The economic and financial management of ONS in the year 2012 continued the process of improvement of budgetary control, resulting in the optimization of financial resources from the charges for use of transmission and the contribution of its members.

The financial statements were prepared and are presented in accordance with accounting practices adopted in Brazil, which comprise the pronouncements of the Accounting Pronouncements Committee (CPC) and in accordance with the instructions contained in ONS's Accounting, established by ANEEL.

Budget for the Year

ONS economic and financial budget, approved by ANEEL through ANEEL Resolution No. 3,033, of August 16, 2011, for the period July 2011 to June 2012, was R$ 451,489 thousand, of which R$ 235,375,000 planned for the period ended December 31, 2011 and R$ 264,178,000 provided for six months ended June 30, 2012.

The budget for the period from July 2012 to June 2013, approved by ANEEL Resolution no. 3 828, of November 20, 2012, was R$ 511,219 thousand, consisting of R$ 237,034 thousand for the six months ended December 2012 and R$ 274,184 thousand for the six months ending on June 30, 2013.

Thus, the budget for the period January-December 2012 amounted to R$ 501,212 thousand, of which R$ 37,402 thousand corresponds to a project for the new facilities of the Operator. Budget accomplishment reached R$ 421.284 million, amounting to a percentage of 84% for the year.

ONS's Sources of Funds

Under Article 34 of the Bylaws, as amended by Resolution no. 1,888, of April 22, 2009, are sources of ONS's funds:

I.Contributions of its members, in proportion to the number of votes at the General Meeting, including the Parcel "A" for purposes of transfer pricing and collected by other members and agents of the electricity sector that are not subject to transfer pricing.

II. Funds from the budget prepared by ONS and approved by ANEEL:

a) Transferred by members and agents of the electricity sector connected to the basic grid, whose values ​​are included in the tariff for use of the Transmission System (TUST) and Parcel "A" of the Electric Power Service Rates;

b) Collected by other members and agents of the electricity sector not subject to transfer pricing;

c) Other income authorized by ANEEL.

To viability of its budget, ONS used resources of charges for use of transmission and associates' contribution collected, having billed R$ 408 million and R$ 13,898 thousand, respectively, during the year 2012.

Balance Sheet

Among the variations in the balance sheet, 2012, we highlight the items of fixed assets, intangible assets and labor obligations, detailing the events which occurred during the year shown in items 10, 11 and 19 of the Notes to the Financial Statements.