EDF_REGISTRATION_DOCUMENT_2017

1.

PRESENTATION OF EDF GROUP Description of the Group's activities

EDF’s thermal generation 1.4.1.4.1 At 31 December 2017, the thermal generation facilities operated by EDF were of different types, both in terms of fuel and power:

Output (in TWh)

Number of units in operation at 31/12/2017

Total capacity (in MW)

Year commissioned

Unit capacity (in MW)

Fuel Coal

At 31/12/2017

At 31/12/2016

580 685

3 1 4 1 1 2 2 3 1 2 1

1,740 1983 and 1984

6.1 0.5

4.1 0.3

Fuel oil

685

1976

85

340 1980 and 1981

203 134

203 134

1992 1996

Fuel oil and dual-fuel combustion turbines (gas and fuel oil)

125-129

254 1998 and 2007

185

370

2010

179-182

542 2008 and 2009

0.5

0.5

427 465 585*

427 930 585

2011 2012 and 2013 2016

Combined Cycle Gas Turbine

9.0

7.0

Following capacity increase tests conducted with General Electric, the capacity is now 585MW in line with the prefectural order in force. *

Issues relating to thermal generation 1.4.1.4.2 renovated coal fleet to meet mid-merit demand and a cofiring study to reduce the share of coal After having closed, between 2013 and 2015, ten coal-fired units, EDF retains one coal power plant, consisting of three generation plants based on recent technology and located in Le Havre (1 unit) and Cordemais (2 units). A renovation programme for these coal-fired units was completed between 2014 and 2016 in order to improve their reliability and efficiency. The power and flexibility of the coal units are essential advantages. They are equipped with flue gas desulphurisation and denitrification systems (90% reduction in sulphur dioxide emissions and 80% reduction in nitrogen oxide emissions) as well as dust collectors that trap virtually all the dust. These treatments allow the units to meet environmental regulatory requirements in force since 2016. A coal and green biomass cofiring project was also initiated in 2016. A coal and biomass cofiring test carried out at Cordemais in February 2016 demonstrated the technical capacity of a boiler to grind, pulverize and burn biomass (20%) with lowering its technical performance. Studies continued in 2017 and a plant residue densification pilot is being set up. It will carry out its first tests in 2018. EDF advocates a minimum CO 2 price to limit the use of existing coal-fired power plants and is continuing its efforts to replace some of its coal-fired power plants with biomass. More generally, the Group is working to optimise the performance of all of its thermal fleet. Winding down of the oil-fired fleet EDF decided to permanently shut down the Aramon thermal plant on 1 April 2016 and the Porcheville and Cordemais unit 2 thermal plants in the spring of 2017 as they had been scarcely used over the past number of years. EDF also decided to permanently shut down the last oil-fired unit (Cordemais 3) in the spring of 2018. Modernising the thermal generation fleet with natural gas combined cycle turbines EDF commissioned the first Combined Cycle Gas Turbine (CCGT) plant in France at Blénod in 2011, then two CCGT plants at Martigues in 2012 and 2013 followed by a next-generation CCGT plant at Bouchain in 2016 in partnership with General Electric. This modernisation of the thermal generation fleet reduces its atmospheric emissions of CO 2 , nitrogen oxides and sulphur oxides.

The CCGTs in Martigues are the result of the repowering of former oil-fired units, a part of whose facilities, such as the steam turbine, the condenser and the water treatment facilities, were reused. The repowering of a unit of this capacity is a first in Europe. The installed capacity of the Martigues site is 930MW and the return is over 50%, markedly higher than the return from coal-fired thermal units, for example. The CCGT plant at Bouchain is equipped with General Electric's new high-capacity “9HA” turbine. The innovative 9HA CCGT delivers improved capacity (600MW achievable in under 30 minutes) and return (over 60%, versus an average return for a standard CCGT of 57-58%) and offers good environmental performance with CO 2 emissions of around 360g/KWh on average, one-third of those of the old neighbouring coal-fired plant shut down in 2015. Under specific operating conditions it generated a record return of 62.22%. As a prototype it underwent testing from when it was commissioned in the spring of 2016 to when ownership was transferred from General Electric to EDF in December 2017. Evolution of the environmental regulatory framework Today, EDF’s thermal power plants are operated within the context of regulations that apply to installations classified for environmental protection purposes (Installations classées pour la protection de l’environnement – ICPE), as well as regulations relating to greenhouse gas emissions and a specific regulation for air quality (see section 1.5.6.1 “General regulations that are applicable to the environment, health, hygiene and safety”). EDF set itself the goal of cutting CO 2 emissions in mainland France by 30% (measured in tonnes) between 1990 and 2020 and to maintain SO x , NO x and dust emissions at 2016 levels (one-tenth, one-third and one-seventeenth of 2005 levels) (see section 1.5 “Legislative and regulatory environment”). Thanks to the shutdown of the oldest thermal power plants, the updating of the most recent plants, the setup of pollution-reducing procedures, the use of low sulphur fuel (1) and the commissioning of natural gas combined cycle turbines, the environmental performance of the thermal fleet in mainland France has improved significantly: total CO 2 emissions of the EDF SA fleet in mainland France in 2017 came to 9.5 ■ million tonnes (2) , thereby confirming the alleviation of the carbon footprint with CO 2 emissions down by over 50% since 1990 despite more intensive operations than in the past three years. The amount of CO 2 per thermal kWh has fallen by over 30% since 1990;

The oil-fired units use fuel with an ultra-low sulphur content (less than 0.4% sulphur). (1) Within the Company’s scope (EDF SA – including IES excluding PEI), total emissions amounted to 10.7 million tonnes in 2017. (2)

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DF I Reference Document 2017