Cemig''s profit jumps in 1° quarter

The mining electric Cemig had net profits of R $342,700,000 in the first quarter, nearly 70 times higher as compared to the same period in 2016, driven mainly by gains from energy sales in the spot market.
The company showed cash generation as measured by earnings before interest, taxes, depreciation and amortization (Ebitda) of R $1.1 billion between January and March, up 70.5% compared to the previous year.
The net revenue of the company reached R $4.8 billion, 8% above the recorded a year ago.
Cemig gained R $226,600,000 with sales of electricity in the short-term market, or spot, compared with only $ $2,600,000 in the first quarter of 2016.
Cemig said it had more energy for sale on the spot market this year, in addition to the transactions have been carried out to a spot price, or Price of settlement of differences (PLD) of average R $151.67 per megawatt-hour, compared with R $34.69 last year.
The Cemig Group consolidated, the volume of energy sold showed stability in the quarter, with a fall of 0.2% over the previous year.
While sales of energy to consumers and personal consumption fell by 2.1% in comparison with the same period in 2016, sales to distributors, traders and generators or independent producers grew 7.3 percent in the period.
Auctions
The National Electric Energy Agency (Aneel) intends to conduct the auction in September of four hydroelectric power plants of Cemig, plants that have had their leases expired and have not been renewed by the company. The Government is expected to raise at least R $10.1 billion with the making of the Jaguara plants, Miranda, São Simão and Back Big. Some R $1 billion should be transferred to Cemig, because of goods and investments that the State did and they are not depreciated until such time as a new dealer take the generators.
Aneel has defined the monthly values of the dimensions of energy provided by Jaguara and Miranda. The scheme was established to compensate the power plants that will be relicitadas.
Jaguara, with 424 MW power, will receive R $11,500,000 in revenue from 27 April to 30 June. In the same period, Miranda, with 408 MW capacity, will pay of R $8,900,000.