2. Joint venture details
• Joint venture between CPFL Energia and ERSA will
incorporate one of the largest Renewable Energy Companies
in Latin America, consolidating the Wind, Biomass and Small
power plant (PCH) generation assets of both companies
2
3. Joint venture details
• Joint venture between CPFL Energia and ERSA will
incorporate one of the largest Renewable Energy Companies
in Latin America, consolidating the Wind, Biomass and Small
power plant (PCH) generation assets of both companies
• Incorporation of CPFL Energias Renováveis. Through its
63.6% subsidiaries CPFL Geração and CPFL Brasil, CPFL Energia will
+ have 63.6% stake (major shareholder). ERSA’s current
shareholders will have 36.4% stake
36.4%
=
3
4. Joint venture details
• Joint venture between CPFL Energia and ERSA will
incorporate one of the largest Renewable Energy Companies
in Latin America, consolidating the Wind, Biomass and Small
power plant (PCH) generation assets of both companies
• Incorporation of CPFL Energias Renováveis. Through its
subsidiaries CPFL Geração and CPFL Brasil, CPFL Energia will
have 63.6% stake (major shareholder). ERSA’s current
+40% shareholders will have 36.4% stake
906
648 • CPFL Renováveis will begin its operations with 648 MW of
installed capacity (Aug, 11). By the end of 2012, the
company will reach 906 MW installed capacity (+40%), with
the start-up of Santa Clara I to VI and Eurus VI wind farms
and CPFL Bio Pedra biomass power plant
Inst. Cap.Aug, 11 Inst. Cap. 2012(e)
(MW) (MW)
4
5. Joint venture details
• Joint venture between CPFL Energia and ERSA will
incorporate one of the largest Renewable Energy Companies
in Latin America, consolidating the Wind, Biomass and Small
power plant (PCH) generation assets of both companies
• Incorporation of CPFL Energias Renováveis. Through its
subsidiaries CPFL Geração and CPFL Brasil, CPFL Energia will
648 MW operating have 63.6% stake (major shareholder). ERSA’s current
shareholders will have 36.4% stake
+
386 MW under construction • CPFL Renováveis will begin its operations with 648 MW of
installed capacity (Aug, 11). By the end of 2012, the company will
+ reach 906 MW installed capacity (+40%), with the start-up of
3.341 MW under Santa Clara I to VI and Eurus VI wind farms and CPFL Bio Pedra
preparing for construction and
biomass power plant
development
4.375 MW • There are additional 386 MW generation capacity under
construction and 3,341 MW under preparing for construction and
development. The total portfolio shall sum 4,375 MW
5
6. Rationale of the Join Venture
The transaction creates a company focused on the
development of renewable energy, with a distinctive
asset portfolio of high quality diversified by type of
Focus
source, experienced teams, operating synergies,
Quality successful track record of its shareholders in the
Experience development of generation projects and opportunities
for accelerated growth
Synergy
Entrepreneurialism
Growth
6
7. Partners’ corporate overview
• Largest private player in the Brazilian Electric • One of the main companies in Brazil in the
Sector, leadership in the distribution and segment of small and medium power energy
commercialization business and the second private generation units exclusively from renewable
player in the generation business sources.
• Investment in the construction and development of • Recognized as a reference in developing
biomass power plants innovative engineering solutions for small power
plants and training in wind farms projects.
• Recognized as an international benchmark in
corporate governance, sustainability and corporate • Extensive knowledge in environmental permitting
excellence procedures.
• Success enabling 13 wind farms currently under • Accelerated growth of generating installed
construction and in the recent acquisition of four capacity, through an unprecedented feat:
operating wind farms and 867 MW portfolio of simultaneous construction of nine small
projects. hydroelectric power plants.
• Shares listed on the New York Stock Exchange • Commitment to growth, financial discipline,
(ADR level III) and Bovespa’s Novo Mercado, the transparency and sustainable value creation for its
highest levels of corporate governance, having the stakeholders.
access to local and international capital markets.
• Dynamic group of professionals, highly specialized.
• Leadership and 100 years of experience and
knowledge of the Brazilian energy market.
7
8. Corporate structure
1 Current corporate structure considering the projects involved in the joint venture
100% 100%
Santa Clara from I to VI and Eurus VI Wind Farms
Campo dos Ventos from I to V and Eurus V Wind farms
SIIF Wind Farms
8
9. Corporate structure
1 Current corporate structure considering the projects involved in the joint venture
2 Incorporation of Nova CPFL company and migration of all of the renewable generation assets of
CPFL Brasil and CPFL Geração to Nova CPFL
100% 100%
Nova
CPFL
Wind
Biomass
Small power plants (SPPs)
9 1) Wind, biomass and small power plants
10. Corporate structure
1 Current corporate structure considering the projects involved in the joint venture
2 Incorporation of Nova CPFL company and migration of all of the renewable generation assets of
CPFL Brasil and CPFL Geração to Nova CPFL
3 Merger of Nova CPFL by ERSA and the incorporation of CPFL Energias Renováveis
9.3% 9.1% 7.5% 2.2% 4.9% 2.4% 1.0%
100% 100%
Outros
63.6% 36.4%
Financial resources provided by
stockholders (cash) – R$ million
CPFL 250
ERSA 321
Total 571
10
11. Corporate structure after the joint venture | current
9.3% 9.1% 7.5% 4.9% 3.2% 2.4%
100% 100%
63.6% 36.4%
Small power plants (SPPs) Biomass Wind
• Operating: 278 MW • Operating: 160 MW • Operating: 210 MW
• Under construction: 20 MW • Under construction: 70 MW • Under construction: 296 MW
• Under development: 508 MW • Under development: 1,361 MW • Under development: 1,472 MW
Total: 806 MW Total: 1,591 MW Total: 1,978 MW
Total: 4,375 MW
11
12. CPFL Energia | Installed capacity features
Installed capacity | Renewable (MW)
Wind, biomass and small power plants (SPPs) 1,641 2,423
288
494
Operating (Aug, 11) Under construction Under development1 Total
Wind: 210 Santa Clara from I to VI and Eurus VI: 188 Wind: 705 Wind : 1.133
Biomass: 160 Campo dos Ventos II: 30 Biomass: 889 Biomass: 1.119
SPPs: 124 CPFL Bio Pedra: 70 SPPs: 46 SPPs: 170
Installed capacity evolution (MW) 2,423
CAGR 2011-2015: 33,4%
1,563
1,256
752 903
494
2011 2012 2013 2014 2015 after 2015
12 1) Takes into account Jantus II wind farms (Quintanilha Machado)
13. ERSA | Installed capacity features
Installed capacity | Renewable (MW) 1,700 1,952
Wind, biomass and small power plants (SPPs)
155 98
Operating (Aug, 11) Under construction Under development1 Total
SPPs: 155 Wind: 78 Wind: 767 Wind: 845
SPPs: 20 Biomass: 472 Biomass: 472
SPPs: 461 SPPs: 636
Installed capacity evolution (MW)
CAGR 2011-2015: 35,9% 1,952
436 529
155 155 271
2011 2012 2013 2014 2015 after 2015
13
14. CPFL Energias Renováveis | Installed capacity
4.375
Installed capacity | Renewable (MW)
Wind, biomass and small power plants (SPPs)
3.341
648 386
Operating (Aug, 11) Under construction Under development Total
Total | 4,375 MW
Installed capacity evolution (MW) 4,375 SPPs
CAGR 2011-2015: 34,0% 18%
2,092 Bios
1,692 36%
907 1,174 Wind
648
45%
2011 2012 2013 2014 2015 Total
14
15. Location of the energy power plants
Assets - MW SPPs Wind Biomass
Operating 278 210 160
Under construction 20 296 70
Under development 508 1.472 1.361
Total 806 1.978 1.591
Operating/under construction
Assured energy – AvgMW Aug, 2011 %
CPFL 330 70%
ERSA 143 30%
Total 473
15 Aug, 2011
