In line with the best market practices, the Company has always invested in the enhancement of its management processes and control systems. In September 2002, CTEEP was the first company of the electric power sector in the state of São Paulo to join BM&FBOVESPA´s Level 1 of Corporate Governance.

Furthermore, the Company meets higher criteria set up by the stock exchange, such as the formation of its Board of Directors, which is made up of ten members, of which one is the employees` representative. The financial statements are translated into English and made available in the Company`s website, which consists in a requirement only entailed by the rules set out by the listing segments of Level 2 and Novo Mercado.

CTEEP`s preferred shares (TRPL4) take part in the formation of Ibovespa, the most important stock exchange index that measures the average performance of stock prices in the Brazilian market. Moreover, the Company stock also makes up the BM&FBOVESPA`s Corporate Governance Index (IGC), which encompasses the companies that enjoy distinguished corporate governance standards and outstanding relationship with stakeholders; in addition to composing the IBrX – Índice Brasil, an index that gathers the most actively traded stocks at BM&FBOVESPA. Furthermore, CTEEP has ADRs Rule 144 listed in the United States.

The Material Act or Fact Disclosure Policy establishes rules for disclosing material information and keeping confidentiality over relevant insider information. Along with the Securities Trading Policy, the Code of Corporate Governance lays down guidelines that govern the relationship between shareholders, the Board of Directors, the Audit Committee and the Executive Board. ( GRI 4.6 )

All the aforementioned efforts exerted by the Company to meet the best market practices reflect CTEEP`s commitment to an efficient and transparent corporate governance.