Universal Registration Document 2021

3. Non-financial performance

In 2021, the results of the certification audits conducted by AFNOR highlight the quality of the leadership, strategies and policies built in line with local issues and the needs and expectations of stakeholders. The auditors emphasize the Group's increased ambitions, particularly with regard to issues related to CO2 and biodiversity, and note the progress made in controlling the environmental impacts of its businesses. These audits identified 14 minor non-conformities. Progress is still expected in terms of taking better account of the life-cycle perspective in the implementation of projects and practices (moving from control to avoidance), developing performance indicators rather than monitoring indicators, harmonising practices related to the control of suppliers and subcontractors, and strengthening risk management and the ability of sites to react at the level of certain subsidiaries.

Prevent impacts on the climate

The EDF group recognises the urgency of acting against climate change. It has aligned its ambitions with the Paris Climate Agreement, whose goal is to limit global warming to well below 2°C, preferably 1.5°C, relative to pre-industrial levels. The Group’s CO2 emission reduction trajectory has been validated by Science Based Targets. The EDF group has set up a dedicated governance structure in line with the best practices recommended by the Task Force on Climate-Related Financial Disclosure (TCFD). The Group’s climate strategy, aligned with CAP 2030,is accompanied by four CSR commitments: An ambitious carbon trajectory, carbon-offsetting solutions, adaptation to climate change, and the development of electricity uses and innovative energy services, which form the EDF group’s climate transition plan (see section 3.1.1 “Group carbon trajectory”).

Group carbon trajectory
Carbon neutrality by 2050

The EDF group was one of the first businesses, way back in 2018, to set itself the goal of contributing to achieving carbon neutrality by 2050. This commitment was strengthened and clarified in March 2020. In practice, it involves:

  • direct emissions: reducing the Group’s direct greenhouse gas emissions to zero or virtually zero by 2050;
  • indirect emissions: reducing indirect greenhouse gas emissions as much as possible within the framework of national policies;
  • residual emissions: implementing negative-emission projects to offset the Group’s residual emissions by 2050.

This covers emissions of all greenhouse gases for all Scopes (1, 2 and 3) and for all operations of the Group across the globe.

2030 targets recognised by the SBTi

In 2020, the EDF group set new targets to cut its greenhouse gas emissions by 2030, covering both its direct emissions (Scope 1) and its indirect emissions (Scopes 2 and 3). On 7 December 2020, these goals were confirmed to be line with the “Well Below 2°C” trajectory by the Science Based Targets (1) initiative, based on its recently-published methodology specially developed for the electrical sector (2).

As a result, the EDF group is committed to the following 2030 goals:

  • 50% reduction, on 2017 levels for Scope 1 and Scope 2 emissions, also including emissions from non-consolidated assets and emissions associated with electricity purchased (i.e. not generated by it) to be sold to end customers;
  • 28% reduction, from 2019 levels of emissions from combustion of gas sold to end customers (Scope 3).

In keeping with these targets validated by SBTi, the EDF group has decided to set the following additional 2030 targets: 25MtCO2 for Scope 1 emissions in 2030 and a 28% reduction on 2019 levels of the emissions of the entire Scope 3 by 2030.

In order to reach these targets, a greenhouse gas emissions reduction trajectory has been developed for the three Scopes of the EDF group. This trajectory contains a 2023 milestone, with the following interim targets:

  • 28 to 30MtCO2e for the Group’s Scope 1 emissions by 2023 (this range factors in the uncertain post-health crisis scenarios);
  • 23% reduction, on 2017 levels for Scope 1 and Scope 2 emissions, also including emissions from non-consolidated assets and emissions associated with electricity purchased (i.e. not generated by it) to be sold to end customers;
  • 10% reduction, on 2019 levels for emissions associated with the combustion of gas sold to end customers and an 8% reduction for the entire Scope 3 of the Group.

These 2023 and 2030 targets for the Group’s direct and indirect emissions were implemented through emission trajectories for all the Group’s business lines and entities (see section 3.1.3 « EDF Climate Governance).

Main measures implemented to achieve this ambitious goal:

By 2030, and in line with the CAP 2030 projects, the main actions enabling the EDF group to achieve these emission targets covering all three Scopes are as follows (3):

(1) Initiative launched in the wake of the Paris Agreement in 2015 by the following four organisations: CDP, UN Global Compact, World Resources Institute and World Wild Fund.

(2) “Setting 1.5°C aligned science based targets – quick start guide for electric utilities”, CDP, June 2020.

(3) Note that Enedis is also experimenting with Local Zero Emission Generators (GE ZE), an alternative solution to conventional generators. The diesel engine is replaced by a battery or a hydrogen fuel cell, the use of which locally emits neither noise, nor CO2, nor pollutants. These GE ZEs will supply customers during outages for works on the public electricity distribution network, while reducing the impact on the environment and maintaining the collection of local renewable energies connected to the network. They will contribute to the zero carbon objective.