EDF_REGISTRATION_DOCUMENT_2017

6.

FINANCIAL STATEMENTS Income Statement

Details of changes in provisions for the back-end of the nuclear cycle, decommissioning and last cores are as follows:

Other movements (2)

Discount effect (1)

Notes 31/12/2016

Increases Decreases

31/12/2017

(in millions of euros)

Provisions for spent fuel management Provisions for waste removal and conditioning Provisions for long-term radioactive waste management Provisions for the back-end of the nuclear cycle Provisions for nuclear plant decommissioning Provisions for decommissioning and last cores PROVISIONS RELATED TO NUCLEAR GENERATION Provisions for last cores

29.1.1

10,658

443

(851)

545

(9)

10,786

29.1.2

0

74

(15)

31

636

726

29.1.2

8,966

44

(221)

556

(531)

8,814

19,624

561

(1,087)

1,132

96

20,326

29.1.3 29.1.4

14,122

2 0

(131)

658

269

14,920

2,287

0

95

5

2,387

16,409

2

(131)

753

274

17,307

36,033 37,633 The discount effect comprises the €1,505 million cost of unwinding the discount, and the €380 million effect of the change in the real discount rate in 2017, (1) which were recorded in the income statement for provisions with no related assets (cost of unwinding the discount). Other movements mainly include: (2) the reclassification at 1 January 2017 of the provisions for waste removal and conditioning, which were previously included in the provisions for long-term – radioactive waste management, in the amount of €581 million; the €347 million effect of the change in the real discount rate at 31 December 2017 for provisions with related assets. – 563 (1,218) 1,885 370

Provisions for spent fuel management 29.1.1 EDF’s currently adopted strategy with regards to the fuel cycle, in agreement with the French State, is to process spent fuel and to recycle the separated plutonium in the form of MOX fuel (Mixed OXide of plutonium and uranium). The quantities processed by AREVA (now Orano) at the request of EDF, totalling approximately 1,100 tonnes per year, are determined based on the quantity of recyclable plutonium in the reactors that are authorised to load MOX fuel. Consequently, provisions for spent fuel cover services associated with the following: removal of spent fuel from EDF’s generation centres, as well as reception and ■ interim storage; processing, including conditioning and storage of recyclable matter and waste ■ resulting from this processing. The processing expenses included in these provisions exclusively concern spent fuel that can be recycled in existing facilities, including the portion in reactors but not yet irradiated. Expenses are measured based on forecast physical flows at the year-end, with reference to the contracts with AREVA (Orano) which define the terms for implementation of the framework agreement for the period 2008-2040. The most recent of these agreements, signed on 5 February 2016, covers the period 2016-2023. These provisions also cover long-term storage of spent fuel that cannot currently be recycled in existing installations: plutonium fuel (MOX) or uranium fuel derived from enriched processing, and fuel from Creys-Malville and Brennilis until fourth-generation reactors become available.

29.1.2

Provision for waste removal and conditioning – Provision for long-term radioactive waste management

Provisions for waste removal and 29.1.2.1 conditioning The provisions for waste removal and conditioning are reported separately from 1 January 2017. They cover the following future expenses for radioactive waste resulting from operations or decommissioning (apart from spent fuel): characterisation and conditioning of waste; ■ interim storage of waste. ■ Provisions for long-term radioactive 29.1.2.2 waste management These provisions concern future expenses for: removal and storage of radioactive waste resulting from decommissioning of ■ nuclear installations operated by EDF; removal and storage of radioactive waste packages resulting from spent fuel ■ processing; direct storage, where relevant, of spent fuel that cannot be recycled in existing ■ installations: specifically plutonium fuel (MOX) or uranium fuel derived from enriched processing, and fuel from Creys-Malville and Brennilis; EDF’s share of the costs of studies, construction, operation and maintenance, ■ shutdown and surveillance of existing and future storage centres. The volumes of waste concerned by provisions include existing packages of waste and all waste to be conditioned, resulting from plant decommissioning or spent fuel processing at La Hague (comprising all fuel in reactors at 31 December, irradiated or otherwise). These volumes are regularly reviewed, in keeping with the data declared for the purposes of the national waste inventory undertaken by ANDRA.

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EDF I Reference Document 2017