DECREE OF August 24, 2011

Outorga to the Hydroro Company Electrical Francisco-CHESF concession for exploration of the public electric power transmission service, relative to the Morro Transmission Line of the Hat-Irecê, Simple Circuit, at 230 kV, and to the Morro Substation of the Hat, 230 kV, in the State of the Bahia.

THE REPUBLIC OF THE REPUBLIC, in the use of the attribution conferring you the art. 84, inciso IV, of the Constitution, with a view to the provisions of the Laws 8,987, February 13, 1995, 9,074, July 7, 1995, and 9,648, of May 27, 1998, and what is contained in Process No 48500.006418 /2010-04,

D E C R E T A:

Art. 1º It is awarded to the Hydroro Electrical Company of the San Francisco-CHESF grant for operation of the public electric power transmission service upon construction, operation, maintenance and other associated measurement, supervision, protection, command, control, telecommunication, administration and support of the ventures Morro Transmission Line of the Hat-Yrecê, Simple Circuit, at 230 kV, and Morro Substation of the Hat, 230 kV, in the State of Bahia.

Single Paragraph. Electric power transmission ventures bestoned on CHESF further comprise the Unique Interest Transmission Facilities of Generation Central for Shared-ICG Connection, connected to the Basic Network according to the art. 6º, § § 4º to 8º, of Decree No 2,655 of July 2, 1998.

Art. 2º The granting of this Decree shall apply for the period of thirty years, counted from the date of signature of the respective Electrical Energy Transmission Public Service Concession Contract, for the Basic Network facilities, and eighteen years, counted from the date of entry into commercial operation, to the ICG.

§ 1º The Contract is to be signed within thirty days, counted from the convocation made by the Agency National Electric Power-ANEEL, under penalty of ineffectiveness of the concession outored.

§ 2º Mediante application from CHESF to ANEEL, presented up to thirty-six months prior to the termination of the constant deadline of the caput, the public service concession of electric power transmission may be extended under the conditions that are stipulated.

Art. 3º The existing goods and facilities in function of the electric power transmission service shall be linked to the public services granted, in view of the disposal, assignment, transfer or dation in warranty, without prior and express consent of ANEEL.

Single Paragraph. Upon expiry of the concession deadline, the goods and facilities linked to the provision of the public electric power transmission service granted will revere to the Union, in the manner provided for by law and in the Grant

Art. 4º This Decree shall enter into force on the date of its publication.

Brasilia, August 24, 2011 ; 190º of the Independence and 123º of the Republic.

DILMA ROUSSEFF

Edson Loban