Universal Registration Document 2020

1. The Group, its strategy and activities

1.4.5 International activities

EDF group supplies electricity and gas to some 38 million customers worldwide: domestic customers, businesses, and local government. It is amajor energy provider on key European markets: France, the UK, Italy, and Belgium. The Group is seeking to move into new geographical areas, developing low-carbon solutions in growing countries and strengthening its positions in Europe.

32.7 million 
ELECTRICITY CUSTOMERS

26 countries 
WHERE THE GROUP OPERATES

30 million 
PEOPLE BENEFITING FROM CITELUM LIGHTING WORLDWIDE

1.4.5.1 United Kingdom

EDF group activity in the United Kingdom (UK) is led by EDF Energy and EDF Trading(see 1.4.6.3 “Optimisation and Trading: EDF Trading”).

EDF in the UK is principally active in:

  • the generation of electricity in the UK and delivering decommissioning responsibilities;
  • the supply of electricity and gas and energy solutions to domestic and business customers;
  • building a new nuclear power station at Hinkley Point, a joint venture (JV) withCGN;
  • developing further new nuclear power stations;
  • renewables, through EDF Renewables UK, which is a subsidiary of EDF Energy and. a joint venture (JV) between EDF Energy and EDF Renewables;
  • technical services, energy and low-carbon solutions at customer sites through Imtech, in JV with Dalkia;
  • and electric mobility in particular through the acquisition of Pod Point.

 In addition, EDF Trading is providing optimisation and risk management services to  the EDF group as well as third parties.

EDF Energy is one of the UK’s largest energy companies and the largest producer of low-carbon electricity, producing around 17% of the nation’s electricity from its nuclear power stations, coal and gas power stations and combined heat powerplants.

EDF Energy supplies gas and electricity to 5.22 million business and residential customer accounts as at December 2020.

The company employs around 11,717 people at sites throughout the UK as atDecember 2020.

EDF Renewables UK operates and develops new renewable generation and storage projects in the UK and Ireland, with almost 1GW of capacity in operation and almost4GW in planning and development, also including development of large-scale batteries and high-volume power connections to enable rapid electric vehicle charging through Pivot Power(1).

Imtech is one of the leading technical and engineering service providers in the UK and active from engineering services and contracting (Imtech Engineering Services andSUIR) to technical facilities management (Imtech Inviron), systems integration and digital solutions (Capula) and energy services and energy performance contracting, especially in the public sector (Breathe) (also see section 1.4.6.1.1 “Dalkia”).

In electric mobility, EDF acquired during 2020 a majority stake in Pod Point, one of the largest electric vehicle (EV) charging companies in the UK, in a new JV with Legal& General Capital(2). EDF in the UK aims to maintain and build its leading position onUK charging point operations; develop smart charging; and offer time-of-use, low-carbon EV tariffs as well as wider services to support UK drivers in going electric.

In 2020, EDF in the UK released a plan for green recovery and a sustainability roadmap, describing its actions to help Britain achieve Net Zero(3).

1.4.5.1.1 EDF Energy strategy

The purpose of EDF Energy, the country’s largest low-carbon electricity generator, is to help Britain achieve Net Zero. It does this by leading the transition to a decarbonised energy system in its seven business areas (see section 1.4.5.1).

EDF Energy’ and the JVs aim to be the leaders in each area, while capturing advantages from being the only companies working across all seven areas, and from being part of EDF group. This strategy is entirely consistent with CAP 2030 and underpinned by a focus on health and safety, cost efficiency, sustainability and R&D activity across the business.

The Covid-19 pandemic has strongly impacted the UK operating environment.Throughout the crisis, EDF Energy has prioritised the continuation of energy supply and service to its customers and the health, safety and wellbeing of its staff,  contractors, customers and communities. At the same time, the company has delivered on its core role in helping to meet the society’s essential energy needs, and supports the UK Government’s economic recovery plans, including a plan to enable £50 billion of investment in Britain’s low-carbon generation.

In its Customers Business, EDF Energy serves over 3.5 million British homes and businesses as well as public services, such as various elements of the wider public sector, including National Health trusts, emergency services, higher education and schools, Local Authorities and the devolved administrations of Wales and Scotland.

EDF Energy focusses on developing a reputation for outstanding customer experience and as a leader on decarbonization. It has maintained an “Excellent” rating on Trustpilot and backs its residential and small business electricity tariffs with zero-carbon electricity(4).

The business is developing solutions to help British households, businesses and the public sectors to achieve Net Zero, in areas including electric mobility, low-carbon heating, flexibility services and smart meters combined with data services. EDF Energy is working toward delivering on its regulatory obligations as a leader on energy efficiency installations through the energy company obligation (ECO) scheme and through a cost-efficient roll-out of smart meters to homes and small businesses, as part of the national programme. In 2020, EDF Energy has installed a further c.343k smart meters.

The pandemic, combined with the default tariff cap on the residential GB market and a fiercely competitive environment, mean that cost efficiency and an effective, resilient operating model remain key priorities.

(1) See https://www.pivot-power.co.uk/who-we-are/

(2) See EDF press release of 13 February 2020 “The EDF group acquires Pod Point, one of the UK’s largest electric vehicle charging companies”.

(3) https://www.edfenergy.com/about/green-recovery ; https://www.edfenergy.com/about/sustainability.

(4) The UK government (BEIS) recognises that electricity from wind, solar and nuclear fuel produces zero carbon dioxide emissions at the point of generation. Trustpilot rating as of November 2020.