CCEE introduces system for providing pledges over defaults

The Electric Energy Commercialization Chamber (“CCEE”) has made available to its agents a new tool for providing pledges on defaults.

Pursuant to ANEEL Normative Resolution No. 957/2020, the defaulting agent can obtain a suspension of any termination procedure by offering collateral in cash or financial assets accepted by the Custodian Bank (Banco Bradesco).

The new procedure aims to facilitate the confirmation procedure by the Custodian Bank of the pledge to CCEE. Whereas previously carried out by e-mail exchanges between agents, the Custodian Bank and the CCEE, CCEE agents now, as of February 23, 2023, have the possibility of requesting the pledge over defaults via CliqCCEE — CCEE’s online platform for these and other operations — through the option “Solicitar Caução” (in English, “Request Deposit”), under the “Excepcionalidade Financeira” (in English, “Financial Exceptionality”) field.

This is yet another CCEE measure aimed at facilitating the relationship of its agents with the Custodian Bank and bringing more visibility and speed to its processes, of which the CCEE last year had already launched a space on its website dedicated to clarification and guidance on the relationship with the Custodian Bank.

The new procedure for requesting a pledge over defaults is already included in the aforementioned area on the CCEE website, where an infographic was also made available showing its step-by-step process (https://www.ccee.org.br/web/guest/banco-custodiante).

It is important to point out that the system replaces the form of communication between agents, the Custodian Bank and CCEE, but does not change the pledge procedure according to regulation. Thus, an agent that intends to provide surety on its default must first make the financial resources available in its current settlement account maintained with the Custodian Bank and only then make the request, via the system, for the pledge.

If the amount is not available in the current account at the time of the request, it will not be approved and the agent must restart the process, if he intends to provide a pledge.

The pledge, an instrument available to the defaulting agent, can be requested at any time before the settlement date and must be paid in full for the default, as provided in the financial exceptionality system.

Demarest’s Energy team is available to provide further information or clarification on this and other related topics.