Power Market

In 2003, COPEL's power market reached 18,782 GWh, recording a growth of 1.2% mostly on account of the performance of the unregulated or free market (customers outside the State of Paraná), which increased by 24.1%.

Power consumption throughout COPEL's concession area in Paraná in 2003 amounted to 17,417 GWh, a 0.2% drop compared to the previous year. The performance of the Company during the year was particularly affected by the loss of a few large customers and by a change in residential consumer habits. The industrial segment recorded the worst results, with a 4.3% decrease in consumption.

The residential segment, which accounted for 25% of COPEL's market, consumed 4,381 GWh in 2003, recording a 1.7% increase over 2002. This result is due to a change in household consumption habits as a lingering effect of the power rationing, and also to lower average incomes. Average consumption by residential customer was 150.3 kWh, a figure 1.1% lower than that recorded in 2002. In December 2003, the number of residential customers reached 2,428,812, having increased by 2.8% over December 2002.

The commercial segment, with a consumption growth of 5%, recorded the highest growth rates of all customer segments, consuming a total of 2,864 GWh, thanks mostly to the modernization of businesses and the opening of new commercial outlets, particularly supermarkets and shopping malls. In December 2003, 257,408 commercial customers were billed, a figure 2.1% greater than the 252,031 customers billed in December 2002.

Consumption by the industrial segment, which in 2003 accounted for around 42% of the Company's direct distribution market, recorded the largest reduction compared to 2002 (minus 4.3%), amounting to 7,233 GWh. The poor performance of this segment results from the loss by the Company of some large customers. The industrial segments featuring the best results were: timber (12.6%), chemicals (10.9%), construction (10.8%), textiles (5.5%), basic metallurgy (4.2%), foodstuffs ( 2.6%), and car-making (2.8%).

Consumption of electricity by unregulated ("free") customers supplied by COPEL outside the State of Paraná increased by 24.1% in 2003.

Number of Customers

In 2003, COPEL set up 84,105 new connections, of which 67,094 were residential, 2,679 industrial, and 5,377 commercial. In December, the Company issued 3,095,498 customer bills, a growth of 2.8% over the 3,011,382 bills issued in December 2002.