EDP Energias do Brasil S A : 1Q21 Market Release

1Q21 Operational Release

São Paulo, April 14, 2021 - EDP Energias do Brasil S.A. ("EDP" or "Company") (B3: ENBR3) announces information on the electric energy market for the first quarter of 2021 ("quarter") for the Company's business segments.

Distributed Energy volume was up 4.4% in the quarter, of which 3.9% at EDP São Paulo ("EDP SP") and 5.1% at EDP Espírito Santo ("EDP ES").

				EDP Distribution
		Volume (MWh)			Consumers (unit)
		1Q21		1Q20	Var		1Q21		1Q20		Var
Residential	1,748,981	1,655,386			5.7%	3,094,794	3,012,747	2.7%
Industrial	2,859,523	2,723,831			5.0%	23,627	24,738	-4.5%
Free	2,502,596	2,349,561			6.5%	691	573	20.6%
Captiv e		356,927		374,270			-4.6%		22,936		24,165		-5.1%
Commercial	1,088,516	1,106,886			-1.7%	269,712	261,434	3.2%
Free		322,565		279,664			15.3%		770		530		45.3%
Captiv e	765,951	827,222			-7.4%	268,942	260,904	3.1%
Rural	249,110	208,974			19.2%	200,621	198,904	0.9%
Others	502,465	485,900			3.4%	28,637	28,406	0.8%
Free	87,159	87,713			-0.6%	19	15	26.7%
Captiv e		415,307		398,187			4.3%		28,618		28,391		0.8%
Permissionary	12,614	12,275			2.8%	-	-	-
ConcessionariesGeneration	143,583	132,524			8.3%	-	-	-
Total Energy Distributed	6,604,792	6,325,775			4.4%	3,617,391	3,526,229	2.6%
Free - Total	3,055,903	2,849,461			7.2%	1,480	1,118	32.4%
Captiv e - Total	3,548,890	3,476,313			2.1%	3,615,911	3,525,111	2.6%
				EDP São Paulo
		Volume (MWh)			Consumers (unit)
		1Q21		1Q20	Var		1Q21		1Q20		Var
Residential	1,031,935	975,485			5.8%	1,819,121	1,770,883	2.7%
Industrial	1,924,542	1,817,756			5.9%	13,359	13,778	-3.0%
Free		1,689,405		1,566,890			7.8%		462		387		19.4%
Captiv e	235,137	250,866			-6.3%	12,897	13,391	-3.7%
Commercial	652,317	660,510			-1.2%	140,113	133,888	4.6%
Free	207,920	179,610			15.8%	469	295	59.0%
Captiv e		444,397		480,899			-7.6%		139,644		133,593		4.5%
Rural	15,323	14,946			2.5%	5,369	5,069	5.9%
Others	291,079	298,561			-2.5%	14,584	14,559	0.2%
Free		86,155		87,532			-1.6%		13		14		-7.1%
Captiv e	204,924	211,028			-2.9%	14,571	14,545	0.2%
Permissionary	12,614	12,275			2.8%	-	-	-
ConcessionariesGeneration	94,521	90,150			4.8%	-	-	-
Total Energy Distributed	4,022,331	3,869,682			3.9%	1,992,546	1,938,177	2.8%
Free - Total	2,078,001	1,924,182			8.0%	944	696	35.6%
Captiv e - Total	1,944,330	1,945,500			-0.1%	1,991,602	1,937,481	2.8%
				EDP Espírito Santo
		Volume (MWh)			Consumers (unit)
		1Q21		1Q20	Var		1Q21		1Q20		Var
Residential	717,047	679,901			5.5%	1,275,673	1,241,864	2.7%
Industrial	934,981	906,075			3.2%	10,268	10,960	-6.3%
Free	813,192	782,671			3.9%	229	186	23.1%
Captiv e		121,790		123,403			-1.3%		10,039		10,774		-6.8%
Commercial	436,199	446,377			-2.3%	129,599	127,546	1.6%
Free		114,645		100,053			14.6%		301		235		28.1%
Captiv e	321,554	346,323			-7.2%	129,298	127,311	1.6%
Rural	233,787	194,028			20.5%	195,252	193,835	0.7%
Others	211,386	187,339			12.8%	14,053	13,847	1.5%
Free	1,003	180			455.9%	6	1	-
Captiv e		210,383		187,158			12.4%		14,047		13,846		1.5%
ConcessionariesGeneration	49,062	42,374			15.8%	-	-	-
Total Energy Distributed	2,582,461	2,456,093			5.1%	1,624,845	1,588,052	2.3%
Free - Total	977,902	925,280			5.7%	536	422	27.0%
Captiv e - Total	1,604,560	1,530,813			4.8%	1,624,309	1,587,630	2.3%

1

1Q21 Operational Release

Industrial	Commercial
43%	17%
	Rural
	4%
	Others
	8%
	Perm. +
	Concessionaries
	2%
	Residential
	26%

Industrial	Commercial
47%
17%
	Rural
	0%
	Others

7%

Perm. +

Concessionaries

3%

Residential

26%

Industrial	Commercial
36%	17%

Rural 9%

Others 8%

Concessionaries 2%

Residential 28%

The consumption of distributed energy arises from the high temperatures seen in the period, from the low rainfall, and from a growing number of customers. The quarter kept the pace of the manufacturing sector's recovery,1 as has been the case since late 2020, after months of restrictions intended to contain the COVID-19 pandemic.

The number of total clients was up 2.6%, and the number of free clients was up 32.4% (248 at EDP SP and 114 at EDP ES), due to the migration of captive clients into the free market.

up 3.9%, due to increased manufacturing activity, higher temperatures and social distancing measures.

• Residential: the 5.8% increase is due to higher temperatures (+1.1°C, maximum temperature in Guarulhos), from a growing number of clients (+2.7%) and from social distancing measures encouraged as a means to prevent against COVID-19, inducing the population to stay at home. Results for this class were minimized by the negative effect of a lower number of average billing days for low voltage (-2.5 days);
• Industrial: the 5.9% increase is due to the manufacturing sector's recovery,2 the highlights being pulp and paper (+11.0%), metallurgy (+6.7%), rubber and plastic (10.2%), non-metallic minerals (+8.9%) and chemicals (+5.4%);
• Commercial: the 1.2% decrease reflects the lower number of billing days for low voltage (-2.6 days) and the slow pace of retail in the early months of the year,3 due to the impact of social isolation measures leading to the temporary shutdown of commercial establishments, particularly in March; and
• Other:4the 2.5% decrease reflects the lower number of billing days for low voltage (-2.8 days), in addition to effects associated with social isolation measures.

up 5.1%, due to increased manufacturing activity, higher temperatures and social distancing measures.

• Residential: the 5.5% increase is due to a growing number of clients (+2.7%), higher temperatures (+1.2°C, minimum temperature in Vitória), and social distancing measures as mentioned before;
• Industrial: the 3.2% increase is due mainly to the manufacturing sector's recovery, with particular emphasis on non-metallic minerals (20.8%) and chemicals (9.4%);
• Commercial: the 2.3% decrease reflects reduced retail activity due to the social distancing measures taken to contain the pandemic, culminating in the temporary shutdown of commercial establishments;

1 Up 1.3%. Source: Instituto Brasileiro de Geografia e Estatística - IBGE. Monthly Industrial Survey. February/2021. Physical output index - Brazil. Accumulated Jan-Feb/21 output versus the same period in 2020.

2 Up 5.0%. Source: Instituto Brasileiro de Geografia e Estatística - IBGE. Monthly Industrial Survey. February/2021. Physical output index - Brazil. Accumulated Jan-Feb/21 output versus the same period in 2020.

3 Retail activity down -2.1% in accumulated terms to February, versus the same period in 2020. Source: Serasa Experian. Economic Indicators - Commerce. February/2021.

4 Other concerns the public sector, public lighting, public service, and own consumption.

2

1Q21 Operational Release

• Rural: the 20.5% increase reflects lower rainfall (-119 mm, in the Northern portion of the state), contributing to increased use of electric energy for irrigation purposes; and
• Other:4the 12.8% increase is due to lower revenues from the public lighting customer class in 1Q20. Ex- this effect, there would have been a 3.2% decrease due to social distancing measures.

3,582	3,504
659	662
1,329	1,329
1,594	1,513
1Q20	1Q21
Jari, Cachoeira Caldeirão and São Manoel HPP's
Total TPP
Total HPP's

		28%
27%
			26%
		26%
	23%		24%
24%
	22%
1Q	2Q	3Q	4Q
	2020	2021

On a consolidated basis, the volume of energy sold was 1,513 GWh, down 5,1%, due to the lower volume of energy sold from Lajeado (-48.1 GWh) and Energest (-108.5 GWh). This was mitigated by an increased volume of energy from Enerpeixe (+75.5 GWh). The decrease is due to lower energy contracted at Lajeado, the lower volume of bilateral contracts, and reduced secondary energy. Considering the unconsolidated projects,5 volume was up 3.1%.

The strategy of seasonally weighting sales contracts allocated a greater volume of energy to the first and third quarters, due to the delayed rainy season and higher expected prices, respectively.

Average GSF was 87.6%,6 producing an exposure of 204.4 GWh,7 at an average PLD of R$ 172.5/MWh (SE/CO submarket).

R$ 352.4

R$ 187.9R$ 172.5

R$ 75.5 R$ 91.7

102.5%	90.1%	87.6%
	66.0%	68.3%

1Q20

2Q20

3Q20

4Q20

1Q21

PLD Southeast

1Q20	2Q20	3Q20	4Q20	1Q21
		GSF

5 Considers stakes in the Jari, Cachoeira Caldeirão and São Manoel HPPs

6 Weighted average

7 Ex- the Jari, Cachoeira Caldeirão and São Manoel HPPs

3

1Q21 Operational Release

Average plant uptime in the quarter was 93.4%. Dispatching took place in January and February because of increased demand, together with worsening hydrological conditions.

		92.4%	98.1%	95.2%	95.7%	88.1%	91.9%	93.9%	92.9%	93.4%
83.4%
77.2%	80.3%

2018	2019		2020	1Q21
	GU01	GU02	Average TPP

The volume of energy traded8 was 3,892 GWh, down 62%, due to changes in the energy scenario in the rainy season arising from lower rainfall, leading to higher price volatility and increased credit risk. The quarter also experienced impact from social isolation measures culminating in a temporary shutdown of commercial establishments. It is worth emphasizing that the volume of energy traded in 1Q20 had a positive impact from backup energy sale operations that enabled low-risk returns in that period.

8 Traded energy considers provisioned + realized amounts

4