Transmissora Alianca de Energia Eletrica SA
BOVESPA:TAEE3
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Transmissora Alianca de Energia Eletrica SA
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Good morning, everyone, and thank you for waiting. You are very welcome to the video conference and the results of Taesa. [Operator Instructions] We like to inform you that this is being recorded, and it will be available on the site of the company where it is -- the whole material of this call is available. You can do the download of the presentation also on the chat icon. [Operator Instructions]
We highlight that the information in this presentation and the declarations that might be made during this conference related to the perspectives of business projections, operational targets, and financial goals are beliefs and premises of the company and information that currently is available. Future considerations are not guarantees of performance. They involve risks, uncertainties and premises because they refer to future events, conditions of the market, and other conditions that can affect Taesa and can lead to results that are different from those expressed in these future considerations.
Now I'm going to give the floor to Andre Moreira, who's the CEO of Taesa.
[Interpreted] Good morning to everyone, and thank you for participating in our video conference about the results of the second quarter of 2021. I would like to make it clear that our -- Erik Breyer, the Financial Director; the New Business and Management participation, Fabio Fernandes; the Implementation Director, Luis Alves; and the Technical Director, Marco Faria, and all our team. Just a message to remind you that you can send your questions by the Q&A platform at any time during the presentation.
And before we start our presentation about the results, I'd like to make some comments that are important. First of all, I'd like to remind you that I'm now 9 months in Taesa and even with not a long time here, it seems that I've been here for many years. But I'm more and more aware of the importance, the professionalism, and the seriousness and the capacity of execution of this company. And also with ambitious strategic plan, long term, that we want to maintain our relevance position and consolidation in the market.
We have several actions to make Taesa even better to be able to deal with the challenges of the sector. One response to our ambition was our recent participation in the last bidding process that took place in last June, remembering that the 5 lots that were offered, we participated in 4, and in 2, we had the best value. Our perception is that it was a huge step in this change of posturing the evolution of our capacity of competing in the current scenario of bidding processes as part of our strategic plan. And one of the vectors is passport to growth, which is being competitive. But as we always highlight, the growth has to be sustainable. In other words, this is a condition, [Foreign Language], the growth has to come together with revenue, profit and generation of value for our business. We will never let this go, we are firm and we will do the best to win these tenders.
We have 2 bidding processes that will happen in the future. One is at the end of the year, with a total focus and the investments, they add up BRL 2.7 billion. And recently, the Ministry of Mines and Energy has informed about the first one in 2022 with an investment, which will be around BRL 6.7 billion. So this is -- we are -- is what the future brings. And we're studying this in terms of M&A. We have seen a market that is quite hot now, and we have evaluated everything that is possible and obviously, what makes sense to evaluate.
As for our business, we're very dedicated and continuing to give the maximum attention for the execution and conclusion of different works. One of them, Janaúba is at the end, almost concluded, it will be delivered soon. And our new Implementation Director, Luis Alves, is going to comment at the end when we finish our presentation about the 6 projects that are ongoing.
I also would like to say that we've had one more solid results on the point of view, operational regulatory, also the point of view IFRS, as you'll see in presentations of our CFO, Erik.
But before giving the floor to him, I'd like to also talk about an important program that I think is fantastic and transformative. So let's go to the Slide 3 of my presentation. Recently, we had interesting speech in our company with [ Mike Schneider ]. She's the co-founder of [indiscernible] and she's a consultant in Inclusion and Diversity. She said something that called our attention. It was very meaningful. When at home and you go outside to throughout the trash, it doesn't make sense because there's no inside or outside. Everything is inside. In this sense, to be sustainable is think and act collectively because we are all inside the same environment, and that's what we believe in and that's what we value. We don't believe in green washing or social washing. We're working effectively in actions that can improve the life of people and contribute to the collective well-being.
Our sustainability agenda is strong with the implementation of several actions, an idea is always to bring the evolution of this work that is continuous, evolves and fundamental for our business and for society as a whole. And the social dimension of our agenda, we have actions and programs that go after personal development and well-being of our collaborators, our biggest asset.
Taesa has always been highlighted by care of people because we understand that human capital is essential for the development of our business. And that's why we bring here what we've been doing in terms of Diversity and Inclusion. We have a robust and wide scope program to value, promote, adopt Diversity and Inclusion with a combination of different perspectives to cooperate to the solving of problems, promotes innovation, increases the engagement and contribute to the sustainability of the company and society itself.
More than just to guarantee the expression of singularity of people, the appreciation of diversity involves a permanent search for cooperation and for solutions that interests everyone, everywhere. The practice of inclusion favors the interaction between all people in -- with respect, dialogue and mutual cooperation. We know it's challenging, but it also motivates us because diversity can generate value in organizations in a healthy and pleasant environment for everyone with no exception. This is very good for the increase of productivity and innovation. We also believe that's the right thing to do.
We all have responsibility and the obligation to go after a society, which is inclusive just for everyone, independent of what we believe the benefits are a lot. Commitment with society, respect to the cultural and social differences, engagement of teams, attraction and retention of talents, reduction of conflicts, and also improving the company and being an educational program. We do not own the truth. We have a lot to learn, and we're learning a lot with this long journey that has just started.
We have listened a lot. We have done trainings, talks with the most varied specialists, with varied knowledge, it has been very enriching. And all this new knowledge when we really come out of ourselves. We are sure that we will make mistakes, but it will be part of the -- our process of awareness and of learning.
We have 18 actions, over 100 activities. We're going to increase the diversity and also the sensitization of our collaborators for inclusion and equity and respect.
Among the first actions, we have a Diversity and Inclusion policy. We have guidelines, duties and responsibilities to promote and value, and also formalizing our commitments through an adhesion term of all collaborators. At the same time, we have a diversity committee now. This is representative, and the mission is to implement a management model of Diversity and Inclusion with the planning of actions for the needs of our population. It's constituted by 7 members that represent our diversity.
All this defining targets for the continuous evolution of the program associated to our strategic planning under the artic of the pillar of sustainability. We remind you that sustainability is one of the main vectors, over which the strategic planning long term of the company will be elaborated and approved by Management Board at the beginning of this year.
Well, now we're going to tell you what is evolving very well. For example, the female empowerment. We have a series of internal forum with women, executives as speakers, telling their life and their personal stories and also professional stories. I always like a formation of women electricians. This is open to any woman nationally who wants to start working. And we know that this is normally men who work in this area. We know that women are very capable and completing everyone. Also for this job, we have excellent people that will be responsible for giving these courses. And we believe that the incentive and the pushing will make all the difference so that they can show their differences.
In the first course, we had over 300 people enrolled in all Brazil. This shows the receptivity. We trust that more women will be part of these technical areas of the energy of the company.
We also want to remind you that we have signed the principles of women empowerment, equity means and business by the United Nations and the global pact of the United Nations. Besides this, we are affiliated to the woman movement, which is known as MM360 with the goals of increasing the number of women that work in the company.
When we talk about Race and 50 more, we also have targets to contract older people, over 50, and black people. We have to force this curve of inclusion, giving an opportunity for everyone that wants to grow and develop, even though sometimes they don't have the adequate support.
We've also worked on communication and awareness of our collaborators about race, gender, domestic violence, PCD, 50 more, sexual orientation, women empowerment, among others. We launched last month, a chapter -- the first chapter of our book, which is a diversity program, and the topic was LGBTQIA+. Everything depends on education. So to know the behaviors and the beliefs that are not on our day to day, it's so important to generate empathy and respect.
When we talk about special people, we have some causes to prepare them for the market and also, these have been administrated by our collaborators. We also have a program that is called Talent Attracts a Talent, to contract these people in the company. If any of you know someone that you would like to recommend, pay attention to our page in LinkedIn, where all the vacancies for all the profiles are written. We hope to evolve in this important agenda.
Well, that's what I had to say. I thank you all, and I now give the floor to Erik, who is going to present us the results.
[Interpreted] Thank you very much. I'm going to present the performance of the second quarter. But before this, I want to comment on the readjustment of the annual permitted revenue that started now in July.
So let's move on to Slide 4, please. [ ANEEL ] has reported recently the cycle '21, '22 and has been said the contracts of Category II were readjusted by the IGP-M. 37% of variation, and the contracts, and Category III were adjusted by the IPCA in 8.1%. Even going through this period of high inflation, we were very secure that the contracts would be respected, reinforcing the robustness and the maturity of the regulatory mark of the electrical sector, and this happened. This is a proof of this belief that we had.
You can see on the graph that we closed the cycle of 2021 with BRL 2.2 billion. With a contractual readjustments of the inflation, we have a total of BRL 640 million in the annual permitted revenue and another BRL 37 million by the IPCA. This difference of the impact is due not only for the increase of the IGP-M, but also because our portfolio of concessions is more concentrated in assets of Category II than other categories. This relationship currently is 80% in Category II and 20% Category III, when we look, the assets that are operational currently. So this is responsible for this impact.
On the other hand, we suffered the already expected reduction of 50% of the annual permitted revenue of 7 concessions. ATE I and ATE II, the Transmineiras and this was an impact of BRL 140 million. So the operational RAP of Taesa, considering all the participations that were proportional to our stake, is a total of BRL 2.7 billion in the new cycle, an increase of 24.3%, remembering that this new annual permitted revenue is valid after the third quarter in '21.
We're working in 6 building projects, as you can see in the chart below is Janauba, Aimorés, Paraguacu, ESTE, Ivai and Sant’Ana. And together, this is going to add another BRL 630 million when they start the operations. So even considering the last reductions,and the future reductions of revenue of about BRL 180 million, we are going to have a revenue of BRL 3.1 billion in the near future, an increase of 44%, or almost BRL 1 billion more in relation to the operational RAP of the cycle 2020, 2021.
Now let's move to Slide 5. We're going to talk about the results of the quarter. I'm going to start highlighting the results of IFRS. We had a significant increase in the net profit, 50.3%, closing in BRL 698 million. And in the accumulated this year, we have an increase of 46.6%.
I would also like to talk about the payments that were carried out up to now. We have a robust amount of BRL 1 billion between dividends and interest rates, results of the result -- referring to results of 2020 as a consequence of this good performance of the company and our solid net position.
Now let's move over to Slide 6. I'm now going to detail the group -- the performance of the group and the main lines. As you can see on the chart, the main factors explain the increase of 50.3, and the profit were increase of BRL 363 million in the revenue of monetary correction, and BRL 132 million in the line of equivalents of assets because of the macroeconomical rates. This impact appears in the asset equivalent line. So these had -- these were high if you compare it.
And then the increase happened with the IGP-M, which was 8.77% in the second trimester versus 2.34% registered in the second trimester [indiscernible] positively the monetary correction of all the concessions of the Taesa Group. Remembering that our exposure to the IGP-M is higher, 68%, considering proportionally all our participations, and this belongs to the concessions of Category II.
We have a negative effect of BRL 120 million of the implementation margin due to the lower investments in Janauba because this project is being concluded and soon it will start operating as Andre has already mentioned. And then the financial expenses increase, which is BRL 145 million. I'm going to detail this impact further forward.
Now let's move to Slide 7, please, about the regulatory results. We see a growth of 4.3% in the net revenue compared with the second quarter of 2020. This is because of the inflationary readjustment and the operation of Mariana, which was compensated in part by the drop of the revenue in some concessions. The EBITDA is BRL 331 million and in the first quarter, BRL 4.5 million more than registered in the second and with a margin of 82.3%.
Besides what I mentioned of the net revenue performance, the costs are under control. And the increase of the EBITDA margin and the annual comparison on the operational side, we have a performance, which is solid and consistent. And we have an [ indices ] availability of 99.94% aligned with that, which was registered during the same time in 2020. So we maintain our excellence.
The variable possible has an increase of 1.28% in the semester due to the 2 events that were nonrecurring in the value of BRL 5 million. This has nothing to do -- these are things that come from the outside, inside and 2 cases, which we're waiting on to revert because they were motivated by external actions totally outside the company. Besides this, we have a very comfortable situation in the operational side. In spite of the good result, we've registered a negative net profit because of the macroeconomical impact in the financial results, which I'll be explaining soon.
Now let's move on to Slide 8, and here, we had a reduction of BRL 23.5 million in the financial revenue due to the lower volume of cash due to the payment of BRL 1 billion that we did of dividends and interest of capital, and also the CCB liquidation during the pandemic. So this drop was compensated in part by the higher profitability of the applications and the increase of the CDI. But the financial expenses, they had an increase of 377% due to the higher macroeconomical rates, especially the IPCA, which went from less -- minus 0.3% to 1.68%. This had an effect on the financial expenses, even with a drop with -- of the debt -- the average debt. So the financial result is negative in BRL 173 million, 5x more than registered in the second quarter of 2020. Here, I think it's worth saying just to pay attention. At the same time, we benefited from the higher inflation, but we are penalized with the debts, of course, bottom line.
So let's advance now to Slide 9 about indebtedness in a vision of proportional consolidation seeing Taesa as a whole. The total debt is BRL 7.5 billion at the end of the first quarter and the leverage level, 4.6. It was already expected, as we expected. We're at the peak of leveraging. We've invested a lot in construction projects without having them working. So we then have this situation. But even with this higher level, we believe that the debt profile is adequate and competitive with a lower cost -- a cost of about BRL 4.4. And long term, we have a term number of 5.6 years. We don't have leveraged financial covenants. We have credibility with the fixed market. We were also AAA in national scale in both Moody's and Fitch. And we have a favorable condition and competitive condition to add more money to our shareholders. We also had our ratings affirmed without any changes by Fitch this week.
It's always good to remember that in our business, in a scenario without any purchases, leverage drops quickly because of the continuous flow of cash generation. This is a huge differential for us because we can maximize utilization of the balance with cheaper capital to finance our growth, obviously, always having a balance between the capital allocation and discipline in financial management.
Before giving the floor to my colleague, I'd like to say that we have our 10th emission of debentures settled in May, BRL 750 million and 2 series. The first institutional series in the value of BRL 650 million, due 7 years bullet and duration of 4.9 CDI plus 1.7%. And the second series incentivized or classified as a green title, BRL 100 million, due 15 years duration, 6.7 IPCA plus 4.7605 (sic) [ 5.7605% ]. This last one is equivalent to NTNB plus 60 basis points. This was a successful compared to other similar emissions. We had the best combination, lower costs, larger -- longer duration, proving the receptivity of the market and also reinforcing our commitment with the evolution of the sustainability pillar. And we now have green titles to finance our projects.
That's what I had to present to you today. And now I thank you, and I'm going to give the floor to our Implementation Director, Luis Alves, who finished the presentation making a summary about what we're building and what we're investing in.
So folks, thank you very much, and good morning to everyone.
[Interpreted] Thank you, Erik. Good morning to everyone.
Let's now move to Slide 10. We're now going to talk about how our ongoing construction projects are going. We have 6 projects under construction, all of them advancing within our investment plan. We are now in construction and assembling, towers, launching of cables, substations, and some are quite advanced and the perspective of delivery will still -- will be for 2021.
As Andre said, we have the Janauba project, which is very advanced with 98% ready and where we hope that conclude this -- during the next weeks to -- for delivery. Well, our focus has been in the evolution and conclusion of all of this within the correct time frame, with the same discipline in all the projects, even with the difficulties and the impacts that everyone knows were generated by COVID pandemic.
Looking to the investments, we carried out an investment of BRL 546 million this year. We had -- compared to 2020, we had a drop of 22.7%, which is justifiable because the current stage of the projects where we have a lower level of investment since we are in an advanced phase of conclusion. Even so, we invested up to now a total of over BRL 3.1 billion in all our endeavors and some have already been concluded and are operating. So we continue on the total focus on the execution and deliver -- delivery of our projects, always going after the efficiency in terms of costs and time frame to increase even more the return of all these jobs.
So I'm ending my presentation, and now I'm going to give the floor to Cristiano, who's going to be a person who's going to intermediate the session of questions and answers.
[Interpreted] So good morning, everyone. We've now received some questions. I'm going to try to go through some of the questions, repeat themselves.
Let's start with this question that we received here is about dividends. Why didn't the company announce the dividend, like it normally announces? If it's going to announce, if the payments could happen now in August? So that's the first question.
I'm going to give the floor to Erik Breyer, our CFO.
[Interpreted] Well, I think this question probably arrived from different sources. So let's try to answer everyone that presented this question. Well, first of all, this year, we've paid BRL 1.26 billion, BRL 521 million dividends complementary to 2020 and BRL 466 million dividends in the first quarter. Our statutes forecast this payment in annual terms, we have the possibility -- 50%. We have the possibility of payments of other dividends -- alternate dividends, and we take the opportunity to carry out these payments. And we always decide to do this when we believe it's the best for the appreciation of our shares long term, so which is the value that we believe to maximize the value of our shares long term. Always considering 3 factors, what are the opportunities, so what is the leverage and liquidity, and what is the capacity of resources in terms of debt, et cetera. So then we take the decision for what is better and then we pay.
But this goal today, this decision is easier to do -- to say than to do in the current environment because we had an increase of the IGP-M, which makes it easy because the annual permitted revenue increases, but there's a difference between the regulatory result and the IFRS, which gives me the possibility, which is very positive. This, we can pay a more significant amount with a higher margin, but we always also have discussion of tax reforms.
Over the payment of dividends, this is under discussion. It changes every week, and this can change the scenario. We have BRL 1.5 billion of reserves that were constituted in a different environment -- business environment. So all of this has to be taken into consideration for us to reach this optimal point, which is the dividend that maximizes the value of our shares, amount and timing, moment, and volume, and we're discussing that. We haven't reached a conclusion and as soon as we reach a conclusion, we will inform the market. So we still do not know how and when payment will take place. But when we decide, we will inform. But this discussion is using all the elements that we have today to maximize the value of the shares of Taesa, long term.
Thank you, Erik. I think you actually have answered some other questions that I have here about the tax reform, et cetera. So that has been answered.
Now I'm going to give a question to Andre. It's also something that we said yesterday, we were commenting about sales and purchase between the shareholders. I'm going to give the floor to Andre, so he can answer about the impact to the company and what he can say? So Andre, this is for you.
[Interpreted] Thank you, Cristiano. This is a recurring question. And of course, we can't comment about movements of our shareholders. What I can say is that this doesn't change the routine of our planning of our activities. Everything continues exactly the same. So people can be calm because this doesn't change strategic actions. We continue to focus and delivering value to our shareholders.
[Interpreted] Okay. I'm going to ask you another question about competition. Should we continue competing in these bidding processes where we haven't added new assets? Do you plan to change anything in the strategy in the premises or invest in other segments?
[Interpreted] That's a good question. It's always good for us. We have learned a lot. Each tender is a new game. We've learned a lot with the development of all of this. There's been a significant evolution from the one before last to the last one. We were the second of in 3 lots, which is significant. And we're going to be able to be more competitive in the next processes, I'm absolutely sure. The strategy changes a bit and always going after new partnerships and what we can change internally to see these processes as a new game. It's a new game that we have to join to win. So this is our perspective now.
As for new segments, et cetera, we -- at this moment, we haven't designed this in our strategic planning. We continue wanting to consolidate and be a company of a consolidated company in the market, but thank you very much for the question.
[Interpreted] Thank you, Andre. We have a question here for Erik, which is about leveraging. It's 2 questions. One is from [ Rodrigo ]. He says the -- can the EBITDA affect the distribution we see this link to this index? And then he says about the leverage of the EBITDA. How can this -- what's the risk to the company -- to the earnings of the company?
[Interpreted] Well, thank you. I'm going to start with the second question. There's no risk because we don't have a leverage covenant. And this is one discussion, which is very good in relation to the first question with the impact of leverage. I've spent a lot of my life as a CFO discussing optimal points. I've already talked about several policies of leverage. I think it's very adequate for business, but ours is a bit different because our portfolio -- our current portfolio, it has a determined life. So it has a stable behavior that you can forecast. We have a cash flow, which is very robust based on our assets that are already in operation that have their own life.
So we can do a very sort of decline adjustment and just use the EBITDA because the -- besides today, it's high. The challenge is not to reduce, it's to maintain because with our cash generation, it's bad for the value of the company, this drop. So today, as a challenge is to have the investment opportunity to keep the high leverage level to maximize our value. That's our challenge. So the current debt to EBITDA is not a problem for the company. It's not something that we have to be sad about or that we're going to [indiscernible]. It's going to affect any strategy of the company to the contrary. We have to have this so that this index or this rate does not drop rapidly in the next few years.
[Interpreted] Excellent, Erik. Thank you very much. Let me see if we have any other questions here.
Going back to Erik here. Jonathan [ Besma ] says, do you believe that the company will continue paying good dividends with the amortization that's coming in 2022? I think it's a bit of the same, but I'm going to ask, and if you want to add something?
[Interpreted] Thank you, Jonathan. Thank you for your question because, obviously, Taesa -- this is something structural. It belongs to our nature to pay dividends. This is recognized in our statutes. So at least 50%.
So Jonathan, again, thank you. It's a natural question of those who have investments in Taesa to know this cash flow and understand the nature of the payment of dividends. And I'm going to tell you that it's of the nature of Taesa always paying significant dividends. We are already an established company with a portfolio of assets, very important, and revenues that are stable and can be forecasted. So all the structure of debt has already been set up with an amortization to be able to pay.
So our statutes, they recognize this reality when we pay a minimum of 50%. So in annual terms, we start talking about dividends, and the payout is 50%. So we discuss what's over 50%. So it is part of the nature of our company. It's going to continue. The debt is built in this way, even though we have some amortizations in 2022 is of no concern. The average time frame is long, 6 -- 6 -- 5, 6 years. The access to the market is very comfortable. So all the structure is put together to maintain a strong dividend payment, and this will continue.
And the biggest trade-off is that for us to be able to patriate these dividends, we have to reinvest and have new sources of revenue. And we're going after this every day and trying to balance and maximize the value of the dividends and the perpetuity, and not short term, but always paying always starting with 50%, which is in our statutes. So I think it's reasonable to expect a stable payments from Taesa.
Of course, this first -- the high of the IGP-M is something that will not probably repeat itself. But this increase of the IGP-M in 2021 is not something that will recur. But other than that, we'll always be paying dividends that are significant.
[Interpreted] Thank you, Erik. Let me see if I can find some more questions here. I think they've been answered. Just another minute. One more minute. The questions that we have are very similar. So if you have not heard, this video conference is going to be available on our website. And let me see if we received any other new ones, but no, nothing different. A few more minutes.
I'm going to answer a question here to -- about what's the participation of the sale CEMIG. I think what Andre said about we have not commented with our shareholders. And as we've already said, the company is very, very focused on the business operation, so independent, and we don't participate in discussions of this type. So just to give a direct answer to [ Taxiso Santana's ] question.
I've received a question about IGP-M. I think this is a new question. The question is, Erik, in a hypothetic scenario of negative IGP-M, what would be the revenue on the RAP? Or do you only consider the positive variation? Can you talk a little bit about this, about the future inflation, as an example?
[Interpreted] This question is very good. I'm going to take the opportunity to give a spoiler and make some publicity. We're programming to the second semester. At Taesa Day, where I want to bring an economist focused on inflation to talk about this because it really -- this dynamic has turned into something extremely relevant for the results and for the cash generation of Taesa. And we've had a number -- a significant number. So it is an excellent question because it is an important topic now for who invests in Taesa. This EBITDA convergence, no convergence. IGP-M is going up, it's not going up. And obviously, I don't have a crystal ball to forecast this at all, but we're going to invite an economist focus, and it's going to be called Taesa Day. I invite you all to follow this, and I believe that this discussion of indicators can be better treated by a specialist.
But now using the predictive mind that every CFO has to have, if there is a negative IGP-M, it will be directly impacted. So I think it's difficult for us to have a period -- a long period. It's -- maybe it's 1 month or another, but we work in a cycle of 12 months. So it would be very difficult. But of course, it would be bad for our revenue, but I don't think it's a scenario that worries me, but it's on my radar. Of course, my radar is a convergence. So the -- I think there will be a convergence.
But as I said, this is [indiscernible] I invite you all to be in our Taesa Day, where this economist, who is specialist in inflation, he'll be able to discuss this because I think this is a topic which really -- the question is excellent. This high of IGP-M and how long this gain is going to perpetuate. I think that, in part, yes, and part, no. Which part we're going to perpetuate, which we're not is a very, very -- it's difficult to deal with inflation because it comes with scenarios. It depends on a macroeconomic, which is related to dollars and foreign investments and balances. It's really a complex discussion, and I don't have a final response. But -- so negative -- does -- IGP-M does reduce gains, and this will not happen for 12 months. But in odd months, it can happen, but remembering that the impact would happen in a cycle of 12 months.
[Interpreted] We have another question now about the hydroelectric. I'm going to give this to Andre to talk a bit about this impact on our business.
[Interpreted] Okay. Cristiano, that's cool. This is a topic which always recurs. And I think this is important for us to find solutions in Brazil. This impacts much more. It's a concern with the economy, much more on the side of the generation, a little bit on the distribution, but the transmission is a bit more isolated in this aspect. So it doesn't have a direct impact for us. Of course, it increases our responsibility. It's already been mentioned, the conclusion of the works. We're responsible for the basic to have generation corridors, renewables, especially from the Northeast to the Southeast, or from the north to the center, west, north to southeast, so this increases our responsibility. And of course, we're paying a lot of attention to this intense drought and to clean and have a good operation and maintenance. But this, of course, increases our responsibility on the operational and financial side, but the impact in Taesa is practically zero. Thank you very much, Cristiano.
[Interpreted] Thank you, Andre. We have another question here from -- which are the opportunities for growth about in the secondary market or tenders? I'm going to give the floor now to our Director, Fabio, to give us his vision on this.
[Interpreted] Thank you, Cristiano. Good morning, everyone. Thank you, [ Philippe ], for the question.
Well, as Andre mentioned in the beginning of our speech and Erik also reinforced this in his speech, Taesa sees itself as a consolidator in the transmission market and there, the opportunities, whether in tenders of our now -- or in the secondary market -- M&A markets, they are in our radar in a very committed and diligent way of our -- with our pillars for sustainable growth. So all these operations and projects that generate value for the shareholders will be taken into consideration. Taesa will be participating actively.
As for the process of -- the next process of privatization up to October, Taesa is already evaluating opportunities and studying and in the same -- by the same token, doing the same thing with value generation and positioning itself in a very competitive way so that we -- through this participation. So it's to make clear that our positioning -- geographic positioning lines, the spreading of lines all over the country, always puts us in a different position and it gives us this capacity of participating in different opportunities in the Brazilian geographic space. So thank you for the question. And I embrace you.
[Interpreted] Thank you, Fabio, for the response. I'm now going -- we've had a question here about talent attracts talent. I'm going to give this question to Andre for him to talk a little bit about this program. Andre, it's with you.
[Interpreted] Cool. Cool. This is a cool question. It's a program that we have internally. It's called Talent Attracts Talent. So it incentivizes collaborators, who are our main ambassadors, so to speak, to suggest and recommend people to work with us.
So how does this program work? Each one that recommends or suggested a person that comes, in fact, to work here and stays with us for a while, this person receives -- is recognized internally. And this is valid for all types of recommendations, an internal program, and it works very well. I hope that we can use it and that more people can become part of Taesa. Thank you, Cristiano.
[Interpreted] Thank you, Andre. I've got another question here from [ Gabriel Giaz ]. He's asking about the cycle '21, '22, BRL 3.1 billion. Does it already consider the cuts and the increases of ANEEL?
Yes, it already considers this. And also, those projects that are in the face of being built, we have a time frame of 15, 18 months to deliver to ANEEL. So yes, it considers all these different fronts to reach the BRL 3.1 billion next year.
I'm checking out if we have any more questions. I think the questions -- these are repeated questions. And people perhaps joined a bit later. But again, this has been recorded. It's going to be on our website, and let me see if there's any other question. We have a lot of participants. I thank you all for participating.
We have one question here. The increase of wind farms and solar farms, can this impact in the reduction of tenders and the transmission as a whole? So if yes, what's the plan of Taesa? I'm going to give the floor now to our Implementation Director to answer, Luis Alves.
[Interpreted] Thank you for the question. I think it's quite pertinent into these parallel growths. The transmission sector, it is to distribute this energy, which is generated in the wind and solar tenders. So we have a high focus on wind farms in the northeast and also in the south, and solar energy also in the northeast and a large low consumption, which concentrates Brazil in the south and southeast. So we will need to have this growth in Brazil, and the planning can be accessed in the site of the Ministry of Mines and Energy in the EPE, where you can see the forecast of a large volume of investment up to 2030. So the diversification of the source -- energy sources in Brazil will contribute and the need for growth in the transmission sector.
[Interpreted] Thank you, Luis. We have one more here from [ Fredstone Javodeci ]. In the point of view of technology innovation, what are the main projects? I'm going to give the floor to Marco Faria to talk about this topic.
[Interpreted] Well, thank you, Fredstone for your answer (sic) [ question ]. In the technology area and innovation, especially, we have been worked hard -- we have been working hard in research and development so -- especially to improve our processes, utilizing drones to inspect lines, to monitor the installations with videos, and with IA -- AI, sorry, we have developed several projects like relay, intelligent, also devices monitored, corrosion being monitored, the identification of faults in transmission lines, crossing information of protection systems and crossing all the data -- this platform that we use and also trust engineering on a base. All of this, especially for -- to guarantee the safety of people and the electric system. So also the protection of the environment and to promote sustainability of Taesa in all the dimensions of our strategic planning. Thank you.
[Interpreted] Thank you, Marco Faria. This has been -- these have been responded. I think that we're now reaching the end of our time. I thank you all for the participation. The questions are very similar to what we have responded.
In any case, we -- I have a question here that has arrived. Let me see, I'm going to give this question to Andre to finalize, [ Fernando Raimundo ]. After the pandemic, do you have any specific planning? How are you thinking about Taesa after the pandemic? So I'm going to talk -- give the floor to Andre. Andre, you can answer this question.
[Interpreted] Thank you, Cristiano. It's a good question. I think it's important for us to state our positioning. We've been very careful with everyone ever since the beginning of the pandemic, over 1.5 years. A good part has been working in home office. We started a return plan last year, then we had interrupted after a second spike at the end of December. And now we're planning again to return little by little as of October. And definition, and we've discussed this a lot. We'll be adopting a hybrid model. We've done researches due to this experience that we're having during the pandemic. We're going to adopt a hybrid model, 3 days at the office, 2 days at home. Obviously, those functions that allow for this type of activity.
But with all this learning, we're going to incentivize also the continuity of the intensive usage of video conferences and everything that the technology that we learned to use, always observing the safety protocols, returning to the office for those people that have had the 2 doses of the vaccine and at least 15 days more. So everything -- this is being built for a safe return and that people can feel safe to come back to work. So thank you. Thank you, Cristiano.
[Interpreted] Thank you, Andre. Well, I think I've received some other questions. And if we have any different questions, we will respond by e-mail.
I'm now going to end our event. We have reached our time. I'd like to thank you all for the participation, and once more to talk a little bit about Taesa and reinforcing here, we have some questions about the Diversity and Inclusion program and reinforce that the vacancies on the programs, they are available in our LinkedIn page. The vacants [indiscernible] Taesa, et cetera, it's another channel. And the IR is also available to deal with this topic. It's part of our strategic plan.
Thank you once again, and I wish you all a wonderful day.
[Statements in English on this transcript were spoken by an interpreter present on the live call.]