Universal Registration Document 2022

3.6 Methodology

3.6.1 Principles

With regard to environmental, social and societal indicators, the scope covered by the non-financial reporting ⁽¹⁾ is based on the Group’s financial consolidation scope. It includes EDF as well as exclusively controlled subsidiaries (full consolidation at 100% of the value of the indicators) in accordance with financial standards (IAS- IFRS).

The contributions of entities accounted for using the equity method are excluded from sustainability reporting, with the exception of the indicator on renewable capacities in net consolidation.

The entities acquired during the fiscal year are included in the scope of consolidation in the year following the date of acquisition for environmental and societal data, and in the year of acquisition for social data if the acquisition was made more than six months from the reporting date. Data on both workforce and production capacities is presented at 31 December of the relevant year.

The indicators are reported on the basis of:

• the scope of consolidation established by the Financial Department;
• the aforementioned rules in terms of variation of scope;
• the criteria linked to the relevance of the subsidiaries’ activities in terms of environmental and societal impact:
  • for the environmental and societal data, only data from industrial activities that are significant in terms of their environmental impact are reported, therefore the data for some subsidiaries included in the financial scope may not appear in the report due to their activity or their small size with respect to the environmental challenges,
  • concerning social data, the selection criterion is the entity’s workforce (greater than 50).

The environmental and societal data in the Statement of non-financial performance are based on methodological sheets. This is the Group’s standard for sustainability reporting in force in 2022. If data are missing, particularly during the last days of the year, estimates are made on the basis of the best information available on that date.

3.6.2 2022 Scope

In 2022, Izivia, Hynamics, Sowee, Energy2Market, Citegestion (entity still remaining after changes in Citelum), as well as EDF Andes Spa and Lingbao shall progressively integrate the scope of the social indicators, with priority given to the Employment indicators for 2022.

3.6.3 Details relating to the CSR information

3.6.3.1 Details on the materiality matrix of the EDF group

A materiality matrix cross-referencing the priority CSR issues of both stakeholders and the EDF group was published in 2018 on the basis of the methodological principles contained in the AA1000  standard on stakeholder involvement in identifying, understanding and responding to sustainable development issues and concerns, as well as on the basis of the GRI Standard 101, which provides guidelines in relation to quality and content of reporting in order to meet stakeholder expectations. The methodology ⁽²⁾ was implemented through four key stages:

• the first stage was identifying the issues through the mapping of EDF’s existing and emerging sustainable development issues, in the form of interviews with international experts (Key Opinion Leaders), members of the Executive Committee of the Group and its subsidiaries, as well as benchmarks and appropriate bibliographical data. The issues, reflecting both risks and opportunities for all the EDF group’s activities, were selected according to four criteria: link with strategy, governance, performance; ability to substantially influence value creation; potential loss of opportunity if the issue was not followed; importance in the eyes of stakeholders or as part of an existing;
• the second stage aimed to assess and evaluate the materiality of the identified issues. Two processes were simultaneously carried out, with internal and external stakeholders. Stakeholders were consulted on the significance of the issue for the EDF group, as well as on the Group’s perceived performance on the issue. Each stakeholder defined the notion of “significance” according to its position in the Company or its relationship with the EDF group, which could integrate all or part of the criteria of the GRI 101 Standard (economic, environmental, social impacts, stakeholder interest, future challenges, etc.);
• criticality and significance for EDF was assessed by two committees (the nonfinancial publication committee, bringing together the management of the Trade, Purchasing, Finance and HR Divisions and a second committee bringing together experts and managers from the Strategy, Regulation, Risk, Innovation and CAP 2030 Divisions). Four representatives of trade union organisations (CGT, CFDT, FO, CFE) and four members of the Executive Committee were also consulted at this stage in the form of interviews. This evaluation also made it possible to screen the estimated level of performance (from very good to not taken into account);
• criticality and importance for external stakeholders was assessed by thirteen of the Group’s stakeholders interviewed through open and closed questions aimed at gathering qualitative information on the issues and identifying possible issues not identified during the mapping stage. These stakeholders were chosen in line with EDF group’s stakeholder mapping, representing public authorities, financial players, customers, suppliers and civil society. These thirteen stakeholders each selected ten issues considered to be the most significant by 2030 from the list of issues formulated in phase 1, or adding new ones if necessary and justified. This evaluation also made it possible to screen the estimated level of performance (from very good to not taken into account);