Risk Factors

The Investors section contains information about ENGIE Brasil Energia S.A., which is the ENGIE's group company listed in the Brazilian Stock Exchange (B3: EGIE3, ADR: EGIEY).

Main Business Risks of ENGIE Brasil Energia

  • Tax Risk

    Adverse evolution of tax legislation.

  • Operational Risk

    Any event or incident arising from the operation of the Company’s assets and other activities that may cause damage to the integrity of facilities, the environment, society, or the health and safety of individuals.

  • Project Implementation Risk

    Events occurring during the implementation or modernization of assets that may lead to different scenarios from those foreseen in feasibility studies.

  • Regulatory Risk

    Effects of possible changes in legislation or regulations imposed by government agencies, such as the Ministry of Mines and Energy (MME) and the Brazilian Electricity Regulatory Agency (Aneel), which may influence the competitiveness of assets, the fulfillment of contractual provisions, and the creation of new sectoral charges, among other factors.

  • Market Risk

    The supply and demand for electricity may behave differently than projected in the Company’s business plan, impacting volumes and prices. These variations may stem from a range of factors—from operational conditions of the Interconnected System (reservoir levels, regulatory changes) to market factors (PLD price volatility, imbalance between supply and demand, growth in distributed generation, curtailment).

  • Cybersecurity Risk

    Lack or failure of planning, management, monitoring, or security of Information and Communication Technology (ICT), Automation Technology, and Internet of Things (IoT) resources and services.

  • Climate Change Risk

    Considers the various ways in which the Company’s activities and infrastructure, supply chains, and customers may be affected by the increasing frequency of extreme weather events—such as droughts, fires, storms, excessive rainfall, heatwaves, landslides, extreme winds, water stress, and floods. It also includes risks linked to changes in technological, regulatory, commercial, and social structures required by the energy transition.

  • Operationalization of the Strategy Risk

    Potential challenges in implementing the strategic positioning and the purpose of acting to accelerate the energy transition toward a low-carbon economy. It also includes difficulties in attracting and retaining professionals with the necessary skills, aligned with diversity and inclusion goals, as well as in managing growth and digitalization.

  • Risk of Security

    Risks related to malicious acts against ENGIE Brasil Energia’s assets, people, information, or data, which may include theft, physical attacks on individuals or infrastructure, espionage, vandalism, rebellion, kidnapping, terrorism, among others.

  • Ethics and Compliance Risk

    Breach of the values and principles of the Code of Ethical Conduct and non-compliance with applicable laws and regulations. This includes corruption, fraudulent use of assets, interference in bidding processes, and violations of human rights, including labor conditions and workplace relationships.

  • Personal Data Privacy Risk

    Improper disclosure of personal information collected during the Company’s interactions with businesses or individuals, in violation of the General Data Protection Law (LGPD).

  • Finaci Risk

    Risco relacionado a variação do principal indicador de inflação no Brasil, o IPCA, onde impacta diretamente no ajuste da receita anual permitida dos ativos de transmissão.