EDF / 2019 Universal registration document

6. Financial statements

Notes to the consolidated financial statements

Taxes other than income taxes Note 11

Taxes other than income taxes break down as follows:

2019

2018*

(in millions of euros)

Payroll taxes Energy taxes

(250)

(297)

(1,674) (1,874) (3,798)

(1,561) (1,832) (3,690)

Other non-income taxes

TAXES OTHER THAN INCOME TAXES

Restated for the impacts of IFRS 5 concerning the discontinued E&P operations (see note 2.3). *

Taxes other than income taxes mainly concern France and essentially comprise land tax and the French business taxes on land and value added.

Other operating income and expenses Note 12

Other operating income and expenses comprise:

2019

Notes

2018*

(in millions of euros)

12.1 12.2 12.2

Operating subsidies

7,834

6,846

Net income on deconsolidation Gains on disposal of fixed assets

576

194

(188) (107)

54 76

Net increase in provisions on current assets

Net increase in provisions for operating contingencies and losses

(41)

(132)

12.3

Other items

(1,382)

(1,036)

OTHER OPERATING INCOME AND EXPENSES

6,692

6,002

Restated for the impacts of IFRS 5 concerning the discontinued E&P operations (see note 2.3). *

gains on sales real estate assets in France, amounting to €22 million ■ (€262 million in France for 2018).

12.1

Operating subsidies

This item mainly comprises the subsidy received or receivable by EDF in respect of the CSPE, reflected in the financial statements through recognition of income of €7,662 million for 2019 (€6,554 million for 2018).

12.3

Other items

Other items mainly include costs relating to Energy Savings Certificates used or consumed during the year, and losses consisting of non-recoverable operating receivables. The unfavourable change in other items in 2019 is principally explained by the rising costs related to Energy Savings Certificates, and changes in compensation payable for power cuts associated with weather events of 2019.

12.2

Net income on deconsolidation and gains on disposal of fixed assets

In 2019, net income on deconsolidation and gains on disposal of property, plant and equipment mainly includes: gains on sales of EDF Renewables’ generation assets as part of the Development ■ and Sale of Structured Assets (DSSA) activities, amounting to €560 million (€192 million in 2018), notably including the sale of NnG (see note 3.4.5);

Net changes in fair value on energy and commodity derivatives, Note 13 excluding trading activities

2019

2018

(in millions of euros)

NET CHANGES IN FAIR VALUE ON ENERGY AND COMMODITY DERIVATIVES, EXCLUDING TRADING ACTIVITIES

642

(224)

This item essentially consists of changes over the period in the fair value of derivatives used for economic hedging of commodity purchases or sales that are not eligible for hedge accounting as defined in IFRS 9, and are therefore included directly in profit and loss. The Group report these changes in a specific line of the income statement, “Net changes in fair value on Energy and Commodity derivatives, excluding trading activities” below the operating profit before depreciation and amortisation.

Net changes in fair value on Energy and Commodity derivatives, excluding trading activities, increased from €(224) million in 2018 to €642 million in 2019, principally as a result of Edison’s gas positions and high price volatility on the markets for other commodities, particularly electricity in 2019 (mostly a price effect rather than a volume effect).

321

EDF | Universal registration document 2019