Investments

In 2008, CTEEP brought nine new works into operation on the Basic Grid, along with 21 Other Transmission Installations, adding greater reliability and efficiency to the Brazilian interconnected system.

In order to consolidate its position as a major player in the Brazilian electricity sector, CTEEP invested R$ 327.2 million in 2008 in projects for increasing transformer capacity, construction, upgrading transmission lines, and other reinforcements.

In 2008, 42 projects were energized, along with the installation of 36 km of new transmission lines, 11.3 km of upgraded lines and 1,040 MVA of installed capacity. The highlights were:

• Through the subsidiary IEMG (Interligação Elétrica de Minas Gerais), CTEEP brought the Neves I – Mesquita 500 kV transmission line and the 91 MVAr reactor at the Neves I substation into operation. With a length of 172 km, the line connects the Neves I and Mesquita substations, passing through 14 municipalities. In addition to increasing the efficiency of the transmission system in eastern Minas Gerais, this is a strategic project for supplying energy to the state’s steelmaking region.
• Expansion of installed capacity at five boundary substations on the Basic Grid (Bauru, Capivara, Santa Cabeça, Ribeirão Preto and Sumaré), with investments of R$ 80 million and a 810 MVA increase to the company’s installed capacity.
• Conclusion of major works to improve the reliability of the 138 kV system in the extreme west of the state of São Paulo, bringing the Ilha Solteira – Jupiá, Três Irmãos –Ilha Solteira and Três Irmãos – Andradina transmission lines into operation and expanding the transmission capacity of the Três Irmãos substation.
• Expansion of the system that supplies the region of São Sebastião, on the coast of São Paulo state, with the installation of a new three-phase transformer (138-34.5 kV) in the São Sebastião substation and an expansion from 25 to 40 MVA of installed capacity for supply to the island of Ilha Bela, with investments of R$ 4 million.
• Installation of 15 kV equipment in the Vicente de Carvalho, Peruíbe, Mongaguá and Bertioga substations, to meet the increased demand for electricity on the coast of São Paulo state, with an investment of R$ 1.5 million.
• Expansion and modernization of the 230 kV system which supplies the Vale do Paraíba region, with the addition of 500 MVA in the nominal capacity of each of the six stretches of transmission line that supply this industrial region in the state of São Paulo. The investments totaled R$ 90 million and will be concluded by May 2009.

Of the resolutions authorized by ANEEL and the projects acquired at auctions, CTEEP brought nine new works into operation on the Basic Grid, along with 21 Other Transmission Installations (OTI), adding greater reliability and efficiency to the Brazilian interconnected system. These projects represent R$ 34 million in Permitted Annual Revenue.