Press and opinion leaders

Supplier management

At the end of 2019, we had 307 suppliers, of which 280 were hired in the year. Of this amount, 17 represented significant investment contracts (asset investment contracts that are approved by the Executive Board), with 100% of them having human rights clauses.

Our supply chain is mainly formed by service providers, manufacturers of electromechanical equipment and electrical materials, telecommunications and information technology, contractors, consultancy, surveillance, cleaning and conservation.

The selection of suppliers is aligned with the Supply Logistics Policy, that guides business by internationally recognized management practices. Additionally, since April 2018, all contracts and acquisitions of Eletrobras companies have been formalized based on the new Bids and Contracts Regulation.

Business ethics and integrity

The values practiced by Eletrobras companies are defined at PDNG 2020-2024:

  • Respect for people and life
  • Ethics and Transparency
  • Excellence
  • Innovation
  • Collaboration and recognition

We have policies and procedures to mitigate the actual and potential impacts of risks associated with business ethics and integrity. We have a structure of controls applicable to all employees, suppliers, business partners and members of boards and councils and we maintain a Permanent Ethics Committee, which is responsible for applying the guidelines of the Public Ethics Committee, strengthening the commitments provided for in the Code of Ethical Conduct and Integrity, through educational actions, and to investigate, through complaints or letters, infractions in this sense. The general integrity management is in charge of the Compliance, Control and Risk Advisory, linked to the presidency of Eletrosul.

The main ethics and integrity actions in 2019

  • approval of the Anticorruption Policy and the Integrity Guides;
  • adherence to the Eletrobras Code of Ethical Conduct and Integrity;
  • organization of the 15th Seminar on Ethics Management in Stateowned Companies;
  • establishment of monitoring indicators for the Integrity Program;
  • training of nominees by the Company to members of the Fiscal Council and Management of Special Purpose Companies (SPEs);
  • awareness of suppliers exposed to the risk of fraud and corruption;
  • training of contract managers and inspectors;
  • training of sponsors, agreements and SPE management operators;
  • periodic communication on ethics and integrity;
  • creation of a third-party integrity risk classification procedure;
  • application of distance learning course for employees, directors and
  • advisors; and
  • approval of the Conflict of Interest Administration Policy.

In 2019, 94 of our suppliers were assessed for risks related to corruption, equivalent to 94.95% of our critical suppliers (99 in all). The main risks identified were of non-compliance with the Integrity Program, in the relationship with the public sector, in donations to third parties, convictions for fraud and corruption, corporate structure not in compliance with Act 13,303/2016, unethical conduct of legal entities and their staff and risk management by third parties. No corruption cases were confirmed at Eletrosul in 2019.

Clients satisfaction

Customer satisfaction with our technical and operational performance can impact our operation and affect our ability to generate value. For this reason, we maintain a close and constant relationship with this audience, which allows us to receive and give information pertaining to our performance.

Every two years, we approach transmission and generation customers in surveys, based on a commercial perspective. The last one was held in 2018, when we exceeded the goal of 85.31% satisfaction for Eletrobras companies, reaching 94.36%. That same year, we conducted a pilot survey with a technical focus applied to customers of the Eletrosul System Operation, with a questionnaire appropriate to the particularities of this audience. The satisfaction rate found was 94.38% – global satisfaction totaled 94.37%.

Communities safety

All of our plants have an Emergency Situation Assistance Program, which establish responsibilities, measures and effective actions to be taken during contingencies such as natural disasters, spills, fires, problems with information technology, strikes and image crises.

We also have a Transmission Line Emergency Response Plan, which stipulates actions to be taken to reestablish transmission lines in the shortest possible time. The transformers and other equipment have an emergency plan monitored through the Medical Records and Contingency Plans, allowing the continuity of electricity supply. The Substations have the Emergency Situation Assistance Plan (Pase), also contributing to the security of the facilities.

Human rights

We are aligned with the actions and policies originating from the public authorities and with human rights initiatives worldwide disseminated and adopted by business organizations. We are signatories to the Global Compact, which presents, among its principles, those of respecting and protecting human rights and preventing violations. We are also committed with the Sustainable Development Goals (SDG).

We act in line with the Social Responsibility Policy and the Code of Ethical Conduct and Integrity of Eletrobras Companies, explaining guidelines for issues related to human rights, gender, race and diversity. Through these documents, Eletrobras companies determine that social and cultural diversities and individual differences must be respected and valued. All forms of discrimination must be combated and everyone must be treated equally and without prejudice of a social, cultural, ethnic or gender origin, age, religion, political opinion, sexual orientation or physical, mental and mental condition. We have goals related to human rights in our Business and Management Plan, as can be seen below:

PNG 2019-2023 also addresses the valuation of employees, with the purpose of “monitoring indicators such as the reduction of inequality between the highest and lowest individual salary of the company and the increase in management positions held by women”. These indicators are intended to meet SDG 5 (Gender Equality) and 10 (Reduction of Inequalities).

The People Management Policy at Eletrobras Companies determines that it is necessary to respect diversity, promoting equity, equal opportunities and inclusion. We are also signatories to the declaration of support for the Women’s Empowerment Principles established by UN Women and the Global Compact. We identify and monitor our impacts on human rights through the work of the committee, whose successful experience has resulted in its expansion to Gender, Race and Diversity.

The main actions of the Committee in 2019 were the application of the Quota Law in the Selection of Young Black Apprentices and/or people with disabilities; holding a Workshop to Promote Respect for Diversity; and conducting a lecture on diversity and culture. Also noteworthy is the World Breastfeeding Week 2019, with an exhibition of photos and testimonies in the Company’s hall, with the aim of raising awareness about the importance of breastfeeding. Furthermore, a support group was created to assist mothers who returned to work after maternity leave. Subsequently, the group was extended to parent employees.

Rights of indigenous and traditional peoples

The interface with indigenous communities and traditional peoples is made by the Department of Environmental and Land Management (DEA), responsible for the environmental licensing processes of the projects in accordance with current legislation. During construction, we avoid proximity or interference in these areas, but, if this is not possible, we carry out studies to identify impacts and mitigate proposals in line with the guidelines established by the National Foundation for Indigenous People (Funai).

For the ventures in operation that were implemented prior to the mandatory environmental licensing, the requirements of the environmental licensing agency and Funai are complied with in the environmental regularization processes. On these occasions, we also carried out studies to identify impacts to adopt not only mitigating measures, but also compensatory ones.

Child labour, forced and slave-like work

As per the Code of Ethical Conduct and Integrity, child labor, the abuse and sexual exploitation of children and adolescents, and forced or degrading labor must not be admitted in their own activities, in the activities of partners and in the production chain of Eletrobras companies. Our business contracts have a clause by which the contractors declare to know and are committed to respect, comply and enforce this Code, among other relevant documents.

Our guidelines for combating degrading work practices are set out in the Social Responsibility Policy.