EN 
PT_BR 
A EDP reported that, in view of the cancellation of capacity reservation auction which was scheduled to take place at the end of 2022, and given that this was the first year in which its subsidiary Porto do Pecém Geração de Energia SA could participate in this auction, it considered these assumptions in the impairment test.
According to the company, several scenarios were analyzed, including the probability of there being new auctions or not and their respective impacts. The result of this test is the recognition of an impairment of R$ 1.2 billion.
The plant, located in the state of Ceará, has an installed capacity of 720 MW and supports the Northeast electrical system through availability contracts, which reached 98% in 2022, the highest rate since its entry into operation.
“Additionally, EBITDA in the first 9 months of 2022 reached R$ 446 million, indicators that reflect Pecém’s excellent operational and financial performance”, highlighted EDP in a note.
“We always value reliability, prudence and transparency in all activities. Given the cancellation of the auction and, consequently, the loss of the most appropriate window for renewing Pecém's contracts, we recognize, at this moment, the impairment”, they commented.
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Despite this fact, the company highlighted that there will be no impact on its expected cash generation until July 2027, on the payment of debts or financial obligations, on compliance with the dividend policy.
Finally, they informed that they will continue to work actively to create new opportunities for the renewal of Pecém's contracts, so that the plant can continue to act in favor of the safety of the Brazilian electrical system and its consumers.
“Our good governance practices have taken us to the second consecutive year as a national reference in ESG, according to B3, and to the ninth year of the Transparency Trophy by ANEFAC”, stated João Marques da Cruz, president of EDP Brasil.
“In the same sense, we are positioning ourselves at the forefront of the energy transition movement, crucial for building a greener and more sustainable future, and Pecém is playing a fundamental role in this evolution, as it invested R$ 42 million in an R&D and created the first indigenous hydrogen molecule in Latin America”, concluded Cruz.
