Universal Registration Document 2022

The net value of other intangible assets breaks down as follows:

(in millions of euros)	31/12/2021	Acquisitions	Disposals	Translation adjustments	Changes in scope	Other movements	31/12/2022
Software	Software 31/12/2021 6,787	Software Acquisitions 965	Software Disposals (96)	Software Translation adjustments (54)	Software Changes in scope (14)	Software Other movements 17	Software 31/12/2022 7,605
Positive fair value of commodity contracts acquired in a business combination	Positive fair value of commodity contracts acquired in a business combination 31/12/2021 504	Positive fair value of commodity contracts acquired in a business combination Acquisitions -	Positive fair value of commodity contracts acquired in a business combination Disposals -	Positive fair value of commodity contracts acquired in a business combination Translation adjustments -	Positive fair value of commodity contracts acquired in a business combination Changes in scope -	Positive fair value of commodity contracts acquired in a business combination Other movements -	Positive fair value of commodity contracts acquired in a business combination 31/12/2022 504
Greenhouse gas emission rights – green certificates	Greenhouse gas emission rights – green certificates 31/12/2021 900	Greenhouse gas emission rights – green certificates Acquisitions 2,457	Greenhouse gas emission rights – green certificates Disposals (2,350)	Greenhouse gas emission rights – green certificates Translation adjustments (20)	Greenhouse gas emission rights – green certificates Changes in scope -	Greenhouse gas emission rights – green certificates Other movements (8)	Greenhouse gas emission rights – green certificates 31/12/2022 979
Other intangible assets	Other intangible assets 31/12/2021 8,152	Other intangible assets Acquisitions 436	Other intangible assets Disposals (110)	Other intangible assets Translation adjustments (24)	Other intangible assets Changes in scope (25)	Other intangible assets Other movements (35)	Other intangible assets 31/12/2022 8,394
Intangible assets in development ⁽¹⁾	Intangible assets in development ⁽¹⁾31/12/2021 1,793	Intangible assets in development ⁽¹⁾Acquisitions 319	Intangible assets in development ⁽¹⁾Disposals (8)	Intangible assets in development ⁽¹⁾Translation adjustments (1)	Intangible assets in development ⁽¹⁾Changes in scope -	Intangible assets in development ⁽¹⁾Other movements 7	Intangible assets in development ⁽¹⁾ 31/12/2022 2,110
Gross value	Gross value31/12/202118,136	Gross valueAcquisitions4,177	Gross valueDisposals(2,564)	Gross valueTranslation adjustments(99)	Gross valueChanges in scope(39)	Gross valueOther movements(19)	Gross value 31/12/2022 19,592
Software	Software 31/12/2021 (4,282)	Software Acquisitions (839)	Software Disposals 96	Software Translation adjustments 47	Software Changes in scope 9	Software Other movements 1	Software 31/12/2022 (4,968)
Positive fair value of commodity contracts acquired in a business combination	Positive fair value of commodity contracts acquired in a business combination 31/12/2021 (241)	Positive fair value of commodity contracts acquired in a business combination Acquisitions (25)	Positive fair value of commodity contracts acquired in a business combination Disposals -	Positive fair value of commodity contracts acquired in a business combination Translation adjustments -	Positive fair value of commodity contracts acquired in a business combination Changes in scope -	Positive fair value of commodity contracts acquired in a business combination Other movements -	Positive fair value of commodity contracts acquired in a business combination 31/12/2022 (266)
Other intangible assets	Other intangible assets 31/12/2021 (3,392)	Other intangible assets Acquisitions (555)	Other intangible assets Disposals 105	Other intangible assets Translation adjustments 19	Other intangible assets Changes in scope 52	Other intangible assets Other movements 32	Other intangible assets 31/12/2022 (3,739)
Accumulated amortisation and impairment	Accumulated amortisation and impairment31/12/2021(7,915)	Accumulated amortisation and impairmentAcquisitions(1,419)	Accumulated amortisation and impairmentDisposals201	Accumulated amortisation and impairmentTranslation adjustments66	Accumulated amortisation and impairmentChanges in scope61	Accumulated amortisation and impairmentOther movements33	Accumulated amortisation and impairment 31/12/2022 (8,973)
NET VALUE	NET VALUE31/12/202110,221	NET VALUEAcquisitions2,758	NET VALUEDisposals(2,363)	NET VALUETranslation adjustments(33)	NET VALUEChanges in scope22	NET VALUEOther movements14	NET VALUE 31/12/2022 10,619

(1) Increases in intangible assets in development are stated net of the effects of newly-commissioned assets. Intangible assets in development are detailed in note 10.6.

The gross value of other intangible assets at 31 December 2022 includes:

the Edison brand and intangible assets related to Edison’s hydropower concessions, amounting to €945 million and €489 million respectively;
the Dalkia brand and intangible assets related to Dalkia’s concession agreements in France, amounting to €130 million and €1,433 million respectively;
the Framatome brand, Framatome’s nuclear technology-related intangible assets and Framatome’s customer contracts, amounting to €151 million, €777 million and €344 million respectively.

Net impairment of €(65) million was recorded in respect of other intangible assets in 2022 (compared to a net reversal of impairment €59 million in 2021).

EDF’s research and development expenses recorded in the income statement total €473 million for 2022 (€487 million in 2021).

10.3 Property, plant and equipment used in generation and other tangible assets by the Group

Accounting principles and methods

Property, plant and equipment is recorded at acquisition or production cost:

the cost of facilities developed in-house includes all labour and materials costs, and all other production costs that can be included in the construction of the asset;
borrowing costs attributable to the financing of an asset incurred during the construction period are included in the value of the asset provided it is a qualifying asset as defined by IAS 23 “Borrowing costs”;
the cost of property, plant and equipment also includes the initial estimate of decommissioning costs. These costs are recognised in assets against the provision recognised to cover these obligations. At the date of commissioning, these assets are measured and recorded in the same way as the corresponding provision (see note 15);
decommissioning costs for nuclear generation installations also include last core costs (see note 15).

When some of the decommissioning costs for a plant are to be borne by a partner, the expected reimbursement is recognised as accrued income in the assets. The difference between the provision and the accrued income is recorded in “Property, plant and equipment”, and subsequent payments by the partner are deducted from the accrued income.

The Group capitalises safety expenses incurred as a result of legal and regulatory obligations sanctioning non-compliance by an administrative ban from operation.

Strategic safety spare parts for generation facilities are treated as property, plant and equipment, and depreciated over the residual useful life of the installations.

The costs of operations that are necessary for generation assets to remain in service, and are undertaken at the time of scheduled shutdowns, particularly during major inspections, are capitalised and amortised over a period corresponding to the time elapsing between two inspections.

When a part of an asset has a different useful life from the overall asset’s useful life, it is identified as an asset component and depreciated over a specific period.

Depreciation

Items of property, plant and equipment are depreciated on a straight-line basis over their useful life, defined as the period during which the Group expects to draw future economic benefits from their use.

Depending on each country’s specific regulations and contractual arrangements, the expected useful lives for the main facilities are as follows:

nuclear generation facilities: 40 to 50 years;
wind farm and photovoltaic facilities: 20 to 25 years;
fossil-fired power plants (mainly CCGT-Combined Cycle Gas Turbine plants): 25 to 45 years;
transmission and distribution installations (lines, substations): 20 to 60 years;
other general plant and machinery: 10 to 20 years.

Universal Registration Document 2022

Introduction

10.3 Property, plant and equipment used in generation and other tangible assets by the Group

Accounting principles and methods

Depreciation