EDF_REGISTRATION_DOCUMENT_2017

3.

ENVIRONMENTAL AND SOCIETAL INFORMATION − HUMAN RESOURCES Defining and implementing corporate responsibility

formaldehyde (amoeba measurements), PU41 diluent (CEIDRE, EDF’s nuclear engineering unit), additive for sealing concrete shells after agreement with ANDRA (national agency for the management of radioactive waste) (nuclear power stations). Other studies are under way, notably at EDF Energy and EDF SA in order progress further, particularly in hydraulic fluids, potassium chromate (a rust inhibitor), formalin (insulation) and environmentally acceptable oils to replace mineral oils (Hydraulic Engineering Production Division (DPIH)). Locally, each of the Group’s operational units and companies identify events that could have an environmental impact, manage emergency situations that could result from them, conduct corresponding crisis response drills, implement monitoring and communicate on environmental events under its responsibility. There were no high-stakes environmental events (4) during 2017. There were a few incidents, without any major environmental or health impacts, which mainly concerned leaks or spillages of hydrocarbons or acid. They were controlled according to the emergency procedures in effect which considerably limited their impact on the natural environment. Two events need to be highlighted however: the discovery of a historical waste storage at the Flamanville construction site, dating from the construction of the first reactors, and the death of a royal eagle (an emblematic protected species) in a collision with a wind turbine at the Aumelas site operated by EDF EN. Apart from that, after the passage of Hurricane Irma, the strongest ever recorded in the Atlantic, the electricity systems on the islands of Saint Martin and Saint Barthelemy were practically destroyed and those of Martinique and Guadeloupe were seriously affected by the passage of Hurricane Maria. Some of these events may be followed by litigation arising from complaints filed by NGOs or associations or formal warnings from national regulatory authorities (the French Nuclear Safety Authority (ASN), Prefecture, etc.) No definitive rulings were handed down against EDF in France in 2017. The environmental management system (SME) In order to coordinate all the objectives and actions resulting from its commitments and its sustainable development policy, EDF group has put in place Group-wide coordination managed by a Sustainable Development Committee (SDC) and implemented as regards the environmental component (including aspects associated with climate change) with the aid of an environmental management system (EMS). The EDF group’s EMS is ISO 14001 certified for a scope representing almost all the consolidated revenue of EDF and its subsidiaries (excluding Enedis) and associates (5) . This ISO 14001 certification even exceeds the Group’s consolidated scope with new subsidiaries such as IFOPSE also being ISO 14001 certified. The EDF group has maintained its certification, with the fifth renewal for the 2017-2020 period obtained in May 2017 and the certificate presented to the Chairman of EDF by the CEO of AFNOR (the French national standards organisation). In 2017, in the context of the continuous improvement of the EMS, the Group headquarters and numerous divisions and subsidiaries were certified on the basis of the new (2015) version of ISO 14001. Following the decision by certain subsidiaries to forego ISO 14001 certification, an analysis of the organisation of the EMS confirmed the importance of the Group EMS in guaranteeing the control of environmental risks in projects and activities, as well as the advantages of ISO 14001 certification at Group level, which is doubly justified as regards stakeholders’ expectations and the internal motivation lever that this recognition provides.

Integration of the Sustainable Development Department within innovation strategy planning ensures that the Group’s sustainable development issues are taken into consideration during the decision-making process both when screening investment projects (via the CECEG process), and in the strategic process. Management and prevention of 3.1.8.2 environmental risks If they are not adequately managed, the Group’s activities could have a significant impact on the environment. For this reason, and as a responsible Group, EDF implements a risk management policy for its operational, financial and organisational risks in compliance with current legislation. Environmental risks, including those associated with climate change, are fully integrated into the Group’s EMS and internal control system in coordination with the Group risk management function. They are subject to action plans resulting from strategic priorities in the Group’s sustainable development policy. The 2017 risk mapping update (1) reconfirmed the risk analysis and did not highlight new environmental risks. At the end of 2017, taking into account the sale of the Polish business and the stoppage of the fuel-oil fired power station at Porcheville, the Group had 9 SEVESO high-threshold sites and 26 low-threshold sites (2) ; Dalkia acts as service provider at 81 sites Seveso low-threshold sites. In 2017, as in previous years, the most significant factors in terms of the economic and financial challenges related to environmental risks pertain to the following subjects: climate change and GHG emissions; the roll-out of energy efficiency initiatives; the impacts of EDF’s activities on the air, water and soil and the production of waste; protection of biodiversity and services provided by ecosystems and the management of water resources. Preventing risks and pollution In order to control risks of industrial incidents or accidents that could harm the natural environment or public health, EDF has implemented: a Group environmental management system that is constantly monitored and ■ improved in the entities and at the sites; an active investment policy and an industrial asset decommissioning programme ■ for assets no longer in operation, which includes decontamination operations (3) where necessary; an employee training programme and awareness-raising programme for all ■ stakeholders; inspections and audits at the generation sites; ■ a crisis management policy which requires the regular testing of crisis systems ■ through an annual programme of crisis response drills (see section 2.2.2.3 “Crisis management and business continuity”). In order to reduce these risks, the Group’s entities have also implemented a programme to eliminate or substitute certain substances (PCBs, chemical products) with more environmentally-friendly products. This work focuses as a priority on CMR (carcinogenic, mutagenic, or toxic for reproduction) substances or those considered extremely worrying. For some years now Dalkia has had a programme aimed at replacing CMR products with water analyses and soda ash in treating fuel pool water and biomass. Some examples of products that have been replaced:

See section 2.1 on mapping of the EDF group’s risks. (1) Upper and lower threshold: industrial establishments are “Seveso” classified according to their technological risk depending on the quantities and types of hazardous products (2) they handle. There are two different thresholds which classify establishments as “Seveso low-threshold” or “Seveso high-threshold”. The requirements vary significantly between these two types; they are very restrictive for the high-threshold, particularly with regard to the safety management system, informing the public and the prevention plan, etc. These decontamination operations may concern contamination and denaturing prior to EDF’s operational phase. (3) High-stake environmental event: an event causing serious environmental damage (areas, resources and natural environments, sites and landscapes, air quality, animal and plant (4) species, biological diversity and balance) combined with extensive media coverage or a financial impact of more than €3 million. An event causing environmental damage and likely to affect human health falls within the scope of a high-stake environmental event for the EDF group. See results of environmental indicators. (5)

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EDF I Reference Document 2017