EDF / 2018 Reference document

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PRESENTATION OF EDF GROUP Description of the Group's activities

Engineering services EDF is looking at ways to support investments in new engineering-based business models, for example “incremental” distribution networks and the sale of electricity. EDF also offers on-demand engineering services to its Chinese partners to foster long-term partnerships and access Chinese technology such as supercritical carbon dioxide and concentrated solar power (CSP). Other EDF group activities in China Citelum subsidiary is also present in this country for public lighting, through the contract signed with Kunming city. Southeast and Southern Asia 1.4.5.3.6.2 The EDF group’s activities in Southeast and Southern Asia are focused on the development of the electricity sector, particularly through involvement in projects for the design, construction and operation of new thermal gas and hydraulic generation plants in countries offering Independent Power Plant (IPP) type opportunities, as well as in the field of renewable energies, nuclear, smart cities and innovation. Vietnam At 31 December 2018, EDF owned 56.25% of Mekong Energy Company Ltd. (MECO), the company owning Phu My 2.2, a combined cycle gas power plant with a capacity of 715MW. The other shareholders are TEPCO (JERA) and SGM2 (Sumitomo). This is the first IPP project financed exclusively by foreign investors in Vietnam. The BOT (Build, Operate, Transfer) contract has a term of 20 years. In 2005, EDF provided “turnkey” delivery of the power plant, and operations are now managed by MECO. New milestones in the building of the Son My 1 thermal power plant in Vietnam were reached in 2018. Once built, the high-efficiency and environmentally-optimised CCGT plant with a capacity of 2,250MW in Binh Thuan province, situated north-east of Ho Chi Minh City will be operated by EDF for a period of 20 years. It forms part of Vietnam's efforts to diversify its sources of energy and will help satisfy the country's growing hunger for electricity while reducing the share of coal in its energy mix (currently 34%) in favour of gas and renewable energy. In March 2018 the EDF group was chosen to head the consortium tasked with studying the project alongside local partner Pacific Corporation and Japanese partners Sojitz Corporation and Kyushu Electric Power Co. with stakes of 37.5%, 25%, 18.75% and 18.75% respectively. A memorandum of understanding setting out the general terms of the project was signed with Vietnam's Ministry of Industry and Trade on 2 November 2018. Laos At 31 December 2018, the EDF group held a 40% stake in Nam Theun 2 Power Company (NTPC), which owns the hydropower complex Nam Theun 2 with an installed capacity of 1,070MW, built by the EDF group under a “turnkey” contract, commissioned in 2010 and which represents approximately 17% of the installed capacity of the country. The other shareholders are a Thai company, EGCO (Electricity Generating Public Company Limited), which holds 35%, and a Lao State company, LHSE (Lao Holding State Enterprise), which holds 25%. NTPC company operates the power plant on a 25-year concession agreement concluded with the government of Laos. In its latest report published in September 2018, the World Bank's Panel of Experts (POE) overseeing the Nam Theun 2 hydropower project noted that objectives under the concession agreement to assist displaced people had been successfully reached. Consequently, the POE recommended the Resettlement Implementation Period be brought to a close. In fulfilling its environmental and social objectives, the Nam Theun 2 project is an example of responsible hydroelectric development. In December 2018, EDF acquired EDF International's minority stake in Nam Theun Power Company (NTPC), part of which was allocated by EDF Invest to dedicated assets at the time, with the remainder to be allocated in 2019.

India Concerning nuclear energy, following the memorandum of cooperation relating to the plan to build 6 EPR reactors in Jaitapur signed in January 2016, EDF and the national Indian electricity company Nuclear Power Corp of India Ltd. (NPCIL) furthered their discussions in 2017 to better define the framework of their cooperation, which culminated on 10 March 2018 with the signing of an Industrial Way Forward Agreement under which EDF acts as the supplier of EPR technology and undertakes to organise the industrial subsidiary around the project. Also see section 1.4.1.2.2 "Other "New Nuclear" projects". EDF continued developing its smart meters and smart grid business. After winning a contract in 2016 to supply 75,000 smart meters to the New Delhi Municipality Council, in Sep-Nov 2018 the Group won a call for tenders issued by Energy Efficient Services Limited (EESL), an Indian energy services company (ESCO), to install nearly 5 million smart meters in five Indian states. EDF Renewables continued growing its solar and wind power businesses in India, the latter established in 2016 (see section 1.4.1.5.3 “EDF Renewables”). For its part, Citelum manages 178,000 street lights in Ahmedabad and will upgrade the lighting infrastructure of Noida in partnership with Tata Projects Ltd. Myanmar On 5 September 2018, the government of Myanmar granted a consortium led by EDF exclusive the rights to build a hydroelectric dam on the Shweli River in the north-east of the country. Negotiations, begun in 2018 and set to continue in 2019, will hopefully lead to a concession agreement under which the plant will come online in 2025 at the latest. The dam is subject to the same strict standards observed by the Group in all its projects in terms of corporate and social responsibility. It will supply responsibly-sourced, low-carbon electricity to a country in dire need of power for economic development where 60% of the population Following an agreement signed in June 2013 with the Singapore Housing and Development Board, the city’s largest construction firm, with the aim of developing an innovative urban modelling tool, the EDF group, in 2014, opened a centre of excellence for sustainable cities in Asia: EDF Lab Singapore. This R&D centre dedicated to urban planning has as its mission to reinforce existing collaboration and to initiate new collaborative relationships with Singapore and other cities of the region. In October 2018, Nanyang Technical University, EDF, Enedis and Nanyang Technological University Singapore inaugurated the Microgrid for Affordable and Sustainable Electricity in Remote Areas (MASERA) demonstrator as part of Singapore International Energy Week (SIEW) and the France-Singapore Year of Innovation 2018. The demonstrator will allow the EDF group to offer affordable and efficient microgrids for remote areas in Southeast Asia. In June-Aug 2018 the Group also moved its Asia Head Office from Bangkok to Singapore to better manage its interests in Southeast Asia, strengthen its synergies with the R&D lab and embed itself in the development and innovation ecosystem of smart cities which is particularly vibrant in Singapore. Africa 1.4.5.3.7 The Group wishes to develop on the African continent by assisting countries with high-energy demand, on a selective basis appropriate to each geographic region, and by building sustainable and multi-industry partnerships. EDF is also intensifying its action in the supply of competitive off-grid energy. currently has no access to electricity. Research & Development

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I Reference Document 2018