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Annex 12 - Interministerial Official Letter No. 906/MME/MF/MP

FREE TRANSLATION

Interministarial Offical Letter 906

To Sir

WILSON FERREIRA JUNIOR
Eletrobras CEO
Av Presidente Vargas 409 – 13th Floor
20071-003 – Rio de Janeiro – RJ

Subject: Privatization of Distribution Companies

Dear CEO,

1. In view of the recent contacts between the Ministries of Mines and Energy, Finance and Planning, Development and Management, we bring to your consideration, for information, some elements that should be considered in the Board of Executive Officers and the Board of Directors evaluations in the Instruction of the proposed resolutions to be submitted to the General Meeting, related to the sale of the share control referred to in Resolutions 20 and 28/2017, of the Council of the Program of Investment Partnerships of the Presidency of the Republic - CPPI.

2. It is of fundamental importance to point out that the inapplicability of Law 8,029/1990 to the hypothesis of liquidation of Eletrobras subsidiaries by decision of its General Meeting is unequivocal position of the Federal Attorney General's Office, reflected in the convergent position of the legal entities elaborated by its bodies, National Treasury General Attorney, Legal Consultancy of MME and Legal Consultancy of the MPDG, which you are already aware of. In fact, through these legal statements, AGU pointed out clearly and without doubts that the formal position of the Executive Power, expressed in Resolutions 20 and 28/2017 of the CPPI, is privatization in the bidding mode of the associated distribution concessions to the transfer of ownership control held by Eletrobras in the companies providing the public service.

3. The option to privatize the distribution companies, associated with the new granting of concession by the Federal Government, or the liquidation of the companies is a business decision that must be taken by the shareholders, taking into consideration the alternative that is appropriate for the company. However, it is important to note that any decision of the General Meeting for the liquidation of the companies will be taken in the form of art. 206, I, of Law 6,404/76, is understood as a divestment decision, is a consequence of the exhaustion of the object of the companies, being the type of provisions in art. 23 of Law 8,029/90.

4. For this reason, the proposals for deliberation to be submitted to the Eletrobras General Meeting must consider that under no circumstances will there be succession by the Federal

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