The "Eolicas de Portugal", Consortium, in Which ENDESA Owns a 30% Stake, Has Been Awarded 1,200 MW of Capacity in the Wind Energy Tender.

* In a ceremony presided over by the Portuguese Minister for the Economy and Innovation, the General Manager for Energy in Portugal and the General Manager of the winning consortium today signed the concession agreement in Viana do Castelo.

* The consortium was awarded the 800 MW that was publicly tendered as well as the two 200 MW bonus concessions provided for in the tender.

* The EE[thorn]licas de Portugal project entails investment of over Euro 1.5 billion between 2006 and 2011 and the installation of 48 wind farms with capacity of between 20 and 25 MW at a broad range of sites throughout Portugal.

NEW YORK -- The EE[thorn]licas de Portugal consortium, in which ENDESA (NYSE:ELE) owns a 30% stake, has won the concession tendered by the Portuguese government for the installation of wind farms with a total capacity of 1,200 MW. The concession agreement was signed today in Viana do Castelo in a ceremony presided over by the Portuguese Minister for the Economy and Innovation.

The consortium is 30%-owned by ENDESA, 40%-owned by EDP, 20%-owned by GENERG (a Portuguese wind farm developer) and 10%-owned by SONAE (Portugal's largest industrial conglomerate and ENDESA's partner in the development of around 60 MW of wind farms in Portugal) and additionally comprises ENERCON, the world technological leader in the development and production of wind turbines with factories in five countries.

The consortium was awarded not only the 800 MW that was publicly tendered but also the two 200 MW bonus concessions provided for in the tender. The first bonus concession was awarded because the consortium's tender proposal exceeded the minimum quality requirements and the second, as a prize of outstanding merit.

EE[thorn]licas de Portugal's proposal was the best rated by the jury, outranking the other consortium that had also reached the final stage.

The EE[thorn]licas de Portugal project entails investment of over Euro 1.5 billion between 2006 and 2011 and will generate over 1,800 new jobs. The initiative comprises the installation of 48 wind farms with capacity of between 20 and 25 MW at a broad range of sites throughout Portugal. The wind park developments are mostly located in the regions of Minho, Upper Beira, Lower Beira, Extremadura and the Algarve.

The project additionally envisages the development of an industrial estate in Viana do Castelo with a planned total surface area of 135,000m2. The facility will consist of the production facilities required to guarantee the integral production of a new ENERCON wind turbine model, the E-82, for the consortium, with a production capacity of 180 wind turbines/year and 600 poles/year.

Thanks to the additional capacity accruing to ENDESA by virtue of winning this tender, the Company will have almost 700 MW of wind capacity in Portugal making it the country's second largest wind energy producer and the largest non-Portuguese electric utility in the sector.

At present, ENDESA's participates in the Portuguese renewable energy and cogeneration sectors together with Sociedade Termica Portuguesa, in a 50/50 joint venture which has 56 MW of cogeneration capacity. In addition, ENDESA acquired 100% of FINERGE in 2005, which had an installed capacity of 107 MW at the end of 2005 and plans to boost its output to 320 MW by 2007.

ENDESA's also participates in the Portuguese electricity system through its stake in Tejo EnergE a and the sale of electricity to end customers on the deregulated market.

ENDESA holds a 38.9% stake in Tejo EnergE a, the company that owns the 600 MW coal-fired Pego plant, one of the country's largest facilities. This plant has long-term contracts to sell its energy to the Portuguese grid and produced 4,702 GWh of power in 2005, up approximately 6% on 2004.

In 2005 ENDESA cemented its position in the Portuguese deregulated market with total sales of 2,223 GWh, an increase of 23.6% on 2004 to give it a 33% share of the deregulated market and a customer base of over 2,700. Since May 2002 ENDESA has been active in this market through Sodesa, created through a 50/50 joint venture with Portuguese industrial conglomerate Sonae. Sodesa is currently the second-ranked supplier to the Portuguese deregulated market.

* This document may contain certain forward-looking statements regarding anticipated financial and operating results and statistics that are subject to risks and uncertainties as well as to material risks, changes and other factors which may be difficult to predict, including, without limitation, those factors described in the Documento de Registro de Acciones of Endesa filed within the ComisiE[thorn]n Nacional del Mercado de Valores and in the Form 20-F of Endesa filed within the Securities and Exchange Commission, both for the fiscal year ended December 31, 2005. For all of these forward-looking statements, we claim the protection of the safe harbour for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.