Centrais Eletricas Brasileiras S A Eletrobrás : MARKET ANNOUNCEMENT (Form 6-K)

MARKET ANNOUNCEMENT

CENTRAIS ELÉTRICAS BRASILEIRAS S/A CNPJ: 00.001.180/0001-26 | NIRE: 533.0000085-9 PUBLIC COMPANY

Centrais Elétricas Brasileiras S/A ('Company' or 'Eletrobras') (B3: ELET3, ELET5 & ELET6; NYSE: EBR & EBR.B; LATIBEX: XELT.O & XELT.B) hereby informs its shareholders and the market in general, in addition to the Relevant Fact of February 23, 2021, that yesterday, May 19, 2021, in a session of the Lower House, Provisional Measure 1031 was approved ( 'MP 1031') that deals with the Capitalization of Eletrobras, with amendments proposed by the deputy rapporteur in relation to the original text proposed by the Hon. Mr. President of the Republic.

The proposed model remained in the approved text so that the Company can be privatized by diluting the voting capital of the Federal Government, through the issuance of new common shares, and also that any shareholder, including the Federal Government, cannot vote with more than 10% of their voting shares, regardless of their shareholding, in the 'corporation' model.

The text of MP 1031, as approved by the Lower House, will be forwarded for consideration by the Federal Senate.

The Company will keep the market informed of the subject of this Announcement.

Rio de Janeiro, May 20, 2021

Elvira Cavalcanti Presta

CFO and Investor Relations Officer

This document may contain estimates and forecasts that are not statements of fact that occurred in the past but reflect our management beliefs and expectations and may constitute future events' forecasts and estimates under Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended. The words 'believe', 'may', 'estimate', 'continue', 'anticipate', 'intend', 'expect' and related words are intended to identify estimates that necessarily involve risks and uncertainties, known or unknown . Known risks and uncertainties include, but are not limited to: general economic, regulatory, political and commercial conditions in Brazil and abroad, changes in interest rates, inflation and value of the Real, changes in volumes and the pattern of use of electricity by consumer, competitive conditions, our level of indebtedness, the possibility of receiving payments related to our receivables, changes in rainfall and water levels in the reservoirs used to operate our hydroelectric plants, our financing and capital investment plans, existing and future government regulations , and other risks described in our annual report and other documents filed with CVM and SEC. Estimates and forecasts refer only to the date they were expressed and we assume no obligation to update any of these estimates or forecasts due to the occurrence of new information or future events. Future results of the Company's operations and initiatives may differ from current expectations and the investor should not rely solely on the information contained herein. This material contains calculations that may not reflect accurate results due to rounding.