Vivo inks partnership with Elera, becomes the first company in the sector in self-production of energy

This is a machine translation of Telefônica Brasil's press release

São Paulo, October 17, 2023 — Vivo took another important step in its ESG strategy, towards the diversification of the energy matrix, using 100% renewable sources. The company entered into a partnership with Elera Renováveis, one of the largest companies in the energy sector, to become self-producer in four solar parks totaling 237MWp. The complex destined for Vivo is installed in Janaúba, Minas Gerais, and should supply more than 200 medium voltage consumer units. In this way, Vivo becomes the first company in its sector to operate in this energy supply model.

With the measure, 76% of Vivo's consumption that comes from the free energy market will migrate to self-production. “Medium voltage self-production consolidates our strategy focused on sustainable development and best ESG practices, which includes the use of renewable energy and the implementation of distributed generation plants, which already total 62 units, from solar, hydro and biogas sources, in operation throughout the country”, reveals the director of Assets, Logistics and Purchasing at Vivo, Caio Guimarães.

Carlos Guerra, Commercial and New Business Vice President at Elera, reinforces that the partnership with Vivo reflects the company's commitment to the sustainable energy transition agenda. “The construction of the largest solar complex in the Americas is a historic milestone for Brazil and for our company. The complex, which came into operation this year, prevents the emission of more than 740 thousand tons of CO2 per year, and helps our customers achieve their decarbonization goals in a competitive way. Long-lasting partnerships like Vivo’s are an example of how energy consumers can become self-producers”, he explains.

Leader in its sector in Brazil, with 112 million fixed and mobile accesses, Vivo uses electricity as an essential input in the provision of services, with an average consumption of 1,800 GWh hour/year. Entering self-production reduces dependence on purchasing energy on the free market and makes the company less susceptible to variations in the sector.

Unlike distributed generation, which meets low voltage consumption, the self-production modality allows the plant to be installed in a location other than where the energy is consumed. The Janaúba solar complex is located on an area of 3 thousand hectares and has, as a whole, 2.2 million solar panels. Vivo's consumption corresponds to 20% of the plant's production, equivalent to 440 thousand plates.

Renewable energy as an ESG strategy

Since 2015, Vivo has maintained environmental goals aimed at reducing emissions, renewable energy and energy consumption per volume of data transmitted on its network. In November 2018, it became the first company in the sector with energy 100% from renewable sources, both due to the distributed generation project, at low voltage, and through energy obtained on the open market. The remainder of the company's consumption from the regulated market is compensated with I-RECs ( International Renewable Energy Certificates ), from wind sources.

The use of renewable energy helped Vivo reduce its direct CO 2 emissions by 88% in the period between 2015 and 2022, and enabled the company to make important progress in neutralizing its greenhouse gas emissions. The company is carbon neutral in direct emissions. As part of the Telefônica group, it aims to achieve net zero emissions by 2040, considering its entire value chain.

About Vivo

Vivo is the commercial brand of Telefônica Brasil, a leading telecommunications company in the country, with more than 112 million accesses (1Q23) and its purpose is “Digitalize to Get Closer”. It acts as a digital hub, facilitating its customers' access to services in different areas, such as entertainment, sports, digital security, finance, health and education. It provides fixed and mobile telecommunications services throughout the national territory and has a complete and convergent product portfolio for B2C and B2B customers. In the mobile segment, Vivo has 98 million accesses and accounts for the largest market share in the segment (39%) in the country. Guided by constant innovation and the high quality of its services, Vivo is at the center of a Digital transformation, which expands your customers' autonomy, personalization and real-time choices, putting them in charge of their digital lives, with security and reliability. Telefônica Brasil is part of the Telefónica Group, one of the largest communications conglomerates in the world.

About Elera Renováveis

With a diversified portfolio, Elera Renováveis is one of the largest companies in the renewable energy sector in Brazil with more than 3,400 MW of installed capacity in operation and construction. The company has a 100% renewable energy matrix made up of hydroelectric plants, wind farms, solar parks and biomass plants. The mission is to generate clean, safe and sustainable energy for customers, generating value for the communities surrounding the projects and the environment. For more information, visit: www.elera.com