Smart Solutions

Providing the solutions for the future of energy
6
Implement telemetering for 100% of Group A customers by 2020
All Group A customers* in the four distributors' concession areas have already installed telemetering systems to measure consumption. Around 36,000 consumer units receive medium and high voltage electricity (equal to or higher than 2.3 kV)

*Considers active Group A customers with indirect measurement served by telemetry.
7
Invest R$ 350 million in distribution system automation by 2024
Since 2020, a total of R$ 160.4 million has been invested in circuit reclosers, switches and other remotely controlled equipment
8
Provide 90% of customer service through digital channels by 2024
In 2021, 89.2% of customer service contacts in the entire concession area were made through digital platforms and channels.

Since 2020, 11.6 million has been invested in projects to transform these platforms.
9
Invest R$ 45 million in developing electric mobility technologies by 2024
In 2021, we invested R$ 24.4 million in projects to promote development of electricpowered systems and vehicles, with a total of R$ 40.6 million already invested.

One of the chief initiatives conducted during the year was electrification of 100% of the service vehicle fleet in the municipality of Indaiatuba, which is served by CPFL Piratininga.
10
Offer our customers low-carbon energy transition solutions
We provide companies with the opportunity to fully offset GHG emissions, with registration, revalidation and verification of projects issuing carbon credit. There are already 11 projects registered in the regulated and voluntary carbon market, with the potential to neutralize 2.4 million metric tons of GHG.

In 2021, we finalized the sale of 368,018 International Renewable Energy Certificates (I-REC) to Ascenty, Latin America's largest Data Center infrastructure company.
Telemetering

Telemetering is one of the innovations with the most potential to transform the electrical industry. Smart meters, connected to distributor databases, have the potential to make customer communication and billing processes more efficient, streamlining monitoring of network failures, among other advantages offered by digitalization.

In our four distributors' concession area, all Group A (medium and high voltage) customers already use telemetering. These are large industrial and commercial customers, served by electricity at a voltage equal to or higher than 2.3 kV.

In 2020, we finalized a telemetering project for all Group B (residential and small commercial) customers in the municipality of Jaguariúna (São Paulo), who are served by CPFL Santa Cruz. This pilot initiative was conducted to assess the feasibility of massifying this innovation in the other municipalities that we serve. Assessments continued throughout 2021.

An estimated investment of around R$ 5 billion over the next ten years is needed to install smart meters throughout our concession area and this matter is being evaluated along with electrical sector regulation agencies.

Grid automation

Installation of smart and automated equipment in distribution networks adds value to our business, leading to resolution of problems and allowing measures to reestablish power to be more easily and efficiently executed.

Automatic circuit reclosers are, for instance, one solution to respond to temporary interference in the electrical system, such as tree branches that fall on cables because of rain or wind.

Nearly 15,000 automatic circuit reclosers have been installed by our distributors since 2015. With this investment, we have achieved reductions in supply interruption times for customers and are able to move teams faster. Our goal is to have 24,400 pieces of this type of equipment by 2027.

Focus on the customer

Satisfaction and the best customer experience are one of the pillars of our business strategy. In every channel, we try to deliver excellence in service, simplify services and make the customer journey more intuitive, agile and efficient to resolve key demands.

We created a goal for all leaders at all levels, the CFI – Customer Focus Index. This index is made up of four indicators related a commitment to customer satisfaction (reducing complaints, issues originating from the ombudsman, IASC satisfaction survey and CSAT following phone service).

In addition, in 2021 we started the Simplify project. This initiative was designed to map and assess the different journeys customers take in their relationship with our company. Identification of the paths taken and of requests, service assessment, and a verticalized understanding of demands will guide investments and enhancement across all channels.

We also created the Customer Forum to accelerate transformation and place even more priority on customer service at our distributors. In order to increase executive engagement, we invited specialists from other companies recognized for their excellence in customer relations to share their experiences and discusses cases.

At monthly Forum meetings, we look at the key service and satisfaction indicators collected through service channels, defining actions plans for execution. Two priority topics were covered in 2021: service for new calls and treatment of billing complaints.

Electrical mobility

The theme of electric mobility and electrification of vehicles is one of the trends in innovation we have been assessing since 2007. Through a variety of initiatives that we execute, we try to understand the impacts, risks and opportunities that growth in the electric vehicle fleet poses for the electrical sector, along with the infrastructure for serving this new urban mobility model.

With an investment of R$ 2.8 million, by 2022 we will finalize electrification of 100% of the operational fleet in the city of Indaiatuba (São Paulo). The municipality is served by 20 electric vehicles and has 13 electric vehicle charging stations. The program will also enable development of the first electric truck in Brazil..

Another R$ 12 million were allocated to the purchase of 53 electric vehicles, focused on generating data for monitoring impacts and risks for the electrical system.

Energy transition solutions

Supplying solutions that support our customers in transitioning to less carbon-intensive production models is part of our commitment to an agenda of sustainable development.

We invest in projects that generate carbon credits to offset greenhouse gas emissions (GHG). We currently have 11 projects in our portfolio, with the potential to offset 2.4 million metric tons of carbon (tCO2e) annually. These projects are registered in the regulated (CDM) and voluntary (VCS) markets.

Another product we offer through CPFL Soluções is Renewable Energy Certificates (I-RECs), providing free market customers assurance that they are purchasing energy that comes from renewable resources. Right now, we have five assets in our generation portfolio that are certified for the sale of I-RECs, with the potential to sell up to 1.3 million certificates annually.