Compliance with laws and regulations

The Risk Management, Internal Controls and Compliance area aims to strengthen governance and support management in making decisions efficiently, transparently and securely, providing greater reliability for stakeholders. It is also responsible for managing events that may significantly impact activities, with financial and operational consequences, including the operating permit, concession contract, occupational health and safety as well as the organization’s image and reputation. The severity of these risks is assessed in accordance with the Risk Management Policy. 

All of the Company’s processes and activities were carried out in strict compliance with current internal policies, regulations and standards, thus demonstrating integrity, transparency and compliance with ethical and legal obligations. Norte Energia uses a continuous monitoring and evaluation system for its practices to ensure appropriate identification and treatment of potential deviations. 

Declarations are managed through the Compliance Portal, and must be completed by all employees and senior executives. In 2024, adherence reached 100%, reinforcing the Company’s commitment to ethical and responsible practices.  

In 2024, there was only one case of non-compliance: Violation Notice No. CGIPSM04 (Administrative Process No. 02001.027405/2024-96), issued by Ibama on 08/30/2024, with a fine of BRL 550,500.00. The breach refers to alleged failure to comply with condition 2.33, which describes operational support for inspection to prevent environmental crimes.  

Norte Energia presented a defense within the legal deadline in which it fully refuted the arguments of the regulatory agency, demonstrating that it adopted all appropriate measures to collaborate with Ibama in the removal of illegal cattle from the Ituna-Itatá IL. In the end, the Company requested the cancellation of the infraction notice, given the absence of any conduct that constituted a violation of the environmental standard. 

Additionally, in 2024, the Company paid four fines related to cases of non-compliance with laws and regulations, two in the environmental sphere and two related to labor issues. In the case of environmental infractions, the fines relating to Violation Notice No. 2021/0000034980, dated 05/26/2021, and Violation Notice No. 2020/0000005848, dated 12/21/2020, were paid. Regarding labor violations, the amounts related to Report No. n. 21.757.892-6, Process No. 46206.004673/2019-41, and Report No. 21.757.895-1, Process No. 46206.004674/2019-96, were paid, both with fines applied on 11/03/2023. The amount paid for all fines totaled BRL 41,725.45.