Licensing

Environmental Licenses · NOVA PONTE AND MIRANDA PLANTS AND OTHER PROJECTS

Environmental Policy of Cemig

Principle no.1: Cemig shall plan, design and develop its activities taking into consideration the environment related implications.

In order to comply with the state legislation and environmental policy, Cemig focuses its attention on fulfilling its obligations at each and every stage of the project licensing process – the Preliminary License, the Installation License and the Operations License. The project stages are: the Environmental Impact Assessment (EIA), the Environmental Impact Report (Rima), the Environmental Control Report (RCA) and the Environmental Control Plan (PCA), all of which must meet the requirements of the Licensing Authorities.

Nova Ponte Hydropower Plant Environmental Licensing

Decree number 76.606 of July 23, 1975 granted Cemig permission to begin the construction of the Nova Ponte Hydroelectric Plant.

Due to the modern and innovative concept employed in its design and construction, it was one of the first in Brazil to comply with the new Environmental Legislation. The completion of the project required constant vigilance on Cemig’s part during that transitional period to ensure compliance with the constantly changing legislation.

In September, 1993, the Environmental Policy Council’s Chamber for the Defense of Ecosystems (CDE/COPAM) approved the Operations License (LO) for the plant. The first unit began commercial operations in September, 1994.

Nova Ponte entered history as the first Hydroelectric Plant in Minas Gerais to have obtained environmental approval in accordance with new legislation and to have complied with the Environmental Control Plan that covers all issues regarding the physical, biotic and socio-economic-cultural environments.

Miranda Hydropower Plant Environmental Licensing

In January 1989, Cemig sent the EIA/RIMA of the power plant to the state’s environmental authority, Fundação Estadual do Meio Ambiente (FEAM) requesting the Installation License, which was granted by COPAM in November of the same year.

The 14th of May, 1997 saw FEAM’s Chamber for Water Basins grant Cemig the Operations License (LO) for the Miranda Hydropower Plant, which allowed the filling of the reservoir to commence.

In September of the same year, following the filling of the reservoir, the final steps in the completion of this stage of the Project were taken. Included in these steps were the reclamation of degraded areas, the construction of the Jacob Environmental Station, the riparian reforestation, the telemetric monitoring of the terrestrial fauna and the complementary post-filling migration assessment.

Igarapava Hydropower Plant Environmental Licensing

As the Igarapava Hydropower Plant was to be constructed on the Grande River, on the border of the states of Minas Gerais and São Paulo, the environmental license was required by both state’s authorities. The Preliminary and Installation Licenses were duly granted by both FEAM/MG and DAIA/SP.

Due to the alterations made to the environmental legislation, promulgated by CONAMA’s resolution # 237 of Dec.12, 1997, the Operations License was granted by IBAMA.

Some outstanding features of this Plant are the extensive riparian reforestation program and fish ladder, alongside several other environmental programs that have allowed this Power Plant to earn its environmental licenses from not only the state but also the federal environmental authorities.

Environmental Licensing of Substations and Transmission Lines

Studies conducted into the Company’s compliance with the environmental license legislation requirements, regarding Substations and Transmission Lines, aided in the establishment of methodologies that complied simultaneously with the project’s specific needs and environmental requirements.

All throughout the design, construction and operation stages of every project, the variable environment is accounted for, combining the efforts of Cemig’s many sectors: design, environment, construction, maintenance and legal.

In this way, Cemig adheres to the environmental criteria laid down in its Transmission Line and Substation procedures, such as the protection of riparian forests, the preservation of natural springs, the reclamation of stripped lands, the control of service roads and the mitigation of erosive processes.

Environmental Licensing of GASMIG’s Gas Pipeline

The environmental licensing process of GASMIG’s Natural Gas Distribution System (NGDS) is also conducted by Cemig, following all the steps required by the environmental authorities. Several NGDS related projects, such as the Juiz de Fora segment (29 kilometers / 18 miles) and the Belo Horizonte segment (57 kilometers / 35,6 miles) have already obtained environmental licenses.