Investor Presentaiton
16. Electric power future contracts
The values quoted above have the following composition:
The subsidiary Votorantim Comercializadora de Energia Ltda. (Votener)
Centralizes energy purchase and sale transactions to meet the demands
of Votorantim companies. A portion of these transactions takes the form
of contracts that have been entered into and continue to be carried out
for the purpose of receiving the energy for Votener's own use or delivering
self-produced energy, in accordance with the productive demands of the
Company's subsidiaries and, therefore, meets the definition of a financial
instrument.
Another part of these transactions refers to energy purchases and sales
that are not used in the production process of Votorantim companies and
are traded in an active market, therefore, it meets the definition of a fi-
nancial instruments, due to the fact that transactions are settled in energy,
and promptly convertible into cash. Such contracts are accounted for as
derivatives under IFRS 9 / CPC 48 and are recognized in the balance sheet
of their subsidiaries at fair value, on the date the derivative is entered into,
and are revalued at fair value on the balance sheet date.
The operations carried out by the indirect subsidiary Votener until 2023 in
the Free Contracting Environment (ACL) were recognized at their fair value on
the closing date of each operation. In 2021, the realization of the fair value of
these operations, resulting from the physical settlement of the energy pur-
chase and sale contracts, resulted in a gain of R$ 11 (R$ 83 in loss in 2020).
These amounts were accounted for under Other operating income (expenses),
net. The A-0/2014 contracts, which were traded in the Regulated Contracting
Environment (ACR), were fully settled in December 2019.
Realization
Recognition
ACL
Total
Votorantim
Cimentos
Votorantim
CBA (i) Energia
Total 2021
2020
(2)
28
(11)
15
15
105
156
156
156
(159)
(2)
184
(11)
171
171
(54)
The table below shows the composition of equity balances:
Assets
Current
Non-current
ACL
Total
CBA
Votorantim
VGE Cimentos 2021
2020
845
2,962
3,807
845
2,962
49
9
3,807
58
Liabilities
Current
Non-current
(11) (767)
(22) (800)
(75)
(24) (2,993)
(46) (3,063) (210)
(35) (3,760)
(68) (3,863) (285)
148
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