Incentivized Debentures
With the goal of stimulating the building of a long-term financing private market, Law No. 12,431, of June 24, 2011, reduced the income tax incurred by individuals or companies who acquire debentures issued by special purpose vehicles, with the aim of financing infrastructure investment projects, considered priority by the Federal Government.
The Law was amended and extended the term for the issuance of incentivized debentures to 12/31/2030. In addition, it extends the benefits of papers issued by concession, permit, authorization holders, or lessees, incorporated in the form of a joint stock company, and by companies controlling these legal entities, provided they are incorporated in the form of a joint stock company.
Decree No. 8,874, of October 11, 2016 (which revoked Decree No. 7,603, of November 9, 2011) established the conditions for approving investment projects considered priority in the infrastructure area, also defining the sectors authorized to submit projects, whose implementation uses resources raised via incentivized debentures. The aforementioned rule also established the obligations of ministries in relation to classifying, approving and monitoring priority projects.
Ordinance No. 502, of September 1, 2020, of the Ministry of Communications (MCom), shapes these guidelines and establishes the criteria for requesting, analyzing, approving and monitoring priority projects for investment in telecommunications.
The passing of Ordinance No. 502, of September 1, 2020, established procedures for approving and monitoring of priority infrastructure investment projects in the telecommunications sector. It amends Ordinance MC No. 330, of July 5, 2012, and provides for other measures within the scope of the body.
TECHNICAL UNIT RESPONSIBLE
Department of Investment and Innovation
(61) 2027-6118
MAIN TARGETS TO BE MET
Follow-up of investments supported by incentivized debentures in the telecommunications sector.
RESULT INDICATORS
Ordinance published
MAIN RESULTS ACHIEVED
◉ PUBLISHED: Ordinance No. 502, of September 1, 2020
| # | Projects | Company | Estimated Debentures (R$) |
Ordinance |
| 1 | The "Modernization Project" aims to modernize and expand the company's mobile network (2G, 3G and 4G), including the company's strategies and technical assumptions regarding the scope of RF. | Claro S.A | 2,247,518,599.70 | 1671/2020 SEI-MCOM |
| 2 | The "Photonic Project" aims to implement a more efficient transport network architecture, in which new concepts such as network automation, orchestration and convergence are considered, as well as the growing demand for data traffic, new protocols and functions (SDN, Openflow, Segment Routing, etc.) | Claro S.A | 1,332,258,801.13 | 1674/2020 SEI-MCOM |
| 3 | The "GPON Solution Implementation Project" aims to implement an access network based on the GPON (Gigabit-capable Passive Optical Network) solution, which enables the reduction of space, installation labor cost and energy consumption, in addition to optimizing the use of equipment and supporting the residential, personal and corporate segments. | Claro S.A | 433,317,690.58 | 1675/2020 SEI-MCOM |
| 4 | The FTTH network expansion project provides for the implementation and amplifying of telecommunication networks for the purposes of access and transport networks to support broadband data communication, with GPON technology. | DB3 Telecomunicações Ltda | 170,000,000.00 | 1672/2020 SEI-MCOM |
| 5 | The FTTH network expansion project provides for the implementation and amplifying of telecommunication networks for the purposes of access and transport networks to support broadband data communication, with GPON technology. | MOB Telecomunicações Ltda | 40,000,000.00 | 1673/2020 SEI-MCOM |
| 6 | The "SC Luz Project" aims to implement transport and fixed access networks with GPON technology, to expand FTTH coverage. | Unifique Telecomunicações S.A | 100,000,000.00 | 1717/2020 SEI-MCOM |
| 7 | The project has the goal of implementing FTTH access network infrastructure in the urban perimeter of the cities of Natal/RN, Fortaleza/CE and Maceió/AL. The intention is to offer fixed broadband internet access services, as well as fixed telephony (STFC), and paid TV in the cable television format. | Brisanet Serviços Telecomunicações S.A | 529,016,160.00 | 1803/2021 SEI-MCOM |
| 8 | The project goal is to implement a transport network, data center and telecommunication network infrastructure, with the ultimate objective of increasing connection reach, speed and quality. | América Net S.A | 250,000,000.00 | 2135/2021 SEI-MCOM |
| 9 | The goal of the project is to implement, expand, maintain, recover, adapt and/or modernize the transport network, fixed and mobile access network, data center, machine-to-machine communication network, 5G network or higher and infrastructure for the virtualization of the telecommunications network, improving the quality and availability of services offered. | TIM S.A | 5,753,207,065.97 | MCOM 2447/2021 |
| 10 | The project has the aim of expanding and modernizing the data communication network to provide internet access and voice services for the retail market segments, as well as companies and operators through the implementation of mobile and fixed networks with 3G, 4G, 5G, GPON and MetroEthernet, and IP/DWDM backbone. In addition, it will deploy transport and access networks, and implement network infrastructure. | Algar Telecom S.A | 1,497,860,000.00 | MCOM 2469/2021 |
| 11 | The project goal is to implement, expand, maintain, recover, adapt and/or modernize transport and local wireless networks, data centers, as well as network infrastructure for telecommunications, and virtualization of the telecommunications network. | SPE Piauí Conectado S.A | 152,814,420.19 | MCOM 2616/2021 |
| 12 | Implementation of mobile access network and telecommunications network infrastructure. | Surf Telecom S.A | 500,000,000.00 | MCOM 2917/2021 |
| 13 | The project has the aim of implementing telecommunications networks for transport and access network related purposes, to support data and broadband communication. | Conexão Serviços de Comunicação Multimídia S.A | 400,000,000.00 | MCOM 3009/2021 |
| 14 | Implementation and expansion of transport and fixed access networks for telecommunications. | Videomar Rede Nordeste S.A | 150,000,000.00 | MCOM 4050/2021 |
| 15 | Implementation of optical fiber network and telecommunications network infrastructure. | Surf Tech S.A | 925,000,000.00 | MCOM 4321/2021 |
| 16 | Implementation of mobile-fixed, 5G access network or above, and telecommunications network infrastructure. | Copel Telecomunicações S.A | 2,000,000,000.00 | MCOM 4865/2022 |
| 17 | Implementation of transport, mobile-fixed network, data center, telecommunications network infrastructure and infrastructure for telecommunications network virtualization. | Unifique Telecomunicações S.A | 150,000,000.00 | MCOM 5445/2022 |
▽
◉ PUBLISHED: Ordinance No. 330, of July 5, 2012
| Company | Estimated Debentures (R$) |
Project Description | Ordinance |
| Algar Telecom S.A | 634,728,000.00 | Expansion and modernization of broadband data communication network, comprising of: a) modernization and expansion of the fixed broadband network; b) expansion of mobile broadband network; c) expansion of data network to service the corporate market; d) expansion of the company's backbone; and e) building and expansion of civil, air conditioning and electrical infrastructure, as well as the construction of optical, metal and coaxial networks. | 311/2014 SEI-MC |
| Algar Telecom S.A | 634,728,000.00 | Implementation, expansion and modernization of data communications network, 3G/4G mobile fixed broadband network, building of optical network and infrastructure. | 1427/2016 SEI-MC |
| Algar Telecom S.A | 1,180,439,000.00 | Implementation, expansion and modernization of data communications network, 3G/4G mobile fixed broadband network, building of optical network and infrastructure. | 1003/2017 SEI-MCTIC |
| Algar Telecom S.A | 2,445,474,000.00 | Implementation, expansion and modernization of data communications network, 3G/4G mobile fixed broadband network, building of optical network and infrastructure. | 1190/2018 SEI-MCTIC |
| Copel Telecomunicações S.A | 640,000,000.00 | Implementation, expansion and modernization of telecommunications network, using optical cables and digital transmission systems, comprising of: a) purchase and installation of optical cable infrastructure; b) purchase and installation of network equipment; c) building, expansion and modernization of rooms, equipment and systems for network management and command; d) purchase and installation of equipment for re-establishing routes in case of optical cable breakage; and e) implementation of access network. | 3716/2015 SEI-MC |
| Copel Telecomunicações S.A | 1,455,000,000.00 | Implementation, expansion and modernization of transport and telecommunications access infrastructure, based on the use of optical cables and intended for transporting digital signals. This will offer both high capacity and high transmission speeds, enabling telecommunications services to be provided, such as among others, the Multimedia Communication Service (SCM) and capabilities for other telecommunications service providers. | 3858/2017 SEI-MCTIC |
| SPE Piauí Conectado S.A | 89,756,328.35 | The Piauí Conectado Project encompasses the building of data, voice and image transport infrastructure, including associated services for the Government of the Piauí State, in addition to Wi-Fi technology for the creation of free internet access points for the population. Its main goals are service coverage through high capacity optical fiber network and ensuring availability for the entire State of Piauí. Consequently, improving telecommunications service quality, promoting digital inclusion through public access points, proportionally reducing current operational costs, and interconnecting all administrative units of the State. | 5947/2018 SEI-MCTIC |
ABOUT FAT
The initiative does not receive funding from the Worker's Support Fund (FAT).
REVENUE WAIVER
There is the potential for a waiver, or enables the possibility of such.
LEGISLATION
Law No. 12,431, of June 24, 2011.
Decree No. 8,874, of October 11, 2016.
Ordinance No. 502, of September 1, 2020.
SYSTEMS