Sustainable Strategy and Commitments slide image

Sustainable Strategy and Commitments

Brazil | Follow-up Termo Fortaleza Unilateral termination of the gas supply contract by Petrobras - Status, June 2018 Regulatory Legal Actions taken Presentation of two alternatives to the MME: Amendment to the provisional measure "MP814" (Eletrobras): Increase of gas cost - pass through to all consumers MP 814 expired: Congressmen decided not to vote the MP Revision of interministerial ordinance: increase of gas cost-pass through to Enel CE × Lawsuit closed due to Arbitration (appealed) ✔ New injunction to restore gas supply State of Ceara presented a new lawsuit to restore gas supply ✔ Arbitration: Actions questioning its validity Next Steps Structural Solution: New MP; Specific Law proposal; Inclusion of amendment on the Sector Reform's Law proposal Interministerial ordinance (Ministries of Mines and Energy + Finance): increase of gas cost-pass through to Enel CE Updating from Rio and Ceara's lawsuits; Arbitrator to be nominated by ICSID (likely): parties will agree about deadline to present defenses. Legal Actions ongoing to cancel Arbitration Timeline enel September 2017 Notification from Petrobras ending the gas contract November 2017 Enel attained an injunction ensuring the gas supply February 2018 Judge denied the injunction March 2018 Gas Supply was interrupted Termofortaleza out of operation Institutional and Media Newspaper Article explaining the cost of activities thermal interruption for the consumers Work with Government and Congressmen to support the structural solution June 2018 New injunction ensuring gas supply Termofortalzeza restored operation 23
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