EDF owns 30% of Taishan Nuclear Power Joint Venture Company Limited (TNPJVC), which was set up to build and operate two EPR nuclear reactors in Taishan, in the province of Guangdong in China. CGN holds a 51% stake and Yudean a 19% stake.
Framatome has two contracts with TNPJVC:
Following the start of commercial operation by the first reactor on 13 December 2018, the second reactor began commercial operation on 7 September 2019 (see note 3.1.4).
On 20 March 2019, the NDRC (National Development and Reform Commission) attributed regulated tariffs to the first three 3rd-generation nuclear projects in China, one of which is Taishan.
The tariff attributed to Taishan is set at RMB435/MWh until the end of 2021, with retroactive effect to the date the first unit was commissioned (13 December 2018).
Indexing mechanisms and the post-2021 tariff levels were not set out in this decision.
The business plan was updated to incorporate this temporary tariff decision. This did not lead to recognition of any impairment on these assets in the financial statements at 31 December 2019.
The carrying value of inventories, broken down by nature, is as follows:
| 31/12/2019 | 31/12/2018 | |||||
|---|---|---|---|---|---|---|
| (in millions of euros) | Gross value | Provision | Net value | Gross value | Provision | Net value |
| Nuclear fuel | Nuclear fuel 31/12/2019 10,649 | Nuclear fuel 31/12/2018 (4) | 10,645 | 10,671 | (6) | 10,665 |
| Other fuel | Other fuel 31/12/2019 872 | Other fuel 31/12/2018 (30) | 842 | 957 | (14) | 943 |
| Other supplies | Other supplies 31/12/2019 1,624 | Other supplies 31/12/2018 (360) | 1,264 | 1,613 | (302) | 1,311 |
| Work-in-progress for production of goods and services | Work-in-progress for production of goods and services 31/12/2019 497 | Work-in-progress for production of goods and services 31/12/2018 (30) | 467 | 538 | (30) | 508 |
| Other inventories | Other inventories 31/12/2019 869 | Other inventories 31/12/2018 (38) | 831 | 840 | (40) | 800 |
| TOTAL INVENTORIES | TOTAL INVENTORIES 31/12/2019 14,511 | TOTAL INVENTORIES 31/12/2018 (462) | 14,049 | 14,619 | (392) | 14,227 |
The long-term portion (more than one year) mainly concerns nuclear fuel inventories amounting to €7,828 million at 31 December 2019 (€7,810 million at 31 December 2018).
The value of EDF Trading’s inventories stated at market value is recognised in “Other fuel” and “Other inventories” and stands at €141 million at 31 December 2019 (€142 million at 31 December 2018).
Details of net trade receivables are as follows:
| (in millions of euros) | Note | 31/12/2019 | 31/12/2018 |
|---|---|---|---|
| Trade receivables, gross value – excluding EDF Trading | Trade receivables, gross value – excluding EDF Trading 31/12/2019 15,066 | Trade receivables, gross value – excluding EDF Trading 31/12/2018 14,468 | |
| contract assets | contract assetsNote28.3 | contract assets 31/12/2019 400 | contract assets 31/12/2018 439 |
| Trade receivables, gross value – EDF Trading | Trade receivables, gross value – EDF Trading 31/12/2019 1,583 | Trade receivables, gross value – EDF Trading 31/12/2018 2,446 | |
| Impairment | Impairment 31/12/2019 (1,043) | Impairment 31/12/2018 (1,004) | |
| TRADE RECEIVABLES, NET VALUE | TRADE RECEIVABLES, NET VALUE 31/12/2019 15,606 | TRADE RECEIVABLES, NET VALUE 31/12/2018 15,910 |
Most trade receivables mature within one year.
Advances received from customers in France who pay in regular monthly instalments, amounting to €6,719 million at 31 December 2019 (€6,827 million at 31 December 2018), are deducted from trade receivables.
