EDF / 2020 Universal Registration Document

1 THE GROUP, ITS STRATEGY AND ACTIVITIES Description of the Group’s activities In its opinion no. 2019-AV-0329 of 16 July 2019 relative to the safety options file, the French Nuclear Safety Authority “ considers that the safety handbook adopted for the planned NM EPR reactor is on the whole satisfactory, in particular as regards legislation, the guide dated 18 July 2017 […] and international recommendations ”. Furthermore, the work undertaken by EDF and Framatome on the New Model EPR project led to the finalising in 2017 of the technical configuration of a model named EPR 2 which could replace the nuclear fleet currently operating in France and ultimately expand the French nuclear industry’s export offers. EPR 2 is an optimised version of the EPR, following on from the EPR in industrial terms, whilst integrating feedback from EPR worksites and power plants currently in operation. As of this date, EDF informed the ASN of the new configuration. In the same opinion as the one on NM EPR, the ASN deemed that the findings relating to NM EPR would also apply to EPR 2. Pending a ruling on EPR 2, on 16 December 2020, the Board of Directors authorised EDF to continue the project until the end of 2022. Total related costs amount to €1 billion, some of which is subject to conditions. Pursuant to the demand made by the French State, EDF is continuing work on design, costing, regulation, funding, and waste treatment with a view to supplying the government with a full proposal by mid-2021. This would be for the completion of a programme to construct three pairs of EPR 2s, based on the scenario of constructing them one after the other 1/ at Penly, 2/ at Gravelines, 3/ on a riverbank site in the Auvergne Rhône Alpes region (Bugey or Tricastin), whilst continuing with feasibility studies for other nuclear sites. On 8 December 2020, the French President stated that “ the final decision on whether or not to build new reactors must be prepared, and taken by 2023 at the latest, once the Flamanville EPR has entered service .” Projects under development In March 2018, EDF signed a non-binding industrial cooperation agreement with the Indian national electricity company Nuclear Power Corp of India Ltd. (NPCIL) for the construction of 6 EPR reactors in India at the Jaitapur site. This agreement sets out the industrial plan, the roles and responsibilities of partners, and the next steps in the project. In this regard, EDF group and its partners would be supplying all the studies and equipment for the nuclear island, the conventional island, the auxiliary systems, and the heat sinks and galleries. EDF will not be investing in this project and the NPCIL customer will be the general project manager and integrator in the execution phase. In accordance with the schedule determined by the IWFA (1) , EDF and its partners submitted a comprehensive conditional non-binding bid to NPCIL at the end of 2018. The technical and commercial harmonisation process continued in 2020 with client NPCIL, so as to enable EDF to supply a conditional binding technical and commercial offer during the first half of 2021. As of the end of 2020, certain significant technical and commercial issues had not been harmonised. EDF is aiming for a General Framework Agreement to be signed in the months following the bid, allowing the project execution activities to commence. EDF is also participating in the call for tenders initiated in Saudi Arabia by K.A.CARE (King Abdullah City for Atomic and Renewable Energy) for a construction project relating to two EPR reactors. EDF made a successful bid in the first phase of the consultation process known as FEED-A (Front End Engineering and Design) and is currently taking part in the preparatory phase of the project; this should lead to the second phase of the call for tender process, currently expected in the second half of 2021. In mid-2020, EDF decided to engage technical development efforts to refine a medium-power design based on EPR technology, alongside its high-power EPR offer. Known as EPR1200, this adjustment to 1,200MW power incorporates optimisations drawing on different projects and should meet the expectations of clients seeking a medium-power solution, for instance in the Czech Republic.

Regarding Small Modular Reactors (SMRs), in 2020 there was progress in the development of a 340MW pressurised water plant with two 170MW units known as NUWARDTM. In this power bracket, the product is aimed mainly at the export market and the replacement of the oldest fossil fuel power plants to be decommissioned in the coming decades. This product is being developed under the supervision of EDF with its partners CEA, Naval Group, and TechnicAtome. Given its export target, this development is the subject of an investigation into the viability of cooperation with an international partner. The development has a budget of €50 million granted by the French State as part of the September 2020 “ France Relance ” plan. The digital transformation of nuclear 1.4.1.1.3.3 engineering (SWITCH programme) Launched in July 2017, this programme feeds into EDF’s CAP 2030 strategy, under sections related to managing current new nuclear projects, extending the operating life of the fleet in operation, expanding abroad and embracing digital transformation. It is a multifunctional programme involving all EDF players in the nuclear sector, including Framatome. The programme seeks to mark a turning point in engineering by: transforming and simplifying processes and methods to better grasp the complexity of large-scale industrial projects throughout their lifecycle by applying systems engineering standards, among other methods; implementing a new integrated, collaborative, industrial information system based on digital capacities with a Data-Centric approach, working as an extended enterprise with partners and suppliers. Nuclear generation activities: Framatome 1.4.1.1.4 Framatome is a key player in nuclear energy, acclaimed for its innovative solutions and high added value technologies for the nuclear fleet worldwide. Benefiting from its global expertise and backed by sound references, the company designs, maintains, and installs components and fuel, as well as instrumentation & control systems for nuclear power plants. With a workforce of some 14,000 employees, Framatome is able to supply its clients with an increasingly clean, safe, and cheap low-carbon energy mix on a daily basis. Framatome is jointly owned by Groupe EDF (75.5%), Mitsubishi Heavy Industries (MHI – 19.5%), and Assystem (5%). Framatome has a significant industrial presence in France, Germany, the United States and China. The company also has an industrial or sales presence in South Africa, Argentina, Brazil, Bulgaria, Canada, South Korea, Spain, Finland, Hungary, Japan, Czech Republic, United Kingdom, Russia, Slovakia, Kazakhstan, Sweden and Ukraine. Framatome recruited some 1,000 employees in 2020. Framatome’s strategy is based on its core business i.e. nuclear steam supply systems, and aims to offer safe and competitive solutions, industrialise them and carry out the projects as part of an industrial sector. The company’s customer base includes leading international energy players and it works on over 300 reactors in the world. With Framatome’s experience in reactors of all types of technologies it can meet the specific needs of its customers worldwide. With a current global fleet of 450 reactors representing close to 396GWe in service in 31 countries (2) , and new forthcoming nuclear capacities, the nuclear market offers opportunities in the field of fuel, modernisation and services. Framatome’s goal is to expand its market share through a differentiated offer and export partnerships.

(1) Industrial Way Forward Agreement. (2) Source: CEA – Élecnuc – 2019 Edition, figures at 31 December 2018 (http://www.cea.fr/english/Documents/scientific-and-economic-publications/Elecnuc-2019.pdf).

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EDF - UNIVERSAL REGISTRATION DOCUMENT 2020