Sales are comprised of:
| (in millions of euros) | 2019 | 2018 |
|---|---|---|
| Sales of energy and energy-related services | Sales of energy and energy-related services 2019 65,760 | Sales of energy and energy-related services 2018 63,283 |
| energy(2) | energy (2)2019 46,590 | energy (2)2018 44,473 |
| energy-related services(including delivery(3)) | energy-related services(including delivery(3)) 2019 19,170 | energy-related services(including delivery(3)) 2018 18,810 |
| Other sales of goods and services | Other sales of goods and services 2019 4,531 | Other sales of goods and services 2018 4,387 |
| Trading | Trading 2019 1,026 | Trading 2018 876 |
| SALES | SALES 2019 71,317 | SALES 2018 68,546 |
(1) Restated for the impacts of IFRS 5 concerning the discontinued E&P operations (see note 2.3).
(2) Sales of energy include €1,548 million of sales related to optimisation operations on the wholesale gas and electricity markets in 2019 (€1,432 million in 2018). These operations are carried out by certain Group entities to balance supply and demand, in compliance with the Group’s risk management policy (see note 1.3.7). In 2019, the principal operating segments with a net short position in euros on the markets are France – Generation and Supply (gas), Italy (electricity) and the United Kingdom (electricity). In 2018, the principal operating segments were Italy (electricity) and the United Kingdom (electricity).
(3) Delivery services included in this item concern the distribution network operators Enedis, Électricité de Strasbourg and EDF SA for non-interconnected zones. However, delivery services concerning EDF Energy and Edison are included in Sales of energy, because those entities are classified as the principal under IFRS 15 for both supply and delivery (see note 1.3.7). The delivery services by EDF Energy and Edison have no impact on net income because they are included in “Transmission and delivery expenses” in note 8.
Excluding the effects of exchange rates and changes in the scope of consolidation, sales for 2019 were up by 3.5% or €2.4 billion, principally in the France – Generation and Supply segment (+6.6% or +€1.6 billion), the United Kingdom (+5.9% or +€0.5 billion) and Other activities (+35.6% or +€0.6 billion), with a decrease in Italy (-€0.7 billion or -8.1%).
The increase in sales in the France – Generation and Supply segment in 2019 is mainly due to rising price effects amounting to an estimated €2.1 billion, mainly reflecting the positive price movements on market-price offers and the 7.7% (excluding taxes) rise in regulated sales tariffs on 1 June 2019.
The rise in sales in the United Kingdom is primarily explained by a favourable price effect for electricity and an increase in capacity revenue after the capacity market resumed (see note 1.3.7), despite a decrease in sales volumes on the wholesale markets, while the decrease in sales in Italy mainly results from gas activities due to lower prices, and, to a lesser degree, a decline in volumes sold.
The increase in sales by the Other activities segment essentially relates to the LNG activities, which saw good business levels in 2019 thanks to the competitivity of gas facilities in Europe and better use of the Group’s capacities.
Fuel and energy purchases comprise:
| (in millions of euros) | 2019 | 2018 |
|---|---|---|
| Fuel purchases used – power generation (2) | Fuel purchases used – power generation (2)2019 (11,700) | Fuel purchases used – power generation (2)2018 (12,404) |
| Energy purchases(2) | Energy purchases (2)2019 (15,041) | Energy purchases (2)2018 (13,351) |
| Transmission and delivery expenses | Transmission and delivery expenses 2019 (8,325) | Transmission and delivery expenses 2018 (7,701) |
| Gain/loss on hedge accounting | Gain/loss on hedge accounting 2019 (7) | Gain/loss on hedge accounting 2018 (18) |
| (Increase)/decrease in provisions related to nuclear fuels and energy purchases | (Increase)/decrease in provisions related to nuclear fuels and energy purchases 2019 (18) | (Increase)/decrease in provisions related to nuclear fuels and energy purchases 2018 418 |
| FUEL AND ENERGY PURCHASES | FUEL AND ENERGY PURCHASES 2019 (35,091) | FUEL AND ENERGY PURCHASES 2018 (33,056) |
(1) Restated for the impacts of IFRS 5 concerning the discontinued E&P operations (see note 2.3)
(2) Fuel purchases used and Energy purchases include respectively €417 million and €3,117 million for optimisation operations on the wholesale gas and electricity markets in 2019 (€271 million and €2,694 million in 2018). In 2019 the principal operating segments with net long positions in euros on the markets are France – Generation and Supply (electricity), the United Kingdom (gas), Other international (Luminus – gas and electricity) and Dalkia (gas). In 2018, the segments were the same.
Fuel purchases used include costs relating to raw materials for energy generation (coal, biomass, oil, propane, fissile materials, nuclear fuels and gas), purchases of services related to the nuclear fuel cycle, and costs associated with environmental schemes (mainly greenhouse gas emission rights and renewable energy certificates).
Energy purchases include energy generated by third parties, incorporating energy derived from cogeneration intended for resale.
