Areva - Reference Document 2016

06

BUSINESS OVERVIEW

6.4 Operations

Key figures

These optimizations help minimize the environmental footprint of the group’s operations and contribute to the company’s economic performance: in 2016, they resulted in a reduction of operating expenses for waste management in relation to 2015. OPTIMIZATION AND INNOVATION Innovation is a key to adapting existing waste management methods for improved overall performance, just as it is central to the creation of new or more effective waste management methods. AREVA is in the process of expanding its current range of waste packages based on the use of vitrification, cementation, encapsulation, compaction and other technologies. In particular, AREVA is developing an innovative alternative to existing incineration/ fusion/vitrification processes called PIVIC aimed at processing and packaging alpha-contaminated metal waste containing organics in a single stage. More than 140,000 metric tons of metal materials could be recovered and recycled in connection with the dismantling of the Georges Besse enrichment plant. AREVA continues studies on the feasibility of melting to decontaminate these materials, which could result in activity levels which are below radiation protection thresholds, allowing them to be recycled. The optimization of waste management methods is a major subject being evaluated under the PNGMDR. AREVA is fully committed to implementing this Plan and continues its activities aimed in particular at strengthening the overall cohesiveness of management methods for all of its operations. In addition, AREVA is pursuing innovative development work for the management of special waste, such as mercury or magnesium waste. AREVA, EDF and the CEA continued their cooperation with Andra in 2016 on technical and economic optimization of the Cigéo project for long-livedmedium- and high-level waste disposal. The majority of the waste to be sent to Cigéo is processed and packaged by AREVA. HUMAN AND INDUSTRIAL RESOURCES AREVA has considerable experience in the management of all waste categories, from the lowest level to the highest level, and thus has all of the related operational skills and R&D resources. All of the group’s operations are concerned by the optimization of waste management, meaning all of its business units. For its implementation, AREVA draws on: p the operating entities of the different production or mining sites; p the Dismantling and Waste Contracting Authority (see Section 6.4.1.4.1.). 6.4.1.4. OTHER NEWCO OPERATIONS The other operations of NewCo combine the other cross-business functions, including the Dismantling and Waste Contracting Department, AREVA Projects and AREVA Med.

2016

2015

Revenue* (in millions of euros)

13 34

29

(200) 3,286

Operating income (in millions of euros)

Workforce at year end**

2,475

* Contribution to consolidated revenue. ** Workforce consistent with the breakdown by operation shown in Chapter 17, Employees. Dismantling and waste contracting department End-of-lifecycle operations (ELO) are crucial to the group’s operating, financial and commercial performance. They include facility dismantling, legacy waste retrieval and packaging, and the definition and implementation of comprehensive management methods for our existing and future waste. Demonstrating its unwavering commitment to sustainable nuclear power, the group implements these operations, plans for them, and sets up provisions to cover the related expenses over the long term. In accordance with the law, AREVA earmarks the necessary assets to cover these provisions exclusively. The operational and financial challenges associated with ELO aremajor ones for the group. Accordingly, and in view of the cross-business nature of the related activities, the Dismantling and Waste Contracting Department (DWCD) reports directly to Management. It is responsible for all ELO-related projects and steers performance in the management of radioactive substances for the entire group. Its missions are divided into five key areas: p serving as the contracting organization for ELO, the DWCD proposes a strategy, has it approved, and ensures the overall consistency of all of the group’s activities in this regard. The DWCD is responsible for the implementation of the related projects (excluding post-mining projects), in compliance with safety, cost, schedule and quality objectives. It draws on project management organizations which are, depending on the project, the operations of the Front End of the cycle, of the Back End (Dismantling and Services, Recycling, Nuclear Logistics) and AREVA Projects; p ensuring centralized management of end-of-lifecycle provisions in compliance with internal control provisions for end-of-lifecycle obligations and the group’s financial trajectory; p consolidating and developing safe and effective radioactive waste management methods. The DWCD’s mission is to ensure, in connection with the operating and functional entities concerned (including R&D and Innovation), the overall consistency of solutions and management methods used or proposed in order to achieve an overall management system which has been optimized both technically and economically (see information in Section 6.4.1.3.4. Waste management methods); p coordinating radioactive waste and materials management operations. The DWCD’s objective is to boost the performance of operational methods by coordinating actions to promote synergy and performance; providing technical and contractual management of shipping and storage projects; providing support for operating safety and regulatory compliance; and ensuring the leadership of the internal network of waste coordinators; p positioning our solutions and methods with external stakeholders. The DWCD coordinates AREVA’s contributions to the French National Radioactive Waste and Materials Plan (PNGMDR) and implementation of the related regulatory requirements. Capitalizing on its know-how and the solutions developed 6.4.1.4.1.

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2016 AREVA REFERENCE DOCUMENT