Activities and sustainable development report - 2011 Electrabel, GDF SUEZ group

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Activities and Sustainable Development Report 2011 | Electrabel | 1

PAGE

PAGEPAGE

50

19

PAGE

27

08

SCOPE AND METHODOLOGY

MAJOR ECONOMIC AND SOCIAL PLAYER

PREPARING THE FUTURE

NOTABLE FACTS AND FIGURES 2011

PAGE

56PAGE

44

SOCIAL INDICATORS

PUTTING SOCIAL ENGAGEMENT INTO PRACTICE

PAGE

53PAGE

36

ENVIRONMENTALINDICATORS

MEETING CUSTOMEREXPECTATIONS

PAGEPAGE

PAGE

51

21

PAGE

29

10

GENERATING FACILITIES

UNSTABLE ENERGY POLICYCREATES UNCERTAINTY

ACCEPTANCE OF THE GENERATING FACILITIES

TOGETHER FOR LESS CO2

PAGE

PAGEPAGE

48

14

PAGE

24

06

ASSURANCE REPORT

CORE ACTIVITY DEVELOPMENTS

SUSTAINABLE DEVELOPMENT AT THE HEART OF THE MANAGERIAL STRATEGY

ELECTRABEL AT A GLANCE

PAGE

55PAGE

40

FINANCIAL INDICATORS

BEING AN ATTRACTIVE EMPLOYER

RESULTS

ANCHORED IN BELGIUM

SUSTAINABLE DEVELOPMENTAND CORPORATE SOCIAL RESPONSIBILITY

2011 OVERVIEW

SUMMARY

2 | Electrabel | Activities and Sustainable Development Report 2011

This Activities and Sustainable Development Report 2011 describes

the activities and the most important

key fi gures and results for Electrabel

in Belgium between 1 January and

31 December 2011. It also mentions

some signifi cant events from early

2012. The information in the report

is supplemented and updated on the

website www.electrabel.com.

This report consists of four parts.

1 The fi rst part (p. 4-11) is intended to give the reader a concise, unifi ed way of navigating through the year 2011. It gives a brief presentation of Electrabel and an overview of the key facts and fi gures for 2011. Then it summarizes the most important results of the company’s “Together for less CO

2” plan for sustainable development. This information is

discussed in detail in other parts of the report.

2 The second part (p. 12-21) gives a general overview of the position of the company in Belgium in terms of generation, sales and personnel. This section also explains the socio-economic importance of Electrabel for the country. Finally, a number of energy issues that have an impact on its activities are discussed.

3 The third part (p. 22-45) is framed around the priority issues in the fi eld of sustainable development and corporate social responsibility and the way Electrabel responds to them based upon a responsible attitude.

Here the company focuses on the themes that it established in 2008 in its “Together for less CO

2” plan for

sustainable development and in particular on the accents that have been brought to the fore by its Advisory Council for Sustainable Development that was set up as part of this plan. This high level body groups members of society and is the company’s key advisory body in the fi eld of sustainable development. In addition, issues belonging to the priorities of the GDF SUEZ Group and which are common to all Group entities are highlighted.

The various challenges have been grouped into fi ve themes: preparing for the future, the acceptance of the generating facilities, fulfi lling the customers’ expectations, being an attractive employer and accepting social responsibility.

4 The fourth part of the report (p. 46-64) gives a detailed overview of the composition of the generating facilities at the end of 2011, as well as an extensive list of environmental, social and fi nancial indicators and their changes since 2007.

Ernst & Young Réviseurs d’Entreprise SCCRL produced an assurance report to ensure the credibility of the report (p. 48). In the Ernst & Young audit the focus was on analyzing the qualitative data according to the recommendations of the Global Reporting Initiative (GRI), as well as the verifi cation of ten performance indicators for the year 2011, which are identifi ed in the tables of indicators (p. 53-56) with the symbol .

Compared with last year there were no signifi cant changes in the scope.

The previous report for the year 2010, dates from July 2011. The intention is to produce a report each year. The company published its fi rst environmental report in 1996.

ACTIVITIES ANDSUSTAINABLE DEVELOPMENT REPORT 2011




2011OVERVIEW

SHARE OFRENEWABLE ENERGY

5.0%SHARE EXEMPT FROM CO

2 EMISSIONS

58.0%

OF GENERATING CAPACITY

10,262 MW

CUSTOMERS

3.31 million EMPLOYEES

7,063

PAGE

06ELECTRABELAT A GLANCE

PAGE

08 NOTABLE FACTS AND FIGURES 2011

PAGE

10TOGETHER FORLESS CO2


The company adheres to the Group policy of sustainable development which aims to develop sustainable operational and commercial activities and manage extra-fi nancial risks (more information at www.gdfsuez.com).

The activities of GDF SUEZ are organized into fi ve operational business lines in energy and into one in environment. Electrabel is situated in the Energy Europe business line, responsible for activities related to energy management, the distribution of natural gas, electricity generation and energy sales in continental Europe.

Electrabel operates in Belgium, its historic home market, where it produces electricity and sells electricity and natural gas and provides energy services to retail and business customers. Through its subsidiary Twinerg it also produces electricity in Luxembourg.

These activities are supported by Energy Management (ensuring the supply of the power stations with fuels and optimal use of the generating facilities) and the trading operations of GDF SUEZ in all markets in Europe (buying and selling electricity, fuels and CO

2 credits).

Electrabel is part of GDF SUEZ, a world leader in energy and the environment,

which develops its businesses around a model based on responsible growth to

take up today’s major energy and environmental challenges: meeting energy needs,

ensuring security of supply, fi ghting against climate change and maximizing the use

of resources.

KEY FIGURES 2011 – ELECTRABEL IN BELGIUM

Share of renewable energy

Share without CO2

emissionsRenewable energy capacityTotal

CO2emissions

Generating capacity 5.05.0% 58.058.0% 512512 MW MW10.310.3 GW GW 158158 g/kWh g/kWh

Generation 3.13.1% 67.767.7%52.752.7 TWh TWh

Sales

Customers

Electricity

66.666.6 TWh TWh

1.551.55 M M

Natural gas

52.752.7 TWh TWh

0.100.10 M M

Electricity + Natural gas

1.671.67 M M

Total

119.3119.3 TWh TWh

3.313.31 M M

Employees

7,0637,063

The generating capacity and generation fi gures concern the Electrabel share of the power stations

Employees: subsidiaries included

ELECTRABEL AT A GLANCE


In Belgium, where the company and its subsidiaries have 7,063 employees, it has acquired more than a century of experience in its métiers. It is the largest producer and seller of electricity and the largest supplier of natural gas.

Electrabel operates future-oriented, diversifi ed 10,262 MW generating facilities with a reduced carbon footprint. It consists of installations that use renewable energy sources, power stations that use fossil fuels and nuclear power plants.

The company offers its 3.3 million customers sustainable energy solutions with added value and customized services, getting the most out of the synergies between electricity and natural gas.

In Belgium, Electrabel makes a major social and economic contribution. It invests in local power stations that ensure the energy supply, creates employment and contributes to the preservation of knowledge and experience concerning energy. The company also supports associations and organizations working for societal and social goals.

VALUES


NOTABLE FACTSAND FIGURES2011

512 MWrenewable energy. Electrabel passed the milestone of 500 MW generating capacity with renewable energy sources

1,300questions answered on the LeDialogue.be platform

Stress Testsconfi rm the robustness of the nuclear power stations in extreme conditions

22.1%of the managerial staff functions are held by women

CarPlugoffers customers a solution for charging electric vehicles


Agreement with

Blue Skyoffers electro-intensive customers security concerning their energy supply

450 MWThe Otary consortium in which Electrabel participates is given a domain concession for the construction of the Mermaid offshore wind park

starsThe VREG gives Electrabel a maximum score for customer friendliness

Max Greenproduces green power. In the Rodenhuize power station a 100% biomass power station with a capacity of 180 MW is coming into service

Power2Actrewards employees for their voluntary social engagement

82%of customer calls are responded to within a minute

648,000retail customers opt for a green power contract

less CO2

emitted for eachkWh produced

11% 5

offshore


TOGETHER FORLESS CO2

In 2008, Electrabel gave its policy to combat global warming concrete

form in the “Together for less CO2” plan. It consists of ten commitments

that aim at a reduction in CO2 emissions relating to generation, customer

services and support activities in Belgium by 2015. In 2011 the company

achieved signifi cant progress in all areas.

A MORE SUSTAINABLE PRODUCTION

To have renewable energy-based generating facilities making it possible to cover the total consumption of a million households by 2015.

The renewable energy-based production amounted to 1.65 TWh, equivalent to the consumption of 471,000 families.

To invest 500 million euro by 2015 to improve the energy effi ciencyof fossil-fuelled power stationsand reduce their CO

2 footprint.

In four years, the specifi c CO2 emissions from

the fossil-fuelled generating facilities decreased by 6.2% (for the total generating facilities they decreased by 32%) and the energy effi ciency increased relatively by 8.2%.

To continue to limit the environmental footprint of its production activities.

The emission of NOx, SO

2 and fi ne particles

per kWh decreased by 59%, 90% and 87% respectively in comparison with 2007.

Reducing greenhouse gas emissions and the global environmental impact of generating facilities

1

2

3


A COMMITTED APPROACH

To maintain a dialogue with the stakeholders with full transparency.

Launch of the LeDialogue.be dialogue platform.

To reduce the CO2 emissions

from daily activities by 21% by 2011.

In the period 2007-2010, the CO2 emissions

from buildings, mobility and paper consumption decreased by 23.1%.

An ambitious target of -25% was set for the period 2010-2015. In 2011, emissions decreased by 14%.

To stimulate research and innovationto foster technologies that contribute to the fi ghtagainst climate change.

Portfolio of 30 research and innovation projects.

Start up of a new Smart Home Energy Lab.

Transparent, concerned and forward looking

8

COMBINING FORCES

To support customers to enable them to reduce their energy consumption.65,000 retail customers and 3,800 businesses took advantage of the products and online tools to manage and reduce their energy consumption.

To supply customers withcertifi ed 100% green energy, produced with renewable energy sources.

At the end of 2011, 648,000 retail customers had signed a GreenPlus or Professional Green contract (100% green electricity produced in Belgium).

To act with customers so that they can produce energy in an environmentally friendly waythemselves while at the same time reducing their energy expenditure.

The installation of 58 MW of sustainable capacity at industrial customers’ sites was agreed.

36,000 additional retail customers chose natural gas as their heating source.

To stimulate mobilitybased on natural gas and electricity.

Development of the CarPlug,a modern charging system for electric vehicles.

Work with the customer to reduce energy consumption and the carbon footprint

6

4 5

7

9

10



ANCHOREDIN BELGIUM

Due to the nature of its activities, Electrabel occupies a central position in Belgium and

is anchored in society. The company produces and supplies energy to households,

professionals, SMEs, public institutions and industry. These activities are essential for

economic and social prosperity. It also accepts its social responsibilities towards the

communities in which it operates.

SHARE IN GENERATING CAPACITY

52.4%RECRUITMENTS

605INVESTMENTS

373million euro

lectrabel occupiess a central position in BBelgium and

produces and supppplies energy to houseehholds,

and industry. Theesse activities are essenntial for

epts its social resspponsibilities towards tthe

Electrabel generating facilities in Belgiumat the end of 2011

Electrabel renewable energy-based generating facilities in Belgiumat the end of 2011

Conventional power stationCogeneration

CCGT

Nuclear power plant

Pumped storage power station

Herdersbrug

Knippegroen

Rodenhuize

Awirs

Drogenbos

Tihange

Doel

Saint-GhislainAmercoeur

Plate Taille

Coo

Zandvliet Power

Ruien

Wind farmPhotovoltaic panel (> 0.2 MW)Biomass (co-)combustion

Hydroelectric power station

Rodenhuize

Wondelgem Volvo TrucksVolvo Cars

DS Textile

BASF

Hoogstraten

GemblouxBütgenbach

BüllingenQuévy

Kasterlee

Perwez

Ford Genk

Lanaken

DS TDS T

SchelleW dW dWWondelgeelgem

Pathoekeweg

R dR d

Zeebrugge

Izegem

DourLeuze-EuropeRuien

Awirs

Generating capacity of Electrabel in Belgiumin GW

The drop starting in 2009 results from the transfer of capacity to EDF and E.ON and the closure of old power plants.

-678 MW13.3

2008

11.5

2009

10.3

20112010

10.9


CORE ACTIVITYDEVELOPMENTS

Decommissionings cause the generating capacity to decreaseAt the end of 2011, Electrabel had a generating capacity of 10,262 MW (*) in Belgium (for a detailed overview of the generating facilities see page 51). The decrease of almost 1,300 MW since 2009 is a result of the transfer of capacity to the energy companies EDF and E.ON and the decommissioning of older power stations (Kallo, Mol, Rodenhuize). The power stations together produced 52,700 GWh of electricity (*).

*Electrabel share

BusinessTotal

WholesaleRetail

-6.5%

2009

68.9

2010

71.2

2011

66.6

40.4

15.4410.8

-20.1%

55.852.7

30.2

18.5

4.0

2009 2010 2011

66.0

Electrabel electricity sales in Belgiumin TWh – wholesale included

Electrabel natural gas sales in Belgiumin TWh – wholesale included


Economic crisis leads todeclining salesIn Belgium, Electrabel sells electricity and natural gas to 3.21 million and 1.76 million customers respectively.

In 2011 the company sales volumes totalled 66.6 TWh of electricity and 52.7 TWh of natural gas. In comparison with 2010 that is a decrease of 6.5% for electricity and 20.1% for natural gas. This drop is mainly explained by the economic crisis and the milder weather conditions (in 2011, the number of degree days was 1,928 compared with 2,703 in 2010).

Electrabel-shop in Namur

Saint-Ghislain power plant

Market price of electricity and fuelsJanuary 2008=100%

Oil (Brent IPE)Coal (API#2)

Natural gas (HUBDGZ)Electricity(baseload, Y+1)


Prices depend on many factors

Price increases for all categories of customers

Electricity prices for large industrial Electrabel customers rose by an average of 3.6% in 2011 compared to the previous year. These prices are based on futures prices (forwards) on the wholesale markets in the Central Western European Region (Benelux, Germany and France).

More expensive oil and the resurgence of gas prices on international markets pushed the price of gas to Electrabel’s industrial customers in 2011 by an average of 16.8%.

Residential customers saw the total price of electricity increase by about 15.7% in Flanders and 9% in Wallonia and Brussels. The larger increase in Flanders is explained by the greatly increased funding costs for photovoltaic production, at the expense of the distribution system operators. Distribution costs increased by nearly 30% here, while the increase of the energy component was 13%.

The natural gas bill for this type of customer increased by 21.6% due to the price effect of more expensive fuel and a slight increase in network charges. To anticipate higher gas prices and higher consumption resulting from a severe winter at the end of 2010, at the beginning of 2011 Electrabel offered its customers to adjust interim accounts upwards.

Distribution costs weigh on the price

The share of the energy component – the value of this is determined by Electrabel – in the total fi nal invoice to the customer at the end of 2011 for electricity is on average about 32% in Flanders and 40% in Wallonia and Brussels. The balance consists of contributions for renewables and cogeneration, transmission and distribution costs, as well as taxes and VAT. For natural gas, the proportion of the energy component, which does include the transmission costs, was approximately 60%.

In 2011, Electrabel repeatedly pointed out that the price increases in Belgium are greatly infl uenced by the components that are independent of the energy suppliers (transmission, distribution, taxes, VAT). This was confi rmed by comparative studies by the regulators.

A report by the Commission for the Regulation of Electricity and Gas (CREG), for example, showed that between January 2007 and July 2011 the price of the energy component had increased to a much lesser degree than the distribution costs. The total electricity bill for an average residential customer in Flanders increased in that period by 47%, while the price of energy increased by 15%, and for distribution by as much as 96.1%.

Electrabel lowers energy prices

In the context of rising electricity and natural gas prices, in April 2012 Electrabel made a number of decisions in the interests of its customers. Firstly, a reduction in the fi xed prices (energy component) for electricity and natural gas from May 1. The average decrease was 11% for electricity – and can for certain customers even increase up to 16% – and more than 10% for natural gas (fi xed price May 2012 compared with April 2012). Furthermore, the elimination of a penalty for early termination of the contract. And, thirdly, the company did not charge for the announced upward indexation of gas prices from April 1.

2008 2009 2010 2011

170%

150%

130%

110%

90%

70%

50%

30%

Comparison of the price of electricity with the neighbouring countriesin ct€/kWh; November 2010;3,500 kWh/year; singlesource: Frontier Economics

Belgium

8.57

21.61

5.88

0.841.00

5.32

UnitedKingdom

8.98

14.42

2.73

0.57

2.14

France

5.23

13.37

4.55

3.59

Germany

7.66

22.82

5.47

9.69

Netherlands

17.33

4.86

4.80

7.67

Composition of electricity price 2011Electrabel EnergyPlus – Imewo 3,500 kWh/year

39%4%

32%18%

3%4%

Composition of natural gas price 2011Electrabel EnergyPlus – Imewo 23,250 kWh/year

60%

17%

2%

21%Energy

Contribution RES/CHP

Distribution

VATTaxes

Transmission

VAT and taxes

Transmission

Energy

ODV*

Distribution


More expensive than in the neighbouring countries

The electricity prices in Belgium are above the price level of most of the neighbouring countries. Besides the differences in price of the energy itself, it’s the higher distribution costs, taxes and charges that weaken the position of Belgian prices compared with the foreign countries.

More competition onthe energy marketIn light of the liberalization of the energy market, Electrabel has actively contributed to measures that promote competition and improve the functioning of the Belgian energy market.

In recent years the company has exchanged generating capacity with the EDF Group and the E.ON Group so that these companies gained access to more production capacity in Belgium.

Through these agreements, the Electrabel share of the total generating capacity in Belgium at the end of 2011 decreased to 52.4%

In 2011, Electrabel signed an agreement with six electro-intensive companies united in the Blue Sky consortium which provides for:

• joint investment in a new CCGT power station which will give Blue Sky a capacity of 200 MW;

• the granting to Blue Sky, as from 1 January 2012, of 200 MW nuclear drawing rights from the Doel and Tihange power stations – consequently the share of Electrabel in the Belgian nuclear capacity will amount to around 66%;

• joint investment in the possible construction of new nuclear capacity of up to 200 MW.

* ODV: public service obligations

RES: renewable energy sourceCHP: combined heat and power

Staff of Electrabel and its subsidiariesin active employment at the end of 2011

Electrabel

N-Allo/Brucall

Laborelec

Other5,635

26

2501,152


In addition, Electrabel has reduced its share in the distribution system operators further in both Flanders and Wallonia. In Flanders, it reduced its total capital in the intermunicipal companies by 400 million euro. In Wallonia, the company has transferred 5% of its shareholding in the intermunicipal companies to the public sector, reducing its voting rights in the Walloon distribution system operators to 25% + 1 vote.

Moreover, the company decided to apply to withdraw from the Board of Directors of the unique grid operator Eandis with effect from 30 June 2011 and to drastically reduce its representation and voting rights within the Flemish mixed intermunicipal companies that act as distribution system operators. Through this, Electrabel wanted to lay extra emphasis on the independence of the distribution system operators as well as the impossibility for it to exercise a signifi cant infl uence on the intermunicipal companies.

The liberalisation of the energy markets has also created increased competition in terms of sales. That has led to a decrease in the market share of the company that at the end of 2011 was down to 62%.

Staff continues to renewAt the end of 2011, Electrabel had 7,063 employees including its subsidiaries Laborelec, N-Allo… in Belgium. 30.8% of staff held a managerial position, 32.2% were female and 23.9% were younger than 30. Without its subsidiaries, the number of personnel totalled 5,635 employees, 53% engaged in generation, 26% in sales, 5% in trading and energy management and 16% in support services.

Due to retirements, internal changes within the GDF SUEZ Group, for example the transfer of staff to GDF SUEZ Trading, and the non-renewal of fi xed term contracts, at the end of 2011 there were 150 employees less than at the end of 2010.

In 2011 the company and its subsidiaries hired 605 new employees, of whom 71% on a permanent basis. Nearly half of all new employees (43%) were able to start in the N-Allo Contact Center, which plays a central role in customer service. The recruitment policy of Electrabel also focuses in particular on the preservation and transfer of knowledge and experience (p. 28).


One of the ten largest employers in the countryElectrabel is one of the ten largest direct employers in Belgium. At the end of 2011 the company had, including its subsidiaries, more than 7,000 employees. It also provides important indirect employment, with, for example, almost 7,000 jobs in its nuclear power stations.

The company recruits hundreds of new employees each year. In the period 2009-2011 this totalled 1,968, subsidiaries included.

In 2011, the social security contributions that Electrabel had to pay to the Belgian National Social Security Offi ce for its staff totalled 142 million euro.

1.3 billion euro investment in three yearsThe uncertain economic climate and the unclear legal framework acted as a brake on major investment decisions. Nevertheless, in 2011 Electrabel invested 339 million euro in its generating facilities in Belgium and 34 million euro in improving its business software. The bulk for production went to the maintenance of nuclear power stations (187 million) and the construction of new power stations with renewable energy (wind farms (28 million) and the Max Green biomass plant in Rodenhuize (30 million – the total investment for this project was 128 million over 3 years)).

The investment in local power plants makes Belgium less dependent on foreign countries for its energy supply.

MAJOR ECONOMICAND SOCIAL PLAYER

Max Green biomass plant in Rodenhuize


360 million euro taxesIn 2011, the limited company Electrabel realized a turnover of 14.5 billion euro. The result before tax amounted to 1,198 million euro. Of this amount, after application of the Belgian tax law, 148 million euro was effectively subject to corporation tax. That was 51 million euro. Electrabel also paid a nuclear contribution of 212 million euro and 98 million euro in other taxes and levies, inter alia, motive power, water pollution, water intake, ionizing radiation and environmental taxes.

Full accounts of the Electrabel company with a detailed overview of its fi nancial results are available on the website of the National Bank of Belgium (www.nbb.be).

Retaining knowledgeResearch and innovation are fundamental for an energy company to respond to the energy challenges and to enable it to play a leading role in the fi eld of the energy transition. Electrabel has been working with Belgian universities and with its internationally recognized Laborelec technical and scientifi c competence centre based in Linkebeek. In this way the company promotes scientifi c research and contributes to ensuring that knowledge about energy issues, which is of crucial importance for a country at the strategic, political and social level, remains in Belgium (p. 26-27).

Support for social projectsIn addition to an economic one, the company also performs a social role. The numerous projects and initiatives it supports voluntarily, sets up itself or with which it cooperates, help people in diffi cult circumstances in their integration into society and contribute to preservation of the environment and our heritage (p. 44).

Tihange nuclear power plant


The nuclear futureElectrabel defended its standpoint before the Economy Commission of the House of Representatives concerning the calculation of the nuclear revenue. It calculated this for 2007 as 750 million euro, an amount that was a long way from the estimates of the energy regulator CREG (1.75 to 1.95 billion euro or even up to 2 to 2.3 billion euro). At the request of the government, the National Bank of Belgium also calculated the profi t from nuclear power. It came to a fi gure of between 808 and 950 million euro and largely confi rmed the Electrabel methodology and numerical conclusions.

The new government confi rmed the intention to close the nuclear power stations as from 2015 as envisaged in the 2003 law on nuclear exit. The exact timing of the closure of Doel 1 and 2 and Tihange 1 will depend on the conclusions of an equipment plan to be established in 2012.

The government not only refused to extend the operating lifetime of the three oldest nuclear units by ten years, it also imposed a contribution of 550 million euro for 2012 on the operators of nuclear power stations. These decisions imply that the Belgian State has not fulfi lled the commitment made in 2009 with GDF SUEZ concerning the development of the activities of Electrabel in Belgium. The Group therefore reserves the right to protect its interests around these commitments.

At the end of 2011, Electrabel submitted its reports on the stress tests of its nuclear plants to the Federal Agency for Nuclear Control (FANC). After a fi rst analysis, the FANC confi rmed that the power stations can withstand extreme conditions and that they can guarantee the critical safety functions. The reports will be reviewed in 2012 by the European nuclear authority (p. 34).

Because of all these developments the GDF SUEZ Group considers itself obliged to reconsider its entire nuclear strategy in Belgium as a whole in the course of 2012. It will take into account the decisions of the Belgian government regarding the future of the nuclear power plants and the planned equipment plan, as well as an overall economic evaluation of the investments.

Elia fees and chargesAt the end of 2011, the CREG approved new tariffs for injecting power into the Elia high voltage grid. These rates are effective for the period 2012-2015 and for the electricity producers mean an extra cost of more than 100 million euro/year. This decision by the energy regulator affects the competitiveness of Electrabel with respect to foreign energy producers. The company has therefore joined forces with other producers to challenge the CREG in the court of appeal.

In addition, there is a dispute with the competent authorities about the amount that Elia must pay to electricity producers for the reserve capacity they make available. That payment is not suffi cient to cover the costs of the producers.

Third energy packageThe transposition of the third European energy package into Belgian legislation will also affect operation of the energy companies. The CREG will have more clout and will be authorised to control and approve the energy prices and tariff formulas. The regulator will also examine in advance the price rises proposed by the suppliers and compare them with the tariffs in the neighbouring countries. A price adjustment is only possible with the approval of the regulator.

In addition, the use of a standard invoice, the customer’s ability to terminate their contract free of charge and without notice, and the abolition of the double severance payment strengthen consumer protection.

Freezing the pricesBased on a comparative study of energy prices in Belgium and the neighbouring countries conducted by the CREG and the Prices Observatory, the federal government decided in early 2012 to freeze the electricity and natural gas prices for nine months from April 2012. During that period, the CREG will study the energy suppliers’ tariff formulas. The government intends to use these measure to adapt the indexation mechanism. The European Commission questioned such a price freeze, which contradicts the principles of a liberalised energy market.

UNSTABLE ENERGY POLICY CREATES UNCERTAINTY



SUSTAINABLE DEVELOPMENTAND CORPORATE SOCIAL RESPONSIBILITY

RESEARCH AND INNOVATION PROJECTS

30

An energy company is faced with numerous challenges. They require specifi c

management to promote its harmonious and balanced development within society.

Electrabel manages the impacts of its activities on all stakeholders to optimum effect,

but also aims to transform them into opportunities for the company’s development.

Fighting climate change, the preservation of resources and responding to essential

needs are among the main challenges to which it aims to provide responsible and

innovative solutions.

LESS CO2

SUPPORT FOR PROJECTS

5.3million tons

1.1million euro


SUSTAINABLE DEVELOPMENTAT THE HEART OF THE MANAGERIAL STRATEGY

Policy in line with theGDF SUEZ GroupSustainable development is central to Electrabel’s business strategy. The company endorses the ambitions of the GDF SUEZ Group to develop responsible growth by anticipating the economic, ecological and social transition. Its strategy for sustainable development aims to create

value for the company and its customers in the short and long term by working on various pillars:

• identify what are the most pressing social issues according to the stakeholders and for the development of the company and formulate an answer for them;

• develop new market opportunities;

• control the risks by anticipating external changes and regulation;

• retain customers and employees with a strong, durable, attractive brand;

• reduce costs through increased effi ciency in production and reduced energy consumption in the daily activities;

• accept the responsibility that society expects of an energy leader.

Together for less CO2

Environment and sustainable development have always occupied an important place in Electrabel. In 1995 – two years before the adoption of the Kyoto Protocol – the company had concrete action plans ready to produce electricity by using less primary energy and gradually developing renewable energy. In 2008, efforts were stepped up to elaborate a “Together for less CO

2” plan with

the horizon of 2015 that includes ten specifi c commitments (p. 10). The launch of this plan was preceded by contact with various stakeholders, including representatives of associations and academia.

Sustainable development integrated into the organisation

In 2007, Electrabel set up the Department for Sustainable Development within the Strategy, Regulatory Affairs and Sustainable Development Directorate. In collaboration with the operational entities, support services and local managers, it is responsible for the implementation of the strategy adopted by the company’s Executive Committee. It also provides the dialogue and consultation with the stakeholders and encourages the internal commitment and the development of a sustainable development refl ex throughout the company. At the end of 2011 the department had six full-time employees who are also liaising with the Directorate of Sustainable Development of the GDF SUEZ Group.

GDF SUEZ GroupSustainable development in three directionsMore information: GDF SUEZSustainable Development Report 2011 (www.gdfsuez.com)

1

2 3 3

MARMARMARMARKETKETKETKE SSSS

Innovating. Anticipatingmarket changes.

EMPEMPEMPEM LOYLOYLOYLO EESEESEESES EXTEXTEXEXTEXTERNERNERNEERNALALALAL STASTASTASTSTAKEHKEHKEKEHHOLDOLDOLDOLDERSERSERSERS

Ensuring the longevity andsocial acceptability of ouractivities in the territories.

Develop the Group’sappeal, professionalism and cultural consistency.


Sustainable Development Advisory BoardIn 2010, Electrabel set up a Sustainable Development Advisory Board comprising representatives from academia (universities), employer organisations, unions, consumer organizations, NGOs… Due to its high level of expertise and its broad social fi eld, the Board is the corner stone of the company’s stakeholder consultation approach in the area of sustainable development.

The Board evaluates the results and the strategic direction of the company and identifi es the priority challenges. During its last meetings the Advisory Board discussed the items electric vehicles and renewable energy.

In 2011, Electrabel organised a survey amongst the individual members of the Advisory Board and one thousand other representatives of society into their expectations about the key issues and indicators of sustainable development they think Electrabel should report on.

Electrabel develops its policy in particular concerning the issues that it has established in its sustainable development plan “Together for less CO

2” and the

Materiality exercise

priority themes formulated by its Advisory Board. In addition, it focuses on themes that are part of the transversal priorities of the GDF SUEZ Group.

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CO2 emissions from power stations (p. 29-31)

Energy effi ciency of power stations (p. 30)

Energy solutions for the customer (p. 36-38)

Green mobility (p. 38)

Renewable energy (p. 29-30)

Research & Innovation (p. 27)

Access to work (p. 44)

Competence management (p. 28)

Diversity (p. 43)

Ethics (p. 44)

Health & Safety (p. 40)

Meaningful company (p. 41)

Nuclear safety (p. 34-35)

Solidarity (p. 45)Employees mobilisation (p. 42)

Environmental impactof the power stations (p.32-33)

Stakeholders dialogue (p. 26)

Energy poverty (p. 44)

Energy supply (p. 36)

Governance (p. 24-25)

Service (p. 39)

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Universities, key partnersThe structural reinforcement of links between industry and academia is one of the cornerstones of Electrabel’s policy on sustainable development. The company has therefore signed long-term framework agreements with the eight major Belgian universities. They intend to optimize the research in areas of strategic importance for the company, to improve its positioning in the energy markets and respond to the challenges of the energy transition.

Besides promoting research (p. 27), which contributes to maintaining the high level of the university centres that educate the employees and partners of tomorrow, the collaboration with the universities plays an important role in the company’s competence management (p. 28).

Transparency towards all stakeholdersElectrabel faces the energy challenges together with its customers and the communities in which it operates. It wants its stakeholders to also be informed of its results and promote dialogue. The company has set up special organs and created communication tools for this purpose.

In 2011, Electrabel took several new initiatives in this area. In June, the company launched the Internet communications platform LeDialogue.be (www.ledialogue.be) where it answers questions from its stakeholders and explains its position. In the fi rst twelve months the forum handled some 1,300 questions, most about nuclear power and energy prices. Electrabel also reinforced its presence on the social media. It opened a YouTube channel, four accounts on Twitter and an Electrabel Backstage wall on Facebook.

Research and innovation are essential for making the right strategic choices and anticipating developments in the energy system – Smart Home Energy Lab.


PREPARINGTHE FUTURE

Future-oriented research and innovationElectrabel has set up a future-oriented research and innovation programme to offer a pragmatic response to the energy needs and challenges that the market must face in terms of both energy consumption and production. For its implementation it relies upon the Belgian academic world and the research centres of the GDF SUEZ Group. In 2011,

the company fi nanced about thirty projects spread across several themes (renewable energy, CO

2, energy effi ciency,

sustainable mobility, sustainable energy mix, intelligent systems, energy poverty…). Two of the studies were directly related to the market launch at the beginning of 2012 of solutions for consumers (CarPlug and Smart energy box, p. 37-38).

In early 2012 the company issued a call to the universities to submit research projects for 2013.


Besides the universities, the research experience gained throughout the GDF SUEZ Group is important. In 2011, the nine research centres of the Group had around 1,100 employees, including 250 at Laborelec, the Electrabel technical and scientifi c competence centre. In the new Smart Home Energy Lab (SHEL), which was opened in 2011 on the Laborelec site, subjects that experts can learn about include the integration of energy management systems, heat pumps and electric vehicles in a residential environment. The SHEL will thus make an important contribution to the company’s R&I programme.

Competence Management13% of Electrabel employees are 55 or older and will leave the company in the near future. It is essential to arrange their succession in time in order to transfer the knowledge and experience they have accumulated. It is a challenge for the company to attract, train and retain the right profi les. It therefore establishes direct contact with the educational and employment organizations and mobilizes its employees.

The cooperation that Electrabel has established with the Belgian universities (p. 26) offers the possibility not only to promote itself as an attractive and committed employer, but also to encourage and attract the best talents.

For example, it stimulates the reception of internship students into the company, supporting theses and doctorates, as well as the cooperation of staff in courses, lectures and case studies.

In 2011, Electrabel gave 125 students the opportunity to follow training within the company. The internships are an opportunity for to see future prospective employees

Scientifi c Advisory Committee

In 2009, Electrabel set up a Scientifi c Advisory Committee for the purpose of monitoring and enriching its main lines in the area of prospective research and innovation. The committee, consisting of Group managers and representatives of the Belgian and international academic world, identifi es the medium and long-term promising developments in the area of energy technologies and stimulates the company’s R&I programme.

Age structure of staffin active service end 2011

> 55

55

50

45

40

35

30

25

0 250 500 1,000750

actually at work and assess their potential. A contract was even offered to several trainees. The company also presents an Electrabel Stage-Award each year to the best theses by interns in production.

As part of its 6th Sense project designed to fi nd structural solutions for the recruitment challenges, in 2011 school teachers were allowed to explore the Doel power station for three days. The intention is that they pass on this experience to their students and that the gap between education and industry closes.

In addition, in conjunction with the VDAB, the Technicians in Progress programme consists of a 6-month vocational training course for skilled technicians, after which they were offered a permanent job within the company. In 2011 it concerned 5 candidates.

The company has also donated materials from its closed Mol power station to the VDAB, which are used for training.

Furthermore, students and job seekers can exchange e-mails with Electrabel employees – via its website – and thus discover the actual job content. In 2011 this channel produced 443 concrete contacts.

And through the Talent2Talent project the company encourages its employees to recommend new talents for a position. In 2011, this initiative produced 265 applications.

Candidates can also browse the online vacancies and apply directly through the website www.electrabel.com/career.


ACCEPTANCE OF THEGENERATING FACILITIES

Low carbon production

Committing to renewable energy sources

Electrabel aims to have a renewable energy-based generating capacity by 2015 with which it is able to supply a million families entirely with green electricity. Its target is therefore mainly biomass and wind energy projects.

In 2011, the company exceeded the threshold of 500 MW generating capacity with wind, biomass, hydro and solar energy.

Renewable energy generating capacityin MW

BiomassTotal

Hydroelectric

PhotovoltaicWind

20072004 2008 2009 2010 2011

42

76

22

140

314

67

22

403340

101

22

1

464464

284

109

22

4

419 312

121

22

5

459

In 2009 the capacity decreased due to the transfer of the Langerlo power station (56 MW biomass) to E.ON.

341

1445

512512

+53

+53

MW

MW

The wind farms in Leuze-en-Hainaut, Zeebrugge and Dendermonde (total 23 MW), and the Max Green 100% biomass unit in Rodenhuize (180 MW), a joint Electrabel and Ackermans & van Haaren project, came into service.

The construction of another three wind farms (16 MW) has also started, while Electrabel obtained permits for the generation of about a 100 additional megawatts, including in the port of Ghent (8 MW) and along the E40 motorway (50 MW).

Together with the eight industrial and fi nancial partners of the Otary consortium, Electrabel also submitted a dossier for obtaining a domain concession for the construction of an offshore wind farm of 450 MW in the Belgian part of the North Sea. The partners have set up the Mermaid temporary joint venture for this, in which Electrabel has an interest of 35%. In June 2012 the concession was awarded to Otary. The fi rst wind turbines should be able to supply power in 2016.

Renewable energy sources produced 1.65 TWh. This volume corresponds to the electricity consumption of 471,000 families. Electrabel thus confi rmed its position as the largest producer of green electricity in Belgium. The growth in capacity (+53 MW) did not lead to a higher annual production of green energy because biomass incineration at the Rodenhuize power station was shut down during the conversion of group 4 to 100% biomass (Max Green project) and only came back into service in the summer. Considering the last three months of the year, production reached the equivalent power consumption of 730,000 families.

Biomass combustion constitutes one of the pillars to be able to supply 1 million households with green energy – biomass delivery GDF SUEZ Ghent.

22


In 2011, Electrabel used 0.98 million tons of biomass, of which 0.72 million tons of wood pellets. To ensure the supply of pellets, the company signed an agreement with the Canadian company Pacifi c BioEnergy for importing 225,000 tons per year. The fi rst cargo destined for the Rodenhuize power station arrived in the port of Ghent in May.

Producing power with less fossil fuels

The construction of new units and the conversion or closure of old plants, has signifi cantly reduced the fuel consumption per kWh produced by the generating facilities. Since 2008 the company has invested 436 million euro in improving energy effi ciency of its power stations, especially for the new Knippegroen power station.

In 2011, Electrabel took unit 1 of the Kallo gas power station (261 MW) and units 2 and 3 of the Rodenhuize power station (258 MW) out of service. During 2012, units 3 and 4 of the Ruien power station (252 MW) will also stop their production activities. These older coal power stations using biomass co-fi ring which have a lower output can no longer be operated profi tably after, amongst other things, the reduction of the number of green certifi cates granted for the production of green electricity from co-fi ring biomass.

+0.7%

414141.6.6.6404040.9.9.9444444.7.7.7 454545.0.0.0

2000 2007 2010 2011

Effi ciency of the generating facilities supplied with fossil fuelsin %

Due to these investments and closures, the average effi ciency of power stations that use fossil fuels, which amounted to 40.9% in 2000, increased to 45.0%.

Electricity production from wind energy was more than twice as much in 2011 as in 2007, and it will increase even more in the future – Leuze-Europe wind farm.


604

0220

600649

7717 5815

-6-6%

-32-32%

719

7627

692

3223

2000 2007 2009 2010 2011

Specifi c CO2 emissions by the generating

facilitiesin grams of CO

2 / kWh

Total generating facilities

Conventional, CCGT, cogeneration

Elec

trab

el (B

elgiu

m)

Vat

tenfa

ll

EDP

RW

E

Fort

um

Iber

dro

la

Sco

ttis

h&

South

ern

Ver

bun

d

Enel

GD

F S

UEZ

(Eur

ope)

EDF

E.O

N

CEZ

Europe: 337

715

568

444403

330 325

255

158 133104 84

CO2 emissions

in grams of CO2/kWh – year 2010

(Electrabel, year 2011)source: PwC

494

384384

Five million tons less CO2 emissions

Electrabel has already achieved its target of reducing the CO

2 emissions from its generating

facilities by 1.7 million tons in the period 2008-2014. Over the last four years (2008-2011), total emissions decreased by 5.3 million tons of CO

2

(calculated at constant production – reference year 2007). In 2011, the CO

2 savings totalled

768 kilotons.

Nuclear power plants, leading in the reduction of greenhouse gases

Besides the efforts in the area of renewable energy and improving the effi ciency of power stations using fossil fuels, nuclear power stations are playing a decisive role in reducing CO

2 emissions.

At the end of 2011, 58% of the generating facilities consisted of CO

2-free power stations (nuclear, pumped storage

power stations, renewable energy) – which accounted for nearly 68% of the total electricity production – and 24.7% of CO

2-poor power stations (natural gas-fi red CCGT power

stations and CHP) (see the energy mix on p. 36).

The specifi c CO2 emissions from this low-carbon energy

mix were 158 g/kWh, one of the lowest in Europe. The emissions were also 11% lower than in 2010, mainly because the nuclear power stations had a larger share in the production. They also avoided 32,000 kilotons of CO

2 emissions (compared with a fossil fuel mix).

In contrast to this is the fact that the emissions from power stations that are not CO

2 free increased from 600 to

649 g CO2/kWh. This is due to the increased importance

of the combustion of blast furnace gas – this gas causes higher CO

2 emissions – in the Knippegroen power station.

Thanks to the nuclear power stations CO2 emissions

of the generating facilities belong to the lowest in Europe – Doel nuclear power station.


Continuously reducing the environmental impact of the power stations

Global environment plan

In addition to limiting greenhouse gas emissions from its generating facilities, Electrabel is implementing a centralized policy to also reduce the environmental impact of its power stations concerning the air, water, soil, noise, waste and dangerous products. The policy is embodied in a global environment plan 2008-2012, which is supplemented with specifi c action plans for waste, water and energy effi ciency. In 2011, the company has continued the implementation of these plans. The environmental management systems that it has implemented in its power stations as part of this play a central role in the continuous improvement of the environmental performance.

Environmental management systems are a driving force to improve the environmental performance of the power stations – Knippegroen power station.


Acidifying emissions have fallen sharply

The electricity power stations burning fossil fuels also emit acidifying pollutants (SO

2 and NO

x) and fi ne particles (dust)

in addition to greenhouse gases into the atmosphere. In 2011 these emissions again fell sharply. This was due to the closure of old conventional power stations and the conversion of the Rodenhuize 4 coal group into a biomass unit with a denitrifi cation installation. Since 2007, the emissions decrease has been about 60% (NO

x) to 90%

(SO2, dust).

Limiting radioactive discharges

The specifi c environmental impacts, objectives and achievements of the Doel and Tihange nuclear power stations are explained in detail in their environmental statements (available at www.electrabel.com) which they publish each year as EMAS registered sites.

In 2011 the nuclear power stations produced 6 m3/TWh of conditioned low- and medium-level radioactive waste, 59% less than in 1990 through better discipline and better techniques. The gaseous and liquid radioactive discharges were well within the legal limits (p. 54).

Reduction in emissions per produced kWhgenerating facilities using fossil fuels

SO2/kWh NO

x/kWh

particles/

kWh

Emissions from power stations using fossil fuels (2011)

76 mg 302 mg 5 mg

Emissions from the total generating facilities (2011)

19 mg 73 mg 1.1 mg

Environmental agreement in Flanders

In 2010 the Flemish Region and the electricity producers signed an agreement to continue reducing the emissions of SO

2 and NO

x in the period 2010-2014. Electrabel respects

the commitments that it has made in this context. The emissions from its power stations in 2011 were signifi cantly lower than the emissions ceilings specifi ed in the

agreement.

Continuous sensibilisation reduces radioactive waste volumes – water and waste treatment building, nuclear power station Doel.

dust

SO2

NOx

2007 2008 2009 2010 2011

100%

80%

60%

40%

20%

0%

41%

10%13%


additional recommendations and improvements. After the nuclear safety authorities from the countries concerned have examined each other’s reports, the fi nal report on all power stations will be presented to the Council of Europe by mid-2012.

Over the past two years Electrabel has also conducted a thorough and systematic investigation of all requirements that the FANC defi ned for longer-term operation (LTO) of the Doel 1 and 2 and Tihange 1 nuclear power stations. These study reports were also presented to the agency at the end of 2011.

In consultation with the FANC and taking into account government decisions about energy policy and the future of the nuclear units (p. 21), Electrabel will carry out the measures and recommendations arising from these studies.

In 2011, the company has in fact already taken a fi rst series of measures including the installation of mobile diesel generators and pumps. And in May it submitted an action plan for the Tihange nuclear power station to the supervisory authorities that is designed to cope with an exceptional high water level of the Meuse, as can occur once every thousand or even ten thousand years.

Safety audits

In 2011, several external audits in the Doel and Tihange nuclear power stations confi rmed that work is carrying on on the continued improvement of nuclear safety.

Priority to nuclear safetyNuclear safety covers the all of the methods, resources and behaviours that lead to no radioactivity escaping into the environment. It is an absolute priority for Electrabel. The company has a duty to ensure that the operation of its nuclear power stations always takes place in the most reliable and safest possible manner. The subject was in the spotlight more than ever before in 2011.

Stress tests and LTO

After the nuclear accident in Fukushima (Japan) in March, the European and Belgian government decided to subject the nuclear power stations to stress tests to examine how secure they are in extreme conditions such as earthquakes and fl oods. In Belgium, the tests also examined the resistance to threats linked to human activities (toxic and explosive gases, shock waves) and malicious acts (cyber-attack, aircraft impact). Electrabel cooperated fully in these tests and at the end of October submitted the reports on its Doel and Tihange nuclear power stations to the Federal Agency for Nuclear Control (FANC).

The agency analyzed the reports and stated in its report to the European Nuclear Safety Regulation Group (ENSREG) that the nuclear power stations can withstand exceptional events and that they can guarantee the critical safety functions. The FANC also confi rmed that the Electrabel action plan enables the safety of the power stations to be increased even further and formulated a number of


Nuclear safety plan

In 2011, Electrabel started implementing its new Global Plan for Nuclear Safety for the period 2011-2015. The plan which was, inter alia, prepared on the basis of experience from the safety audits, is built around all the activities and domains – the installations, work organization, the human factor – that have an impact on nuclear safety and determines priorities for continuous improvement.

Education and continuing training are one of the pillars of the policy. In 2011, 175,000 hours of training were given in the nuclear power stations (for all fi elds together) to

their own staff and 52,000 hours (nuclear safety) to the employees of contractors.

INES events

In 2011, six level 1 events and one level 2 event on the International Nuclear Event Scale (INES) occurred in the Doel and Tihange nuclear power stations – in 2010 there were seventeen level 1. These events had no effect on the operation of the facilities, the environment or the health of workers and residents in the vicinity.

The stress tests of the nuclear power stations in Belgium were even stricter than elsewhere in Europe and they have clearly indicated that the Doel and Tihange nuclear power stations withstand extreme conditions.


MEETING CUSTOMEREXPECTATIONS

Energy mix guarantees a stable energy supplyElectrabel’s generating facilities consist of a low carbon energy mix with mainly reliable nuclear power stations, ever more effi cient natural gas-fi red units and a growing number of production facilities with renewable energy sources. The diversity and fl exibility of an own local production park minimizes the risks in terms of the prices and supplies of electricity and fuels that are subject to market fl uctuations, and ensures the continuity of supply to customers at stable conditions.

Energy recovery, gas turbine, turbojet

CCGTHydroelectric, wind farm, photovoltaicCogeneration

Conventional power station

Nuclear power plantPumped storage power station

Share of the power stations

Share of power stations (%) in the generating capacity

4444400000...33333%%%% 111111888888....444444%%%%%1111177777...11111%%%%%% 666...333%%%%1112222...777%%%%% 33333333......5555555 11.1.1.11.777777777777

Share of power stations (%) in the net production of electricity

6622..33%% 99.4%% 8888....7777%%%% 1155..888%%%222222222222.....3333333333333333 00000000.0.0.0.0 9999999999 0000000.0.0.666666666

Oil, energy recovery, blast furnace gas

Natural gasBiomass, hydroelectric, wind, photovoltaicCoal

Nuclear

Pumped storage

Share of fuels

Share of fuels (%) in the generating capacity

Share of fuels (%) in the net production of electricity

4400..33%% 333331111....77777%%%%%44..55 55555....88888%%%%% 55555....000001112222...777%%%%

666622222...3333%%%% 22222255555....444444%%%%%%%22.2.2.2.2.333333 33.3.3.33.1111144.444.44.33332222222222.2.2.2.6666

Nuclear power in 2011 was a determining factor for the supply. The seven nuclear reactors that Electrabel operates in Doel and Tihange were responsible for 40.3% of the company’s generating capacity and 62.3% of its production in Belgium. The total production from nuclear power stations was equal to 55.9% of electricity consumption in Belgium.

The operational performance of the nuclear facilities was maintained at a high level with an availability factor of 89.23% and a usage factor of 98.98%.


An innovative and varied offerMore and more customers expect more from an energy company than just supplying electricity and gas. Electrabel anticipates these market developments and wants to differentiate itself by offering additional services that meet specifi c customer needs and respond to new opportunities and developments in the area of energy effi ciency and information technology. The energy services help the customers to manage their energy in a modern way and to use or produce it more economically and environmentally friendly. When choosing their own means of production, the customers can rely on the expertise the company has gained in the development, construction and operation of its own electricity power stations and thus reduce their ecological footprint.

Partnership central

Partnership with customers is central to Electrabel’s strategy for facing energy challenges.

The agreement the company signed in 2011 with a number of electro-intensive companies (united in the consortium Blue Sky) who wanted to have a long-term security concerning their energy supplies is a concrete illustration of this (p. 17).

The company also signed agreements with Infrabel and companies in the Ghent port area for the common development of several wind farms. These projects represent a total capacity of 58 MW and a CO

2 saving of

approximately 20 kilotons per annum.

As part of its Smart Savings Partnership offer, Electrabel also carried out 70 Energy Roadmaps for its business customers. The Energy Roadmap is a multi-year energy plan for increasing the energy effi ciency of a business. It outlines the energy conservation measures, provides an overview of the required investments and the timing for implementation and calculates the fi nancial impact from this.

Saving energy with Fais le clic(Do the Click)

Energy saving is often a matter of behaviour modifi cation. Children are the adults of tomorrow and the infl uencers of today. They are therefore a special target group for this. Electrabel organises tailored actions to raise their awareness concerning energy. After it had released the educational Energy City game (www.energycity.be) for primary education at the end of 2010, in 2011 it also launched the Fais le clic campaign, which encourages children to use less energy. This campaign is supported by magazines –through the specialist magazines that are distributed in primary schools, 68% of the total number of students in Belgium will be reached – a website(www.faisleclic.be), class competitions, posters…

Energy-saving services

To its range of tools and services (to be found at www.electrabel.be) in 2011 Electrabel added the free Energy Manager online platform for optimising the energy consumption.

The company also developed the Smart energy box, an innovative, easy to use application that measures the consumption of electrical devices, controls and programs them, even remotely, and should lead to energy savings. Electrabel launched this new product in early 2012 during the Batibouw construction trade fair.


Growing demand for green power

19% of Electrabel retail customers opted for green electricity in 2011. The renewable energy-based generating facilities that the company and the GDF SUEZ Group have available (512 MW in Belgium and 7,600 MW in Europe), make it possible to supply large volumes of green energy produced by itself. In addition, the company has issued guarantees of origin for electricity production in power stations that it does not operate itself, but of which it is the co-owner.

To meet the increasing demand of its customers, the company also signs agreements with other producers and buys green power on the market with guarantees of origin. Electrabel thus concluded an agreement with the Belwind company for the purchase of electricity produced by the Belwind offshore wind farm (165 MW), which became operational at the end of 2010.

At the end of 2011, 648,000 retail customers (households and professional customers) had a GreenPlus or Electrabel Professional Green contract for the supply of 100% green electricity that is produced in Belgium, mainly by Electrabel itself. The independent body Ernst & Young has controlled the volume and origin of this green power so the customer is sure that for each kWh consumed as many are produced in Belgium from renewable energy sources. The increasing customer demand therefore encourages the company to invest more in renewable energy.

To its industrial customers and public institutions, the company supplied 2.0 TWh of AlpEnergie green electricity originating from the hydropower plants of the GDF SUEZ Group in France, and certifi ed by the Technischer Überwachungs-Verein (TÜV). In 2011, the AlpEnergie price increased so that customer interest waned and sales volumes decreased.

Green mobility becomes a reality

Vehicles powered by electricity or natural gas will play an important role in the transport of the future and Electrabel wants to play an active role in this burgeoning market. The policy of the company focuses on three axes: sensitise, stimulate and develop a commercial offering. Because of the low CO

2 emissions from its generating facilities

(158 g CO2/kWh), it also has a major asset for the supply of

electric vehicles. With its green power supply formulas it can also service customers who want 100% green power for their electric vehicle.

The company achieved a major breakthrough in 2011 by developing the CarPlug, a safe, fast and intelligent charging solution for 100% electric or plug-in hybrid cars. At the beginning of 2012, Electrabel presented the CarPlug-solution at the Motor Show in Brussels.

For business customers who want to implement sustainable mobility in their business, Electrabel has developed a global solution with, as its main aspects, a safe charging system, remote monitoring, optimisation of energy costs and a global overview of the consumption.

Electrabel itself uses what it proposes to its customers. That the company stimulates its employees to drive electric vehicles is a good example of this.


It also launched its own pilot project with electric vehicles where four employees traded their company car for an electric vehicle and went into partnership with the Brussels car-sharing company Zen Car, which offers an environmentally friendly system of car pooling with electric cars.

A positive trend was also noted for natural gas vehicles in 2011. Electrabel signed twelve new cooperation agreements with fl eet managers to switch their fl eet to compressed natural gas (CNG) and to supply it in its three public service stations in Antwerp, Bruges and Mechelen or in a private station where it is the natural gas supplier. In 2011, fl eet managers and private customers consumed 118,000 kilograms of CNG in these four stations, 60% more than in 2010.

In May, the company signed the charter of the Federation of Belgian Companies (Verbond van Belgische Ondernemingen) in which it declared the intention to have by 2014 more than 100 electric vehicles in its fl eet in so far as there is an appropriate fi scal framework and an appropriate infrastructure exists. At the end of 2011 the fl eet consisted of 9 electric cars and 16 trucks running on compressed natural gas, used by the employees for business trips.

A high level of serviceIn 2010, Electrabel launched a Customer Care project to improve the quality of its services to residential and professional customers even further. In addition, it made fi ve specifi c commitments:

• To answer calls from customers within one minute;

• To reduce administrative red tape;

• To tackle problems from the fi rst contact;

• To help customers to use energy smarter;

• To take into account the customers’ opinion.

In 2011, the company continued the implementation of this project unabated. It made, among other things, its energy bills clearer. It developed the Electrabel Mobile application for smartphones with which the customer can reach it easier and faster and launched a new website for residential and professional customers with a great deal of attention to e-services.

The statistics for the performance indicators show that the goals set were largely achieved (fi gures June 2011-May 2012):

82% of the calls were answered within one minute (target 80%);

91% of problems were immediately addressed(target 90%);

74% of e-mails received a reply within two days(target 80%).

As the primary contact for many customers, Electrabel’s N-Allo Contact Center plays an essential role in this. In 2011, this platform, which has approximately 1,100 employees at six sites in Belgium, handled 3.6 million calls.

Electrabel gave more force to its commitments in July 2011 by signing the charter for customer friendliness that was created at the initiative of the Radio 1 programme Peeters & Pichal. The charter came into force on 1 January 2012 and focuses in particular on improved accessibility and more transparent and accessible information. In 2011 the company took the necessary measures to meet all aspects of the charter. Only answering letters within 5 days and the publication of a number of performance indicators on its website required some additional actions.

The improvement of the company’s services is confi rmed in external studies.The Flemish Regulator for the Electricity and Gas Market (VREG), for example, compared the service quality of the energy suppliers who are active in the Flemish market. The study showed that Electrabel is one of the top two with the highest score of fi ve stars. The fi ndings of the VREG are in line with those of the Commission Wallonne pour l’Energie (CWaPE) who did similar research for the market in Wallonia. Electrabel achieved the best result for seven of the twelve performance indicators.

The number of complaints that the company received in 2011 amounted to 39,000, a decrease of 2.4% compared to 2010. 75% of the complaints were resolved within a week.

The statistics from the Energy Ombudsman that deal with complaints about the gas and electricity sectors show a general increase of the number of complaints, due for a part to the fact that the service became more known. In 2011 this body registered 3,924 complaints about Electrabel (54.1% of the total, while its market share is 62%), more than a doubling with respect to 2010, to be explained by the double severance payment linked to group sales in Flanders.

The satisfaction survey that the company carries out several times a year of its customers showed – despite the negative news about the company in the media, which has an important infl uence on this parameter –, a stable pattern. In 2011, an average of 9 out of ten retail and business customers again declared that they are generally satisfi ed with Electrabel.

General satisfaction of Electrabel customers% of satisfi ed, very satisfi ed or extremely satisfi ed customers; T = trimester

2008 2009 2010 2011

95

90

85

T1

T1

T1

T2

T1

T2 T2T2

T4 T4

T4T4

T1T

T222T2

T4TT

T

T4T11TTT

T222

T4


BEING AN ATTRACTIVEEMPLOYER

Lowest number of accidents everHealth, safety and well-being at work are fundamental values to which Electrabel pays attention at all levels.

The company’s Global Prevention plan 2010-2015 must ensure that the focus on safety remains rooted in its culture and improve its safety performance further with the ultimate aim of zero accidents. The plan puts a special emphasis on the safety of the employees of external companies and the improvement of human behaviour in relation to the risks.

In 2011, within this framework, the Doel nuclear power station set up the Safety Board initiative, a consultative body composed of representatives from the prevention department of external companies. It is the intention,

through this body, to increase the involvement of contractors and defi ne joint efforts to improve safety.

After the disappointing results in 2010, safety was one of the most important action points in 2011. An increasing awareness has led to a signifi cant improvement of the safety indicators. The frequency rate (Fr) and severity rate (Sr) of the accidents scored better than the objectives and reaffi rmed the positive trend that has been continuing almost unbroken since 1995. The number of accidents (19) and working days lost (361) was also the lowest ever recorded.

For the third parties who work on the production sites, the results also improved and the objectives (Fr 7.50; Sr 0.2) were achieved with an Fr of 6.30 (7.36 in 2010) and an Sr of 0.15 (0.17 in 2010).

Safety indicatorsElectrabel (Belgium)subsidiaries not included

Sr Severity rate (number of days absence per thousand working hours)

Fr Frequency rate (number of accidents with incapacity ofat least 1 day per million hours worked)

2010 2011 TARGET

Fr 2.91 2.25 2.5

Sr 0.12 0.04 0.08

Severity rate (n

20 15 10 5 0

0.5

0.4

0.3

0.2

0.1

0.0

1995

2000

2011

2010

2005

00020

0022

201

200500505

255


A meaningful companyEmployees who are ‘at home’ in a company are the best ambassadors and the driving force for achieving its business goals. Electrabel attaches a great deal of importance to its employees not seeing it as merely an employer but as a company that gives their professional careers “meaning”. It wants to offer a work environment that refl ects their personal beliefs and values, which involves them in the enterprise project, that enables their personal development and the building of a career and takes into account their personal situation (work-life balance, mobility).

The company offers its employees numerous opportunities to develop their knowledge and skills and to orientate their careers themselves. In 2011, 294,000 hours of technical and general training were given. 5,203 employees participated. That equates to an average of 57 hours of training per person. Thanks to this training, internal candidates were able to fi ll 386 of the open vacancies.

Employees can also think about improving and adapting working conditions in order to, for example, take the private-work balance more into account. In 2011 the company was preparing a large scale “Welfare at Work” survey which it will have all employees complete during the course of 2012.

In addition, the company encourages its employees to put their social involvement into practice. They are, for example, invited to participate actively in the initiatives of the Be.Face association which was founded in 2010 under the impetus of GDF SUEZ following the relocation of its Brussels headquarters to the GDF SUEZ Tower near the North Station. Be.Face wants to bring businesses and their social environment closer together, encouraging diversity and promoting the integration of vulnerable populations. In 2011, it focused in particular on combating exclusion in the North quarter. Electrabel employees applied themselves to, among other things, coaching young job seekers, organising local festivals, the collecting of winter clothing and the improvement project for the nearby Maximilian Park.

As part of this move, the company also introduced an innovative mobility plan “Let’s Choose” that promotes sustainable mobility and in which the employees have the opportunity to donate part of the mobility budget allocated to them to charity organisations. In this way, in 2011 nearly 100,000 euro was divided between Energy Assistance, Bednet, Take Off, Natagora, Natuurpunt and the Belgian Red Cross.

The Power2Act initiative that the company launched in May 2011 (p. 45) also illustrates the importance it attaches to the social involvement of its staff.

Through the Global Prevention plan 2010-2015,Electrabel is committed to pursue the path ofcontinuous improvment.

GLOBALPREVENTION PLAN

2010 - 2015P U R S U E A N D C O N S O L I D AT E

1/06/11 13:03


Electrabel devotes special attention to mobilizing and sensitizing its employees around the theme of sustainable development. By applying the same energy and carbon saving measures internally that the company recommends to its customers, they are the best ambassadors for giving its policy credibility.

The internal plan of action in the area of buildings, purchases and mobility, resulted in the period 2007-2010 in a reduction of CO

2 emissions from everyday

activities by 23.1% (better than the target of 21%). The reduction of these emissions continued in 2011. The company then set a new target to reduce emissions in the 2010-2015 period by a further quarter (-25%) whereby it expanded the scope with the CO

2 emissions from the production of

administrative waste and logistics activities.

Among the numerous actions in 2011, the following can be noted:

• The format of the magazine Énergique (4.5 million copies, 3 times per year) changed from A4 to B5, which means a reduction in CO

2 emissions of

1.2 kilotons/year.

• In the administrative buildings, a system of selective waste collection was introduced that resulted in a saving of 356 tons of CO

2.

• The Let’s Choose programme for sustainable mobility was good for a reduction in the CO

2

emissions of 1,098 tons or the equivalent of 564 cars covering 15,000 km per year. 54% of employees in the GDF SUEZ Tower come by public transport to work and have given up their parking space.

• The installation of submeters for energy consumption in the GDF SUEZ Tower, at no less than 84 points in various installations, has produced throughout the whole building an additional energy saving of 10% through an improved adjustment and control of the installations.

Employees are also sensitised to save energy in their personal lives. The participants (employees of Electrabel and their friends) in Energy Friends, a project that was launched in December 2010, achieved in six months a savings of 10% on their gas and 0.12% on their electricity consumption.

Together for less CO2because of their high level of involvement, employees are the best ambassadors

Internal CO2

emissionsin kilotons/year

Waste

Logistics

Mobility

Purchases

Energy

41.1

9.3

7.5

3.0

2011

20.9

0.4

-14-14%

2010

47.8

9.4

9.9

4.3

23.8

0.4


Equal opportunities

Women

More jobs for women is a priority of the CSR policy of the GDF SUEZ Group. This translates into initiatives that make the working conditions more woman-friendly and ensure a better balance between private and professional life.

The policy of Electrabel is aligned with that of the Group and has three specifi c objectives for the year 2015: ensure that 30% of recruits are women, have 25% of the managerial positions held by women, have a woman appointed for 1 out of 3 executive positions.

With 34.8% recruitment of female staff and 22.1% women in management functions, the company is on track to achieve these objectives. Electrabel enjoys the advantage of, in addition to engineering and technical occupations, which are more generally fi lled by men, to be able to offer also positions within marketing, sales, communications… By contrast, the appointment of women at executive level still requires a lot of effort. At the end of 2011 only one in 15 executive positions, was held by a woman.

At the end of 2011, 25.4% of the employees were women.

In order to reconcile the professional and private lives of its employees better, the company makes various services available such as a concierge service, reserved seats in kindergartens and help care for sick children.

The subsidiaries of Electrabel also take initiatives in this area. In 2011, for example, N-Allo entered into a partnership with Interface3Namur for the training and recruitment of female call centre operators.

2009 2010 2011

Staff numbers of Electrabelin active service – subsidiaries not included

MenTotal

Women

5,635

4,201

1,434

6,044

4,462

1,582

5,815

4,296

1,519

Nationality

Diversity is not limited to gender but also applies to nationalities. 3.9% of workers employed by Electrabel at the end of 2011 did not have Belgian nationality. 9.6% of them came from outside Europe.

Professional equality between men and women constitutes a strong commitment within the entire GDF SUEZ Group.


PUTTING SOCIAL ENGAGEMENTINTO PRACTICE

Energy povertyPromoting access to energy for the poorest is one of the priorities of the GDF SUEZ Group and its subsidiaries.

To better understand the theme and give its policy shape, in 2011 Electrabel conducted a study with the University of Antwerp (UA) and the Université libre de Bruxelles (ULB) into the energy poverty in Belgium. The company will translate the results of this study in 2012 into concrete actions and initiatives.

Since 2007, Electrabel has signed transaction agreements with several Public Centres for Social Welfare in the Brussels Capital Region (Brussels, St-Josse-ten-Node, Schaerbeek, Jette). At the beginning of 2012, the municipality of Vorst added itself to this list. The purpose of these agreements is to undo the energy debt of certain customers in a precarious social situation.

At an international level, Electrabel employees voluntarily commit themselves through the Energy Assistance association (www.energy-assistance.org) for humanitarian projects in the area of energy. They make their knowledge available to communities in the developing world to give them access to essential energy products and services. In 2011, Electrabel staff were active in Burkina Faso, DR Congo, Ethiopia, Mozambique, Togo… to install, amongst other things, photovoltaic panels in hospitals and orphanages.

Anchoring ethical principles in the company’s cultureAt the end of 2009, the Board of Directors of Electrabel approved the Ethics Charter and manual “Ethics in practice” from the GDF SUEZ Group which specify the rules of ethics that every employee must obey. The core principles are acting in accordance with the laws and regulations, the anchoring of integrity in the corporate culture, demonstrating a sense of loyalty and honesty, and respect for others.

In 2011, the company continued its efforts to embed these ethical principles in its organisation unabated. It approved a concrete action plan for the broad implementation of the ethical charter throughout the whole of its organisation.

The plan includes informative presentations of the charter, communication and training.

When signing their contracts, all new recruits received a copy of the charter and the manual. The personnel policy of Electrabel also foresees Business Ethics training for all managers assumed to being regularly in a position evoking ethical questions.

Electrabel also tested a new performance management process for the performance appraisal of employees that takes into account the obedience to the rules for ethical conduct. The new process will be generalized in 2012.

Since April 2010 all new contracts and renewed existing contracts for Corporate and Production, as well as the general purchase conditions, contain an Ethics & Sustainable Development clause. And, from 2011, at the discussion of purchase contracts (CDM, coal, biomass…) the theme of ethics is an element of the negotiation process that is a determining factor for whether or not to enter into an agreement.

Access to work for everyoneElectrabel supports people who for various reasons have diffi culty in (re)integrating into the labour market.

With its “Focus Groups” project it wants to make the job market more accessible to people with physical or social disabilities and other vulnerable population groups. In cooperation with the VDAB, Forem and Bruxelles Formation, it recruited 15 new candidates in 2011 as part of this. They follow various training courses for a year within the company so as to increase their chances of employment. Seven of those who ended their formation period in 2011 could extend their employment contract with Electrabel.

The company also worked on the VDAB’s Duodag through which employees of a business familiarise persons with a disability with the content of their function, which can subsequently lead to the offer of an employment contract.

In the 2009-2011 period, seven athletes had found a job at Electrabel and one at N-Allo as part of the partnership of GDF SUEZ with the Belgian Paralympic Committee to give athletes with disabilities the possibility to get to work in its subsidiaries in Belgium.


Support for social engagementElectrabel’s sponsorship policy, which is aligned with that of GDF SUEZ, is organised around four key areas of social action:

• solidarity and integration: helping children in need and support for the most needy;

• culture: enhancement of cultural heritage, with an emphasis on music;

• environment: protection and conservation of the environment;

• sport: integration and enhancement through sport for young people in diffi culty.

Electrabel supports institutions and organizations working in these areas. In 2011 the company once again made 1.1 million euro available.

It was the main sponsor of the Belgian Homeless Cup, a socio-sporting football competition for the homeless and it allied itself with the Stappen association, a support home for girls under custodial supervision that prepares them for independent living. Electrabel also placed its knowledge at the disposal of the Virelles-Nature association for expanding the Aquascope-Virelles observation centre into a zero emissions centre by installing solar panels and a micro-hydro turbine at the outlet of the lake.

The company has also joined as main partner the national Panna street football competition “Electrabel Street

Heroes”, which started offi cially in March 2012. The project promotes interaction and respect between football players from different cultural, ethnic and religious backgrounds.

Electrabel also supported its many employees who are working in these areas for the community. In May, it launched the “Power2Act” programme that rewards projects where they are actively involved as a volunteer. The sixteen cases that were selected from 110 entries each received fi nancial support of up to 20,000 euro.

In addition, it again supported the Red Cross via its “Light a candle” campaign where the company donated 1 euro to this organisation for every virtual candle lit on its website. The company also gave its support to the “Go for Zero” campaign of the Belgian Institute for Road Safety which aims to reduce the number of road casualties.

Voluntary commitment on many levels

In 2011, GDF SUEZ published the brochure “Voluntary commitment to access to employment, equal opportunities, the development of everyone and social inclusion”. It gives an overview of the various initiatives that the Group and its subsidiaries have developed in Belgium in the area of corporate social responsibility.

The Power2Act programme supports social projects in which Electrabel employees are voluntarily involved – vzw Menestys.



RESULTSPAGE

50SCOPE AND METHODOLOGY

PAGE

56 SOCIALINDICATORS

PAGE

53 ENVIRONMENTALINDICATORS

PAGE

51 GENERATINGFACILITIES

PAGE

48 ASSURANCEREPORT

PAGE

55 FINANCIALINDICATORS

ENVIRONMENTALINDICATORS

SOCIAL INDICATORS

30POWER STATIONS

90 54


Assurance ReportErnst & Young report



Scope and methodologyThis part of the report gives a general description of the method used for calculating the indicators. For some, additional information is included in the tables (p. 53-56).

7 The performance of the CCGT power stations, the Langerbrugge, Lanxess and Solvay cogeneration units, the conventional power stations, gas turbines, turbojets, nuclear power plants (at 100%), the Coo pumped storage plant (see also point 8), the hydroelectric power stations, the wind farms and photovoltaic panels are taken into account in the calculation of the environmental indicators. Only 50% of the environmental impact of the Zandvliet Power CCGT power station is considered, which is equivalent to the Electrabel share in the Zandvliet Power subsidiary.

8 The specifi c emissions (the quantity of emissions per kilowatt-hour) and the effi ciency of the generating facilities operating on fossil fuels are expressed on the basis of the fi nal net production. The production of Coo pumped storage plant is not included in the calculation of the specifi c emissions.

9 The biomass combustion in conventional power stations is included in the calculation of yields and the specifi c emissions from fossil fuel power stations.

10 The proportion of the production under the control of a certifi ed environmental management system was calculated on the basis of the scope used by CERIS.

11 The data about the workforce refl ect the situation at the end of the calendar year. All fi gures are expressed in number of employees in active employment. Unless otherwise mentioned they concern Electrabel without its subsidiaries.

12 The amounts for the provisions for the management of spent fuel and the decommissioning of nuclear power stations come from Synatom.

1 The indicators relate to the activities of Electrabel in Belgium.

2 Ten environmental indicators were validated by Ernst & Young. In the tables, these are indicated by the symbol .

3 The method for calculating a lot of the indicators is specifi ed in the instructions for the sustainable development plan “Together for less CO

2” and the Global

Environment Plan of Production. In addition, data were extracted from the CERIS (environment) and SMART/Magnitude (social) databases developed for reporting at the level of the GDF SUEZ Group.

4 The shares of EDF (10.19% in the Doel 3, Doel 4, Tihange 2 and Tihange 3 nuclear power stations and 50% in the Tihange 1 nuclear power station), BASF (50% in the Zandvliet CCGT power station) and E.ON (50% in the Evonik Degussa cogeneration units), just like the nuclear drawing rights attributed to third parties were deduced from the values reported for the generating capacity.

5 The capacity and production of the Gembloux and Perwez wind farms, which are operated by Air Energy and in which Electrabel has a holding of 50% and 25% are included in full in the statistics for the generating facilities because Electrabel markets the production.

6 The total electricity production of the facilities is calculated in the same way as the capacity (see points 4 and 5) and is expressed as a net production.


Net installed capacity in MW

Main fuels

Power station

COMBINED CYCLE GAS TURBINE 1,887.5

Amercoeur ng 420

Drogenbos ng 460

Herdersbrug ng 460

Saint-Ghislain ng 350

Zandvliet Power (1) ng 197.5

COGENERATION 645.8

BP Chembel (2) ng 43

Evonik Degussa (2)(3) ng 42.5

Fluxys (2) ng 40

Ineos Phenol (2) ng 22.8

Lanxess Bayer (2) ng 43

Lanxess Rubber (2) ng 58

Monsanto (2) ng 43

Oudegem Papier (2) ng 14.5

Sappi (2) ng 43

Solvay (2) ng 94

Syral (2) ng 48

Total Raffi naderij Antwerpen (2) ng 154

CONVENTIONAL POWER STATION 1,753.0

Awirs-> 80 MW biomass (100%)

ng, bm 389

Knippegroen (Sidmar) bfg 305

Rodenhuize-> 180 MW biomass (100%)

bm 180

Ruien-> 81 MW biomass(co-combustion)

ng, c, bm 879

GAS TURBINE 78.0

Drogenbos ng 78.0

TURBOJET 210.0

Aalter ke 18

Beerse ke 32


Main fuels

Power station

Buda ke 18

Cierreux ke 17

Deux-Acren ke 18

Elsene ke 18

Noordschote ke 18

Turon ke 17

Zedelgem ke 18

Zeebrugge ke 18

Zelzate ke 18

ENERGY RECOVERY 75.5

Brussels Energy – 45.0

Indaver (Beveren) – 20.0

Isvag (Wilrijk) – 10.5

NUCLEAR POWER STATION 4,135.0

Doel 1 – 433

Doel 2 – 433

Doel 3 (5) – 903.5

Doel 4 (5) – 933.1

Tihange 1 (6) – 481

Tihange 2 (5) – 905.3

Tihange 3 (5) – 939.2

Drawing rights E.ON – -793

EDF exchange Chooz – -100

PUMPED STORAGE POWER STATION 1,307.0

Coo I – 474.0

Coo Il – 690.0

Plate Taille (7) – 143.0

Generating facilities

Power stations in service at the end of 2011



Main fuels

Power station

HYDROELECTRIC POWER STATION 21.8

Bardonwez – 0.035

Bévercé – 9.2

Bütgenbach – 1.8

Cierreux – 0.1

Coo-diversion – 0.4

Heid-de-Goreux – 8.1

La Vierre – 1.9

Lorcé – 0.1

Orval – 0.05

Stavelot – 0.12

WIND FARM 144.1

BASF – 12

Büllingen – 12

Bütgenbach – 8

Celanese Lanaken – 8

Dendermonde DS Textile – 4.7

Dour – 10

Ford Genk – 4

Gembloux Sombreffe(4) – 9

Hoogstraten – 12

Izegem – 4

Kasterlee – 0.66

Leuze-Europe – 14.4

Pathoekeweg – 3

Perwez(4) – 7.5

Quévy – 6.15

Rodenhuize – 4

Schelle – 4.5

Volvo Cars Gent – 6.15

Volvo Trucks Gent – 6

Wondelgem – 4

Zeebrugge – 4.1


Main fuels

Power station

PHOTOVOLTAIC PANELS 4.6

Beaulieu (Kruishoutem) – 1.08

De Post – 0.50

Delhaize (Zellik) – 0.44

Delta Light – 0.42

Honda (Aalst) – 0.89

KU Leuven – 0.07

Sanac – 0.1

Sioen (Ardooie) – 0.22

Van de Velde – 0.09

Volvo Trucks Gent – 0.52

Westerlo Kamp C – 0.02

Zonnehoeve (Eke-Nazareth) – 0.24

TOTAL 10,262

(1) without the BASF share (50%); functions like a cogeneration unit(2) industrial partnership(3) without the E.ON share (50%)(4) joint venture with Air Energy(5) without the EDF share (10.1927%)(6) without the EDF share (50%)(7) agreement with the MET

Fuelsbfg blast furnace gasesbm biomassc coalke keroseneng natural gas

Decommissioned in 2011

Conventional power stations Kallo group 1 (261 MW), Rodenhuize groups 2 and 3 (258 MW)

Gas turbine Mol (30 MW)

Cogeneration Langerbrugge (37 MW)

Commissioned in 2011

Wind farms Dendermonde DS Textile (4.7 MW),Leuze-Europe (14.4 MW), Zeebrugge (4.1 MW)

Biomass Max Green Rodenhuize: 180 MW

Under construction at the end of 2011

Wind farms Frasnes-Lez-Anvaing (4.1 MW), Sint Gillis Waas (6.15 MW), Zwevegem Bekaert (6.15 MW)


Audit Indicator Unit 2011 2010 2007 Objective Comm. Plan CO

2

P. Comment

Part of generation covered by an EMS

% 96.9 85.9 82.1 3 32 ISO 14001 system; fi nal net; perimeter CERIS

Capacity of generating facilities

MW 10,262 10,940 12,887 14 Net installed capacity

Capacity renewable energy MW 512 459 403 1 29 Wind, hydroelectric, biomass, photovoltaic

Part of renewable energy in total capacity

% 5.0 4.2 3.13 36 Wind, hydroelectric, biomass, photovoltaic

Production electricity TWh 52.7 56.7 69.9 14 Net electricity production

Electricity generation from renewable energy sources

GWh 1,647 1,718 1,407 1 30 Wind, hydroelectric, biomass, photovoltaic; fi nal net or garantees of origin

Part of wind % 16.0 10.8 8.2

Part of hydroelectric % 2.0 2.9 5.3

Part of biomass % 81.7 86.0 86.5

Part of photovoltaic % 0.3 0.3 -

Part of renewable energy in total generation

% 3.1 3.13 2.01 36 Wind, hydroelectric, biomass, photovoltaic; net

Electricity generation from renewable energy sources

1,000 house-

holds

471 491 402 1,000 in 2015

1 30 Yearly consumption of 3,500 kWh per household

Effi ciency of the fossil-fuelled production park

% 45.0 44.7 41.6 2 30 Only electricity generation; biomass included; fi nal net

CO2 emissions kilotons 9,598 11,536 16,044 1, 2

Specifi c CO2 emissions

(fossil)g/kWh 649 600 692 2 31 Fossil-fuelled power

stations; biomass included; fi nal net

Specifi c CO2 emissions

(total)g/kWh 158 177 232 2 31 Idem + nuclear power

stations and renewable energy; fi nal net

Reduction of CO2 emissions

by the generating facilitieskilotons 768 1,836 - 1,700 in

the period 2008-2014

1, 2 31 Reduction compared to 2007, calculated for an equivalent electricity production

Reduction of CO2 emissions

by the personnel% 14 - - 25 in the

period 2010-2015

9 42 Emissions from daily activities (excluded production); reduction comp. to 2010

CO2 emissions by the

personnelkilotons 41.1 47.8 - 9 42 Emissions from daily

activities (excluded production)

Energy kilotons 9.3 9.4 -

Mobility kilotons 20.9 23.8 -

Purchases kilotons 7.5 9.9 -

Logistics kilotons 0.4 0.4 -

Waste kilotons 3.0 4.3 -

SO2 emissions tons 1,128 1,766 17,784 3

SO2 emissions Flanders kilotons 0.57 1.49 - maximum

5.133 Agreement Flemish

Region

Environmental indicators



2

P. Comment

Specifi c SO2 emissions

(fossil)mg/

kWh76 92 767 3 33 Fossil-fuelled power


Specifi c SO2 emissions

(total)mg/

kWh19 27 257 3 33 Idem + nuclear power


NOx emissions ton 4,462 6,940 17,216 3

NOx emissions Flanders g/MWh 288 372 - maximum

330 (in 2011)

33 Agreement Flemish Region

Specifi c NOx emissions

(fossil)mg/

kWh302 361 743 3 33 Fossil-fuelled power


Specifi c NOx emissions

(total)mg/

kWh73 107 249 3 33 Idem + nuclear power


Dust emissions tons 70 210 834 3

Specifi c dust emissions (fossil)

mg/kWh

5 11 36 3 33 Fossil-fuelled power stations; biomass included; fi nal net

Specifi c dust emissions (total)

mg/kWh

1.1 3.2 12.1 3 33 Idem + nuclear power stations and renewable energy; fi nal net

Production of industrial waste

kilotons 32.4 32.5 77.8 Depends on demolition work and site clean-up

Valorisation of industrial waste

kilotons 11.5 18.9 45.2 3

Production of by-products kilotons 129 149 412 Fly ash, bottom ash, gypsum

Valorisation of by-products kilotons 129 149 409 3

Radioactive discharges Total Doel and Tihange nuclear power stations

Beta-gamma GBq 21.5 10.1 24.3 Annual limits: Doel: 1,480 GBq (αβγ); Tihange: 888 GBq (βγ)

Tritium TBq 88.4 102.6 110.8 Annual limits: Doel: 103.6 TBq; Tihange: 147.6 TBq

Aerosols GBq 0.14 0.01 0.0144 Annual limits: Doel: 148 GBq; Tihange: 111 GBq

Iodine GBq 0.13 0.07 0.163 Annual limits: Doel: 14.8 GBq; Tihange: 14.8 GBq

Rare gases TBq 41.0 5.05 33.5 Annual limits: Doel: 2,960 TBq; Tihange: 2,220 TBq

Production radioactive waste

m3 338 275 272 33 Low- and medium-level conditioned waste; total Doel and Tihange

Customers

customer calls responded within a minute

% 82 - - 80 39 Average June 2011-May 2012

problems addressed from the fi rst contact

% 91 - - 90 39 Average June 2011-May 2012



2

P. Comment

replies to e-mailswithin 48 hours

% 74 - - 80 39 Average June 2011-May 2012

Green electricity contracts 1,000 con-

tracts

648 542 11.5 6 38 GreenPlus and Professional Green; retail customers

Sales of green electricity TWh 2.0 3.6 0.7 6 38 AlpEnergie; industrial customers

New natural gas connections

1,000 connec-

tions

36 42 - 5 New connections and switches; retail customers

New capacity withlow CO

2 emissions

MW 58 47 - 5 37 Renewable energy and CHP; at customers’ sites

Volume of CNG consumed tons 117.5 74.5 - 7 39 Internal and external fl eet

Electric vehicles in own fl eet

number 9 - - 125 in 2014

39 Pool; subsidiaries included


2

P. Comment

Turnover € billion 14.5 14.8 - 20

Investments in generation € million 339 381 392 19

Renewable energy 66 127 27 Period 2008-2011: 296 M€

Improvement effi ciency 1 38 121 Period 2008-2015:

500 M€

2 30 Fossil-fuelled power stations; period

2008-2011: 436 M€

Maintenance 86 44 145 Fossil-fuelled power stations

Nuclear power stations 187 173 99 Maintenance included

Nuclear provisions € billion 6.547 6.154 - Cumulative

Fissile material management 4.204 3.923 -

Dismantling 2.343 2.231 -

Financial indicators


Audit Indicator Eenheid 2011 2010 2007 Objective Comm. Plan CO

2

P. Comment

Staff number headcounts 7,063 7,213 9,057 19 Subsidiaries included

Permanent contract % 97.4 97.3 92.3

<30 years % 23.9 26.6 24.7 Permanent contract

Managers % 30.8 31.4 22.4

Women % 32.2 32.5 29.9

Recruitments headcounts 605 470 489 19 Subsidiaries included


Staff number headcounts 5,635 5,815 7,759 43 Subsidiaries not included


<30 years % 19.4 22.3 20.2 Permanent contract

Managers % 34.2 34.5 23.6

Women % 25.4 26.1 25.2

Women in management functions

% 22.1 22.0 - 25 43 Subsidiaries not included

Woman in executive functions number 1 of 15 - - 1 of 3 43 Subsidiaries not included

Recruitments headcounts 328 300 370 Subsidiaries not included


Share of women in recruitments

% 34.8 52.0 - 30 43

Age structure of staff headcounts 28 Subsidiaries not included; permanent contract

>55 years 697 659 891

50-54 years 782 784 1,067

45-49 years 811 833 1,090

40-44 years 674 700 1,020

35-39 years 576 593 882

30-34 years 873 798 687

25-29 years 930 1,072 996

<25 years 129 181 433

Training thousand hours

294 312 339 41 Subsidiaries not included

Work accidents 40 Subsidiaries not included

Frequency rate (Fr) see page 40 2.25 2.91 3.91 2.5

Severity rate (Sr) see page 40 0.04 0.12 0.08 0.08

Frequency rate (Fr) contractors see page 40 6.3 7.36 - 7.5

Severity rate (Sr) contractors see page 40 0.15 0.17 - 0.2

Social indicators


Abbreviations

BRUGEL . Brussels Regulatory Authority for Electricity and gas

CCGT ...... Combined Cycle Gas Turbine

CDM ....... Clean Development Mechanism

CNG ....... Compressed Natural Gas

CREG ...... Electricity and Gas Regulation Commission

CWaPE ... Walloon Regulatory Authority for Electricity and gas

EMAS ..... Environmental Management and Audit Scheme

EMS ....... Environmental Management System

FANC ...... Federal Agency for Nuclear Control

GRI ......... Global Reporting Initiative

IFRS ........ International Financial Reporting Standards

INES ....... International Nuclear and Radiological Event Scale

ISO ......... International Organisation for Standardisation

LTO ......... Long Term Operation

NGO ....... Non-Governmental Organisation

OSART ... Operational Safety Review Team

R&I ......... Research and Innovation

SME ....... Small and Medium-sized Business

VREG ..... Flemish Regulatory Authority for Electricity and gas

WANO .... World Association of Nuclear Operators

Units

Bq ........... Becquerel (unit of radioactivity)

GBq ........ gigabecquerel (109 Bq)

TBq ........ terabecquerel (1012 Bq)

W ............ Watt (unit of power)

MW ........ megawatt (106 W)

GW ......... gigawatt (109 W)

Wh.......... Watt-hour (unit of energy)

kWh ....... kilowatt-hour (103 Wh)

MWh ...... megawatt-hour (106 Wh)

GWh ....... gigawatt-hour (109 Wh)

TWh ....... terawatt-hour (1012 Wh)

M ............ million

1 kWh = 3.6 MJ

1 MJ = 0.278 kWh

Glossary


GDF SUEZ

www.gdfsuez.com

• Registration document 2011

• Activity report 2011

• Sustainable Development report 2011

• Ethics charter

Electrabel

www.electrabel.com

• “Together for less CO2” plan

• Green book “Together for less CO2”

• Newsletter Duurzame Ontwikkeling

• Doel nuclear power station environmental statement

• Tihange nuclear power station environmental statement

Electrabel sa

Boulevard Simón Bolívar 341000 Brussels, Belgiumwww.electrabel.comTel. + 32 2 510 72 22VAT BE 0403.170.701 RPR/RPM Brussels

This report is available in Dutch, French and English.

Download via www.electrabel.com

Request a printed copy from:[email protected]@electrabel.comwww.electrabel.com

Questions about this report:[email protected]

Colophon

The production of this publication was coordinated by the Communication department.

The graphic design and production were entrusted to the www.concerto.be agency, Brussels (Belgium).

Photographs: Olivier Anbergen, Raf Beckers, DoubleDouble, Rudy de Barse, Georges De Kinder, Thierry du Bois, Roger Job, Dominique Libert, vzw Menestys, Alain Pierot, David Plas, René Vanden Berghe, Jan van De Vel.

Printing: Antilope, Lier (Belgium)

Publisher:Florence Coppenolle,Simón Bolívarlaan 34,1000 Brussels, Belgium

July 2012

D/2012/7.208/12

More information

SustainableDevelopment

Report 2011

ETHICS CHARTER

20/11/09 13:49

SDR

CO2ELECTRABEL’S

GREEN BOOK

TOGETHER FOR LESS



This publication was printed

entirely on paper certifi ed by the

Forest Steward Council (FSC). This

organisation promotes and guarantees

responsible forest management that

aims to be economically attractive,

environmentally friendly and socially

equitable. The paper supplier has

obtained ISO 14001 (environment)

and OHSAS 18001 (health and

safety) certifi cates. The presses

use vegetable ink. Waste paper and

cardboard, in addition to used offset

plates, are recovered and recycled.

www.electrabel.com

2011ACTIVITIES AND

SUSTAINABLE DEVELOPMENT

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Electrabel

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Documents

Activities and sustainable development report - 2011 Electrabel, GDF SUEZ group