CPFL ENERGIA S.A.
Publicly-held Company
Corporate Taxpayer’s ID (CNPJ) No. 02.429.144/0001 -93 –
Corporate Registry ID (NIRE) 353.001.861 -33

NOTICE TO SHAREHOLDERS

CPFL Energia S.A. (“Company”) (Nyse: CPL, Bovespa: CPFE3) hereby informs its shareholders and the market that the Board of Directors’ Meeting held on August 11, 2008, approved the distribution of intermediary dividends for the first half of 2008, said decision to be ratified by the Annual Shareholders’ Meeting, to be held on April 2009 (in a date to be defined by the Company), pursuant to the following instructions:

1) VALUE

The amount of dividends to be paid is R$ 601,576,427.45 (six hundred and one million, five hundred and seventy-six thousand, four hundred and twenty-seven reais and forty-five centavos), equivalent to R$ 1.253516809 per common share, based on Statements of June 30, 2008.

2) RECORD DATES AND EX-DIVIDEND

The record date for the shares traded on the São Paulo Stock Exchange (Bovespa) will be August 19, 2008. The record date for the American Depositary Receipts (“ADRs”), traded on the New York Stock Exchange (NYSE) will be August 22, 2008. All shareholders of CPFL Energia shares on the record dates will be entitled to the dividend payment.

The Company’s shares will be traded ex-dividends in both markets as of August 20, 2008.

3) PAYMENT

(i) Said dividends will be paid in a date to be defined by the Company.

(ii) Dividends from shares deposited with the Brazilian Clearing and Depository Corporation (Companhia Brasileira de Liquidação e Custódia - CBLC), will be credited to same and transferred to shareholders by the depositary brokers.

(iii) The other shareholders will have their dividends credited through their bank accounts, according to the shareholders registration details on Banco Bradesco S.A. (“Bradesco”). Shareholders whose registers are not updated should go to a branch of Bradesco to update their registration details and receive payment.

(iv) Payments related to the ADRs will be made through The Bank of New York Mellon (the depositary bank for the Company’s ADRs).

São Paulo, August 12, 2008.

CPFL Energia S.A.

José Antonio de Almeida Filippo
Chief Financial and Investor Relations Officer

This press release may contain forward-looking statements. These statements are statements that are not historical facts, and are based on management's current view and estimates of future economic circumstances, industry conditions, company performance and financial results. The words "anticipates", "believes", "estimates", "expects", "plans" and similar expressions, as they relate to the company, are intended to identify forward-looking statements. Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results of operations are examples of forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations.