EDF_REGISTRATION_DOCUMENT_2017

FINANCIAL STATEMENTS Other information

Back-end of the cycle: Relations between EDF and AREVA (Orano) concerning transportation, processing and recycling of spent fuels are described in note 28.1. Relations with Framatome: In December 2014, EDF and Framatome signed a contract for supplies of enriched-uranium fuel assemblies over the period 2015-2021. Another agreement with Framatome was signed for the supply of initial core assemblies for the Flamanville 3 EPR. A contract for the supply of control rod clusters was also signed with Framatome for the period 2018-2020. As part of the plan to construct two EPRs in the United Kingdom at the Hinkley Point site, EDF signed a fabrication contract with Framatome.

EDF and Framatome have signed the following main contracts for the 900MW, 1300MW and N4 nuclear power plants: in 2011, a contract for supply of 32 steam generators and a contract for renewal ■ of the instrumentation and control systems; in August 2012, a contract for services related to replacement operations for the ■ first steam generators; in mid-2017, a framework contract concerning EDF’s rights to use AREVA ■ intellectual property. This contract will be applied through specific agreements such as the one signed in December 2017 for the nuclear fleet; in late 2017, a framework agreement with no financial commitment, for the ■ provision of engineering, design and production services relating to the steam supply system. In 2013, EDF and Framatome signed two amendments to the initial 2007 contract for the Flamanville EPR steam supply system, covering the period from development studies to industrial commissioning. 40.2 The French Law of 13 July 2005 introduced a system of energy savings certificates. Suppliers of energy (electricity, gas, heat, cold, domestic fuel oil and fuel for vehicles) with sales above a certain level are subject to energy savings obligations for a defined period. They fulfil these obligations by making direct or indirect energy savings rewarded by certificates, or by purchasing energy savings certificates. At the end of the set period, the entities concerned must provide evidence of compliance with obligations by surrendering the certificates, or pay a fine to the Treasury. This system was renewed by Decree 2014-1557 of 24 December 2014 for a third period running from 1 January 2015 to 31 December 2017. The energy savings objectives for this period are more ambitious, and the system has been simplified. The volumes of Energy Savings Certificates obtained during the second period will count towards achievement of the objectives for the third period. In application of Article 30 of the Law of 17 August 2015 on the energy transition for green growth, a new additional energy savings obligation for 2016-2017 applies from 1 January 2016, for the benefit of households in a situation of energy poverty. This new obligation is added to the energy savings obligations for the third period. The annual volume of the obligation is proportional to the annual energy savings obligation. A fourth three-year period of energy savings obligations will begin on 1 January 2018 (see regulatory changes, note 3.5). EDF is well-placed to meet its obligations thanks to energy-efficient offers for each market segment: residential customers, business customers, local authorities and organisations funding social projects. ENERGY SAVINGS CERTIFICATES

ENVIRONMENT NOTE 40

6.

40.1

GREENHOUSE GAS EMISSION

RIGHTS In ratifying the Kyoto Protocol Europe made a commitment to reduce its greenhouse gas emissions. EU Directive 2003/87/EC set up a greenhouse gas emission quota system for the European Union which has been in operation since 1 January 2005. This system is adapted into national laws. Among other things it requires obligated actors, which is the case of EDF, to surrender to the State a number of greenhouse gas emission credits each year, corresponding to their emissions for the year. This Directive came into effect in 2005 for an initial three-year period, followed by a second period from 2008 to 2012, with progressive reduction of the emission rights allocated. One of the main features of the third phase, running from 2013 to 2020, is the discontinuation of free allocation of emission rights in certain countries, including France. The volume of emissions at 31 December 2017 stood at 11 million tonnes (8 million tonnes at 31 December 2016). In 2017, EDF surrendered 8 million tonnes in respect of emissions generated in 2016. In 2016, EDF surrendered 7 million tonnes in respect of emissions generated in 2015.

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EDF I Reference Document 2017