Companhia Energetica de Minas Gerais Business Model Canvas

CEMIG partners with private developers and investment funds to scale wind and solar, sharing capital risk in projects that raised over BRL 2.1 billion in joint investments through 2024 and added 560 MW of renewables capacity. These alliances gave access to PV and turbine tech, and by late 2025 are central to meeting CEMIG's target to cut carbon intensity ~35% vs 2019 and shift its matrix beyond hydro.

State of Minas Gerais (~37.6% stake, 2025) secures permits and state-backed projects (BRL 3.2bn through 2026); ANEEL tariff actions shifted avg distribution tariffs +4.2% (2024-25) affecting margins. Private developers and funds supplied BRL 2.1bn for 560 MW renewables (≤2024); BNDES and banks back BRL 6.5bn CAPEX (2025-27); 2024 cost of debt ~8.1%; 120,000 smart meters cut non – technical losses by 2.8 pp (2024).

CEMIG trades in both the ACR and ACL, with its commercialization unit focusing on market intelligence, risk management, and long – term PPAs-over 30% of its contracted volume in 2024 came from industrial PPAs, supporting revenue stability amid Brazil's push for full market liberalization by 2027.

CEMIG relies on a skilled workforce of ~12,000 employees (2024 report), including engineers, technicians and energy traders, whose expertise enables operation of 15+ hydro plants and a 45,000 km distribution grid. Retaining talent and boosting R&D-CEMIG invested R$184 million in 2024-are critical to keep its hydroelectric engineering and grid-management edge during the transition to a modern utility.

CEMIG's core resources in 2025: ~30 hydro dams, 1.2 GW wind, 0.5 GW solar, 45k km grid, BRL 25B invested; concessions covering ~25 GW generation, 30k km transmission, 16M customers; ~12k employees; R$7.8B capex plan to 2025; net debt/EBITDA ~2.3x (2024); 2.1M smart meters, 12k sensors, forecast error 2.4%.

CEMIG's mobile app and web portal let customers monitor usage, pay bills, and report outages in real time; in 2024 over 3.1 million users accessed digital channels, cutting call-center volume by 28% and speeding issue resolution by 22%.

CEMIG provides reliable power to 7.9M clients across 586 municipalities, with regulated distribution revenue R$12.4bn (2024) and group net revenue R$17.1bn (2024); ~85% renewable gen (hydro 60%, wind 15%, solar 10%) enables scope – 2 reductions and premium free – market contracts (up to 18% savings vs regulated, 2025), plus 3.1M digital users cutting call volume 28% (2024).

CEMIG's Digital Self-Service Ecosystem centers on Cemig Atende, enabling customers to complete billing, meter readings, service requests, and contract changes without staff, cutting service time by ~40% and lowering per-ticket cost; 65% of queries were handled digitally in 2024.

In 2025 CEMIG rolled out AI chatbots and proactive notifications, improving first-contact resolution by 12% and reducing call-center volume by 18%, which trims operating expenses and speeds response.

CEMIG combines regulated retail service (8.4M customers, 24/7 call centers, 450+ points) with dedicated account managers for ~R$2.8B free – market sales (2024), a digital self – service rate of 65% and AI tools (2025) that raised first – contact resolution +12% and cut call volume -18%, while ESG/transparency (R$14.8B revenue, Scope1 -28% vs 2019) supports permits and trust.

Cemig's channels: Cemig Atende app/website (65% requests; 14.2M mobile sessions, +18% YoY; resolution 48→30 hrs in 2024), 320 service centers (18% interactions; 1.2M low-digital customers), B2B sales (2.1 TWh ACL contracts 2024; retain ~65% corporate load), CCEE auctions (95% regulated contracts; cover ~70% regulated load; ~12 auctions/month), 24/7 call center (1.2M outage calls) and Ouvidoria (86% closed ≤30 days).

Shopping malls, supermarkets and office complexes straddle regulated and free markets, representing ~18% of CEMIG's commercial load in 2024 (≈2.1 TWh); they seek energy efficiency and on-site renewables to cut costs 10-25%. CEMIG sells standard distribution plus energy audits, demand-response and PPA advisory, targeting a 2025 commercial DER (distributed energy resources) pipeline of 150 MW.

CEMIG serves 6.2M captive households (~18 TWh, 38% retail vol, 2024), heavy industry (~35% state demand, 40% large-customer revenue, 2024), commercial ~2.1 TWh (18% commercial load, 2024), agribusiness (~21% rural demand, 2024) and municipalities (4.5M streetlights; R$420M EE revenue, 2024); tariffs regulated by ANEEL, distribution losses 6.2% (2024).

CEMIG must buy power from other generators or the spot market when its 10.6 GW installed capacity (2024) falls short; spot purchases spiked in 2021-2023 during dry years, raising energy purchase costs by ~35% y/y in peak months. These costs track hydrology and market volatility but are largely passed to captive customers via ANEEL tariff adjustments; active hedging and long – term contracts cut cash – flow swings and cap exposure.

Major costs: O&M ~R$2.1bn (2024, ~28% op costs); CAPEX R$10.5bn (2024-26) with ~R$3.2bn net – debt impact if 30% drawn (2025); energy purchases volatile (spot spikes +35% in peak months); pension deficit R$8.3bn (2024); sector charges ~18-25% of tariffs; collection Opex +R$120-180m (2023).

CEMIG sells energy via bilateral contracts to large consumers, capturing higher margins than Brazil's regulated market and monetizing excess generation; in 2024 bilateral sales contributed about 28% of CEMIG Comercializadora's volume, supporting annual EBITDA uplift of roughly BRL 450-600 million versus regulated pricing. Growing this stream remains strategic as market liberalization aims to expand free-market access to an estimated 20-25% more large customers by 2027.