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Investor Presentaiton

In line with its strategy of diversifying energy sources, the joint venture concluded the acquisition of the Jaíba V solar project. With commercial operations scheduled to start in 2023, this is one of the largest photovoltaic projects for the generation of clean energy in the country, with an installed capacity of 635 MWP. Located in the town of Jaíba, in the state of Minas Gerais, the project will produce enough clean energy to supply more than 500,000 homes and will help Brazil reach the goal of having 23% of its energy from non-hydro renewable sources by 2030. The electricity sector is evolving at an accelerated pace and Votorantim Energia is following that trend; in November the company signed an investment agreement with Way2, a technology company specializing in telemetering and energy management. Votorantim Energia took an important step in its growth strategy by signing an agreement with CPP Investments to consolidate its energy assets to create one of the largest renewable energy platforms in Brazil. This transaction created the Auren Energia, a company with an installed capacity of 3.3 GW, 71% hydro and 29% wind power. In addition to the assets in operation, the new company comes with a pipeline of 2.0 GW of renewable energy projects at different stages of development, which will enable significant organic growth and contribute to the diversification of energy generation sources. The company will also be positioned as a leader in the electricity sale segment and have a strong financial position, with estimated net revenue of R$5.8 billion. Votorantim Energia's ESG agenda in organized around 10 priority topics: (i) carbon management; (ii) ecosystem services; (iii) social legacy; (iv) relationship with communities; (v) employee health and safety; (vi) diversity and inclusion; (vii) supply chain management; (viii) management of subsidiaries, affiliates, and consortiums; (ix) integrated risk management; and (x) management of decision-making processes and flows. These topics guide the definition of targets to ensure high ESG standards in units and businesses. Since 2020, the company has had ESG targets linked to the variable compensation of its senior management. During the year, Votorantim Energia revised its materiality matrix. The process involved more than 600 stakeholders, including employees, customers, suppliers, and others. In addition, the company prepared its first Communication on Progress (COP) report for the United Nations (UN) Global Compact, in which it shared management practices related to the Sustainable Development Goals (SDGs). In 2021, Votorantim Energia became a member of the CDP (Carbon Disclosure Project) Benchmark Club and responded to its climate change questionnaire for the first time. In the social arena, the company implemented the local supplier development program in communities where it operates and increased the number of women and Black employees hired by 19% and 140%, respectively, compared with 2019. Continuing their successful partnership, Votorantim and CPP Investments will create an investment company focused on energy transition to invest in early-stage energy projects, including new solutions and technologies aimed at the decarbonization of the energy matrix. = 51
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