EDF / 2018 Reference document

1.

PRESENTATION OF EDF GROUP Description of the Group's activities

Environmental products EDF Trading is committed to the environmental products marketplace and, as part of a leading renewable generator, offers a broad range of multi-commodity structured solutions that help the EDF group and third party customers around the world. EDFT is active in the compliance and voluntary carbon markets, including guarantees of origin certificates in Europe, Renewable Energy Certificates in the US, and International Renewable Energy Certificates in the rest of the world. In addition, it is a recognised leader and provider of risk management products in the European weather market. In 2018, EDF Trading executed the first I-REC (International Renewable Energy Certificate) for the EDF group and expanded its guarantees of origin business. Global Fuels In April 2017, EDF Trading concluded the sale of its coal and freight business to JERA. EDFT now holds a 33% financial stake of JERA Trading, one of the largest coal traders globally. EDF Trading offers a complete range of LNG and LPG services including supply, delivery and nominations into the appropriate network. In 2018, EDF Trading and JERA announced the signing of binding agreements to form an LNG optimisation and trading joint venture where JERA’s and EDFT’s LNG optimisation and trading activities will be merged into JERA Trading. This transaction is expected to complete in early 2019. The Company continued to develop its global LPG activities.

Equity interests 1.4.6.4 EDF Trading Logistics 1.4.6.4.1

With a fuel oil supply volume of approximately 1 million tonnes and 1.8 million tonnes of coal delivered in 2018, EDF Trading Logistics acts as EDF’s vehicle for fuel oil purchases. It organises fuel oil and coal supply logistics operations for all of the EDF group’s thermal plants in mainland France, Corsica and France’s overseas departments, in close collaboration with JERA Trading, and controls the coal terminals in the ports of Le Havre and Saint Nazaire. In addition, EDF Trading Logistics provides the Group its expertise in regard to managing risks relating to the transport of fuel oil (hazardous materials), an activity that has received ISO 14001 certification, and in the management of environmental crises arising from this activity. Other equity interests 1.4.6.4.2 As well as interests in local distribution companies or LDCs (SMEG, Enercal, Électricité de Mayotte, EDSB), the EDF group has industrial subsidiaries and holdings. These companies contribute, within their specific field of activities (generation, fuel, engineering) to the Group's missions, and more specifically, to those of generation and engineering: namely to ensure the short- and medium-term performance of EDF's portfolio of generation assets in France. These companies include SAE, which specialises in fuel transport and trading operations on behalf of the EDF group; SHEMA, which specialises in hydropower generation by small power plants; and SOCODEI, a wholly-owned subsidiary of EDF specialising in the treatment and packaging of low- and intermediate-level radioactive waste. In continental Europe outside France, EDF has launched a strategic review of its energy generation assets based on fossil fuels. For recent changes in the dedicated asset portfolio, see section 5.1.6.1.6 “Management of financial risk on EDF's dedicated asset portfolio”.

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I Reference Document 2018