CTEEP Companhia de Transmissão de Energia Eletrica Paulista S A : Comunicado ao Mercado

ISA

MULTILATIN COMPANY recognized for its operational excellence

Energy

Telecom

Toll Roads

EQUITY STORY

Jun/2024

América
Central		48.766 KM(1)
Colômbia		Of transmission
	Brasil	lines
Peru
Bolívia		104.438 MVA(2)
Chile		Transformation
		capacity

DISCLAIMER

The statements in this report related to the business prospects of ISA CTEEP projections and growth potential are merely forecasts and were based on the management's expectations regarding the future of the Company. These

expectations are highly dependent on market changes, the general economic performance of Brazil, the sector and the international

markets, and are subject to changes.

Forward-looking statements are not guarantee of future performance. They involve risks, uncertainties and assumptions as they refer

to future events and depend on circumstances that may or may not occur.

Investors must understand that general economic conditions, market conditions, and other operating factors may affect the future performance of ISA CTEEP and lead to results that differ significantly from those expressed in the forward-looking statements.

The financial information has been prepared in accordance with standards established by the Securities and Exchange Commission of Brazil (CVM), announcements by the Accounting Pronouncements Committee (CPCs), and the International Financial Reporting Standards (IFRS) issued by the International Accounting Standard Board (IASB). The Regulatory Result is presented in accordance with the accounting practices adopted in Brazil and its purpose is to help understand ISA CTEEP's business. Sums may differ due to roundoffs. The Regulatory Result is audited only at the end of each year by independent auditors.

2

		ADVANTAGES
Generate Sustainable	1	PREDICTABLE REVENUES PROTECTED AGAINST INFLATION
Value	demand or price and adjusted annually by the IPCA
	Revenue according to network availability, without risk of

Create positive social and			2	CONSISTENT AND PROFITABLE GROWTH
environmental impacts			Winning of bids for 19 lots with revenue¹ of R$1.6 billion and
			double-digit IRR² since 2016
Generate value for	3	EXCELLENCE IN PROJECT MANAGEMENT & INNOVATION
Average anticipation of 7 months with average savings of 35% in CAPEX(3)
shareholders
Ensure business	4	SUSTAINABLE & SUPERIOR SHAREHOLDER RETURN
longevity

(1)	Corresponds to 100% of the infrastructure of each company (not weighted by ISA's interest)
(2)	Only operational Assets, desconder projects under construction	3

• WELL POSITIONED TO CAPTURE FUTURE GROWTH OPPORTUNITIES
• 1. RAP cycle 2023/2024
  2. Real Internal rate of return
  3. Considers assets fully owned by ISA CTEEP that have been won in bids since 2016 and have already been energized, saving against ANEEL benchmarking

4

REVENUE PROTECTED

FROM INFLATION, VOLUME AND PRICE RISK

Contracted Revenue(1) breakdown

Concession Type

DISCIPLINED & SUSTAINABLE

GROWTH TRACK-RECORD

STABILIZATION

GROWTH

R$ billion

16%

R$ 3.7 billion

Original Concession:	Original Concession:
Organic Growth
RBSE Revenue
(O&M + R&I)(2)
Recurring capex	Remuneration for non-
opportunity without	depreciated assets at the
competition	time of contract extension

New Concessions

(Type 2 and 3)

Newer, long term concession, indexed to inflation (IPCA)

								6,2
Contracted Revenue Evolution (1)						4,9
Assets in operation and under construction	3,4	3,3	3,5	4,3	3,8
(R$ billion)
0,8	0,9	1,1	1,2	1,3

	R$ 6.2		35%
25%	billion	59%	65%

Low-risk,in-house	Offers firepower for growth
organic growth	opportunities
potential	Indexed to inflation (IPCA)

Indexed to inflation (IPCA)

Critical to renew and extend duration of the asset portfolio

Possibility of reinforcement capex (on demand)

Acquisition of	Beginning of RBSE	Auction
1 full concession	Receivables in the Original	16 more lots won
	Concession (059/2001)

			1 Concession
Concessions Portfolio	Original Concessions	21% of Contracted	38% of Contracted
Original Concession (Contract 059)	(Contract 059)	Revenue(1)	Revenue(1)
New Concessions	Operational	RBSE Receivables	19-year remaining	19-year remaining
New Concessions	Under Construction	Organic Growth	concession term	concession term	(3)
(O&M + R&I)(2)

34 Concessions

41% of Contracted

Revenue(1)

24-year remaining concession term(4)

2013	2014	2015	2016	2017	2018	2019	2020	2021	2022	2023
Renewal of the		Auction		Acquisition of 4 concessions	Conclusion of 12 projects
Original Concession		3 lots won		3 partial and 1 full		+R$ 644.8 million in Contracted Revenue(2)
(059/2001) for 30 years

(1) Annual Permitted Revenue (RAP) cycle 2023/2024 | (2) Operation and mainteinance + Retrofitting and Improvements | (3) Most receivables are focused on the next 5 years | (4) Weighted average by RAP cycle 2023/2024

5

(1) Nominal RAP Cycle, consider RAP from RBSE and Adjustment Portion (PA) | (2) Annual Permitted Revenue (RAP) cycle 2023/2024

6

CONSISTENT GROWTH

ACROSS SEVERAL KPIs

	2013		2023
Contracted Revenue	R$ 866 mm	+231%	R$ 2,866 mm
(Operational ex-RBSE)
		+R$ 972 mm
			under construction
Market Share¹ of Contracted	9.0%	+257 bps	11.3%
Revenue

OPTIONALITY TO PRIORITIZE

PROFITABLE GROWTH INITIATIVES

Retrofitting & Improvements	Greenfield (auctions)
Organic capex in the Original Concession	Public auctions with cyclical return and
Pre-defined regulatory return	competition levels
ISA CTEEP advantages: engineering solutions,
No competition
capex procurement, synergies, operational
RAP/CAPEX of 12-17%	holding
	Double-digit equity IRR + inflation
Higher Profitability	Greater Longevity

Brownfield

Several actionable opportunities

Selective approach focused on synergic targets

Less Risk

Concessions avg. term²	Jun/41	+52 months	Oct/45
Number of Concessions	15	+133%	28
			+7
			under construction
Transmission lines³	14k km	+ 113%	20k km
			+3k km
			under construction

¹ List of ANEEL modules 2023/2024 + Auctions 02/2022, 01/2023, 02/2023 e 01/2024 baseline June/23 | ² Weighted by RAP, excluding RBSE | ³Assets in operation and under construction March/2024

Investments Evolution(3)

R$ million							Retrofitting & Improvements: R$ 5 bn
Retrofitting & Improvements
							Greenfield: R$ 10 bn
Greenfield (auctions)
CAGR(1): +39.9%
Brownfield(2)
		3,297
			1,901	1,929	2,067
		1,306		1,104	847
386	771		1,029
1,074			1,220
24 219	638		368	825
142	133	232
2018	2019	2020	2021	2022	2023	2024	2025	2026	2027	2028
(1) CAGR: Compound Annual Growth Rate | (2) Considers Enterprise Value amounts | (3) Cost of construction, IFRS accounting					8

PROJECTS CONCLUDED WITH EXCELLENCE

2019	Itapura Bauru			Avg. Construction
RAP(2): R$ 13.5 million			advance vs. ANEEL
				7 monts
2020	Itaquerê	Tibagi		Avg. Efficiency vs.
RAP(2): R$ 62.9 million	RAP(2):R$ 21.5 million
				ANEEL Capex
				35%
2021	Aguapeí	Itapura Lorena
RAP(2): R$ 74.2 million	RAP(2):R$ 14.3 million		Total investment(1)
				R$ 3.9 bn
	Três Lagoas	Biguaçu
	RAP(2): R$ 5.8 million	RAP(2): R$ 49.5 million	Ivaí (50%)	Energized Projects
2022
Aimorés (50%)	Paraguaçu (50%)	RAP(2):	2019 - 2023
	R$ 181.3 million	12
	RAP(2): R$ 47.9 million	RAP(2): R$ 66.8 million
	Itaúnas	Triângulo Mineiro		Contracted Revenue(2)
2023		R$ 644.8 mm
RAP(2): R$ 65.0 million	RAP(2): R$ 42.1 million
(1)		| (2) RAP Cycle 2023/2024 ,	(3) In relation to ANEEL's term | (4) Actual investment, baseline June/23, compared to ANEEL Capex. 9

INNOVATION DRIVING REVENUE INCREASE

I n n o v a t i o n f o r Va l u e C r e a t i o n

Smart Wires	Drones	Energy Storage	Power Reserve
Auctions
Technology to control	First company to use drones	First large-scale project for	Usage of the energy storage
the energy flow through	for inspection and
energy storage in batteries	technology in Power Reserve
several transmission	maintenance of transmission
implemented in 2022	Auctions
lines	lines in Brazil

10

Authentic and Effective ESG Agenda

• Carbon Neutral since 2019
  Annual CO2 reduction target
  1st energy transmission company to issue Green Bonds in Brazil
  Protection of 135k hectares in Mato Grosso do Sul: Protecting without Possessing

• Safety as non-negotiable value
  Young Apprentice and Young Talents programs
  Active program for diversity and inclusion

G	Listed on B3 since 1999
BoD¹ with 25% independent	members
3 advisory committees²
Critical Risk Analysis	committee

(1) Board of Directors | (2) Organizational Talent, Audit & Risks, Corporate Governance, Sustainability, Technology and Innovation	11

STOCKS

STRUCTURAL GROWTH TAILWINDS

(1)

Rebased to 100 on December 31st, 2012

750
700		584.4%
650
600
550		448.1%	TAESA
500
450
400
350		213.1%	Alupar
300		196.2%	IEE
250		181.2%	CDI
200		106.6%	IBOVESPA
150
100
50
Jan-13	Jan-14Jan-15	Jan-16Jan-17Jan-18Jan-19Jan-20Jan-21Jan-22Jan-23Jan-24

Source: FactSet, Central Bank of Brazil, IBGE and B3 as of April 30th, 2024.

Note: (1) Performance considering dividends received by the shareholders of each company since December 31st, 2012.

December 31st, 2012 to March 31st, 2024.

Shareholder

Total Return

Average Annual Return

18.5%

(10.4% average annual share price appreciation)

IPCA + 11.5%(2)

243% x CDI

Practice of at least 75% payout to

12

READY TO BENEFIT FROM

STRUCTURAL GROWTH TAILWINDS

Transmission lines development in

Brazil mainly driven by:

• Integration of new renewable sources (solar and wind)

• Large amount of wind and solar development in the Northeast

+40 GW in energy generation

C installed capacity (+16 GW from wind and solar sources) until 2031

Pioneer in new technologies to serve energy transition through smart wires and energy storage solutions

Dominant presence in the Brazilian Center-South, which is the wealthiest region in Brazil, representing

Footprint and execution capabilities poised to connecting new renewable projects in the Northeast region to the energy transmission grid

I N V E S TO R R E L AT I O N S |T EA M

[e-mail] @isacteepbr www.isacteep.com.br/ri

+ R $ 1 5 8 b n I n v e s t m e n t s e x p e c t e d t o e x p a n d t h e n e t w o r k i n t h e c o u n t r y u n t i l 2 0 3 2

Source: ISA CTEEP, The Economist and EPE. Note: (1) According to PDE 2030/2032.

13