SAO PAULO, Sept 23 (Reuters) - Eletropaulo Metropolitana SA , a Brazilian electricity utility controlled by U.S.-based AES Corp, won a court injunction against an order to pay a 626 million real ($260 million) consumer rebate, the company said on Tuesday.
Brazil’s electricity regulator ANEEL ordered the rebate for the allegedly improper incorporation by Eletropaulo of 246,000 meters of power cables as company assets.
Eletropaulo did not immediately provide further details of the ruling. The company is the principal distributor of electricity to Sao Paulo, Brazil and South America’s largest and most industrialized metropolitan area.
Half the fine has already been covered by ANEEL when it limited the company’s annual tariff adjustment to 18.66 percent in July, 3.3 percent less than Eletropaulo had the right to receive after a drought caused Brazilian power generation costs to soar.
Eletropaulo shares fell 1.9 percent in Tuesday trading on the Sao Paulo BM&FBovespa exchange before the ruling was confirmed.
The company has lost 17 percent of its value so far in the third quarter, making it the fourth-worst performer on the Bovespa index of the BM&FBovespa’s most-traded stocks.
Arlington, Virginia-based AES owns 78 percent of Eletropaulo voting shares, according to the Eletropaulo website. When non-voting preferred shares are included, AES owns 31 percent of total Eletropaulo stock.
$1 = 2.4065 Brazilian reais Reporting by Leonardo Goy e Alberto Alerigi Jr.; Additional reporting and writing by Jeb Blount in Rio de Janeiro; Editing by Lisa Shumaker