Universal Registration Document 2022

Introduction

Changes and outlook
Investments to decarbonise and reinforce the electricity generation fleet

In accordance with the local multi-year energy programmes (PPE), the EDF group has undertaken to replace the main power plants that are at the end of their useful lives. The new power plants will be constructed and operated by the subsidiary EDF PEI. In areas where this is specified in the PPE, EDF PEI is planning to operate these new plants or to convert its existing plants (that were commissioned between 2012 and 2015) to use liquid biomass (in accordance with the Red II Directive). Firstly, the plant at Port Est on Reunion Island will be converted during the second half of 2023. It will thus become a 100% renewable energy plant.

EDF PEI is currently a partner in a photovoltaic plant with battery storage project in French Guiana, and in a in a wind power plant with battery storage project in Martinique. EDF PEI is strengthening its renewable energy capacity through ordinary projects with EDF Renewables. EDF PEI is also a partner of GMOB, the purpose of which is to install and run a network of electric charging stations in the French Caribbean.

Investments in electricity networks

The continued increase in consumption in most of these communities, despite being offset to a certain extent by the energy efficiency actions undertaken, the development of renewable energies and the growing number of generation facilities coming online, have led the EDF network operator to continue the expansion and reinforcement of the electricity networks. In total, the network operator EDF IES invested €240 million in Network activities in 2022.

A commitment to projects devoted to improved integration of renewable energies in the electricity generation mix and to optimising the management of electrical systems

In its capacity as electricity system manager, EDF IES contributes to improving technical capacities for the introduction of non- synchronous renewable energy generation into NIZ. It proposes changes to their technical specifications, by adapting the electricity system to make it more resistant to power disruptions, and by developing smart metering systems.

EDF has also brought online and manages several centralised storage systems. These are used as a power reserve, in the event of loss of a generation means, or to cover peaks in consumption.

Work is ongoing to create micro-networks that are 100% powered by renewable energies in certain isolated areas. In 2017, an innovative system combining photovoltaic, digital monitoring and storage was installed on the Island of Sein. It provides a supply of 100% renewable energy for several hours each day. Part of the Cirque de Mafate on Réunion is supplied with solar power, and is equipped with a battery. In 2021, in Saint-Georges-de-l’Oyapock in French Guiana (4,000 inhabitants) EDF commissioned a micro-network that is fuelled solely by renewable energy (hydropower and solid biomass), combined with a battery and a smart management system.

Energy efficiency is a crucial energy transition lever in the island systems. EDF contributes to the elaboration and implementation of the demand-side management (DSM) territorial strategy. One of the main tools are capital grants (over €600 million approved by the CRE for 2019-2023). EDF actively promotes DSM operations financed by these grants for all types of customers, particularly through the Agir Plus label.

EDF IES has committed to deploying 1.2  million digital meters in the overseas départements (excluding Mayotte) and Corsica by end-2023. This represents an investment of €268 million. These digital meters will contribute to an extensive modernisation of customer relations and enhance the effect of energy transition drivers. At end-2022, over 900,000 meters had been installed.

In March 2022, EDF IES signed a framework agreement with the French National Federation of Licensing Authorities (Fédération nationale des collectivités concédantes et régies, FNCCR) in order to implement a new model of general specifications for NIZ. On the basis of this model, which is adapted to the key issues associated with energy transition, EDF IES and the Syndicat d’Électricité de la Réunion (Sidelec) renewed their concession contract for 30 years on 22 November 2022.

1.4.4.4 Électricité de Strasbourg (ÉS)

The ÉS group is an Alsatian energy producer that is committed to the long-term energy and economic performance of the area it serves through its four business lines: electricity and gas distribution (1), energy supplies, energy services and renewable energy generation. This portfolio of business lines enables the ÉS group to provide the best possible support to its customers for energy transition.

ÉS also provides services to Local Distribution Companies (LDCs), primarily in eastern France.

EDF Développement Environnement (EDEV) owns 88.64% of the ÉS group. The remaining shares are owned by the public and the company’s employees. Its shares are listed on Euronext Paris.

Distribution

Strasbourg Électricité Réseaux is the ÉS subsidiary in charge of distribution. It acts as a network operator for the electricity distribution network in accordance with the rules on management independence.

Strasbourg Électricité Réseaux operates, maintains, develops and renews an electricity network of over 15,000 kilometres in the 400 Alsatian municipalities that chose it to operate their electricity distribution grids under concession agreements. These concession agreements were renewed between 1993 and 2001 for a term of 40 years. The area serviced covers three-quarters of the Bas-Rhin département. It includes more than 580,000 points of delivery for various voltage levels, as well as connections with the Enedis network and two other downstream network operators.

Trois Frontières Distribution Gaz is a company that was founded in 2021 as part of the transaction to acquire the gas distribution activity for the municipalities of Huningue, Saint-Louis, Hégenheim and Village Neuf in the south of Alsace. It performs its functions independently of any gas supply activity and ensures transparent, non-discriminatory access to the natural gas distribution network. It provides natural gas at more than 8,000 delivery points at medium and low pressure. As distribution network operator, Trois Frontières Distribution Gaz is responsible for gas network routing, connection and access. Trois Frontières Distribution Gaz is also responsible for meter reading.

Sales and marketing

ÉS Énergies Strasbourg is the sales and marketing subsidiary of the ÉS group. At end-2022, ÉS Énergies Strasbourg supplied power to more than 569,000 electricity customers (including renewable- and biogas-source energy), and more than 113,000 gas customers, both individuals and businesses (in the tertiary and industrial sectors) as well as local authorities.

In addition to supplying electricity and gas, ÉS Énergies Strasbourg offers related services. These include electricity, gas and plumbing corrective maintenance and digital services designed to help customers better manage their energy consumption. For its individual customers, ÉS Énergies Strasbourg has continued the implementation of support services. They cover the renovation and construction of housing, via a portal that puts customers in touch with a network of local partners. ÉS Énergies Strasbourg is also active in the development of solar power. It promotes sustainable transport, in particular charging infrastructures for electric vehicles. All of its commercial activities associated with photovoltaic, electric mobility, energy efficiency and housing retrofits are now gathered under the “Planigy par ÉS” brand, which was launched in September 2022.

As part of the recurring electricity supply business of ÉS Énergies Strasbourg, the sales subsidiary of the ÉS group, market transactions involving daily adjustments of customer portfolios were issued by mistake and in large numbers (surplus sales compared to requirements), namely 2.03GW and 5.75GW for 6 and 7 September 2022 respectively. This incident resulted in two financial press releases being issued on 8 and 9 September 2022, which stated, in particular, that the estimated cost was €60 million.

Régiongaz is the natural gas sales arm of the gas LDC on the Trois Frontières territory, which the ÉS group acquired on 1 January 2022. It supplies more than 8,500 customers with natural gas. Its customers are households, businesses (tertiary and industry) and some local authorities.

(1) The distribution business line is managed by Strasbourg Électricité Réseaux in accordance with the rules on the management independence of network operators.