis, 6,560 families in the municipality of Altamira, observing a reduction in the population below the poverty line, from 25% (2011) to 3% (2022).

How much funding is allocated to sustainability within the company and/or for the specific topic?

Norte Energia has already invested more than BRL 6.6 billion in socio-environmental actions that reach both Indigenous and non-Indigenous communities, to fulfill the environmental licensing commitments of the Belo Monte HPP.

Additionally, as part of its Environmental, Social, and Corporate Governance (ESG) commitment, the company develops initiatives aimed at promoting sustainable regional socio-economic development. When integrated with public initiatives, these actions enhance the quality of life for local communities. Norte Energia's Sustainability Policy guide these actions.

Learn more:

Norte Energia - Belo Monte HPP

Norte Energia - Reports and Publications

Norte Energia - Sustainability Policy

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Community Relations - Belo Monte

General Information about the Project:

Eletrobras holds a 49.98% stake in Norte Energia, the company operating the Belo Monte hydroelectric power plant (HPP).

Located in the middle stretch of the Xingu River in the state of Pará, with an installed capacity of 11,233.1 MW and an average energy generation of 4,571 MW, Belo Monte stands as the largest 100% Brazilian hydroelectric plant. The Belo Monte HPP operates as a run-of-river plant and does not have a reservoir for water storage.

For operational purposes, there are two regulation reservoirs (the Xingu and Intermediate Reservoirs) with a total area of 478 km², of which 274 km² corresponds to the original bed of the Xingu River during the flood season. This area is considered small compared to the flooded areas of other hydroelectric projects and the installed capacity of the plant. The project was developed to minimize impact, ensuring that no Indigenous Land would be flooded. Both reservoirs cover areas in the municipalities of Altamira, Brasil Novo, and Vitória do Xingu. The territorial extension of the plant also includes two other municipalities: Anapu and Senador José Porfírio.

Were impact studies conducted?

Between 2007 and 2009, an Environmental Impact Assessment (EIA) was conducted, following the guidelines outlined in the terms of reference issued by Ibama in 2006. This study considered the scope, diagnosis, prognosis, integrated analysis, and impacts on three fronts: socioeconomic, physical, and biotic. Concurrently with the preparation of the EIA, Indigenous Component Studies (ECI) were carried out, which were submitted to both Ibama and Funai in 2009.

The EIA consists of 36 volumes, including those related to ethnoecological studies. Regarding the attainment of the Preliminary License, all procedures were completed, and in addition to the four public hearings held, over 250 meetings were conducted with local Indigenous and non-Indigenous communities to provide clarification about the project.

Licenses obtained:

• Preliminary License (LP) No. 342/2010: With the issuance of the LP, the Environmental Basic Project (PBA) was developed, addressing all requests for approach, methodology, and scope outlined in the report that supported the issuance of the LP;

• Installation License (LI) No. 795/2011: Between 2011 and 2015, projects to monitor the impacts anticipated during the installation stage were conducted, with subsequent submission of consolidated semiannual reports to Ibama;

• Operating License (LO) No. 1317/2015: Similar to the LI, monitoring compliance with conditions and assessing impacts anticipated during the operational stage is carried out through continuous monitoring and submission of consolidated annual reports to Ibama, as well as on-site inspections by analysts from this institute.

These commitments have materialized through the fulfillment of 117 plans, programs, and projects in the social, cultural, land, physical, and biotic areas that comprise the Environmental Basic Project (PBA-General) of the Belo Monte HPP.

The PBA-General is a tool that gathers a set of environmental plans, programs, and projects that encompass actions related to the environment, infrastructure, social and economic development, health, education, tourism, leisure, culture, and communication. Its main objectives are to monitor, mitigate, and compensate for the impacts and to enhance the positive impacts generated by the Belo Monte HPP on non-Indigenous communities.

Additionally, part of the environmental licensing commitments of Belo Monte are embodied in the Basic Environmental Plan of the Indigenous Component (PBA-CI), consisting of 11 programs, 30 projects, and one plan, which presents technical solutions and actions to mitigate and/or compensate for environmental impacts on Indigenous communities within the influence area of the plant.

In 2021, a request for the renewal of the Operating License of the project was submitted to Ibama, as provided by legislation, especially Law No. 140/2011 and Conama Resolution No. 237/1997. According to the law, the license remains valid until a definitive administrative decision by the environmental agency, which has not yet been made.

Please note that Norte Energia continues to fulfill the conditions and obligations stipulated in the environmental licensing of the Belo Monte HPP. As planned, it continues to issue regular reports on the progress and fulfillment of conditions and obligations, including those for which there is a request for closure due to full compliance. In March 2024, the 24th Consolidated Report of the PBA and the 20th Consolidated Report of its Indigenous Component (PBA-CI) were submitted to Ibama.

The Operating License consists of 36 specific conditions, subdivided into 71 obligations. According to discussions conducted with Ibama throughout 2023, the status of the conditions/obligations is as follows:

• 20 obligations met and validated by the agency;

• 13 obligations met to be validated by the agency;

• 38 obligations in progress, considering continuous monitoring conditions, actions for the Reduced Flow Section of the Big Bend stretch of the Xingu River, projects for riverside dwellers, technical assistance for fishermen, and actions for Indigenous peoples within the influence area of the Belo Monte HPP.

Thus, the plant continues to operate with its Operating License in compliance with Brazilian legislation.

Were independent evaluations related to the topic conducted?

In 2012, the independent consulting firm JGP conducted a due diligence, which developed an action plan to meet the Performance Standards of the International Finance Corporation (IFC), which are part of the Equator Principles. Quarterly, Norte Energia is audited by JGP, and independent socio-environmental reports are issued to the financial institutions financing the Belo Monte HPP. Over 40 Independent Socioenvironmental Reports have been issued for CEF and over 40 for BNDES.

The audit findings attest to Norte Energia's compliance with the Equator Principles requirements.

Regarding Indigenous peoples, specifically addressed in Performance Standard 7, the reports indicate that Norte Energia has been striving to improve communication with the affected population, and the company's actions in the territory aim to strengthen socio-environmental responsibility and interculturality through the implementation of an approach methodology, listening, and dialogue with leaders and communities.

Regarding the instances of consultation and Indigenous participation in monitoring the PBA-CI, the Indigenous Management Committee, subcommittees, and the Reduced Flow Committee were created. In addition to these venues, a radio system was established in 2011, covering all Indigenous Lands and in the city of Altamira (Communication Center and radios installed in Indigenous organizations). Moreover, during the pandemic period, Norte Energia installed satellite antennas in Indigenous Lands to enhance communication with Indigenous peoples. Through these communication channels, Norte Energia receives and responds to demands, as well as clarifies information related to the execution of the PBA-CI.

Additionally, through PBA-CI programs, Norte Energia supports Indigenous participation in the Indigenous Health District Council (Condisi) and meetings of the Ethno-Educational Territory of the Middle Xingu (TEEMX) and develops actions to strengthen Indigenous institutions.

What is Eletrobras's role in this matter and how is it involved in related decisions (stake in SPEs, etc.)?

During the preparation of the Environmental Impact Assessment (EIA), a listening process was conducted by the engaged company Elabore under the coordination of Eletrobras Eletronorte. At the time, more than 20 communication agents (young people from the region where the project is located) were trained to visit the affected communities and provide information about the Belo Monte HPP. Booklets and other communication materials were produced to inform about the plant.

Currently, Eletrobras holds 49.98% of Norte Energia's capital and participates proportionally in its Board of Directors, as well as appointing members to the board's technical advisory committees.

Does the topic at hand align with and relate to the risk matrix?

Possible socio-environmental impacts resulting from the project were previously and properly studied to establish various measures aimed at their mitigation and compensation. Such measures were and continue to be implemented in compliance with environmental licensing obligations, supplemented through the PBA-General and PBA-CI, with the involvement of intervening agencies at all times.

The potential non-compliance with socio-environmental conditions is an identified risk in the corporate risk matrix, and its assessment and response are part of Norte Energia's risk management process. This risk is quarterly reported to Eletrobras.

Has this topic been aligned with relevant stakeholders?

The relationship with local communities and Human Rights are material topics for Norte Energia, according to the latest assessment conducted by the company in 2022, as presented through the Sustainability Report of that year.

The first topic concerns listening to and communicating with various stakeholders, such as riverine populations, fishermen, Indigenous peoples, and communities surrounding the operation of the Belo Monte HPP. The second topic refers to Norte Energia's actions regarding the responsibility to respect Human Rights in the development of its activities and relationships, as well as in its value chain. It also considers the strengthening of ethnic identity and visibility of Indigenous peoples in the Middle Xingu.

The definition of material topics is based on the Global Reporting Initiative (GRI) Standard, a methodology recognized and applied internationally. The materiality definition process at Norte Energia went through the following stages:

• Context assessment;

• Impact mapping;

• Relevance of impacts;

• Prioritization of impacts;

• Final validation.

During the environmental assessments, more than 250 meetings were held with local communities, culminating in four public hearings, which brought together about eight thousand participants.

Various communication materials were used to inform the local population about the implementation of the project, such as models, posters, brochures, and booklets, and weekly radio broadcasts were conducted.

In addition to consultations with non-Indigenous communities, meetings were also held in villages to present the Belo Monte HPP project to Indigenous leaders.

Concerning Indigenous peoples, between 2007 and 2010, the following activities took place:

• 12 public consultations;

• Ten workshops with the community living in the project area;

• Technical forums in Belém and the Middle Xingu;

• Visits to over four thousand families;

• Four public hearings with Ibama and participation of over eight thousand people;

• 30 Funai meetings in Indigenous villages.

Indigenous peoples' feedback on implemented actions occurs through various channels established by Norte Energia for dialogue, participation, and communication, including:

• Hearings, meetings, and consultations to discuss the plant's construction with Indigenous peoples, between 2007 and 2010, s highlighted in the previous items;
  

• Indigenous monitoring and participation forums:

• Indigenous Management Committee;

• Seven councils related to the Belo Monte HPP works;

• Ten Indigenous subcommittees in villages and in Altamira;

• Committee for Control and Oversight of the Monitoring of the Big Bend stretch of the Xingu River, affected by the flow reduction from the Belo Monte HPP operation;

• Establishment of the largest radio system in the Xingu region, with 115 radio stations installed to ensure communication within and between villages, riverine Indigenous communities, and Indigenous associations in Altamira;

• Indigenous Community Information Center, operating since 2010, for radio use, information requests, and meetings.
  

Regarding non-Indigenous communities, the mitigation and/or compensatory commitments are embodied in the Basic Environmental Plan (PBA-General) of the Belo Monte HPP, which includes 117 plans, programs, and projects in the social, cultural, land, physical, and biotic areas.

Within the scope of the PBA-General addressing community relations, the following plans stand out, each consisting of programs and/or projects:

• Plan for Assisting the Affected Population: Aims to reduce the social impacts resulting from the implementation of the Belo Monte HPP and to propose solutions that consider the expectations and demands of the affected population. This plan is an instrument capable of addressing in an integrative manner the anticipated social impacts, minimizing them through solutions compatible with the local reality and the needs of the different affected social groups;

• Urban Redevelopment Plan: Aims to propose measures and interventions in the cities of Altamira, Vitória do Xingu, and the Belo Monte and Belo Monte do Pontal areas to: i) address the need for relocation of the population in Altamira due to the formation of the Xingu reservoir; ii) integrate the planned residential units and village into the urban structure of Altamira and Vitória do Xingu; iii) adapt the road infrastructure for the Trans-Amazonian Highway crossing over the Xingu River; iv) prepare Altamira, Vitória do Xingu, and the Belo Monte areas to accommodate the population influx due to job opportunities and economic growth generated by the construction;

• Community Relations Plan: Aims to monitor the migration flow associated with the implementation of the Belo Monte HPP, providing data for possible adjustments in the planned measures and guiding municipal planning activities. It also aims to inform migrants about actual job opportunities created by the project and the corresponding required professional qualifications;

• Public Health Plan: Aims to strengthen municipal health services in the area of influence of the Belo Monte HPP through partnerships with municipal (Municipal Health Offices), state (State Health Office), and federal (Ministry of Health) health managers. The plan facilitates epidemiological surveillance, vector monitoring and control, and prevents an increase in malaria cases in the project area;

• Heritage Appreciation Plan: Aims to promote the identification, inventory, documentation, registration, dissemination, surveillance, preservation, conservation, restitution, use, and revitalization of cultural heritage;

• Integrated Management Plan for the Big Bend stretch of the Xingu River: Aims to ensure the implementation of all programs and projects proposed for the Reduced Flow Section (TVR).

Regarding the relocation of the population to mitigate the impacts from the formation of the reservoir for the project, the EIA stipulated the relocation of families in the urban area of Altamira. The Population Relations Plan, part of the PBA, established criteria, objectives, and goals for the developer's role in the relocation process outlined in the EIA.

In this context, based on the outcomes of the discussions held, 3,700 families were relocated to five new neighborhoods, known as Urban Collective Resettlements (RUCs), thus meeting the initial objectives and goals set in the PBA.

These resettlement areas – Jatobá, São Joaquim, Casa Nova, Água Azul, and Laranjeiras – were integrated into the city of Altamira, forming five new neighborhoods that are now inhabited, established, and handed over to the Altamira Municipal Government.

These resettlements are equipped with basic sanitation infrastructure, paving, lighting, and public facilities such as schools, Basic Health Units (UBS), sports courts, and social spaces.

Subsequently, due to requests from fishermen, riverine populations, and urban Indigenous communities, the oversight agency required the implementation of a sixth urban resettlement area – now known as Tavaquara RUC – also in the municipality of Altamira. This resettlement has direct access to the Xingu River, enabling traditional communities to maintain their connection with the river.

This resettlement also includes all the infrastructure of the other neighborhoods built by the developer, as well as a ramp and dock to facilitate the community's river transportation.

The Population Relations Plan provided housing conditions equipped with infrastructure and spaces for social interaction.

After relocating the families, actions are taken to adapt the neighborhoods and strengthen bonds in the new living areas, as well as provide social and psychological support. By October 2023, over 1,500 families had been assisted.

Please note that Norte Energia provided technical support to establish neighborhood associations in five of the six resettlements. The consolidation of these associations has contributed to a sense of empowerment and citizenship among the affected communities.

Additionally, 17 religious facilities were reestablished in these new neighborhoods to maintain religious practices, and Community Living and Bond Strengthening Services and multipurpose halls were implemented. These collective spaces host sociocultural activities and serve as focal points for Norte Energia to conduct environmental education and social responsibility actions.

The table below summarizes the actions executed by Norte Energia through projects designed to mitigate and compensate for the impacts anticipated in the EIA of the Belo Monte HPP, related to local and traditional communities:

Regarding the riverine communities located within the direct influence area of the Belo Monte HPP, in compliance with condition LO No. 1317/2015 issued by Ibama, Norte Energia committed to resettling these families on islands and riverbanks to restore their traditional way of life, which depended on the Xingu River. This involves 322 families identified by the company through an extensive social recognition process.

These families are being resettled in the Permanent Preservation Areas of the Xingu Reservoir (Riverside Territory), a proposal developed by the Riverside Council and its support group, in collaboration with the stakeholders – Norte Energia, the Riverside Council, the Federal Public Prosecutor's Office, and Ibama.

By November 2023, out of the 322 families, 160 had been resettled and four were in the process of resettlement. Norte Energia is also implementing supplementary projects, following the guidelines of the PBA-General, such as psychosocial support and strengthening family agriculture.

Regarding the fishermen, within the scope of the PBA-General, the Sustainable Fishing Incentive Project aims to assess changes in commercial fishing activities for consumption and ornamental fish, including possible variations in subsistence fishing and local fish consumption, to guide mitigation actions in the region impacted by the project. The project also seeks to integrate other actions related to fishing activities, according to the objectives set out in the PBA, aiming to understand and mitigate the impacts observed and anticipated in the EIA of the Belo Monte HPP.

The initiative incorporates various factors related to the fishing chain in the project area, such as: fishermen and vessels; commercial fishing for consumption; commercial ornamental fishing; participatory monitoring of subsistence fishing; protein consumption monitoring; population dynamics and stock sustainability assessment; Indigenous fishing (Paquiçamba and Arara Indigenous Lands in the Big Bend stretch of the Xingu River); social monitoring and support; and technical fishing assistance actions.

Additionally, the Technical Cooperation Agreement No. 006/2014 was entered into by Norte Energia and the former Ministry of Fisheries and Aquaculture, which includes infrastructure implementation actions by Norte Energia and fishery management actions in the reservoir areas to be carried out by government authorities.

As part of the compensations for the fishing community, Norte Energia began implementing sustainable fishing technical assistance projects in the area affected by the formation of the Xingu Reservoir and the Reduced Flow Stretch.

In 2022, Norte Energia strengthened the Fishermen's Colonies in the municipalities within the Direct Influence Area (AID), through the renovation of the colony headquarters in Altamira, Anapu, and Senador José Porfírio, as well as the donation of vehicles to improve mobility and support the development of their activities.

To compensate and mitigate the impacts on Indigenous peoples living in the area affected by the Belo Monte HPP and in compliance with requirements set by the intervening agency as a condition for granting the Preliminary License, Norte Energia developed the Basic Environmental Plan for the Indigenous Component (PBA-CI). This plan was presented and discussed in each village and approved by Funai in 2012. The PBA-CI has been in execution since 2013 across 11 Indigenous Lands and one Indigenous area. Its progress, challenges, and outcomes have been systematically reported to the licensing and intervening bodies through consolidated semiannual reports.

Within the scope of the PBA-CI, targeting approximately 4,800 Indigenous people of the Middle Xingu stretch, who occupy over five million hectares, including the Indigenous Lands of Trincheira do Bacajá, Paquiçamba, Arara da Volta Grande, Kararaô, Cachoeira Seca, Arara, Koatinemo, Araweté do Igarapé Ipixuna, Apyterewa, Xipaya, and Kuruaya, as well as the Indigenous Area of Km 17, and urban and riverine Indigenous communities, the following actions stand out:

• Management Plan;

• Institutional Strengthening Plan;

• Non-Indigenous Communication Program;

• Indigenous Subsistence Project;

• Project for the Development of Productive Stages and Commercialization;

• Project for Territorial Planning and Shared Socio-environmental Management;

• Territorial Monitoring Project;

• Territorial Conservation Project;

• Indigenous School Education Policy Establishment Project;

• Indigenous Schools Structuring Project;

• Indigenous Teachers Training and Didactic Materials Development Project;

• Structuring Incentive Project: Buildings, Access, and Health Equipment for Indigenous Health;

• Health Surveillance Project;

• Health Education Project;

• Indigenous Traditional Health Practices Strengthening Project;

• Artistic and Cultural Production Support Project;

• Cultural Heritage Education Project;

• Altamira Indigenous Museum Restructuring Project;

• Infrastructure Program in the Villages;

• Project for the Registration of Indigenous Families in the PRR;

• Project for the Negotiations and Acquisition of Lands and Improvements in the Rural Area;

• Project for the Negotiations and Acquisition of Lands and Improvements in the Urban Area;

• Environmental Oversight Coordination Project;

• Terrestrial Ecosystems Conservation Plan Monitoring Project;

• Aquatic Ecosystems Conservation Plan Monitoring Project;

• Water Resources Management Plan Monitoring Project;

• Project for Monitoring the Integrated Management Plan for the Big Bend Stretch of the Xingu River;

• Indigenous Communication Program;

• Territorial Protection Plan for the Indigenous Lands of the Middle Xingu Stretch.

As a result of fulfilling commitments to the Indigenous Component, Norte Energia has already built and equipped 56 classrooms and 31 Indigenous Health Basic Units in Indigenous Lands. Currently, there has been a reduction of more than 90% in malaria cases in the region.

Regarding infrastructure, as stipulated in the licensing, 17 airstrips have been built to serve the communities; 115 radios and 78 satellite antennas have been installed for internet access in the villages; 354 Sanitary Sewage Systems have been built in 15 different villages and in one riverine community; and 395 poultry farms, 78 flour production spaces, 16 cocoa greenhouses, 22 barns for nut drying, five pens, and five canteens have been set up. To support production activities, 101 boats, one ferry, 58 cars, 132 motorcycles, and 13 tractors have been donated to Indigenous communities. For three years, Norte Energia fulfilled the commitment to provide a helicopter to Ibama, as established in the Environmental Commitment Agreement of the licensing authority.

A cooperation agreement was also signed between Norte Energia and Funai to protect the Indigenous Lands of the Middle Xingu stretch, which includes 11 Indigenous Lands (Trincheira do Bacajá, Paquiçamba, Arara da Volta Grande, Kararaô, Cachoeira Seca, Arara, Koatinemo, Araweté do Igarapé Ipixuna, Apyterewa, Xipaya, and Kuruaya).

All 11 Territorial Protection Units outlined in the cooperation agreement were built and equipped by Norte Energia. The company also committed to create, implement, and operate the Remote Monitoring Center (CMR) for Indigenous Lands at the Funai head office.

The CMR was created and implemented in 2015/2016 and has been operating regularly since then, allowing the Brazilian state to enhance and optimize its surveillance actions in Indigenous territories, not only in the Belo Monte area but also in all Indigenous Lands in the Amazon, as outlined in the cooperation agreement.

For further information, please refer to news articles on the subject, where there are statements from Funai regarding the CMR, highlighting its importance for the removal of trespassers from the Trincheira do Bacajá and Apyterewa Indigenous Lands in the Middle Xingu region.

The Brazilian states are responsible for the actions to formalize Indigenous Lands in the country, a responsibility outlined in the previously mentioned cooperation agreement.

Does the topic have indicators and goals?

The indicators and goals related to the topic correspond to the fulfillment of the objectives and targets of the plans, programs, and projects that are part of both the General Environmental Program (PBA-General) and the Indigenous Component Environmental Program (PBA-CI).

Within the scope of the actions undertaken, social monitoring has been conducted since 2012, attesting to both the maintenance and improvement of the quality of life of the population within the influence area of the Belo Monte HPP. Regarding the Project for Oversight and Social Monitoring of the Surrounding Communities of the Project and the Host Communities, which is part of the PBA-General, where the Family Development Index (IDF) indicator of the Institute of Applied Economic Research (Ipea) is evaluated, there has been an improvement in the index for all populations affected by the project.

Furthermore, through the Socioeconomic Aspects Monitoring Program, also included in the PBA-General, Norte Energia monitors, on a sample basis, 6,560 families in the municipality of Altamira, observing a reduction in the population below the poverty line, from 25% (2011) to 3% (2022).

How much funding is allocated to sustainability within the company and/or for the specific topic?

Norte Energia has already invested more than BRL 6.6 billion in socio-environmental actions that reach both Indigenous and non-Indigenous communities, to fulfill the environmental licensing commitments of the Belo Monte HPP.

Additionally, as part of its Environmental, Social, and Corporate Governance (ESG) commitment, the company develops initiatives aimed at promoting sustainable regional socio-economic development. When integrated with public initiatives, these actions enhance the quality of life for local communities. Norte Energia's Sustainability Policy guide these actions.

Learn more:

Norte Energia - Belo Monte HPP

Norte Energia - Reports and Publications

Norte Energia - Sustainability Policy

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Ethics and Corporate Integrity - Belo Monte

General information about the project:

Installed on the Xingu River, in Pará, with an installed capacity of 11,233.1 MW and an average amount of energy generation of 4,571 MW, Belo Monte is established as the largest 100% Brazilian hydroelectric plant. Together with the intermediate reservoir, the project's flooded area totals 478 km² – considered small compared to the area flooded by other hydroelectric projects and the installed capacity of the plant. Both reservoirs are located between the municipalities of Altamira, Brasil Novo and Vitória do Xingu. The plant's coverage area also includes two other municipalities: Anapu and Senator José Porfírio.

Have independent evaluations been carried out related to the topic?

In response to allegations of illegal activities reported in the media, related to companies that provided services to, at the time, our subsidiary Eletronuclear, and certain Special Purpose Entities (SPEs) in which we held a minority stake, Eletrobras hired an experienced and recognized international law firm to initiate a broad and robust independent investigation, concluded in April 2018 and aimed, in particular, at serving American regulatory bodies.

As a result of this investigation, in August 2018, the DOJ (United States Department of Justice) decided not to prosecute Eletrobras for any possible violations with regard to the FCPA (Foreign Corrupt Practices Act), nor did it impose any contingencies or conditions and monitoring.

In December 2018, the SEC (United States Securities and Exchange Commission) accepted the conclusion of an agreement worth US$2.5 million. The agreement did not represent an admission of any illegal act. Given the DOJ's decision and the approval of the agreement with the SEC, there are no more actions pending before the United States regulatory agencies, and the investigations have been officially closed, without the recognition of irregularities on the part of the company.

In this sense, it is worth highlighting that we are beneficiaries of five plea bargain agreements signed between CGU and AGU with construction companies, which recognize Eletrobras and its subsidiaries as victims of acts of corruption carried out by these companies.

What is Eletrobras' role on the topic and how is it involved in related decisions (participation in SPEs, etc.)?

Created in 2016, in compliance with anti-corruption legislation and in alignment with the requirements established by the Anti-Corruption Law Regulatory Decree (11,129/2022), the Eletrobras Compliance Program is related to the ESG Reference strategic guideline and the strategic objective of improving practices of governance of the Strategic Plan 2023-2027.

The policies established in the program, approved within the scope of the Executive Board and the Board of Directors of Eletrobras, follow the guidelines of the Brazilian Anti-Corruption Law 12,846/13 and the North American Law on Corrupt Practices Abroad FCPA (Foreign Corrupt Practices Act), in addition to observing the best market practices adopted to promote ethics and corporate integrity.

In search of best market practices and considering the change from a state-owned company to a private corporation, in August 2023 the new Compliance Program was launched, reinforcing Eletrobras' commitment with ethical, integrity and transparent performance, through a set of continuous actions that aim to prevent, identify and correct non-conformities or illicit acts related to fraud and corruption and unethical conduct and seeking to strengthen the culture of ethics and integrity, in addition to compliance with anti-corruption laws by administrators, leaders, professionals and third parties.

Based on the pillars of PREVENTION, DETECTION and EVOLUTION, the new Compliance Program covers the holding and its subsidiaries, with the associated companies and respective SPEs being reached by the implemented integrity mechanisms.

On the “Risk Management" front, risks related to partnerships in affiliates and SPEs are mapped and addressed. Through the “Third Party Compliance" front, all professionals nominated by Eletrobras to fill vacancies in governance bodies of these companies undergo a detailed integrity assessment. On this same front, guidelines are established for integrity due diligence and subsequent monitoring of potential partners in M&A processes, operations and corporate restructuring, for example.

On the “Culture of Integrity" front, awareness-raising actions on the topic of ethics and integrity and the Eletrobras Compliance Program are defined for affiliates or SPEs and their administrators.

Does the topic presented fit into and relate to the risk matrix?

In 2022, the risk matrix of Eletrobras companies was revised, with its basic structure defining what the company's risks are in the three ESG aspects.

The integrated risk management model starts from the identification and consolidation in a matrix of business, financial and ESG risks to which Eletrobras companies are exposed, for subsequent analysis, treatment and monitoring of them through specific processes developed by their respective owners.

In line with its Risk Management Policy, and based on the corporate risk matrix, the company defines appropriate mitigation actions for the mapped risks, depending on their level of exposure.

As one of the initiatives of the “Risk Management" front of the Compliance Program, through the adoption of the Fraud Risk Assessment (FRA) methodology, the process of identification, categorization, analysis was revisited in 2023 and classification of possible fraud and corruption risk factors inherent to its businesses and residuals, which considered changes in the external and internal context that require review of treatments and priorities, as well as periodic monitoring of their effectiveness, adaptation and updating of criteria, implementing and modifying whatever is necessary, in order to enable the constant adaptation of the Integrity Program (Compliance). Fraud and corruption risks are reflected in risks in the Corporate Risk Matrix, in the Governance dimension.

Was this topic aligned with related parties?

The commitments of the Governance pillar are incorporated into the regulations, practices and integrity mechanisms implemented by the Compliance Program to prevent, detect and remedy non-conformities, deviations in conduct or illicit acts, with zero tolerance to corruption, combating fraud, protecting information and preventing conflicts of interest.

Commitments to strengthening relationships of trust with all stakeholders are incorporated by the areas that deal with different stakeholders, be it relationships with suppliers and partners, with public authorities, with shareholders, with communities and with the press, through the policies of each area involved.

Among the initiatives of the Prevention pillar of the Compliance Program, we highlight:

• Assessment of the integrity of professionals who serve on boards and councils in companies with a shareholding in the company, as provided for in Eletrobras' Nomination Policy.

The Nomination Policy establishes principles, guidelines and responsibilities for the composition of Eletrobras' collegiate bodies and for the selection and nomination processes of the company's internal governance agents and representatives of Eletrobras companies (Eletrobras and its direct and indirect subsidiaries) in administrative and fiscal bodies of other entities. It is guided by the following principles: transparency, ethics, compliance with legislation and internal regulations, and meritocracy and appreciation of skills for managing the organization.

This policy's target audience is Eletrobras shareholders, employees, administrators, fiscal advisors and members of advisory committees of Eletrobras companies, in addition to representatives of Eletrobras companies in direct and indirect invested companies, associations and foundations.

• Awareness raising and training actions on the Compliance Program that are part of the Improvement Program for Advisors and Directors of Eletrobras and controlled, affiliated and partner companies (SPEs).

Eletrobras promotes the dissemination and strengthening of a culture of ethics and integrity in all dimensions of the business, through communication and training actions aimed at internal and external audiences for the internalization and dissemination of ethics and integrity commitments expressed in policies and procedures of the Compliance Program and Code of Conduct, covering employees and other stakeholders.

The company annually identifies the training needs of its corporate governance agents and implements actions focused on their training, aiming at continued education for better performance of advisors.

Every year the event "Eletrobras Integrity and Ethical Culture Week" is held, with lectures by internal and external experts on governance, risks and compliance. In 2022, at the event, a lecture was held for members of the Executive Board and the Board of Directors and Fiscal Councils, within the scope of the Improvement Program for Advisors and Directors, addressing the third-party integrity assessment process implemented in Eletrobras companies, through the Integrity Program (Compliance).

Explain contingency plans, mitigation measures or actions related to the topic.

Eletrobras has an adequate structure for Compliance, Internal Controls and Risks. Since its creation in 2016, the then Governance, Risks and Compliance Department has gained strength to carry out its activities with the reinforcement of its teams. In 2019, a Superintendence of Risks, Internal Controls and Information Security was created, in addition to a specific area dedicated to information security with the aim of dealing with topics related to cybersecurity and the classification of information regarding the level of secrecy, in compliance with the Law No. 12,527, of November 18, 2011.

The current Vice-Presidency of Governance, Risks and Compliance ("VGR"), formally created on March 31, 2023, replaced the Governance, Risks and Compliance Board and has as its guideline to promote compliance management with regard to compliance with laws, standards and ethical conduct, as well as corporate risk management and management of the internal control environment.

Eletrobras' Bylaws provide for the existence of an area with responsibility for performing Integrity, Compliance, Internal Controls, Corporate Risks and Treatment of Manifestations functions, observing qualifications and independence under the terms of current legislation.

In the Detection pillar of the Compliance Program, the “Management of Reports, Investigations and Consequences" front includes an independent channel for receiving manifestations from stakeholders, which are duly investigated and treated, striving for non-retaliation.

Does the theme have indicators and goals?

One of the fronts of the Compliance Program is “Intelligence of Indicators and Tools", with the purpose of consolidation of information generated from indicators, automated and systemic mechanisms, tools and alerts for continuous improvement and direction of trends.

Among the voluntary commitments signed by the company, Eletrobras is an ambassador for the 100% Transparency Movement of the Global Compact, which establishes the achievement, by 2030, of five goals related to:

• Transparency of interactions with public administration;

• 100% full remuneration of senior management;

• High-risk value chain training;

• Transparency in the Compliance and Governance structure;

• Transparency about reporting channels.

• In addition to the indicators and goals established in the 100% Transparency Movement, Eletrobras adopts a series of internal indicators to evaluate the effectiveness of its processes, such as:

• Due diligence of suppliers exposed to the risk of fraud and corruption;

• Suppliers made aware of the Compliance Program;

• Partnerships in SPEs sensitized to the policies and practices of the Compliance Program;

• Members of senior management trained in policies and procedures of the Compliance Program;

• Employees trained in policies and procedures of the Compliance Program;

• Employees with a Term of Acceptance of the Code of Conduct.

Learn more:

Norte Energia - Belo Monte HPP

Compliance Program

Commitment to the 100% Transparency Movement

SDG Supplement 2022

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Biodiversity and Ecosystem Services – Jirau

General information about the project:

Eletrobras holds a 40% stake in the Special Purpose Entity (SPE) called Jirau Energia, through its subsidiaries Eletrobras CGT Eletrosul (with 20% stake) and Eletrobras Chesf (with another 20%).

Located on the Madeira River, about 120 kilometers from the capital Porto Velho, in the state of Rondônia, the Jirau hydropower plant (HPP) is the fourth largest generator of electric energy in installed capacity in Brazil, only behind Itaipu Binacional, Belo Monte, and Tucuruí. Its installation point is in the region known as Ilha do Padre. This plant plays a fundamental role in the national energy landscape, contributing to the electricity supply and promoting the development of the region.

Jirau HPP has 3,750 MW of installed capacity, which represents 3.7% of all the country's hydroelectric energy. The plant provides renewable energy to more than 40 million people.

Jirau HPP operates with a water level between the elevations of 82.5 m and 90.0 m. The reservoir area is variable, with its level at elevation 90 reaching 361.6 km². It has been supplying energy to the National Interconnected System (SIN, in Portuguese) since September 6, 2013, when the first generating unit started commercial operation.

Were environmental impact studies conducted?

The socio-environmental programs of the Jirau hydroelectric power plant were formulated by a team of multidisciplinary experts, including renowned universities, research centers, and consultancy firms. The consolidation of the Basic Environmental Plan (PBA, in Portuguese), a document detailing the social and environmental actions to be developed by Jirau Energia in the project implementation region, involved active participation from the teams of Brazilian Institute of Environment and Renewable Natural Resources (IBAMA, in Portuguese), who contributed by providing significant recommendations.

Here is a brief history of the studies presented and licenses issued for the Jirau HPP:

• 2005 – Presentation of the EIA/RIMA (Environmental Impact Assessment and Environmental Impact Report) for both HPP Jirau and HPP Santo Antônio;

• 2007 – Preliminary License;

• 2008 – Installation License for the Construction Site – Jirau HPP;

• 2009 – Plant Implementation License – HPP Jirau;

• 2012 – Operation License (LO) nº 1097:

• Validity: four years;

• 34 socio-environmental programs;

• 53 conditions;

• Biannual monitoring reports;

• 2016 – Request for renewal of the Operation License (LO);

• 2019 – 1st Renewal of Operation License (LO) nº 1097:

• Validity: ten years;

• 28 socio-environmental programs;

• 34 conditions;

• Annual monitoring reports.

In terms of biodiversity, initial studies identified potential impacts on the ichthyofauna of the Madeira River and the loss of vegetation due to the formation of the reservoir.

Monitoring of the ichthyofauna in the region has been conducted since 2010 through the Ichthyofauna Conservation Program. As mandated by Brazilian Institute of Environment and Renewable Natural Resources (IBAMA, in Portuguese), two collection areas are monitored, covering 677 kilometers in length. The results indicate that the species have maintained similar relative abundance from the beginning of the implementation to the present day.

It is important to note that the Jirau HPP has two Fish Transposition Systems to allow their passage through the dam. These systems are of the capture and transport type, which allows selectivity in relation to the species to be transposed. This feature is important as it prevents the piramutaba from being transported upstream, since it did not occur in the higher parts of the basin.

With the formation of the reservoir, more than 18,400 hectares of Permanent Preservation Area (PPA) were acquired, with 2,750 hectares targeted for restoration, as they were pasture or agricultural areas. A total of 721 hectares have already been recovered, with 665,000 native seedlings acquired, distributed across 110 species, and 12,300 kilograms of seeds used for direct sowing.

Were independent evaluations related to the theme conducted?

The programs (Fauna Conservation, Ichthyofauna Conservation, and Limnological Monitoring and Aquatic Macrophytes) were verified by independent consultancy regarding compliance with the Equator Principles and the Sustainability Performance Standards of the International Finance Corporation (IFC), in addition to audits by financing banks (Caixa, Itaú, Bradesco, Banco do Nordeste, and Banco do Brasil), UN/UNFCCC's Clean Development Mechanism (CDM) Project audit, audit/requests from partners, and certification by the International Hydropower Association (IHA).

Does the presented theme have material related to the Equator Principles, Principles for Responsible Investment, or others that bring elements related to the theme?

Jirau Energia is periodically audited by the financing banks of the project. Currently, the socio-environmental aspects are evaluated considering the Equator Principles (IFC).

In 2023, the Jirau HPP received the highest level of certification in the world according to the Hydropower Sustainability Standard, granted by the Hydropower Sustainability Council of the International Hydropower Association (IHA).

12 criteria were evaluated, covering various themes related to hydroelectric plants.

As a result, it was found that the ESG actions developed by Jirau Energia exceeded the established standards.

Due to the high standards of compliance with the requirements, the plant received a Gold certification, becoming the first in Brazil to obtain it and the second in the world.

What is Eletrobras' role in the theme, and how does it get involved in related decisions (participation in SPEs, etc.)?

Eletrobras monitors the theme through its risk matrix, with the implementation of an action plan in the Human Rights due diligence process, which includes the development of mitigation actions in its participations.

In 2023, the Human Rights Due Diligence (HRDD) work of the Jirau Hydroelectric Plant was initiated. At the end of the HRDD, improvements will be identified through a report, in addition to recommendations to the Board of Directors for the implementation of mitigation action plans, as appropriate.

Does the presented theme fit into and relate to the risk matrix?

Eletrobras monitors the theme through its risk matrix, with the implementation of an action plan in the Human Rights due diligence process, which includes the development of mitigation actions in its participations.

The goal of the Human Rights Due Diligence project in SPEs consists of:

• Evaluating 100% of joint ventures/SPEs through the Human Rights due diligence questionnaire;

• Identifying SPEs that have controversies and gaps and interacting to request information and positions.

Has there been an alignment of this theme with the related parties?

Regarding fauna, we have a partnership with ICMBio for the conservation of the Mapinguari National Park (Parna Mapinguari), involving actions with the Cooperative of Rural Producers of the Jirau Environmental Observatory (COOPPROJIRAU, in Portuguese) and the Socio-Environmental Observatory Association.

A technical cooperation agreement was signed with ICMBio aimed at the protection of Parna Mapinguari, located on the left bank of the Jirau Hydroelectric Plant. It was agreed to provide supplies, equipment, and labor to continue the implementation of the Monitora Program in the conservation unit. A request was also made for the provision of a high-capacity computer for georeferencing work.

Specify the contingency plans, mitigation measures, or actions related to the theme.

In terms of alignment with communities, we use effective instruments through the Environmental Education Program (PEA, in Portuguese), such as the Jirau Environmental Observatory, the formation of a committee with working groups covering all contemplated activities, and, whenever demanded or necessary, we hold meetings and provide clarifications to the related parties.

With the aim of establishing guidelines to prevent conflicts and reduce environmental impact, in accordance with Laws No. 12.651 and 12.727, both from 2012, the Environmental Plan for Conservation and Use of the Surrounding Area of the Jirau Plant's Artificial Reservoir, known as Pacuera, was developed. This document presents a series of guidelines and recommendations designed to guide the preservation, restoration, use, and occupation of the surrounding area. These guidelines were formulated based on in-depth analyses of the level of occupation, environmental vulnerability, land use suitability, and, additionally, considering the presence of Conservation Units. Technical workshops were held for the benefiting communities, and the public hearing took place on December 5, 2023. The Jirau Plant is in final negotiations with Ibama to later file the Pacuera with the Municipal Government of Porto Velho.

The socio-environmental programs of the Jirau hydropower plant were formulated by a multidisciplinary team of experts, including renowned universities, research centers, and consulting firms. The consolidation of the Basic Environmental Project (PBA, in Portuguese), a document detailing the social and environmental actions to be developed by Jirau Energia in the project implementation region, involved active participation of IBAMA teams, who collaborated by sending important recommendations.

Other programs have also been implemented:

• The Indigenous Communities Support Program, originating from the need for more detailed and accurate surveys about the Kaxarari, Igarapé Lage, Igarapé Ribeirão, and Uru-Eu-Wau-Wau Indigenous Lands, considered in the indirect influence area of the Jirau Hydroelectric Plant. The indigenous ethnic groups targeted by this program are the Kaxarari, Wari, and Uru-Eu-Wau-Wau. Funai (the federal government body responsible for protecting and promoting the rights of indigenous peoples in Brazil) approved the Work Plan in December 2023 for the Indigenous Component of the Jirau Plant, which has been implemented in accordance with the proposals and schedules contained in the plan. The actions have been implemented and well received by indigenous peoples, who have responded to the invitations and participated in the actions in a very dynamic way. These results can now be monitored annually through annual reports sent to the licensing authorities, and, for the year 2024, they are already in the internal review phase of the protocol;
  

• The Archaeological Heritage Prospecting and Salvage Program, aimed at conducting studies and activities related to the archaeological, historical, and cultural heritage of the Jirau Plant, in order to meet the different stages of prospecting and rescue; to produce scientific knowledge about the study areas, contributing to a better understanding of the pre-history and national history; as well as to develop integrated works with the community in the rescue and valorization of the mentioned heritage, contributing to the strengthening of their identity aspects. This program understands historical and cultural heritage as something 'alive' and integrated into societies, as a fundamental element in maintaining social cohesion and the preservation of cultures, adopting the principle that only with the involvement of society, especially local communities, can a durable and sustainable heritage policy be achieved. Jirau Energia is currently developing compliance with the Compensatory Measures of the enterprise in accordance with the periods and technical opinions sent by the National Historical and Artistic Heritage Institute (Iphan);
  

• The Resettlement Program for Affected Populations, which was structured in two lines of action, complying with current legislation and good practices in resettlement and social compensation. The first line of action, Restructuring, encompasses the processes of relocating the affected population and recomposing productive activities. The second line of action, Monitoring, aims to follow up on the outcomes and results of the Restructuring processes. The target audience of this program was characterized based on their relationship with the affected property (in urban or rural areas), being either owners (residents or not) or non-owners (usually caretakers, employees, etc., residing on the properties). For the target audience, the following relocation modalities were offered: (i) Partial or total compensation (offered only to owners, as per current and applicable legislation); (ii) Credit letter for purchasing another property, within or outside the municipality of Porto Velho (offered to owners and non-owners); (iii) Collective rural resettlement → Nova Vida and urban → Nova Mutum Paraná (offered to owners and non-owners);

• The Infrastructure Recovery Program, which seeks to establish the necessary measures to maintain access and communication conditions for populations in areas near the Jirau Hydroelectric Plant and other users of the existing infrastructure in the area influenced by the project;

• The Ichthyofauna Conservation Program, composed of five subprograms, aims to assess the impact of the project's operation on the ichthyofauna and provide, with complementary information, possible mitigation measures for the management and conservation of the ichthyofauna:

• Ecology and Biology Subprogram;

• Taxonomic Inventory Subprogram;

• Ichthyoplankton Subprogram;

• Fish Transposition System Monitoring Subprogram;

• ​Telemetry Investigation Subprogram of Migratory Fish Movements.

The Ichthyofauna Rescue and Salvage Program in the structures of the generating units (suction and adduction) during machine stops, wagon gate, stop logs, and spillway is also executed.

Among the results, we can highlight:

• Up to April 2024, 1,758,691 individuals were captured in the STPs;

• 189,707 specimens (eggs, larvae, and juveniles);

• 1,556 with combined radio and acoustic telemetry transmitters;

• 96,042 individuals rescued UG (suction and adduction), wagon gate, stop logs, and spillway;

• The structures of the Jirau plant do not limit the passage of larvae.

It is important to highlight that no significant changes in the local ichthyofauna were observed, maintaining similar abundance from the implementation to the operation of the plant.

The protection of wildlife is currently contemplated in two programs: the Surrounding Fauna Monitoring Program (PMFER, in Portuguese) and the In Situ Fauna Monitoring Program (PMFIS, in Portuguese).

The PMFIS is related to the fulfillment of the cooperation agreement established with ICMBio for the implementation of the Monitora Program.

The PMFER, in turn, monitors the fauna of the southern part of Parna Mapinguari, which interfaces with the reservoir of the Jirau Hydroelectric Plant on its left bank. This monitoring has been carried out since 2021 using the same methodology employed by ICMBio in the Monitora Program, thus allowing the comparison of results. With the normal progress of the program, it can be highlighted that the monitored area is well conserved according to the bioindicator species of fauna identified.

The protection of flora is carried out through the Flora Conservation Program, which seeks the restoration of the Permanent Preservation Area (PPA) of the Jirau Plant's reservoir. Of the more than 18,400 hectares of PPA, 2,750 are covered by pastures and agricultural areas and are the target of this program.

Since the beginning of its execution, a total of 721 hectares have already been recovered, with 665,000 native seedlings acquired, distributed across 110 species, and 12,300 kilograms of seeds used for direct sowing.

It should be noted that this program received the Good Practices in Licensing Certificate, issued by IBAMA.

Does the theme have indicators and goals?

All socio-environmental programs approved by IBAMA have goals and indicators that are monitored by the competent authorities, through the reports presented. The documentation is available upon request from the Jirau HPP.

What are the resources allocated for sustainability in the company and/or on the specific theme?

The amounts projected for the implementation of environmental programs until the end of the concession, considering the current scenario, reach approximately R$ 1.2 billion.

Highlights include the construction of schools, health posts, security units, training, donations of vehicles, equipment, and supplies for various areas, among others, with an investment of R$ 188.5 million.

• ​R$ 188,5​ million in social compensation actions;
  

• R$ 1.2 billion invested in sustainability.

Learn more:

Jirau HPP

Environmental Plan for Conservation and Use of the Surrounding Area of the Artificial Reservoir - Pacuera - Jirau HPP

Environment - Jirau HPP

Social Responsibility - Jirau HPP​

Community Relations - Jirau

General Information about the Project:

Eletrobras holds a 40% stake in the Special Purpose Entity (SPE) Jirau Energia, through its subsidiaries Eletrobras CGT Eletrosul (with a 20% stake) and Eletrobras Chesf (with another 20%).

Located on the Madeira River, about 120 kilometers from the capital Porto Velho, in the state of Rondônia, the Jirau hydroelectric power plant (HPP) is the fourth largest electricity generator in installed capacity in Brazil, trailing only Itaipu Binacional, Belo Monte, and Tucuruí. Its installation point is in the region known as Ilha do Padre. This plant plays a fundamental role in the national energy landscape, contributing to electricity supply and promoting regional development.

The Jirau HPP has an installed capacity of 3,750 MW, which represents 3.7% of all hydroelectric energy in the country. The plant provides renewable energy to more than 40 million people.

The Jirau HPP operates with water levels between elevations of 82.5 m and 90.0 m. The reservoir area is variable, with its level at elevation 90 reaching 361.6 km². It has been supplying energy to the National Interconnected System (SIN) since September 6, 2013, when the first generating unit entered commercial operation.

Were impact studies conducted?

Below is a brief overview of the studies presented and licenses issued for the Jirau HPP:

• 2005: Joint EIA/Rima presentation for Jirau HPP and Santo Antônio HPP;

• 2007: Preliminary License;

• 2008: Installation License for Jirau HPP's Construction Site;

• 2009: Implementation License for the Plant – Jirau HPP;

• 2012: Operating License (LO) No. 1097:

• Validity: four years;

• 34 socio-environmental programs;

• 53 conditions;

• Semiannual monitoring reports;

• 2016: Request for LO renewal;

• 2019: 1st Renewal of LO No. 1097:

• Validity: ten years;

• 28 socio-environmental programs;

• 34 conditions;

• ​Annual monitoring reports.

In the early assessments, a potential increase in malaria cases in Porto Velho was identified due to the high number of people coming to the region in search of employment. In response to this, over BRL 12.5 million was invested in the Public Health Program for malaria prevention, in support of the government.

The efforts undertaken until 2016 were executed superbly and played a significant role in Rondônia state being honored with the Malaria Champions award for reducing the malaria rate.

Malaria: high risk in 2007 → medium risk in 2012 → low risk in 2015.

Another point raised is that public health and education services could be impacted due to the expansion of the population in the region. Therefore, 12 low and medium complexity health units and 14 schools were built to meet the additional demand over an area of 481 kilometers.

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Were independent evaluations related to the topic conducted?

Yes, by audits from the project financing banks (Caixa, Itaú, Bradesco, Banco do Nordeste, and Banco do Brasil), and certification from the International Hydropower Association (IHA).

Does the topic at hand include material related to the Equator Principles, Principles for Responsible Investment, or others that provide elements related to the subject?

Jirau Energia is periodically monitored by an audit from the project financing banks. At this occasion, socio-environmental aspects are assessed in light of the Equator Principles (IFC).

In 2023, the Jirau HPP received the world's highest level of certification according to the Hydropower Sustainability Standard, granted by the International Hydropower Association's Hydropower Sustainability Council (HSC-IHA).

Twelve criteria were evaluated, covering various topics related to hydroelectric power plants.

As a result, it was found that the ESG actions developed by Jirau Energia far exceeded established standards.

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With its exceptional adherence to standards, the plant earned Gold certification, making it the first in Brazil and the second globally to attain this distinction.

What is Eletrobras's role in this matter and how is it involved in related decisions (stake in SPEs, etc.)?

Eletrobras monitors the topic through its risk matrix, implementing an action plan in the Human Rights due diligence process, which entails drafting mitigation actions in its holdings.

In 2023, the Human Rights Due Diligence (DDDH) process began for the Jirau HPP. At the end of the DDDH, improvements will be identified through a report, along with recommendations to the Board of Directors for the implementation of mitigation action plans, as applicable.

Does the topic at hand align with and relate to the risk matrix?

Eletrobras monitors the topic through its risk matrix, implementing an action plan in the Human Rights due diligence process, which entails drafting mitigation actions in its holdings.

The goal of the Human Rights Due Diligence project in SPEs is to:

• Evaluate 100% of the joint ventures/SPEs through the Human Rights due diligence questionnaire;

• Identify SPEs with controversies and gaps and engage with them to request information and positions.

Has this topic been aligned with relevant stakeholders?

The Sustainability Committee was a tool created and utilized by Jirau Energia as an organizational mechanism to promote dialogue between the community and stakeholders in the implementation and operation process of the Jirau hydroelectric plant. It comprises representatives from legal authorities, the government, affected populations, the entrepreneur, and technical teams.

Since January 2010, even during the implementation stage of the Jirau HPP, Jirau Energia has been holding meetings and presentations for the institutional public of Porto Velho and districts through the Sustainability Committee and its working groups, as well as for the state of Rondônia and the federal government.

With the transition to the operation stage of the plant and the consolidation of the working groups, Jirau Energia became an invited member of meetings convened by stakeholders. This forum is an important means of dialogue between the entrepreneur and the community, as well as between the community and the government, which monitors and receives more in-depth information on the continuity of the socio-environmental programs of the Jirau HPP after the renewal of the operating license of the project for another ten years.

Regarding alignment with the community, we employ effective instruments through the Environmental Education Program (PEA), such as the Jirau Environmental Observatory, the formation of committees with working groups encompassing all activities, and whenever demanded or necessary, we hold meetings and provide clarifications with stakeholders.

Meeting minutes can be found on the Socio-Environmental Observatory website.

Describe contingency plans, mitigation measures, or actions related to the topic.

With the aim of establishing guidelines to prevent conflicts and reduce environmental impact, in accordance with Laws No. 12,651 and 12,727 of 2012, the Environmental Plan for Conservation and Use of the Surroundings of the Artificial Reservoir of the Jirau Power Plant, known as Pacuera, was developed. This document presents a series of guidelines and recommendations intended to guide the preservation, restoration, use, and occupation of the surrounding area. These guidelines were prepared based on in-depth analyses of occupancy levels, environmental vulnerability, land use suitability, and additionally considering the presence of Conservation Units. Technical workshops were held for the benefiting communities, and the public hearing took place on December 5, 2023. The Jirau Plant is in final negotiations with Ibama to later file the Pacuera with the Municipal Government of Porto Velho.

The socio-environmental programs of the Jirau hydroelectric power plant were prepared by a team of multidisciplinary experts, including renowned universities, research centers, and consulting firms. The consolidation of the Basic Environmental Project (PBA), a document detailing the social and environmental actions to be developed by Jirau Energia in the project implementation region, involved active participation from Ibama teams, who provided valuable recommendations.

Below are the plans that have already been executed, those that are ongoing, and those that have not yet been implemented, in chronological order:

Completed Programs:

• Mining Rights and Gold Mining Activities Monitoring Program: The program aimed to identify interference, establish, and implement new regulations for mineral extraction activities in the direct influence area of the Jirau power plant, in conjunction with the National Mining Agency (ANM) – formerly the National Department of Mineral Production (DNPM), the government agency responsible for managing mineral assets of Brazil, to minimize potential impacts arising from the implementation and operation of the project on this activity;

• Paleontological Investigation, Monitoring, and Salvage Program: The program aimed to conduct surveys of fossiliferous deposits, paleontological sites, and fossil salvage in the reservoir area. This program offers a unique opportunity to expand knowledge of an important portion of the Western Amazon that has not yet been mapped in paleontological studies;

• Wildlife Conservation Program: The program conducted continuous monitoring of wildlife before, during, and after the reservoir filling of the Jirau power plant, as well as qualitative and quantitative population studies concerning species in the region. Monitoring activities were integrated with wildlife rescue actions that occurred during the project implementation stage (vegetation suppression monitoring) and during the reservoir filling stage, indicating suitable areas for animal relocation and release. The program was initially based on the theory of ecosystem biotic integrity;

• Deforestation Monitoring and Wildlife Rescue Program: The program aimed to rescue wildlife during vegetation suppression activities (construction site and reservoir) and during reservoir filling, ensuring the safety of wild animals and control of release and relocation actions, as well as transferring them to educational institutions, research institutions, and zoos, with the proper authorization from competent environmental agencies;

• Environmental and Heritage Monitoring and Protection Program: The heritage management sought to establish management, monitoring, and inspection procedures for the Jirau hydroelectric project's heritage sites, aiming to prevent and deter illegal actions, establish action procedures for the reversal of potentially illegal and/or conflicting uses and activities, and propose corrective actions for any violations. It also sought partnerships with government institutions to enhance management effectiveness;

• Social Compensation Program: The program aimed to contribute to the compensation of potential social and economic impacts caused by the implementation of the Jirau hydroelectric project, notably for general impacts, i.e., those that exceed direct interferences resulting from construction and reservoir formation, which involve population relocation, infrastructure relocation, vegetation inundation, and habitat inundation, among others, which are subject to mitigation and addressed in specific programs in the Basic Environmental Project (PBA);

• Log and Floating/Submerged Debris Management Program: This program aimed to identify, quantify, and characterize the material transported by the Madeira River within the project area and provide information to support the development of solutions for managing logs and floating/submerged debris, ensuring the safety of the hydroelectric plant's structures;
  

• Program for Monitoring Areas Prone to Instability of Slopes and Marginal Banks: The program aimed to identify critical areas, monitor and control the erosion of slopes and marginal banks, in case of necessity, due to the reservoir filling and the operation of the Jirau plant.
  

The information in the reports for the aforementioned programs was available for consultation from 2010 to April 2022.

The identification of ecosystem services in each Jirau plant program was based on the Millennium Ecosystem Assessment (AEM) methodology, which includes provisioning, regulating, cultural, and supporting services.

Subsequently, two management matrices were produced. The first matrix details the programs and the types of ecosystem services they are related to based on their goals and indicators. The second matrix details the communities within the project's influence areas and their respective ecosystem services.

Ongoing Programs:

• Program for Supporting Indigenous Communities: This program addresses the need for detailed and precise surveys on the status of the Kaxarari, Igarapé Lage, Igarapé Ribeirão, and Uru-Eu-Wau-Wau Indigenous Lands, considered to be within the indirect influence area of the Jirau HPP. The Indigenous ethnic groups targeted by this program are the Kaxarari, Wari, and Uru-Eu-Wau-Wau. Funai (the federal government body responsible for protecting and promoting the rights of indigenous peoples in Brazil) approved the Work Plan in December 2023 for the Indigenous Component of the Jirau Plant, which has been implemented in accordance with the proposals and schedules contained in the plan. The actions have been implemented and well received by indigenous peoples, who have responded to the invitations and participated in the actions in a very dynamic way. These results can now be monitored annually through annual reports sent to the licensing authorities, and, for the year 2024, they are already in the internal review phase of the protocol;
  

• Archaeological Heritage Prospecting and Salvage Program: This program focuses on conducting studies and activities related to the archaeological, historical, and cultural heritage of Jirau HPP. It aims to support various stages of prospecting and salvage, provide scientific knowledge about the study areas, enhance the understanding of national prehistory and history, and develop integrated work with the community for the salvage and appreciation of this heritage, thereby strengthening their identity aspects. The program views historical and cultural heritage as 'living' and integral to societies, essential for social cohesion and cultural preservation. It follows the principle that only with the involvement of society, particularly local communities, can a sustainable and durable heritage policy be achieved. Jirau Energia is currently developing compliance with the Compensatory Measures of the enterprise in accordance with the periods and technical opinions sent by the National Historical and Artistic Heritage Institute (Iphan);​
  

• Program for Resettlement of Affected Populations: This program is structured into two action lines, adhering to applicable legislation and best practices in resettlement and social compensation. The first action line, Restructuring, includes the processes of relocating affected populations and restoring production activities. The second action line, Monitoring, aims to follow up on the outcomes and developments of the Restructuring processes. The target audience of this program is characterized by their relationship with the affected property (urban or rural), including owners (residents or non-residents) and non-owners (typically caretakers, employees, etc., residing on the properties). The following resettlement options were offered to the target audience: (i) Compensation: partial or total (offered only to owners, in accordance with applicable legislation); (ii) Credit note: for purchasing another property within or outside the municipality of Porto Velho (offered to owners and non-owners); (iii) Collective resettlement: rural → Nova Vida and urban → Nova Mutum Paraná (offered to owners and non-owners);

• Program for Recovery of Affected Infrastructure: This program aims to establish the necessary measures to maintain access and communication conditions for populations in areas near Jirau HPP and other users of the existing infrastructure within the project's area of influence;

• Public Health Program: Through this program, Jirau establishes a set of measures to help minimize and compensate for potential health impacts resulting from the plant's implementation. Porto Velho is located in the Legal Amazon region, which has ecological conditions conducive to the spread of endemic communicable diseases. Therefore, the program's execution involves participation from federal, state, and municipal health managers, as well as research institutions and environmental consulting firms.

In December 2023, Funai approved the Work Plan for the Indigenous Component of the PBA (PBA-CI) of Jirau HPP. The actions have been implemented and well-received by the Indigenous peoples, who responded to invitations and participated in the activities with exceptional engagement. These outcomes can be monitored through annual reports submitted to the licensing authorities. For 2024, the protocols of these reports are undergoing internal review to better track the PBA-CI.

Does the topic have indicators and goals?

All the socio-environmental programs approved by Ibama have specific targets and indicators that are monitored by the competent authorities through their respective reports. The documentation is available upon request from Jirau HPP.

How much funding is allocated to sustainability within the company and/or for the specific topic?

The funds allocated for the execution of the environmental programs until the end of the concession, considering the current scenario, amount to approximately BRL 1.2 billion.

Notable investments include the construction of schools, health centers, security units, training programs, and donations of vehicles, equipment, and supplies for various areas, totaling BRL 188.5 million.

• ​R$ 188,5 million in social compensation actions;

• R$ 1.2 billion invested in sustainability.
  

Learn more:

Jirau HPP

Environmental Plan for Conservation and Use of the Surrounding Area of the Artificial Reservoir - Pacuera - Jirau HPP

Environment - Jirau HPP

Social Responsibility - Jirau HPP

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Biodiversity and Ecosystem Services - Santo Antônio

General information about the project:

Eletrobras, through Eletrobras Furnas, holds a 99.70% stake in the Santo Antônio Power Plant (Santo Antônio HPP).

Santo Antônio is one of the largest hydroelectric power generators in the country. It has 50 bulb turbines operating in four different generator groups, on both banks of the Madeira River, with an installed capacity of 3,568 MW, which would be enough to meet the consumption of up to 45 million people, in addition to a reservoir area of 421.56 km² generating electricity from the seasonal hydrological regime of the Madeira River and run-of-the-river operation.

Were impact studies conducted?

The construction of the Santo Antônio hydroelectric plant was only possible after complying with an extensive environmental licensing process. Along with Ibama, the concessionaire committed to supporting the sustainable development of the municipality of Porto Velho and the state of Rondônia.

The evolution and results of the commitments continue to be periodically submitted to IBAMA and monitored by an independent audit, representing the banks financing the work, ensuring the application of best sustainability practices and in accordance with the guidelines of the World Bank and also with the Equator Principles, which aim to ensure, according to the Sustainability Performance Standards of the International Finance Corporation (IFC), the socio-environmental responsibility of the project.

Phase 1 - Acquisition of Preliminary License:

• Six years for the elaboration of the Environmental Impact Study and Environmental Impact Report (EIA/Rima);

• Presentation of the results to the local community with more than two thousand people involved in six public hearings and 64 meetings with different audiences.

Phase 2 - Acquisition of Installation License:

• Definition of the 28 socio-environmental programs of the Basic Environmental Project (PBA, in Portuguese) – a set of actions that mitigate the impacts of the hydroelectric plant and contribute to the sustainable development of the region;

• Beginning of the construction of the plant.
  

Phase 3 - Acquisition of Operation License:

• Completion of the previous two phases;

• Filling of the reservoir;

• Generation of electricity.

The details of the entire study and licensing process can be observed in the timeline below:

• 2001-2002: Inventory Studies;

• 2002-2005: Feasibility Studies;

• 2005: Protocol of the EIA/Rima and request for Preliminary License;

• 2006-2007: Public hearings and participatory process;

• 2007 (july): Granting of the Preliminary License;

• 2007 (december): Aneel Auction;

• 2008 (february): Presentation of the Basic Environmental Project;

• 2008 (august): Granting of the Installation License;

• 2008 (september): Start of construction;

• 2011 (july): Diversion of the Madeira River;

• 2011 (september): Granting of the Operation License;

• 2011-2012: Staggered filling of the reservoir;

• 2012: Start of commercial operation;

• 2014: 32 turbines in commercial operation;

• 2016: Renewal of the Operation License valid until 2026;

• 2017: Special Authorization from IBAMA for operation at level 71.30.

Were independent evaluations related to the theme conducted?

The programs (Fauna Conservation, Ichthyofauna Conservation, and Limnological and Aquatic Macrophyte Monitoring) are verified by independent consultancy in terms of compliance with the Equator Principles and the Sustainability Performance Standards of the International Finance Corporation (IFC).

• Limnology and Aquatic Macrophytes Program: The program complies with the scope outlined in the Basic Environmental Project (PBA), being carried out appropriately, meeting the environmental licensing requirements (EIA, PBA, licenses, and authorizations) and performance standards. IBAMA, through Technical Opinion No. 96/2021-COHID/CGTEF/DILIC, which analyzed the 1st to 4th Annual Report after the renewal of the Operation License No. 1044/2011 of the Santo Antônio HPP, understands that the program's objectives have been met and that, overall, there have been no variations in limnological parameters in the Madeira River's main channel system, maintaining characteristics from before the damming, corroborating with Almeida et al., (2019) which reports that this may be associated with the run-of-the-river reservoir, with shorter water residence time. However, in backwater areas of upstream tributaries, which represent a smaller part of the reservoir, one can observe the influence of the transformation from a lotic to a lentic or semi-lentic environment in some evaluated parameters, without compromising the water quality index;

• Fauna Conservation Program: Was executed according to the guidelines in the PBA, achieving sufficient sampling in various subprograms. The final considerations of the Technical Opinion regarding the monitoring of LO No. 14045862/2022-COHID/CGTEF/DILIC, which analyzed the 1st to 6th Annual Report after the renewal of the Operation License No. 1044/2011, regarding the fauna components, concluded that the fauna monitoring was well executed and the reports contained good analyses, providing relevant information about adverse impacts of the project in the region, such as deforestation and collection and hunting by local populations. The faunal species that stood out in the new configuration show more generalist behavior, and the results achieved present a species richness representative of the region, with high biodiversity;

• Ichthyofauna Conservation Program: The extensive work conducted in accordance with the program scope was analyzed in Technical Opinion No. 174/2022-COHID/CGTEF/DILIC, which reviewed the 6th Annual Report after the renewal of the Operation License No. 1044/2011 regarding the ichthyofauna conservation program. In its general considerations, it concluded that the ichthyofauna monitoring achieved the proposed objectives of the analyzed subprograms and that the presented results show that the richness, diversity, and density of species decreased from the beginning of the hydroelectric plant's operation, with an increase in these metrics in more recent years, an expected result until the reservoir's stabilization period. These variations follow the structuring of the community in the new scenario.

Does the presented theme have material related to the Equator Principles, Principles for Responsible Investment, or others that bring elements related to the theme?

Santo Antônio Energia follows the Equator Principles, which establish a risk management framework to support financial institutions in decision-making. This framework considers sustainability standards of the International Finance Corporation (IFC) and the World Bank's guidelines on environment, health, and safety.

Santo Antônio Energia is audited periodically by independent consultancy based on these principles and standards, since the beginning of the construction of the hydroelectric plant, as well as the Fauna Conservation, Ichthyofauna Conservation, and Limnological Monitoring and Aquatic Macrophyte programs.

The Fauna and Ichthyofauna Conservation Programs are directly linked to compliance with IFC's Performance Standard (PS) 6 - Conservation of Biodiversity and Sustainable Management of Living Natural Resources.

There is a focus on species of mammals in a vulnerable status, including the giant armadillo and the giant anteater. The jaguar, in turn, is classified as near threatened. The pink river dolphin and the giant otter have recently been reclassified to 'endangered.'

Specific actions are carried out for the pink river dolphin and giant otter species, within the Environmental Education Program. The others are included in the monitoring executed within the scope of the ecological corridor on the left bank.

The Limnological Monitoring Program (water quality of aquatic ecosystems) and Aquatic Macrophytes are directly linked to compliance with PS 6 - Conservation of Biodiversity and Sustainable Management of Living Natural Resources and PS 3 - Resource Efficiency and Pollution Prevention.

What is Eletrobras' role in the theme, and how does it get involved in related decisions (participation in SPEs, etc.)?

Throughout 2022, there was an initial interaction with Eletrobras and Eletrobras Furnas, through the alignment of materiality, for the construction and elaboration of the Santo Antônio Energia Sustainability Report according to the Global Reporting Initiative (GRI) standard.

Currently, there is integration with the Eletrobras team, and relevant agendas are being addressed through meetings and participation in workshops, thus creating synergy with the company involving GRI and ESG themes.

Furthermore, Eletrobras' corporate risk matrix includes the risk event of Human Rights Violations in Specific Purpose Societies (SPEs), one of the mitigation measures being the due diligence of Human Rights of SPEs.

Santo Antônio Energia filled out the current version of the Human Rights due diligence questionnaire, and the engagement process with the company has started. A meeting was held in November 2023 with follow-ups.

Does the presented theme fit into and relate to the risk matrix?

The Integrated Management System (SGI, in Portuguese) of Santo Antônio Energia mainly focuses on managing health, work safety, and environmental risks, requiring compliance with the presented guidelines for these disciplines in processes and activities, whether carried out by members and/or contracted collaborators. In practice, the system seeks continuously improving results regarding the main activity of the Santo Antônio hydroelectric plant: generating electricity in a safe and sustainable manner.

The risk matrix is aligned with Occupational Health, Work Safety, and Environmental processes, meeting the Equator Principles and IFC, based on the principle of continuous improvement.

The Santo Antônio hydroelectric plant has monitored 23 strategic risks categorized into: Business (7), Operational (9), Financial (4), and Compliance (3). Recently, the heat map matrix was formalized, establishing the probability and impact relationship of the monitored risks. The Risk area produces monthly reports analyzed by the Internal Risk Committee formed by top management and discussed with the advisors of the Audit, Risks, and Compliance Committee and the Board of Directors.

Santo Antônio Energia prepared its Sustainability Report, structured following the Global Reporting Initiative (GRI) guidelines, already considering the materiality matrix of Eletrobras companies and the pillars of Governance, Prosperity, People, and Planet.

Eletrobras' corporate risk matrix includes the risk event of Human Rights Violations in SPEs, one of the mitigation measures being the due diligence of Human Rights of SPEs.

The goal consistis of:

• Evaluating 100% of joint ventures/SPEs;

• Identifying SPEs that have controversies and gaps and interacting to request information and positions.

Has there been an alignment of this theme with the related parties?

In the context of the Environmental Education Program (PEA, in Portuguese) for surrounding communities, the approach includes the theme of biodiversity, emphasizing environmental conservation.

Other themes related to biodiversity, as well as questions and doubts from surrounding communities, are addressed through the Social Monitoring Group (GAS, in Portuguese), coordinated by IBAMA, as established by condition 2.13 of the Operation License No. 1044/2011 1st Renewal 3rd Amendment. The frequency and agenda of topics to be forwarded and discussed are defined by IBAMA.

The actions of the Environmental Education Program in conjunction with the Fauna Conservation Program took place with students from the municipal schools Cora Coralina, Joaquim Vicente Rondon, Engenho do Madeira, Antônio Augusto Vasconcelos, Riacho Azul, and Flor do Cupuaçu, in the municipality of Porto Velho, and occasionally with adults from these school communities:

• In November 2015, over 2,200 children, youth, and adults participated in the theatrical play “Amigos do Rio," which included presentations about the monitoring of turtles, aquatic and semi-aquatic mammals, and crocodilians. Educational booklets on the Amazon turtle, tracajá, pink river dolphin, giant otter, otter, white caiman, and black caiman were distributed, along with Amigos do Rio campaign t-shirts;

• 14 “Environmental and Human Prosperity" lectures were conducted in October and November 2016 for 1,200 children, youth, and adults. The topics covered included Amazon turtles and tracajás (including their life cycle, natural and human predators, feeding, etc.); and monitoring of turtles, aquatic and semi-aquatic mammals, and crocodilians of the Santo Antônio hydroelectric plant. Folders were distributed to the participants;

• In April and June 2017, 59 mini “Attention Development" workshops were held, involving 1,164 children and youth. These workshops focused on student self-esteem and awareness of the conservation of turtles (especially), cetaceans, mustelids, and crocodilians, and the entire environment. Each mini workshop lasted an hour and a half, with varied activities divided into: opening, dynamic, workshop/class, video, and closing. Four proposals were offered: Early Childhood Education – EI (1); Elementary School – EF – 1st, 2nd, and 3rd grades (2); EF – 4th, 5th, and 6th grades and “Se Liga" and “Acelera" classes (3) and EF – 7th, 8th, and 9th grades (4);

• In October 2017, “The Cosmos and Me" lectures were held for 900 children and youth, to instill in students a broader perspective of the environment;

• In 2022, environmental education activity campaigns were planned to occur twice a year, the first in the 1st semester (before the turtle breeding season) and the second in the 2nd semester (breeding season). Besides the lectures in schools, door-to-door actions were carried out through the delivery of educational materials and participatory dialogue with the community, encompassing seven resettlements: Santa Rita, Morrinhos, Riacho Azul, São Domingos, Vila Nova de Teotônio, Novo Engenho Velho, and Parque dos Buritis.

For 2023, the proposal included a training course for environmental multipliers, lasting two hours, aimed at workers of the Santo Antônio hydroelectric plant, both members and collaborators of third-party companies, with the intention of preparing people to assist in the dissemination of good environmental practices with the application of oratory techniques and curiosities about Amazonian turtles.

Specify the contingency plans, mitigation measures, or actions related to the theme.

Three programs have been created as mitigation actions, which are:

• Ichthyofauna Conservation Program, aiming to monitor the transformations of fish communities and fishing in the Madeira River, resulting from the construction activities of the Santo Antônio hydroelectric plant. Additionally, the results obtained in the subprograms meet the requirements for information and aim to guide and produce results for adopting strategies that can mitigate the impacts caused by the enterprise. Besides the mentioned monitoring, direct mitigation actions included the construction of the Fish Transposition System and the Fish Reproduction Laboratory;

• Vegetational Succession Monitoring Subprogram, which aims to monitor the effects of the possible rise in the groundwater level on the plant communities along the new banks of the Santo Antônio hydroelectric reservoir, evaluating through established sampling modules. This subprogram was evaluated through Technical Opinion No. 168/2021-COHID/CGTEF/DILIC, which analyzed the 3rd, 4th, and 5th Annual Reports related to the flora component;

• Limnological Monitoring and Aquatic Macrophytes Program, which primarily aims to measure the operating conditions of the reservoir and forecast changes in limnological dynamics, under various variables such as water quality, sediments, phytoplankton, zooplankton, benthic invertebrates, and macrophytes, arising from environmental transformations due to the installation and operation of the enterprise, and to support the adoption of control measures if water quality issues or excessive proliferation of macrophytes are identified. Santo Antônio Energia has been conducting monitoring since 2009, and currently monitors quarterly 22 collection stations, located in the Madeira River and tributaries in the area of influence of the enterprise, as well as points on two beaches (Jaci-Paraná and Teotônio) and at two stations at water intake points for public supply of the Water and Sewage Company of the State of Rondônia (Caerd, in Portuguese).

The Santo Antônio hydroelectric plant conducts real-time monitoring to assess water quality parameters using a multiparameter probe upstream and downstream of the dam axis and has implemented the water quality management bulletin for the tributaries monitored in its reservoir, approved by the environmental agency, which allows assessing actions to be taken if the water quality parameters/indicators are not in accordance with the proposed. Additionally, it executes the Aquatic Macrophyte Control Plan, which supports mitigation actions if necessary.

Does the theme have indicators and goals?

The Vegetational Succession Monitoring Subprogram aimed to evaluate the dynamics of the terrestrial plant community, relating it to changes in environmental conditions. Santo Antônio Energia believes that this subprogram has achieved its objective and has already requested its closure from Ibama, awaiting a response.

The Limnological Monitoring Program adopts the Water Quality Index (WQI) developed by the American National Sanitation Foundation and adapted by Cetesb at the 22 monitoring stations for system evaluation. Additionally, it uses the values prescribed by Conama Resolution 357/2005 for comparison with the analytical results found as water quality indicators.

The Ichthyofauna Conservation Program uses information such as richness, diversity, and evenness, descriptive statistics data, to compose the structure of fish communities and identify their changes in relation to seasonal variations and responses to the environment.

What are the resources allocated for sustainability in the company and/or on the specific theme?

In ten years of operation, Santo Antônio Energia has already invested more than R$ 2.5 billion in sustainability, enabling the development of 28 socio-environmental programs aimed at mitigating potential impacts from the implementation of the hydroelectric plant.

Royalties are another engine of development. The company generated R$ 762.6 million in royalties according to Global Reporting Initiative (GRI) international standards, from the start of its operation until the end of 2022, distributed among the state of Rondônia (25%), the municipality of Porto Velho (65%), and the Union (10%).

Awards and recognitions:

• In 2010, the project “Diálogo com a Comunidade Ribeirinha para Instalação da Hidrelétrica Santo Antônio" (Dialogue with the Riverside Community for the Installation of the Santo Antônio Hydroelectric Plant) won the Public Opinion Award (POP) in the “Social and Environmental Responsibility" category. The initiative nationally recognizes the best practices in communication and public relations;

• In 2012, Santo Antônio Energia won the Public Opinion Award (POP) with the project “Santo Antônio Energia no Combate à Malária em Porto Velho – Ultrapassando a Obrigação com o Programa de Relações Públicas" (Santo Antônio Energia in the Fight Against Malaria in Porto Velho – Going Beyond the Obligation with the Public Relations Program);

• In 2014, the Santo Antônio hydroelectric plant achieved the highest number of top scores in sustainability among all plants evaluated by the International Hydropower Association (IHA), a non-profit entity supported by UNESCO. Access the IHA report;

• In 2014, the Santo Antônio hydroelectric plant won the 6th Innovation Medical Services Award, in the “Tropical Medicine" category, in the “Malaria Control Actions" modality;

• In 2014, Santo Antônio Energia launched the book “Peixes do Rio Madeira" (Fish of the Madeira River), which presents a collection of species collected during the fish monitoring in the Madeira River, with over a thousand species cataloged, including more than 40 new species;

• In 2015, the Santo Antônio hydroelectric plant was a finalist in the Sustainable Infrastructure Award of the Inter-American Development Bank (IDB);
  

• Also in 2015, Porto Velho was classified by the Ministry of Health as a low-risk area for malaria, as a result of Santo Antônio Energia's Public Health Program;

• In 2019, it won the Quality Brazil Award, recognizing companies that contribute to social and economic development. Santo Antônio Energia was awarded for the “Turtle Conservation" project, carried out in partnership with Ecovale (Community and Ecological Association of the Guaporé Valley);

• In 2020, Santo Antônio Energia joined the United Nations Global Compact (UNGC);

• In 2021, it won the Pro-Ethics Company award, a partnership between the Ethos Institute and the Comptroller General of the Union (CGU, Controladoria-Geral da União, in Portuguese);

• Still in 2021, it established the foundations of a prominent sustainability project, carried out with organized civil society institutions. It is an initiative to promote sustainable development in the upper Madeira River region, carried out in partnership between Santo Antônio Energia, the Amazon+21 Institute, and CES Rioterra. The general objective of the project is to create the first Center for Bioeconomy and Conservation of the Amazon (CBCA), focused on research, technological diffusion, and knowledge about vegetation cover recovery in the region. The project occupies an area of a thousand hectares in the Vila Nova de Teotônio resettlement area, where more than 400,000 seedlings of native species have been planted. Until June 2023, the following activities were conducted: cleaning and preparing areas for restoration planting; implementation of field infrastructure; transportation and preparation of seedling lots; and planting of seedlings (103 Amazonian forest species);

• In 2022, Santo Antônio Energia received the Professor Samuel Benchimol Award for its actions in sustainability projects in the Amazon. Since the beginning of its operations, Santo Antônio Energia has invested more than R$ 2.5 billion in sustainability projects, in addition to partnerships for the socioeconomic development of the region. Some examples include the creation of the first Center for Bioeconomy and Conservation of the Amazon (CBCA) and coexistence agreements with ICMBio and Ibama for the revitalization of Mapinguari Park. The category “Company in the Amazon," in which it was awarded, recognizes the actions of companies in the region that balance their business with the strengthening of local productive chains and sustainable development.
  

Learn more:

Santo Antônio HPP

Environmental Licensing - Santo Antônio HPP

Santo Antônio Energia Sustainability Report 2022​

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Relationship with Communities ​ - Santo Antônio

General information about the project:

Eletrobras, through Eletrobras Furnas, holds a 99.70% stake in the Santo Antônio hydroelectric power plant (HPP).

Santo Antônio is one of the country's largest hydroelectric power generators. There are 50 bulb turbines operating in four different generator sets, on both banks of the Madeira River, with an installed capacity of 3,568 MW, which would be enough to meet the consumption of up to 45 million people, as well as a reservoir area of 421.56 km² with electricity generation resulting from the use of the Madeira River's seasonal water regime and run-of-river operation.

Have impact studies been carried out?

The construction of the Santo Antônio hydroelectric plant was only possible after an extensive environmental licensing process had been completed. Together with Ibama, the concessionaire signed a commitment to support the sustainable development of the municipality of Porto Velho and the state of Rondônia.

The progress and results of the commitments made continue to be periodically submitted to IBAMA and monitored by an independent audit, representing the banks financing the work, guaranteeing the application of the best sustainability practices and in accordance with the World Bank's guidelines and also with the Equator Principles, which aim to guarantee, according to the International Finance Corporation's (IFC) Performance Standards on Socio-Environmental Sustainability, the socio-environmental responsibility of the project.

Stage 1 - Acquisition of the Preliminary License:

• Six years for the preparation of the Environmental Impact Study and Environmental Impact Report (EIA/Rima);

• Presentation of the results to the local community with more than two thousand people involved in six public hearings and 64 meetings with different audiences.

Stage 2 - Acquisition of the Installation License:

• Definition of the 28 socio-environmental programs of the Basic Environmental Project (PBA) - a set of actions that mitigate the impacts of the hydroelectric plant and contribute to the sustainable development of the region;

• Construction of the plant begins.

Stage 3 - Acquisition of the Operating License:

• Completion of the previous two stages;

• Filling the tank;

• Electricity generation.

The details of the entire study and licensing process can be seen in the timeline below:

• 2001-2002: Inventory Studies;

• 2002-2005: Feasibility Studies;

• 2005: Protocol of the EIA/Rima and application for the Preliminary License;

• 2006-2007: Public hearings and the participatory process;

• 2007 (July): Granting of the Preliminary License;

• 2007 (December): Aneel auction;

• 2008 (February): Presentation of the Basic Environmental Project;

• 2008 (August): Granting of the Installation License;

• 2008 (September): Start of construction;

• 2011 (July): Detour of the Madeira River;

• 2011 (September): Granting of the Operating License;

• 2011-2012: Staggered filling of the tank;

• 2012: Start of commercial operation;

• 2014: 32 turbines in commercial operation;

• 2016: Renewal of the Operating License valid until 2026;

• 2017: Special authorization from Ibama to operate at quota 71.30.

Regarding its commitments to indigenous peoples, Santo Antônio Energia has already carried out the first phase of the Support Program for Indigenous Communities, serving the Karitiana, Karipuna, Cassupá and Salamãi ethnic groups.

At the end of 2023, contacts were resumed and, in the first half of December, a virtual meeting was held between the parties, with the participation of various FUNAI coordinators. It was agreed that a team from the agency would go to Porto Velho to verify the needs of the communities, with a view to resuming the PBA-CI project.

At the beginning of March 2024, FUNAI was in Porto Velho, holding meetings with the leaders of the Karitiana, Karipuna, Cassupá and Salamãi peoples, in which the communities expressed the need to update the PBA-CI.

To this end, FUNAI requested a virtual meeting with Santo Antônio Energia, with the aim of agreeing to organize a meeting, in the form of a workshop, with representatives of the indigenous communities, as well as other actors considered relevant by the indigenous peoples.

Have independent evaluations been carried out on the subject?

The implementation and operation of Santo Antônio is guided by the socio-environmental legislation in force, and is especially monitored by IBAMA's Environmental Licensing Department in Brasilia. After six years of preliminary studies to carry out an inventory and ensure the viability of the project, a Basic Environmental Plan (PBA) was consolidated, covering the development of 28 programs to ensure that the impacts of the hydroelectric plant were mitigated or compensated.

The company has a Social Communication and Environmental Education team that works in the main communities relocated to form the hydroelectric dam reservoir. The team has been working closely with the communities since the plant was set up.

505 families were relocated from their original properties. Santo Antônio Energia also acquired more than 2,000 properties to build the plant.

The results of the Redeployment Program show that 94% of the negotiation processes took place administratively, i.e. with an understanding between the parties. The remaining 6% of cases were brought through legal action, mainly due to documentary factors, such as inheritances or unproven possessions.

Santo Antônio Energia has set up seven resettlements: Novo Engenho Velho, São Domingos, Riacho Azul, Vila Nova de Teotônio, Santa Rita, Morrinhos and Parque dos Buritis. In addition to acquiring the areas for plots and houses, individual and collective infrastructures were set up, including the construction or adaptation of access roads, energy distribution, water supply and support structures such as schools, community centers and health posts, depending on the original characteristics of each community. The resettled families received social and environmental technical assistance services. There were also actions aimed at individual and collective training, social empowerment and income generation.

All the properties acquired by Santo Antônio Energia are currently undergoing a process of land, tax and environmental regularization. The resettled people receive their production plots and legal reserves duly registered in their names.

Santo Antônio Energia's Socio-Patrimonial Management Program (PGSP) monitors the areas acquired and those surrounding the plant's reservoir in order to maintain the integrity of the uses to which they are put. The company carries out on-board and terrestrial monitoring of the right and left banks and the entire Permanent Preservation Area (APP). Strategies are used that include remote monitoring using satellite images and visual confirmation using a drone, identifying people and vehicles in suspicious activity or attitudes, maintaining a database and actions to clear invaded areas, including extrajudicial notifications, mobilizing authorities or environmental enforcement.

Does the topic presented include material related to the Equator Principles, the Principles of Responsible Investment, or other elements related to the topic?

The construction of the Santo Antônio hydroelectric plant was only possible after an extensive environmental licensing process had been completed. Together with Ibama, the concessionaire signed a commitment to support the sustainable development of the municipality of Porto Velho and the state of Rondônia.

The progress and results of the commitments made continue to be periodically submitted to IBAMA and monitored by an independent audit, representing the banks financing the work, guaranteeing the application of the best sustainability practices and in accordance with the World Bank's guidelines and also with the Equator Principles, which aim to guarantee, according to the International Finance Corporation's (IFC) Performance Standards on Socio-Environmental Sustainability, the socio-environmental responsibility of the project.

The Santo Antônio hydroelectric plant has already invested around R$2.5 billion in socio-environmental programs aimed at the environment, the economy and the quality of life of the local population. Strictly adhering to the sustainability standards established by the Equator Principles, the programs were implemented during construction and after the plant's start-up:

Socio-economic environment:

• Prehistoric and Historic Archaeological Heritage;

• Paleontological Heritage Preservation Program;

• Environmental Compensation;

• Social Communication;

• Environmental Education;

• Public Health;

• Support for Indigenous Communities;

• Relocation of the Affected Population;

• Downstream Support;

• Social Compensation;

• Affected Infrastructure Recovery Program;

• Environmental Plan for the Conservation and Use of the Reservoir Surroundings;

• Program to Support Leisure and Tourism Activities.

Biotic Environment:

• Hydrobiogeochemical;

• Limnology;

• Aquatic macrophytes;

• Flora Conservation;

• Deforestation of the Area of Direct Influence;

• Monitoring deforestation and wildlife rescue activities;

• Fauna Conservation;

• Conservation of Ichthyofauna.

Physical environment:

• Water table;

• Seismology;

• Climate;

• Hydrosedimentology;

• Mining;

• Management.

• Management:

• Environmental Program for Construction;

• Environmental Management System (EMS);

• Fish Reproduction Laboratory.

Santo Antônio Energia has an Integrated Management System (IMS), which consolidates the guidelines, rules and tools for managing environmental impacts and occupational health and safety risks, based on ISO 45001, and the Environmental Management System (EMS), based on ISO 14001. The IMS was implemented in 2016 as part of compliance with the Equator Principles and the Environmental and Social Sustainability Performance Standards of the International Finance Corporation (IFC), a requirement of the creditor banks that financed the construction of the Santo Antônio HPP. The company has been in line with these requirements since 2009, undergoing cycles of continuous improvement in its environmental and social management, and is recognized as a benchmark for compliance with these standards by its stakeholders. Santo Antônio Energia's environmental management and the monitoring of legislative requirements pertaining to the project are carried out using software IUS Natura.

What is Eletrobras' role in the issue and how is it involved in related decisions (participation in SPEs, etc.)?

In 2022, there was a first interaction with Eletrobras and Eletrobras Furnas, through the alignment of materiality, for the construction and preparation of Santo Antônio Energia's Global Reporting Initiative (GRI) standard Sustainability Report.

There is currently integration with the Eletrobras team and the relevant agendas are being addressed through meetings and participation in workshops. Thus, the synergy with the company has been involving the GRI and ESG themes.

In addition, Eletrobras' corporate risk matrix includes the risk event Human Rights Violations in Special Purpose Entities (SPEs), one of the mitigation measures of which is the carrying out of due diligence of Human Rights of SPEs.

Santo Antônio Energia has completed the current version of the due diligence of Human Rights questionnaire and the engagement process with the company has begun. A meeting was held in November 2023 with the referrals.

In addition, Eletrobras is supporting the preparation of the new phase of Santo Antônio's Basic Indigenous Environmental Program (PBAI).

Does the topic presented fit and relate to the risk matrix?

The main scope of Santo Antônio Energia's Integrated Management System (IMS) is the management of health, occupational safety and environmental risks, and it is mandatory to comply with the guidelines presented for these disciplines in processes and activities, whether they are carried out by members and/or contracted employees. In practice, the system seeks ever better results in relation to the Santo Antônio hydroelectric plant's main activity: generating electricity in a safe and sustainable way.

The risk matrix is aligned with the Occupational Health, Occupational Safety and Environment processes, complying with the Equator Principles and the IFC, based on the precept of continuous improvement.

Currently, the IMS is synergistically aligned between Occupational Health, Occupational Safety and the Environment, Compliance and Planning.

Eletrobras' corporate risk matrix includes the risk event Human Rights Violations in SPEs, for which one of the mitigation measures is to carry out due diligence of Human Rights of SPEs.

The goal consists of:

• Evaluate 100% of joint ventures/SPEs;

• Identify the SPEs that have controversies and gaps and interact to request information and positions.

Has this topic been aligned with the related parties?

Santo Antônio Energia has traditional means of communication and consultation with the local community, such as receiving correspondence through official correspondence and letters, which are systematically inserted into the documentation management portal to ensure transparency and traceability of communication.

The actions and programs of the Corporate Communication area follow strategies organized in a communication plan. The materiality matrix was formalized, defining the channels and material topics to be addressed with each of the publics. Information is disseminated via social networks, institutional website and publications in newspapers, as well as through the 0800 service and the "Contact Us" channel available on the website.

Engagement actions are carried out, such as Santo Antônio Energia's program of institutional visits, actions to publicize the Dam Safety Plan, projects following ESG values with the energy sector, among others.

The free communication service (0800 647 6162) with the population remains available. Assistance also continued to be provided by the Social Communication Program's field team. From April 2022 to March 2023, 468 visits were made to residents and community leaders, in person, by telephone, messaging app and/or by e-mail.

Also as a direct communication channel with local communities, Santo Antônio Energia participates in the Social Monitoring Group, coordinated by Ibama, as established by condition 2.13 of Operating License No. 1044/2011 1st Renewal 3rd Rectification. The frequency and agenda of topics to be discussed and debated are defined by IBAMA.

Explain the contingency plans, mitigation measures or actions related to the topic.

In compliance with the environmental licensing process for the Santo Antônio HPP and other commitments established in the Operating License, the following actions were carried out, among others, within the scope of the Basic Environmental Project:

• Construction of the ichthyofauna and biology laboratory at the Federal University of Rondônia (Unir);

• Construction of the Wild Animal Screening Center (Cetas) at Unir;

• Construction and refurbishment of nursery, secondary and elementary schools: Antônio Ferreira da Silva, Joaquim Vicente Rondon, Moranguinho, Santo Antônio, Flamboyant, Pé de Murici, and Manoel Aparício;

• Implementation and improvement of approximately 260 kilometers of side roads, including the construction and renovation of wooden bridges and pontoons;

• Renovation and expansion of the Ari Pinheiro Base Hospital and construction of the Cosme Damião Hospital;

• Renovation of the José Adelino Polyclinic and the Renato Medeiros Health Center;

• Expansion and renovation of the Mobile Emergency Care Service (Samu);

• Construction of the Alfredo Silva Health Specialization Center and the Women's Space;

• Construction, renovation and expansion of the Ana Adelaide, Rio das Garças, Aliança and Ronaldo Aragão Basic Health Units, and construction of the Mariana Health Center;

• Renovation of the Manuel Amorim, Caladinho, Agenor de Carvalho, Rafael Vaz e Silva, Osvaldo Piana, Pedacinho de Chão, Mauricio Bustani and Ernandes health centers;

• Construction of malaria control modules and installation of long-lasting impregnated mosquito nets in partnership with the Ministry of Health and the UN Global Fund for malaria control for communities in the area of influence;

• General refurbishment of the "Tudo Aqui" Citizen Shopping Center;

• Construction of the Popular Restaurant in the East Zone of Porto Velho;

• Construction of bases in support of the State Secretariat for Environmental Development;

• Renovation and expansion of the administrative building and biological museum of the Porto Velho Municipal Natural Park;

• Construction of a cycle path on the Santo Antônio road in Porto Velho;

• Urbanization of the surroundings of the Santo Antônio Church in Porto Velho;

• Renovation of the Marechal Rondon Indigenous Cultural Center in the Santo Antônio Church;

• Revitalization of Candelária Cemetery;

• Works to revitalize the Madeira-Mamoré Railway (EFMM), including slope protection (rockfill), construction of the deck shed, building of the embarkation and disembarkation station, structural work on the turntable, traffic circle and workshops;

• Digitization of the historical documentary collection of the Madeira-Mamoré Railway;

• Project for the Unir Archaeology Technical Reserve building and delivery of archaeological material - 300,000 artifacts;

• Construction of an alligator slaughterhouse in the Lago do Cuniã Extractive Reserve;

• Construction of a fruit agro-industry in the Cujubim Grande district of Porto Velho;

• Construction of a babassu agro-industry in the Calama district of Porto Velho;

• Construction of floating boats in the districts of São Carlos and Calama, in Porto Velho;

• Renovation and expansion of the Cujubim Grande and São Carlos Emergency Care Units (UPA);

• Renovation and expansion of the Indigenous Health Support Center (Casai) in Porto Velho;

• Construction of the Novo Engenho Velho (39 houses), São Domingos (35 houses), Riacho Azul (42 houses), Vila Nova de Teotônio (77 houses), Santa Rita (137 houses) and Morrinhos (48 houses) resettlements, as well as 220 houses in the area of influence;

• Construction of schools and community centers in the resettlements;

• Construction of Basic Health Units in the resettlements;

• Construction in the Vila Nova Teotônio resettlement, including a pier and anchorage, buildings, commercial leisure areas, a floating boat and ponds for raising fish;

• Delivery of the Leisure and Tourism Plans for Vila Nova de Teotônio;

• Construction of the Flour House in the Novo Engenho Velho resettlement;

• Construction of a school in Candeias do Jamari;

• Construction of an agro-industry for processing small poultry;

• Delivery of the Leisure and Tourism Plan for the municipality of Candeias do Jamari;

• Construction of the Cacoal Blood Center;

• Renovation and expansion of the Cacoal Regional Hospital;

• Construction of the Parque dos Buritis resettlement in Jaci-Paraná, including infrastructure (187 houses);

• Construction, renovation and extension of schools in Jaci-Paraná: Cora Coralina, Joaquim Vicente Rondon and Maria Nazaré dos Santos;

• Expansion and renovation of the Jaci-Paraná Health Unit;

• Construction of administrative headquarters and Jaci-Paraná square;

• Construction of the Jaci-Paraná Trade Park;

• Construction of a multi-sports center in Jaci-Paraná;

• Renovation and expansion of the Social Assistance Reference Center (Cras);

• Construction of the house for the Jaci-Paraná Women's and Elderly People's Association;

• Construction of the Catholic Church and Parish House in the Jaci-Paraná District;

• Sand dredging for the construction of Jaci-Paraná beach;

• Paving, drainage and signaling in the streets of Jaci-Paraná;

• Paving and drainage of streets in the Jaci-Paraná district;

• Raising the iron bridge of the Madeira-Mamoré Railroad (EFMM) and restoration work on the wooden bridge over the Contra River in Jaci-Paraná;

• Recovery and maintenance of streets in the Jaci-Paraná district;

• Delivery of the Jaci-Paraná Leisure and Tourism Plans;

• Construction of schools in the Karitiana and Karipuna Indigenous Lands;

• Construction of Basic Health Units (UBS) in the Karitiana and Karipuna Indigenous Lands;

• Construction of support bases for surveillance in the Karitiana and Karipuna Indigenous Lands;

• Rebuilding bridges and improving access to the Karitiana and Karipuna Indigenous Lands.

Regarding its commitments to indigenous peoples, Santo Antônio Energia has already carried out the first phase of the Support Program for Indigenous Communities, serving the Karitiana, Karipuna, Cassupá and Salamãi ethnic groups, which ended in 2016, and presented Funai with the project for the second phase in the same year. Since then, Santo Antônio Energia has periodically contacted FUNAI, waiting for a decision on the proposed project.

Does the topic have indicators and targets?

The programs and their actions are based on objectives and targets, which are recorded in the respective reports for each theme.

In the case of social compensation actions, the targets are determined on the basis of the deadline/schedule for compliance, aligned with the government and the licensing authority, and also taking into account the amount determined for the investment.

Another example is the regularization of the resettled people's land titles, a process that aims to issue 100% of the land registrations of the properties destined for the relocated population. There is a continuous evaluation of the process in which the target is referenced by the previous two-year average (properties regularized/year) as an indicator.

What resources are allocated to sustainability in the company and/or in the specific topic?

In ten years of operation, Santo Antônio Energia has invested more than R$2.5 billion in sustainability, enabling the development of 28 socio-environmental programs aimed at mitigating possible impacts resulting from the implementation of the hydroelectric plant.

The royalties are another driver of development. The company generated R$762.6 million in royalties according to international standards Global Reporting Initiative (GRI), from the start of its operations until the end of 2022, distributed between the state of Rondônia (25%), the municipality of Porto Velho (65%) and the Federal Government (10%).

Awards and recognition:

• In 2010, the project "Dialogue with the Riverine Community for the Installation of the Santo Antônio Hydroelectric Plant" was awarded the Public Opinion Prize (POP) in the "Social and Environmental Responsibility" category. The initiative recognizes the best communication and public relations practices nationwide;

• In 2012, the Santo Antônio hydroelectric plant won the Public Opinion Prize (POP) with the project "Santo Antônio Energia in the Fight Against Malaria in Porto Velho - Going Beyond the Call of Duty with the Public Relations Program";

• In 2014, the Santo Antônio hydroelectric plant won the highest number of top marks for sustainability of all the plants evaluated by the International Hydropower Association (IHA), a non-profit organization supported by Unesco. Access the IHA report;

• In 2014, the Santo Antônio hydroelectric plant won the 6th Medical Services Innovation Award, in the "Tropical Medicine" category, in the "Malaria Control Actions" category;

• Santo Antônio Energia is launching, in 2014, the book "Peixes do Rio Madeira" (Fish of the Madeira River), which contains a collection of species collected during the monitoring of fish in the Madeira River, with more than a thousand species cataloged, including more than 40 new species;

• In 2015, Santo Antônio Energia was a finalist for the Inter-American Development Bank's (IDB) Sustainable Infrastructure Award;

• Also in 2015, Porto Velho was classified by the Ministry of Health as a low-risk area for malaria, as a result of Santo Antônio Energia's Public Health Program;

• In 2019 it won the Quality Brasil Award, recognizing companies that contribute to social and economic development. Santo Antônio Energia won an award for its "Conservation of Chelonians" project, carried out in partnership with Ecovale (Quilombola and Ecological Community Association of the Guaporé Valley);

• In 2020, Santo Antônio Energia joined the United Nations (UN) Global Compact;

• In 2021, it won the Pro-Ethics Company award, a partnership between the Ethos Institute and the Office of the Comptroller General (CGU);

• Also in 2021, it lays the foundations for a flagship sustainability project, carried out with organized civil society institutions. This is an initiative to promote sustainable development in the upper Madeira River region, carried out in a partnership between Santo Antônio Energia and the Amazônia+21 Institute and CES Rioterra. The general objective of the project is to create the first Amazon Bioeconomy and Conservation Center (CBCA), aimed at research, technological dissemination and knowledge about the recovery of vegetation cover in the region. The project covers an area of 1,000 hectares in the Vila Nova de Teotônio resettlement region, where more than 400,000 seedlings of native species have been planted. By June 2023, the following activities had been carried out: clearing and preparing the areas for restoration planting; setting up infrastructure in the field; transporting and preparing the seedling lots; and planting seedlings (103 Amazonian forest species);

• In 2022, Santo Antônio Energia received the Professor Samuel Benchimol Award for its work on sustainability projects in the Amazon. Since the start of its operations, Santo Antônio Energia has invested more than R$2.5 billion in sustainability projects, as well as forming partnerships for the socio-economic development of the region. Some examples include the creation of the first Amazon Bioeconomy and Conservation Centre (CBCA) and coexistence agreements with ICMBio and Ibama to revitalize Mapinguari Park. The "Company in the Amazon" category, in which it was awarded, recognizes the efforts of companies based in the region that balance their business with strengthening local production chains and sustainable development.

Learn more:

Santo Antônio HPP

Environmental Licensing - Santo Antônio HPP

Population Resettlement Program - Remanejar - Santo Antônio HPP

Santo Antônio Energia Sustainability Report 2022

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Ethics and Corporate Integrity - Angra 3​

General information about the project:

With the privatization of Eletrobras, some government enterprises and projects began to be operated by Empresa Brasileira de Participações em Energia Nuclear e Binacional S.A. (ENBPar). Linked to the Ministry of Mines and Energy (MME), it was activated on January 4, 2022. The new state-owned company took over activities that cannot be privatized, such as those carried out by the Central Nuclear Almirante Álvaro Alberto plants (including Angra 3) and Itaipu Binacional.

Angra 3 is located on Itaorna beach, in Angra dos Reis (RJ).

Angra 3 technical data:

• Installed Power: 1,405 MW;

• Basic Project: Siemens/KWU, atual Framatome;

• PWR reactor (pressurized light water);

• Area: around 82 thousand m2;

• Concrete: 200 thousand m3;

• Steal: 30.8 thousand tons;

• Equipment: 17 thousand tons;

• Painting: 370 thousand m2;

• Degree of nationalization: 54% (in value).
  
  

Have independent evaluations been carried out related to the topic?

In response to allegations of illegal activities reported in the media, related to companies that provided services to, at the time, our subsidiary Eletronuclear, and certain Special Purpose Entities (SPEs) in which we held a minority stake, Eletrobras hired an experienced and recognized international law firm to initiate a broad and robust independent investigation, concluded in April 2018 and aimed, in particular, at serving American regulatory bodies.

As a result of this investigation, in August 2018, the DOJ (United States Department of Justice) decided not to prosecute Eletrobras for any possible violations with regard to the FCPA (Foreign Corrupt Practices Act), nor did it impose any contingencies or conditions and monitoring.

In December 2018, the SEC (United States Securities and Exchange Commission) accepted the conclusion of an agreement worth US$2.5 million. The agreement did not represent an admission of any illegal act. Given the DOJ's decision and the approval of the agreement with the SEC, there are no more actions pending before the United States regulatory agencies, and the investigations have been officially closed, without the recognition of irregularities on the part of the company.

In this sense, it is worth highlighting that we are beneficiaries of five plea bargain agreements signed between CGU and AGU with construction companies, which recognize Eletrobras and its subsidiaries as victims of acts of corruption carried out by these companies.

What is Eletrobras' role on the topic and how is it involved in related decisions (participation in SPEs, etc.)?

Created in 2016, in compliance with anti-corruption legislation and in alignment with the requirements established by the Anti-Corruption Law Regulatory Decree (11,129/2022), the Eletrobras Compliance Program is related to the ESG Reference strategic guideline and the strategic objective of improving practices of governance of the Strategic Plan 2023-2027.

The policies established in the program, approved within the scope of the Executive Board and the Board of Directors of Eletrobras, follow the guidelines of the Brazilian Anti-Corruption Law 12,846/13 and the North American Law on Corrupt Practices Abroad FCPA (Foreign Corrupt Practices Act), in addition to observing the best market practices adopted to promote ethics and corporate integrity.

In search of best market practices and considering the change from a state-owned company to a private corporation, in August 2023 the new Compliance Program was launched, reinforcing Eletrobras' commitment with ethical, integrity and transparent performance, through a set of continuous actions that aim to prevent, identify and correct non-conformities or illicit acts related to fraud and corruption and unethical conduct and seeking to strengthen the culture of ethics and integrity, in addition to compliance with anti-corruption laws by administrators, leaders, professionals and third parties.

Based on the pillars of PREVENTION, DETECTION and EVOLUTION, the new Compliance Program covers the holding and its subsidiaries, with the associated companies and respective SPEs being reached by the implemented integrity mechanisms.

On the “Risk Management" front, risks related to partnerships in affiliates and SPEs are mapped and addressed. Through the “Third Party Compliance" front, all professionals nominated by Eletrobras to fill vacancies in governance bodies of these companies undergo a detailed integrity assessment. On this same front, guidelines are established for integrity due diligence and subsequent monitoring of potential partners in M&A processes, operations and corporate restructuring, for example.

On the “Culture of Integrity" front, awareness-raising actions on the topic of ethics and integrity and the Eletrobras Compliance Program are defined for affiliates or SPEs and their administrators.

Does the topic presented fit into and relate to the risk matrix?

In 2022, the risk matrix of Eletrobras companies was revised, with its basic structure defining what the company's risks are in the three ESG aspects.

The integrated risk management model starts from the identification and consolidation in a matrix of business, financial and ESG risks to which Eletrobras companies are exposed, for subsequent analysis, treatment and monitoring of them through specific processes developed by their respective owners.

In line with its Risk Management Policy, and based on the corporate risk matrix, the company defines appropriate mitigation actions for the mapped risks, depending on their level of exposure.

As one of the initiatives of the “Risk Management" front of the Compliance Program, through the adoption of the Fraud Risk Assessment (FRA) methodology, the process of identification, categorization, analysis was revisited in 2023 and classification of possible fraud and corruption risk factors inherent to its businesses and residuals, which considered changes in the external and internal context that require review of treatments and priorities, as well as periodic monitoring of their effectiveness, adaptation and updating of criteria, implementing and modifying whatever is necessary, in order to enable the constant adaptation of the Integrity Program (Compliance). Fraud and corruption risks are reflected in risks in the Corporate Risk Matrix, in the Governance dimension.

Was this topic aligned with related parties?

The commitments of the Governance pillar are incorporated into the regulations, practices and integrity mechanisms implemented by the Compliance Program to prevent, detect and remedy non-conformities, deviations in conduct or illicit acts, with zero tolerance to corruption, combating fraud, protecting information and preventing conflicts of interest.

Commitments to strengthening relationships of trust with all stakeholders are incorporated by the areas that deal with different stakeholders, be it relationships with suppliers and partners, with public authorities, with shareholders, with communities and with the press, through the policies of each area involved.

Among the initiatives of the Prevention pillar of the Compliance Program, we highlight:

• Assessment of the integrity of professionals who serve on boards and councils in companies with a shareholding in the company, as provided for in Eletrobras' Nomination Policy.

The Nomination Policy establishes principles, guidelines and responsibilities for the composition of Eletrobras' collegiate bodies and for the selection and nomination processes of the company's internal governance agents and representatives of Eletrobras companies (Eletrobras and its direct and indirect subsidiaries) in administrative and fiscal bodies of other entities. It is guided by the following principles: transparency, ethics, compliance with legislation and internal regulations, and meritocracy and appreciation of skills for managing the organization.

This policy's target audience is Eletrobras shareholders, employees, administrators, fiscal advisors and members of advisory committees of Eletrobras companies, in addition to representatives of Eletrobras companies in direct and indirect invested companies, associations and foundations.

• Awareness raising and training actions on the Compliance Program that are part of the Improvement Program for Advisors and Directors of Eletrobras and controlled, affiliated and partner companies (SPEs).

Eletrobras promotes the dissemination and strengthening of a culture of ethics and integrity in all dimensions of the business, through communication and training actions aimed at internal and external audiences for the internalization and dissemination of ethics and integrity commitments expressed in policies and procedures of the Compliance Program and Code of Conduct, covering employees and other stakeholders.

The company annually identifies the training needs of its corporate governance agents and implements actions focused on their training, aiming at continued education for better performance of advisors.

Every year the event "Eletrobras Integrity and Ethical Culture Week" is held, with lectures by internal and external experts on governance, risks and compliance. In 2022, at the event, a lecture was held for members of the Executive Board and the Board of Directors and Fiscal Councils, within the scope of the Improvement Program for Advisors and Directors, addressing the third-party integrity assessment process implemented in Eletrobras companies, through the Integrity Program (Compliance).

Explain contingency plans, mitigation measures or actions related to the topic.

Eletrobras has an adequate structure for Compliance, Internal Controls and Risks. Since its creation in 2016, the then Governance, Risks and Compliance Department has gained strength to carry out its activities with the reinforcement of its teams. In 2019, a Superintendence of Risks, Internal Controls and Information Security was created, in addition to a specific area dedicated to information security with the aim of dealing with topics related to cybersecurity and the classification of information regarding the level of secrecy, in compliance with the Law No. 12,527, of November 18, 2011.

The current Vice-Presidency of Governance, Risks and Compliance ("VGR"), formally created on March 31, 2023, replaced the Governance, Risks and Compliance Board and has as its guideline to promote compliance management with regard to compliance with laws, standards and ethical conduct, as well as corporate risk management and management of the internal control environment.

Eletrobras' Bylaws provide for the existence of an area with responsibility for performing Integrity, Compliance, Internal Controls, Corporate Risks and Treatment of Manifestations functions, observing qualifications and independence under the terms of current legislation.

In the Detection pillar of the Compliance Program, the “Management of Reports, Investigations and Consequences" front includes an independent channel for receiving manifestations from stakeholders, which are duly investigated and treated, striving for non-retaliation.

Does the theme have indicators and goals?

One of the fronts of the Compliance Program is “Intelligence of Indicators and Tools", with the purpose of consolidation of information generated from indicators, automated and systemic mechanisms, tools and alerts for continuous improvement and direction of trends.

Among the voluntary commitments signed by the company, Eletrobras is an ambassador for the 100% Transparency Movement of the Global Compact, which establishes the achievement, by 2030, of five goals related to:

• Transparency of interactions with public administration;

• 100% full remuneration of senior management;

• High-risk value chain training;

• Transparency in the Compliance and Governance structure;

• Transparency about reporting channels.
  

In addition to the indicators and goals established in the 100% Transparency Movement, Eletrobras adopts a series of internal indicators to evaluate the effectiveness of its processes, such as:

• Due diligence of suppliers exposed to the risk of fraud and corruption;

• Suppliers made aware of the Compliance Program;

• Partnerships in SPEs sensitized to the policies and practices of the Compliance Program;

• Members of senior management trained in policies and procedures of the Compliance Program;

• Employees trained in policies and procedures of the Compliance Program;

• Employees with a Term of Acceptance of the Code of Conduct.
  

Learn more:

Eletronuclear - Angra 3

Compliance Program

Commitment to the 100% Transparency Movement

SDG Supplement 2022

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Relationship with Communities - Teles Pires

General information about the project:

In 2023, Eletrobras will begin to consolidate 100% of the operation of the Teles Pires hydroelectric power plant (HPP). Considered one of the most efficient hydroelectric power plants in Brazil, it was built on the Teles Pires River, a tributary of the Tapajós River, on the border of the states of Pará and Mato Grosso, in the municipalities of Jacareacanga (PA) and Paranaíta (MT). It has an installed capacity of 1,820 MW, producing enough energy to supply a population of 13.5 million inhabitants. The plant is a high technology and innovative operation, with all its equipment and processes generating energy in a renewable and sustainable manner, developing actions that constantly seek economic, social and environmental balance.

Have impact studies been carried out?

The indigenous component was included in all the project's feasibility studies, in the Environmental Impact Study (EIA), in the Environmental Impact Report (Rima) and in the Basic Environmental Project (PBA).

The Energy Research Company (EPE) initially directed the Indigenous Component Studies (ECI) exclusively to the São Manoel and Foz do Apiacás HPPs, considering their proximity to Indigenous Lands. However, in response to Funai's requests, the ECI was later incorporated into Teles Pires HPP. This inclusion drove the need to develop and implement the Basic Indigenous Environmental Plan (PBAI), since this requirement was not initially expected in the scope of the project.

The Basic Indigenous Environmental Program emerged during the environmental licensing process of Teles Pires HPP, based on complementary studies of the Indigenous Component. The timeline for this process was outlined as follows:

• December/2010: Recommendation for carrying out PBAI studies;

• May/2011: Authorization by Funai to begin work with the Kayabi and Apiaká indigenous communities, aiming to prepare the PBAI;

• January/2012: Funai requests new additions to the PBAI;

• March/2013: Presentation of the PBAI to the Apiaká and Kayabi ethnicities;

• April/2013: Correspondence from Funai informing that the Munduruku ethnic group refuses to participate in activities related to the project;

• November/2013: The Munduruku ethnic group agrees with the start of activities in accordance with the PBAI;

• May/2014: Funai approves revision 04 of the PBAI, marking the start of the execution of 18 socio-environmental programs by Companhia Hidrelétrica Teles Pires.

In addition, Companhia Hidrelétrica Teles Pires has the following certifications: ISO 9001:2015, valid until 02/01/2027; ISO 14001:2015, valid until 02/01/2027; and ISO 45001:2018, valid until 03/20/2027, which contribute strongly to socio-environmental management, and on 03/07/2024 the hydroelectric plant was certified by ISO 55001:2014, valid until 03/06/2027.

The company also unified its Climate Action Policy and Biodiversity Policy with the Environmental Policy, which contribute to the management:

• Climate Action, which addresses issues related to the Sustainable Development Goals (SDGs), climate change and management of greenhouse gas emissions;

• Biodiversity, which addresses issues related to the protection and promotion of biodiversity in its sector of activity, in addition to contributing to the achievement of the SDGs.

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Have independent evaluations been carried out related to the topic?

The Teles Pires HPP obtained a certification that is valid until the beginning of 2027, covering the standards ISO 9001 – Quality; 14001 – Environment; 45001 - Operational Health and Safety, and ISO 55001:1014 – Asset Management for operation and maintenance activities. These certifications, granted by the organization TÜV Rheinland, confirm that the plant's good practices regarding the quality of operation and maintenance, environmental commitment, people's health and safety and asset management have been duly evaluated and certified by an independent certifier.

It is important to highlight that the certification is renewed on an annual basis, ensuring that the company remains in compliance with all standards, laws and commitments it assumes. This constant assessment practice ensures that the Teles Pires HPP continues to adhere to the highest standards of quality, environmental sustainability and operational safety in its daily operations.

Does the topic presented have any material related to the Equator Principles, Responsible Investment Principles, or others that include elements related to the topic?

Teles Pires annually carries out an independent audit regarding the Performance Standards of the Equator Principles, which has demonstrated that the plant satisfactorily meets IFC criteria, EHS Guidelines and applicable legislation.

A report analyzing the project's adherence to the Equator Principles has been prepared. The reference documents were the IFC Equator Principles and Performance Standards (2012); Operating License no. 1272-2014 – 3rd Rectification – 1st Renewal Technical Opinion no. 168/2018-COHID/CGTEF/DILIC (SEI 3977949).

What is Eletrobras' role on the topic and how is it involved in related decisions (participation in SPEs, etc.)?

Eletrobras monitors the topic through its risk matrix, with the implementation of an action plan in the Human Rights due diligence process, which establishes the development of mitigation actions in its holdings.

In October 2023, the Human Rights Due Diligence (DDDH) work began at the Teles Pires HPP. At the end of the DDDH, improvements will be highlighted through a report, in addition to recommendations to the Board of Directors for the implementation of mitigation action plans, where appropriate.

Eletrobras took control of the Teles Pires HPP in November 2023 and, since then, has facilitated visits by representatives of the Munduruku ethnic group to the ceramic vessels buried in the plant's permanent preservation area, allowing them to perform sacred rites. This significant step represents progress in resolving an impasse that has dragged on since 2019.

Furthermore, the Teles Pires Plant is about to begin the construction of the House of Culture and Memory of Jacareacanga, in Pará. This house aims to shelter the collection resulting from research carried out within the scope of the Program for the Preservation of Cultural, Historical and Archeological Heritage of the plant's Basic Environmental Program, with permanent exhibition of the results. The house’s layout was finished in 2022, and Iphan recommended a consultation, which took place on March 17, 2024, with the participation of the Munduruku people, Jacareacanga’s municipality, Funai and MPF for approval before the beginning of the construction.​

Does the topic presented fit into and relate to the risk matrix?

Eletrobras monitors the topic through its risk matrix, with the implementation of an action plan in the Human Rights due diligence process, which establishes the development of mitigation actions in its holdings.

The goal of the Human Rights Due Diligence in Special Purpose Entities (SPEs) project consists of:

• Evaluating 100% of joint ventures/SPEs through the Human Rights due diligence questionnaire;

• Identifying SPEs that have controversies and gaps and interacting to request information and positions.

Was this topic aligned with related parties?

The Teles Pires HPP is located outside Indigenous Lands and, according to an assessment by the EIA and licensing bodies, has no direct impact on them. The indigenous component was included in all feasibility studies for the project; indigenous communities were consulted through numerous meetings and hearings and all licenses for the installation of the project were duly issued.

The absence of significant indigenous impacts was thoroughly analyzed in studies conducted under the supervision of Funai. However, even in this context, consultations were carried out with indigenous communities and Funai. These consultations were meant to incorporate indigenous perspectives into the design of socio-environmental compensation and mitigation programs.

Funai played an active role throughout the bidding procedure, actively participating in consultations and meetings with indigenous communities. As a result of this process, the Basic Indigenous Environmental Program at the Teles Pires HPP was approved in May 2014. This approval marked the START of the execution of 18 socio-environmental programs, demonstrating the commitment of the Teles Pires HPP to the responsible and sustainable integration of its development in the surrounding areas, considering the needs and perspectives of the indigenous communities involved.

It is important to highlight that, in addition to Funai, there are three management committees formed by indigenous communities that monitor PBAI's actions on a daily basis. These committees play a fundamental role in the continuous supervision and evaluation of activities, ensuring the active participation of communities in the development and implementation of socio-environmental programs.

Explain contingency plans, mitigation measures or actions related to the topic.

The Teles Pires HPP is implementing 44 socio-environmental programs, in coordination with Ibama, for all surrounding populations. In addition, 18 specific indigenous programs are being implemented by the company and regularly monitored by Funai and Ibama.

In-person activities with indigenous peoples were resumed, after almost three years, when the restriction on access to Indigenous Lands, imposed by Funai due to the Covid-19 pandemic, came to an end. The activities of the Basic Indigenous Environmental Plan (PBAI) were resumed in person in the villages at the start of 2023, after authorization from the federal agency.

The first in-person communication activities took place in February 2023, with visits to all 14 villages to intensify the contact that was being carried out virtually due to the pandemic. During the actions, accompanied by indigenous communication agents from the Kayabi, Munduruku and Apiaká ethnicities, information and demands were collected, such as maintenance of amateur radio equipment and repairs in flour mills.

In October 2023, the Teles Pires Hydroelectric Company (CHTP) delivered the Kayabi Crafts Center and Office, which will serve the Kawaip Kayabi Association (AIKK), located in the city of Alta Floresta (MT).

The company also implemented socio-environmental policies that contribute to management efforts:

• Climate Action Policy, which addresses issues related to the Sustainable Development Goals (SDGs), climate change and management of greenhouse gas emissions;

• Biodiversity Policy, which addresses issues related to the protection and promotion of biodiversity in its line of activity, in addition to contributing to the fulfillment of the SDGs;

• Policy on Respect for Human Rights, the purpose of which is to formalize the commitment to Human Rights recognized in national and international legislation, in accordance with the guidelines of the Organization for Economic Co-operation and Development (OECD) for multinational companies, the Tripartite Declaration (Tripartite) of Principles on Multinational Companies and social policy, and the SDGs, among others.

What resources are allocated to sustainability in the company and/or specific topic?

The annual value for the actions of the Basic Indigenous Environmental Program is BRL 4 million and, since 2016, BRL 29 million have been invested in sustainability actions with indigenous communities.

Learn more:

Teles Pires HPP

Socio-environmental Programs - PBA - Teles Pires HPP

Policies - Teles Pires HPP

Teles Pires in the Agenda - July 2023​

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Relationship with Communities - Tapajós Project

General information about the project:

In 2010, a technical cooperation agreement was established between Eletrobras, Eletrobras Eletronorte, Camargo Corrêa and Electricité de France (EDF) to carry out the Technical, Economic and Environmental Feasibility Study of five hydroelectric power plants (HPPs): São Luiz do Tapajós (8,040 MW), Jatobá (1,650 MW), Cachoeira do Caí (802 MW), Jamanxim (881 MW) and Cachoeira dos Patos (528 MW), located on the Tapajós and Jamanxim rivers, in Pará.

In 2012, the technical cooperation agreement was expanded to include Engie, Enel, Copel, Cemig and Neoenergia, leading to the creation of the Tapajós Consortium. The companies had an active registration before Aneel to carry out technical, economic and environmental feasibility studies for the Jatobá and São Luiz do Tapajós HPPs, on the Tapajós River.

Between 2012 and 2016, the Technical, Economic and Environmental Feasibility Studies (EVTE and the Environmental Impact Study - EIA/Rima) of the São Luiz do Tapajós and Jatobá HPPs were developed.

The EVTE of the São Luiz do Tapajós HPP was accepted by Aneel in April 2014. In the same year, the project's EIA/RIMA was filed before Ibama. In 2016, based on Funai's opinion, Ibama determined that the environmental licensing process for the São Luiz do Tapajós HPP should be archived. The Jatobá HPP EVTE was accepted by Aneel in December 2017. However, the project's EIA/RIMA was not filed before Ibama.

After 2016, the licensing processes for the Jatobá and São Luiz do Tapajós HPPs were discontinued, and a new request to open a licensing process for them was not made by Eletrobras.

The registrations for the Cachoeira do Caí, Cachoeira dos Patos and Jamanxim HPPs are active with Aneel until 12/31/2023, but no licensing processes have been opened for these projects. From a legal perspective, the Tapajós Consortium is valid until 12/31/2024, and is currently formed by Eletrobras and Eletrobras Eletronorte, but at the moment the development of these projects is not part of the company's strategic planning.

Have impact studies been carried out?

The Terms of Reference (TR) for the Environmental Impact Studies (EIA) of the Jatobá and São Luiz do Tapajós HPPs were issued by Ibama in February 2012.

In July 2013, Iphan issued a letter with considerations about the work plan. A new version was filed in November 2013.

The Work Plan for the Study of the Indigenous Component was filed before Funai in October 2012. In December, a meeting was held with Funai to discuss the work plan, and the 4th revised version was subsequently filed.

In September 2012, Eletrobras sent a letter proposing a work plan for the socioeconomic registry. The socioeconomic registration began in November 2012, after approval of the work plan by the Interministerial Committee.

Studies were carried out for an environmental diagnosis, presenting the characteristics of the directly and indirectly affected region in its physical aspects (climate, water quality, mineral resources, geology, etc.), biotic aspects (identification of plant and animal species and their ecological relationships) and socioeconomic aspects (affected population, economic activities, health, education, communities and Indigenous Lands, historical and cultural heritage, etc.).

The Environmental Impact Study of the São Luiz do Tapajós HPP was finalized and filed before Ibama in May 2014, with requests for supplementation made by the environmental agency in 2014 and 2015. Throughout 2015, workshops were held with Ibama to present answers to questions.

In August 2016, Ibama sent a letter to Eletrobras informing about the agency's decision to archive the licensing process for the São Luiz do Tapajós HPP.

Does the topic presented have any material related to the Equator Principles, Responsible Investment Principles, or others that include elements related to the topic?

In Brazil, Environmental Impact Studies (EIA) are carried out in accordance with Brazilian legislation and always take into account the characterization of projects, including aspects related to local infrastructure and technological and locational alternatives. The environmental licensing for projects that are potential sources of pollution or may cause environmental degradation is defined by Federal Law No. 6,938/81. The preparation of the EIA/RIMA is part of the stage in which the environmental viability of the project is evaluated, supporting the technical positioning of the licensing body regarding the granting of the Preliminary License, in accordance with Ibama Normative Instruction (IN) No. 184/2008. This IN also defines the bodies involved in the licensing. The Terms of Reference (TR) for the Environmental Impact Studies (EIA) of the Jatobá and São Luiz do Tapajós HPPs were issued by Ibama in February 2012.

What is Eletrobras' role on the topic and how is it involved in related decisions (participation in SPEs, etc.)?

Eletrobras was the leader of the Tapajós Consortium, the group responsible for active registration with Aneel and the Technical, Economic and Environmental Feasibility Studies of the São Luiz do Tapajós and Jatobá HPPs. The projects were suspended in the study phase in 2016, so there is no enterprise or Specific Purpose Entity (SPE) associated with them.

Was this topic aligned with related parties?

Social communication activities began in July 2012 and were developed by Diálogo Tapajós throughout the feasibility study.

The Diálogo Tapajós project was created with the goal of promoting effective access to information about the studies of the Jatobá and São Luiz do Tapajós HPPs for all people in the region, especially those who could be affected by the projects under study.

The project's actions prioritized the population living in the area directly and indirectly affected by the project. To this end, the project promoted:

• Direct contacts with riverside dwellers, fishermen and miners, through meetings and gatherings in the communities;

• Meetings with leaders and organizations in general in the region, including government bodies, residents' associations, NGOs, fishing colonies, unions, commercial associations, etc.;

• Production and distribution of printed material (folders, booklets, posters, maps);

• Production and broadcasting of videos and radio programs about events related to studies on broadcasting stations in the region.

• Diálogo Tapajós also received questions from the population during field contacts.

An analysis carried out in 2014 showed that stakeholder issues were divided into major topics, among which local impacts stood out. These evaluations supported the communication strategy.

Explain contingency plans, mitigation measures or actions related to the topic.

The Diálogo Tapajós project maintained a public service office in Itaituba (2013 to 2016) and one in Jacareacanga. During the Diálogo Tapajós social communication actions in the region, the following activities were carried out and the following products were created for the two studies:

• Stakeholder mapping;

• Media monitoring;

• Visits and meetings with organizations and communities, accounting for 852 interactions with 14,031 participants in:

• 593 interactions with communities and trade associations;

• 88 interactions with public bodies;

• 105 interactions with schools and educational institutions (Elementary School and Higher Education);

• 1,355 consultations at the Itaituba and Jacareacanga offices (email, telephone and in person);

• Translation workshop for Munduruku and recording of the translation dynamics of the video “Licensing Stages";

• Production of the booklet “The São Luiz do Tapajós and Jatobá hydroelectric power plants": translation into Munduruku and presentation to indigenous people;

• 852 field reports;

• 15 radio programs;

• 138 video testimonials from various social actors (fishermen, miners, traders, farmers, teachers, etc.);

• 17 videos used as an agenda for meetings with local entities;

• 25 compilations “Questions from meetings with local entities" (edited excerpts from previous meetings for discussion with ADA localities);

• 103 DVDs “Compilation of Social Interactions" (delivered as replies to the respective communities);

• 13 animated videos with technical content on the following topics: The Licensing Steps; Why build a dam on the Tapajós River; Munduruku Stages; The studies were delivered. What now?; The Construction Stages of a Hydroelectric Power Plant; Construction Overview; Accesses; The National Interconnected System; among others;

• Four videos to publicize the Phase I and II Socioeconomic Registration Disclosure Campaigns;

• Four videos Presenting the Diálogo Tapajós Project;

• 1,577 posters for meetings, disclosing the preliminary list of socioeconomic registration, on-duty registration locations and office locations;

• 796 postcards and flyers referring to the registration of the São Luiz do Tapajós and Jatobá HPPs;

• Four brochures on topics relevant to environmental licensing at São Luiz do Tapajós HPP and three at the Jatobá HPP, totaling 35,333 copies;

• Four Voadeira bulletins from the São Luiz do Tapajós HPP and three from the Jatobá HPP, totaling 22,419 copies;

• 2,352 poster maps of the São Luiz do Tapajós and Jatobá HPPs, as well as the Tapajós Complex;

• 6,737 folders from the São Luiz do Tapajós and Jatobá HPPs and the Study of the Indigenous Component;

• 455 copies of Conduct Manuals for technicians in charge of studies at São Luiz do Tapajós and Jatobá HPPs;

• Ten banners – Licensing Stages and Project Maps;

• 1,248 news clipping editions;

• 531 DVDs with content about the projects distributed.
  

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