Annual Report - EDP

notes to the consolidated EDP - and Energias company de Portugal, financial S.A. statementsfor the years ended 31 december 2012 and 2011Notes to the Consolidated and Company Financial Statementsfor the years ended 31 December 2012 and 201118. INTANGIBLE ASSETSThis caption is analysed as follows:GroupThousands of Euros Dec 2012 Dec 2011Cost:Concession rights 15,443,537 15,463,265CO 2 licenses 320,164 359,058Other intangibles 101,616 97,157Intangible assets in progress 551,038 563,29516,416,355 16,482,775Accumulated depreciation and impairment losses:Depreciation of concession rights -406,567 -453,887Depreciation of industrial property and other intangibles -3,105 -3,406Accumulated depreciation in previous years -9,464,821 -9,225,004-9,874,493 -9,682,297Carrying amount 6,541,862 6,800,478The concession rights over the electric energy distribution networks in Brazil, namely Bandeirante (State of São Paulo) and Escelsa (State of Espírito Santo) are amortisedon a straightline basis over the period of the concession until 2028 and 2025, respectively. The concession rights in Portugal relate to the natural gas distributionnetwork, being amortised on a straightline basis over the period of the concession, until 2047, as well as the concession of the public hydric domain for hydroelectricgeneration.The concession rights over electricity production in Brazil, namely for Lajeado Energia and Investco, are amortised on a straightline basis over the period of theconcession, until 2032.The movements in Intangible assets during the year ended 31 December 2012, for the Group, are analysed as follows:PerimeterBalance at Acquisitions/ Disposals / Exchange variations / Balance atThousands of Euros 1 January Increases Write-offs Transfers differences Regularisations 31 DecemberCost:Concession rights:Distribution and generation Brazil 1,448,562 - - - -78,658 - 1,369,904Gas Portugal 138,354 - - - - - 138,354Hydric Portugal1,371,528 28,866 - - - 25 1,400,419Other concession rights 10,827 - - - - - 10,827CO 2 licenses 359,058 169,046 -206,191 -1,749 - - 320,164Assigned to concessions (IFRIC 12):Intangible assetsIntangible assets in progressOther intangiblesOther intangible assets in progress12,493,994 497 -35,309 332,523 -267,672 - 12,524,033191,760 432,382 -446 -455,704 -7,584 - 160,40897,157 155 -10 389 -1,518 5,443 101,616371,535 23,781 -40 -389 -1,582 -2,675 390,63016,482,775 654,727 -241,996 -124,930 -357,014 2,793 16,416,355PerimeterBalance at Disposals / Exchange variations / Balance atThousands of Euros 1 January Charge Write-offs Transfers differences Regularisations 31 DecemberAccumulated depreciation andimpairment losses:Concession rightsIntangible assets assigned toconcessions (IFRIC 12)Other intangibles675,011 78,319 - - -12,904 - 740,4268,978,242 328,248 -24,301 - -179,703 - 9,102,48629,044 3,105 - - -580 12 31,5819,682,297 409,672 -24,301 - -193,187 12 9,874,493Transfers of intangible assets assigned to concessions in the amount of 123,181 thousands of Euros related to the transfer to Debtors and other assets fromcommercial activities of the amount corresponding to the increase of financial assets related with IFRIC 12. This amount includes the effect of the application of revisedamortisation rates in the Brazilian electricity sector, as result of the useful lives revision for the assets allocated to concessions by "Agência de Energia Elétrica" (ANEEL),in the amount of 12,985 thousands of Euros (32,572 thousands of Brazilian Reais) during 2012.Transferes in CO 2 Licences in the amount of 1,749 thousands of Euros are related with the transfer of cogenaration assets to assets held for sale (see note 42).Acquisitions / Increases of CO 2 Licences as at 31 December 2012 include 109,026 thousands of Euros of CO 2 licences granted free of charge to the EDP Group plantsoperating in Portugal and in Spain and 60,020 thousands of Euros of licences purchased at market. The market for CO 2 licences is regulated by "Plano Nacional deAtribuição de Licenças de Emissão" (PNALE) in Portugal, and by "Plan Nacional de Asignación de Derechos de Emisión de Gases de Efecto Invernadero" (PNADE) inSpain, which covers the period 2008-2012. The disposals / write-off of CO 2 licenses correspond to CO 2 licenses consumed during 2011 and delivered to regulatoryauthorities in the amount of 199,909 thousands of Euros and 6,282 thousands of Euros sold in the market.206A World Full Of Energy