Sales are comprised of:
(in millions of euros) | 2020 | 2019(1) |
|---|---|---|
| Sales of energy and energy-related services | Sales of energy and energy-related services 2020 62,918 | Sales of energy and energy-related services 2019(1) 65,790 |
energy(2) | energy(2) 2020 43,767 | energy(2) 2019(1) 46,620 |
energy-related services (including delivery(3)) | energy-related services (including delivery(3)) 2020 19,151 | energy-related services (including delivery(3)) 2019(1) 19,170 |
| Other sales of goods and services | Other sales of goods and services 2020 5,201 | Other sales of goods and services 2019(1) 4,531 |
| Trading | Trading 2020 912 | Trading 2019(1) 1,026 |
SALES | SALES 2020 69,031 | SALES 2019(1) 71,347 |
(1) Restated for the impacts of IFRS 5 due to the change in scope of E&P operations (see note 1.4.2).
(2) Sales of energy include €1,112 million of sales related to optimisation operations on the wholesale gas and electricity markets in 2020 (€1,548 million in 2019). These operations are carried out by certain Group entities to balance supply and demand, in compliance with the Group’s risk management policy. In 2020, the principal operating segments with a net short position in euros on the markers are France – Generation and supply (gas), Italy (electricity) and the United Kingdom (electricity). In 2019, the segments were the same.
(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. 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 5.2.
After elimination of foreign exchange effects and changes in the scope of consolidation, the Group’s sales decreased by 3.4% or €(2.4) billion including the €(2.3) billion effect of the Covid-19 pandemic. The segments mainly concerned by this decline in sales were Italy (-21.8% or €(1.6) billion), Other activities (-19.5% or €(0.4) billion), Dalkia (-8.9% or €(0.3) billion), and the United Kingdom (-1.9% or €(0.2) billion), while an increase was observed in the France – Generation and Supply segment (+0.6% or +€0.2 billion).
The €0.2 billion increase in sales by the France-Generation and Supply segment despite the €(1.1) billion effects of the Covic-19 pandemic is explained by energy price effects (including the increases in the regulated sales tariffs, see the paragraph above on regulated tariffs) and the higher capacity revenue (see the paragraph above on capacity mechanisms), partly offset by the lower nuclear power output excluding Covid-19 effects.
The rise in sales in the France-Regulated activities (+€0.1 billion) is more particularly attributable to changes in the TURPE 5 tariffs following the increases applied in 2020(see the paragraph above on regulated tariffs) at a time when quantities delivered saw a significant downturn due to the very mild weather of 2020 and the effects ofthe Covid-19 pandemic (€(0.3) billion).
The lower level of sales by the Italy segment observed in 2020 (€(1.6) billion) is mainly explained by unfavourable price and volume effects on gas business estimated at €(1.5) billion, in line with falling prices across all markets, and also by mild weather and an unfavourable price effect in electricity business, estimated at €(0.2) billion.
The €(0.4) billion decrease in sales by the Other activities segment was essentially caused by LNG activities which were weakened by the significant decrease in wholesale prices and lower use of Group capacities.
Dalkia registered a €(0.3) billion decline in sales, against an unfavourable background of energy price movements and the Covid-19 pandemic (which had a €(0.2) billion on Dalkia’s sales).
In the United Kingdom, sales were down by €(0.2) billion, principally due to the unfavourable effects of the Covid-19 pandemic (€(0.5) billion), lower nuclear power output and lower capacity revenue, despite the favourable effects of the higher realised sales prices for nuclear power.
Fuel and energy purchases comprise::
| (in millions of euros) | 2020 | 2019(1) |
|---|---|---|
| Fuel purchases used – power generation (2) | Fuel purchases used – power generation (2)2020 (10,162) | Fuel purchases used – power generation (2)2019(1) (11,700) |
| Energy purchases(2) | Energy purchases (2)2020 (14,645) | Energy purchases (2)2019(1) (15,041) |
| Transmission and delivery expenses | Transmission and delivery expenses 2020 (7,916) | Transmission and delivery expenses 2019(1) (8,325) |
| Gain/loss on hedge accounting | Gain/loss on hedge accounting 2020 (22) | Gain/loss on hedge accounting 2019(1) (7) |
| (Increase)/decrease in provisions related to nuclear fuels and energy purchases | (Increase)/decrease in provisions related to nuclear fuels and energy purchases 2020 320 | (Increase)/decrease in provisions related to nuclear fuels and energy purchases 2019(1) (18) |
| FUEL AND ENERGY PURCHASES | FUEL AND ENERGY PURCHASES 2020 (32,425) | FUEL AND ENERGY PURCHASES 2019(1) (35,091) |
(1) Restated for the impacts of IFRS 5 due to the change in scope of E&P operations (see note 1.4.2).
(2) Fuel purchases used and Energy purchases include respectively €514 million and €1,674 million for optimisation operations on the wholesale gas and electricity markets in 2020 (€417 million and €3,117 million in 2019). In 2020 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 2019, the segments were the same.
Fuel purchases used include costs relating to raw materials for energy generation (nuclear fuels, fissile materials, gas, coal, oil and biomass), 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 purchases made under the purchase obligation mechanism in France.
