EDF group’s aim of achieving very low carbon production is embodied first and foremost in the accelerated development of renewable energy in France and abroad. The EDF group is developing renewable electrical power using all types of technology (hydropower, solar power, onshore and offshore wind power, etc.). Renewable energies already account for over one quarter of the Group’s overall capacity (1).
The EDF group is now the leader of renewable energy in Europe and, in particular, the leading supplier of hydropower in the European Union, with 22.5GW of net installed capacity (2). With regards to the other renewable energies, mainly wind power and solar power, EDF is also one of the world leaders, with a net installed capacity of 12 GW. EDF’s goal is to increase its installed capacities in those sectors rapidly.
The target is to achieve installed capacity for renewable energy (including hydropower) of 60 GW net for 2030, the equivalent of more than twice the 2015 installed capacity. EDF group is seeking a balance between the different technologies (onshore and offshore wind power, solar power, and hydropower), as well as in geographical distribution. Lastly, EDF regularly invests in hydropower facilities in order to combine economic, energy and environmental performance, and offers solutions to strengthen hydropower generation.
EDF is establishing a position as a European leader in the aggregation of renewable capacity and flexibility, and has set itself the target of tripling the Group’s storage resources by 2035 as part of its Storage Plan.
This aim of very low carbon production is also based on the performance of the nuclear industry, by guaranteeing industrial expertise, safety, competitiveness, care for the environment, optimised operation of nuclear fleets in France and the United Kingdom, completion of works in progress (Flamanville 3, HPC), and implementation of an innovative fuel cycle strategy.
EDF’s nuclear generation fleet is the only one of its kind in the world. The Grand Carénage of the existing fleet in France has already begun and is a major industrial challenge. The related investment is designed to enable the plants in question to remain in operation beyond 40 years, guaranteeing nuclear safety, performance, and the protection of the environment.
Nuclear power operation does not emit CO2 (3); it provides baseline production whilst offering strong leverage in terms of management and flexibility to adjust to electricity consumption. As such it is an essential asset for a decarbonised electricity mix by 2050.
With this in mind, EDF is building the Hinkley Point C reactor in the United Kingdom and the Flamanville reactor in France. Two EPR in Taishan, China, are being operated. In Finland, the Olkiluoto 3 EPR built by Orano diverged on 21 December 2021. Since 4 January, it entered a second phase, during which the power is limited to 30%. Several other stages need to be completed before its scheduled commissioning in July 2022.
EDF is also developing other projects which may be built in countries that are seeking to equip themselves with new reactors. In addition, EDF is finalising the design of a new generation of EPR.
By 2030, the Group is seeking to be engaged in new EPR programmes in France, the United Kingdom, and elsewhere in the world, as well as in the development of the first Small Modular Reactor (SMR) demonstrator in France.
EDF is also preparing for redeployments following final shutdowns. It aims to become the European leader in generation asset decommissioning, and is developing the circular economy.
To deal with the challenges of demographics, urbanisation and air pollution, many countries are looking for solutions that can improve the situation.
EDF, which operates on four continents, supports this energy transition trend by exporting its expertise in the fields of nuclear power, renewable energies and energy services.
Internationally, there is considerable scope for innovation. EDF is seeking to triple the value creation of its activities (compared to 2015) through targeted development of its renewable energy, nuclear, and service production assets, thus contributing to other countries’ energy transition.
By 2030, the EDF group’s goal is that of no longer having any coal-fired assets anywhere in the world, whilst also making a significant contribution to the development of renewable installed capacity (including 1.5 to 2 GW of net installed capacity in hydropower (4)).
In terms of new business lines, EDF is aiming to have a portfolio of 1 million off-grid kits by 2030 and is pursuing the development of new markets such as microgrids, smart grids, storage, hydrogen, mobility, smart cities, etc., as well as further strengthening its positions in energy efficiency services, grids, and engineering services.
From a geographical point of view, EDF is seeking to strengthen its position in Europe, particularly in core countries (France, the United Kingdom, Italy, and Belgium), as well as to consolidate its position in China and North America. EDF is aiming to become a benchmark player in a limited number of priority countries in South America, Asia, Africa, and the Middle East, by means of a significant multi-business presence, thus providing coordinated support for energy transition in these target countries.
EDF is investing massively in energy transition. In 2021, nearly 94% of Group investments were made in accordance with the Group’s low-carbon goals (94% in 2020) (see also note 20.4 in the notes to the consolidated financial statements as presented in chapter 6.1 and section 3.8.3 “Details on the taxonomy”).
In all the countries in which it operates, the EDF group is implementing a strategy to adapt all its activities to the impacts of climate change. It aims to make its existing facilities more resilient to increasingly frequent extreme weather events, such as heat waves, droughts, storms and floods. Moreover, the EDF group incorporates long-term climate change (such as average temperatures and sea levels) into the design of its new facilities, particularly those with a lifespan of over 40 years, such as hydroelectric and nuclear plants(see section 3.1.2 “Adapting to climate change”).
(1) 30.8 GW at end 2021 out of a total of 117.3 GW in consolidated data.
(2) Including marine energies.
(3) No direct emission; LCA (life-cycle assessment) emissions can be estimated at 6gCO2/kWh (source: Ademe).
(4) Excluding priority countries in Europe: France, Italy, the United Kingdom and Belgium.
(5) Introduced by the French Energy Transition Act promoting green growth (Loi de Transition Énergétique pour la Croissance Verte, LTECV), the National Low Carbon Strategy (Stratégie nationale Bas-Carbone, SNBC) constitutes France’s road map for combating climate change. It provides guidelines for implementing the transition to a low-carbon, circular, sustainable economy in all areas of business. It also defines a trajectory for cutting greenhouse gas emissions through to 2050 and establishes short to medium-term goals: carbon budgets. Its aim is twofold: to achieve carbon neutrality by 2050, and to cut the carbon footprint of the French population’s consumption. National and local public-sector decision-makers must take the SNBC into account.
(6) However, RTE’s most recent provisional review reveals the need to maintain production at the Cordemais power plant until 2024, or perhaps even 2026, so as to maintain the balance between supply and demand.
