Rome, August 31, 2002 – For the purposes of providing correct information to the market and to shareholders, ENEL announces that the government provision suspending increases to electricity tariffs will reduce Group revenues, for the three months of the decree’s validity, by about 40 million euros, net of eventual adjustments relative to the last two-month billing period of the year, as stated in the present regulations. Enel hopes that the price performance of petroleum products will allow operators to absorb these losses or that, after the phase of suspension, measures will be identified that will compensate electricity companies for their higher costs. The tariff increase decided by the authority of 0.12 cE/kWh (2.4 lire per kWh), which the government suspended, is linked exclusively to hydro-carbon price dynamics, which represent an uncontrollable cost for companies.

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