In order to continue being able to supply its customers, the Group aims to strengthen and diversify its medium and long-term sources of gas. In particular, in LNG, EDF has taken out medium and long-term contracts, one of the aims of which is to enhance the regasification capacity of the Dunkirk LNG terminal. Furthermore, in 2021, Edison is due to start importing one billion cubic metres of gas per year from Azerbaijan under a long-term contract (see section 1.4.5.2.3.2 “Gas business”).
Apart from its various rights to transport capacity in the European network, the EDF group participates, through its Edison subsidiary, in infrastructure projects for gas importation (see section 1.4.5.2.3.2 “Gas business”).
In line with the Group’s gas strategy, EDF is the main shipper using the Dunkirk LNG terminal in the long term.
EDF retains the right to use 80% of the Rovigo offshore terminal’s regasification capacity, i.e. 6.4 billion cubic metres a year, through Edison (see section 1.4.5.2.3.2“Gas business”).
The Group also holds regasification capacities in the terminal of Zeebrugge (Belgium).
Since 2018, Edison is building a small scale LNG supply chain to sell LNG in Italy comprising a first onshore depot and a small scale LNG terminal in order to help reduce CO2 emissions for transport by road and sea (see section 1.4.5.2.3.2 “Gas business”).
In Germany, the EDF group has storage for natural gas in salt cavities situated in Etzel. The aboveground facilities are operated through a 50/50 joint venture withEnBW. EDF has around 190 million cubic metres of volume capacity in this salt cavity storage.
With respect to storage activities of the Group in Italy and in the United Kingdom, see respectively, sections 1.4.5.2.3.5 “Regulated activities” and 1.4.5.1.2.2 “Thermal generation and gas storage”.
The Group also holds storage rights in the Netherlands, Belgium and France.
Following a strategic repositioning, Edison announced on 17 December 2020 the sale to Energean of its upstream business in oil & gas exploration and production (excluding Algeria and Norway). On 30 December 2020, Edison announced that it had entered into an agreement with Sval Energi for the disposal of 100% of Edison Norge AS, which owns the oil & gas exploration and production business located inNorway (see section 1.4.5.2.2 “Edison Strategy”).
EDF Trading (EDFT) is the EDF group’s interface with the wholesale energy markets providing market, optimisation and risk management services to EDF group companies as well as third parties. The company operates across Europe, NorthAmerica and Asia in the wholesale markets primarily in the electricity, natural gas andLPG business and provides customers with access to financial oil and environmental products. LNG and coal and freight activities are carried out by JERA Global Markets in partnership with JERA of Japan. Through its North American subsidiary, EDFT is one of the main service providers to electricity producers and energy suppliers for access to wholesale markets, and one of the five leading electricity suppliers for major-account customers in sales and industry.
EDF Trading’s registered office is located in London. The company has around820 employees globally and its regulated activities are authorized by the UK’s financial market regulator, the Financial Conduct Authority.
Among other things, EDFT provides a full range of wholesale market services to EDF DOAAT (see section 1.4.3 “Optimisation activities for EDF in France”) and EDFCustomers Division in France and serves as a route to market for the other entities ofEDF group.
EDF Trading is a leading participant in the European electricity wholesale market trading almost 2,000TWh annually. The company provides a full range of risk management services to EDF group’s asset operators and to third parties. It has an extensive geographic footprint and scale of activity which makes it able to adapt quickly to changes in the market and to develop new business where appropriate. In2020, EDFT developed its PPA (1) activity to support renewable energy development, and extended its presence in the Nordic markets.
EDF Trading is also a leading participant in the European gas wholesale market trading 590bcm annually. It optimises EDF entities’ gas assets including production, transmission rights, long-term supply contracts and re-gasification and storage capacities. This enables EDFT to support the EDF group and third party customers with complete gas wholesale market solutions. In 2020, EDFT expanded its flow activities with an increasing number of customers or suppliers in Europe and some major players accessing the European markets to hedge their portfolio.
EDF Trading North America is a leader in the wholesale energy markets in NorthAmerica, where it benefits from broad geographical coverage, offering solutions to customers across the entire North American energy value chain. It provides energy management solutions, natural gas supply, and real-time services for electricity producers in the USA. As one of the leading suppliers of production services for electric power plants in the USA, EDF Trading North America manages over 29GW for 105 electric power plants. For retail energy aggregators, it provides supply services on the wholesale market, as well as services to interface with Independent SystemOperators (ISOs).
Ranked in the top five electricity suppliers to commercial and industrial customers inNorth America, the retail supply and services team offer natural gas, electricity, and environmental products to a portfolio of commercial and industrial customers, managing a portfolio of 2.6GW of customer demand response. Some of these customers are also active in Europe, allowing EDFT to address their needs on a worldwide basis. In 2020, EDFT expanded its market coverage and developed its activity to serve the interest of C&I customers for renewable energy supply.
EDF Trading is committed to the environmental products marketplace and, as subsidiary of a leading renewable operator, it offers a broad range of multi-commodity hedging solutions that support the EDF group and third party customers’ decarbonization targets around the world. EDFT is active in the compliance and voluntary carbon markets, guarantees of origin certificates in Europe,Renewable Energy Certificates in the US, and International Renewable EnergyCertificates in the rest of the world. In addition, it is a recognised provider of risk management products in the European weather market. In 2020, EDFT developed its activity to support EDF group entities’ green marketing initiatives and to propose high quality certificates to customers interested in offsetting their carbon footprint.
Following the sale of its coal and freight business to JERA in April 2017 and the merging of their LNG optimisation and trading activities into JERA Global Markets in 2019, EDFT holds a 33% financial stake in JERA Global Markets, a leading seaborne energy trader. In 2020, the Company continued to develop its global activities, in particular in the LPG market and EDFT also entered the Japanese Power market.
(1) Power purchase agreement.
