ENGIE wins a new concession to build and operate around 1000 km of transmission lines in Brazil

Press release

30^th September 2024

ENGIE wins a new concession to build and operate around 1000 km of transmission lines in Brazil

•      ENGIE won Lot 1 at the Brazilian Electric Energy Agency (ANEEL) auction and earned the concession to implement and operate around 1000 kilometers of transmissions lines and 2 substations, located in the 5 states in southern Brazil: Santa Catarina, Paraná, Minas Gerais, São Paulo and Espírito Santo. 

•      ENGIE continues to expand in power networks with around 8000 km of lines installed, in construction or ready for development

The 30-year concession contract covers the construction, operation and maintenance of around

1000 kilometers of power lines, reinforcing the electric energy system of Paraná and Santa Catarina, as well as serving the state of Minas Gerais. Within these 1,000 kilometers, this contract includes the takeover and continued operation of 162.6 kilometers of transmission lines and 2 existing substations serving the states of Espírito Santo and Minas Gerais. The project is located in 5 states (Santa Catarina, Paraná, Minas Gerais, São Paulo and Espírito Santo) and crosses approximately 60 municipalities. 

ENGIE has already built and operates more than 2,700 km of power transmission lines and 10 substations in Brazil ; 1,000 additional kilometers are under construction in the states of Bahia, Minas Gerais and Espirito Santo. In South America, when adding the lines in Chile and Peru, the Group has a total of 6,000 km of transmission lines and 39 substations already installed and the 1,000 under construction. This new concession in Brazil will enable ENGIE to strengthen its position as a key player in the electrical infrastructure sector in South America, and contributes to its goal to expand in these activities. 

Based on long term and strong regulated concession contracts, power transmission in Brazil offers predictable and consistent cash flows, indexed to inflation and with very low counterparty risk. The geographical location of Lot 1 offers synergies with our other power transmission lines in the states of Paraná and Espirito Santo. It will thus reinforce the growing efficiency of our territorial network in the country.

"This new contract brings ENGIE's portfolio to nearly 8,000 kilometers of transmission lines in service, under construction or ready for development. This is an important step in the rebalancing of our regulated positions from gas to electricity. The development of these networks will contribute to the security of supply and resilience of the energy system in Brazil, a key country for ENGIE, and will enable better integration of renewable energies by linking consumption areas to

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production areas, thereby helping to accelerate the energy transition." said Cécile Prévieu, ENGIE Executive Vice President in charge of Networks activities.

About ENGIE

ENGIE is a global reference in low-carbon energy and services. With its 97,000 employees, clients, partners and stakeholders, the Group strives every day to accelerate the transition towards a carbon-neutral economy, through reduced energy consumption and more environmentally friendly solutions. Inspired by its purpose statement, ENGIE reconciles economic performance with a positive impact on people and the planet, building on its key businesses (gas, renewable energy, services) to offer competitive solutions to its clients. 

Turnover in 2023: €82.6 billion. The Group is listed on the Paris and Brussels stock exchanges (ENGI) and is represented in the main financial indices (CAC 40, Euronext 100, FTSE Euro 100, MSCI Europe) and nonfinancial indices (DJSI World, Euronext Vigeo Eiris - Europe 120 / France 20, MSCI EMU ESG screened, MSCI EUROPE ESG Universal Select, Stoxx Europe 600 ESG-X).

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Tour T1 – 1 place Samuel de Champlain – Faubourg de l’Arche - 92930 Paris La Défense cedex – France                

ENGIE – SA AU CAPITAL DE 2 435 285 011 EUROS – RCS NANTERRE 542 107 651 - Tél. : +33 (0)1 44 22 00 00            engie.com