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24. LOANS, FINANCING AND DEBENTURES (Detaills 6) - BRL (R$) R$ in Millions | 12 Months Ended
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Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017
Disclosure loans financings and debentures [abstract] |  |  |  |
Costs of loans and financing |  | R$ 1,250 | R$ 1,287 | R$ 1,604
Financing costs on intangible assets and contract assets | [1],[2] | (23) | (30) | (71)
Net effect in Profit or loss |  | R$ 1,227 | R$ 1,257 | R$ 1,533
[1] | The average capitalization rate p.a. in 2019 was 6.79% (9.64% in 2018 and 14.28% in 2017).
[2] | This refers to the credits recognized by the wholly-owned subsidiaries Sa Carvalho, Cemig Geracao Distribuida, Cemig Geracao Poco Fundo S.A. (previously denominated UTE Barreiro S.A.) and Horizontes Energia S.A..

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