EnBW Factbook 2019 »
October 2019 2 EnBW Factbook 2019 4. 3. 2. 1. Agenda 1 − EnBW at a glance a at EnBW − 1 Agenda › › › › › › › Business Segments Segments Business Strategy Environment EnBW at a glance › › › › › GenerationTrading and Renewable Energies Grids Sales Markets Regulatory environment Political environment Compliance, Data Protection Decarbonisation, Innovation, Corporate Sustainability, Broadband, Contracting, Digitization, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW Key non- Key financials ...... financials ...... Corporate Governance, ...... page 66»» page 34»» page 3 »» 3 page page 6 »» 8. 7. 6. 5. Service Capital Markets - Non and KeyFinancials EnBW’sShareholdings Main › › › › › › › › › › › › › › › › › › › F Halfyear 2019 Fiscalyear 2018 Five Borusan AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. Energiedienst Important Contact details calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Financial Asset Management inance - year summary ...... strategic and other goal dimensions EnBW EnBW links Holding AG Holding Enerji ...... yatırımları financials ve ...... Üretim ...... A.S page 155 »» page 143 »» page 130 »» page 111 »» page 3 EnBW Factbook 2019 Fully integratedutility Germany in One of the largest ofGermanOne utilities Four BusinessFour Segments 1 As of 31 December 2018 › › › › › 1.1 1.1 Strong roots in Baden in roots Strong employees 21,775 structure shareholder Stable portfolio generation MW 13,399 5.5m customers Electricity Gas Gas EnBW at a glance a at EnBW Sales -Württemberg Import contracts/ contracts/ Import infrastructure Generation 1 Balanced risk › › › › Active in selected foreign markets foreign in selected Active ratings grade investment Solid business -risk low from contribution EBITDA ~68% grids and on renewables Focus Grids Storage Trading/procurement - return profile return Trading/portfolio Trading/portfolio management RenewableEnergies Transmission/ Transmission/ Key financialKey figures distribution › › › Group net profit: €334.2 m €334.2 profit: net Group Adj. EBITDA: €2.2 EBITDA: Adj. €20.6 Revenue: Transmission/ distribution bn bn Generation & Generation Trading Sales << Agenda Sales 4 EnBW Factbook 2019 Key non Key financialsKey 1 As of 31 December 2018 KPI KPI Employee Commitment Index Employee Commitment CO (EnBW / / Yello)(EnBW Satisfaction Customer Index Adjusted EBITDA Adjusted RE share RE generationof capacity Internal financing capability Internal financing ROCE 1.2 1.2 2 intensity intensity - financials Key figures 1 g/kWh € bn € % % % 120/152 2018 2018 93.2 27.9 553 2.2 6.5 62 Forecast 2020 Forecast 2020 - 15 % to to % 15 >136 / >159 / >136 2.3 2.3 8.5 8.5 - >100 - 20% > 40 - 2.5 11 65 Reducing Maintain discipline financial Maintain Expand Expand renewable energies CO Raising the Group’s Raising the value Employee commitment 2 intensity Securing profitability Securing Customer proximityCustomer by 15 to 20% to 15 by Target 2020 Target 2020 << Agenda 5 EnBW Factbook 2019 4. 3. 2. 1. Agenda 2 − Environment − 2 Agenda › › › › › › Business Segments Segments Business Strategy Environment EnBW at a glance › › › › › › GenerationTrading and Renewable Energies Grids Sales Key non- Key financials Compliance, Data Protection Decarbonisation, Innovation, Corporate Sustainability, Broadband, Contracting, Digitization, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW Markets Regulatory environment Political environment ...... financials ...... Corporate Governance, ...... page 66»» page 34»» page 6 »» 6 page page 3 »» 8. 7. 6. 5. Service Capital Markets - Non and KeyFinancials EnBW’sShareholdings Main › › › › › › › › › › › › › › › › › › › F Halfyear 2019 Fiscalyear 2018 Five Borusan AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. Energiedienst Important Contact details calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Financial Asset Management inance - year summary ...... strategic and other goal dimensions EnBW EnBW links Holding AG Holding Enerji ...... yatırımları financials ve ...... Üretim ...... A.S page 155 »» page 143 »» page 130 »» page 111 »» page 6 EnBW Factbook 2019 Goal › › › › Nuclear phase EU 2020 goals 2020 EU and pursue effortsandlimit the temperature to increase1.5 to ParisClimate Agreement: the Hold increaseglobal in 2.1 and related liabilities to state to liabilities and related provisions nuclear transferred Operators have partly 2017 mid State operators and government phase of financing for Responsibility end of2022 end Last German ClimateEnergy & Policy Goals - - owned fund established in established fund owned out split between between out split NPP to shut down by by down shut to Political ®ulatory - out - 20% 20% 20% Energy 20% savings energy final in consumption RE 20% GHG emissions Goal › › › › Renewables Changes to charges charges Changes expected to ongoing.power of costs and tariff system on Debate 2019- and 4 wind onshore 4 for tenders Additional period legislative current in 2030 by 65% to increased share goalRE to be production electricity in 55– 2035: 40– 2025: 2021 60% RE RE 60% RE 45% environment Goals 2030- EU averagetemperature well below 2 to GW PV in PV GW ° C abovepre EU 2030 goals 2030 EU Goal › › Coal phase › - - 20% primary primary 20%2020 energyby consumption 40% Reduction of Reduction coal recommendations: Commission Coal implement Federal Government about to possible (2035) date end earlier revision: to subject may be date end 2038; in completely Coal phased tobe out 17 GWin2030 and 30 GWin2022 GWto ~40 capacity from - industrial levels GHG - emissions by 2020 by emissions out - fired fired - 40.0% 40.0% 32.5% Energy 32.5% savings energy final in consumption RE 32.0% ° C aboveC pre GHG Goal › › expansion grid Electricity emissions powerlines overhead priority over cabling given Underground expansion) grid (slowing transmission Remove bottleneckin energy - industrial levels << Agenda 7 EnBW Factbook 2019 › › › › › ParisThe Agreement Source: Climate Action Tracker / in 2019 Willbe further defined at COP25 in Santiago (Chile) ( measures and “nationally determined contributions” countries develop and communicate their mitigation Defined a universal, legal framework where all half of this century Aims at achieving net achieving at Aims ° +1.5 pre Established a global warming goal well below +2 Framework Convention on Climate Change (UNFCCC) in December 2015 by the 196 Parties to the UN Adopted the at UN Climate Change Conference COP21 2.2.1 NDCs - industrial average with efforts to limit warming to C C in 2100 in relation to pre ° >1.5 increases temperature at occur to likely are which tipping points, of impact the calculating yet (without ) Global Global Decarbonisation: Vox - zero emissions in the second regulatory - industrial levels Current pledges leadglobal to warmingof roughly+3 framework ° C on on C 100 150 Effectof current pledges and policiesglobalon GHG Gigatons 50 1990 0 on on climate of carbon dioxide carbon of 2000 1.3 consistent °C 1.5 °C 2020 change 2040 ° C 1.6 2 C consistent consistent °C 2060 – 1.7 °C 2080 2.7 targets Pledges & – 3.0 °C 2100 emissions 3.1 policies Current 3.0 policies Optimistic 4.1 policies climate No << Agenda °C – – C) 3.5 4.8 °C °C 8 EnBW Factbook 2019 1,100 1,300 100 300 500 700 900 0 Source: German Federal Environmental Agency, 4 April 2019 (in m tCO m (in German 2.2.2 Industry sector Energy 1,251 1990 466 284 210 163 90 2 – 38 GHG equivalent) 1,055 2000 396 208 167 181 climate protection targets protection climate Decarbonisation: 75 emissions by sector The emission emission The reduction target 2020 for willbe missed CO byaround at tm 85 28 Transportation Buildings 2010 943 369 188 149 153 70 14 2018 866 311 196 117 162 70 1 10 Target 2020 751 Wasteothers and Agriculture National GHG emissions and and emissions GHG National 1 Estimation Target 2030 562 183 143 72 98 61 5 2 Target 62.5 62.5 2050 255 – German Action Plan ( ActionGerman GHG targets for Sector Total amount Total others Waste and Subtotal Agriculture Transportation Buildings Industry Energy Sector 2040 emissions target atleast 70% below 1990 and 2050 target 80 - 2050targetand CO (in m t m t (in 1,251 1,213 Klimaschutzplan) 2050 2 1990 - eq.) 163 210 284 466 38 90 emissionsthe accordingto (in m (in CO t 2018 eq.) 866 856 162 117 196 311 10 70 2 - 1 95% below 1990 95% below (in m (in CO t 543- 538- 140- 175- 58- 95- 70- 2030 eq.) 562 557 143 183 61 98 72 2 5 - << Agenda (reduction compared compared to 1990) to 56- 56- 62– 34- 42- 67- 51- 2030 55% 54% 87% 31% 40% 66% 61% 49% 9 EnBW Factbook 2019 SituationGermany in › › › › SituationGermany in Coal phase recommendations for 2038 untilcoal path decommissioning follow to Governmentannounced Commission Coal targets2030 of attainment to Reductioncoal in targets2020 attainable longer Germany no in 2.2.3 2.2.3 › › › Ongoing closures Ongoing 2030 (hard auctions coal) 2023 and (lignite) closuresnegotiations Ongoing on based Ad - out to be implemented implemented threeout be in to phases: - hoc action (3 (3 action hoc coal Decarbonisation: - based emissions from based emissions current levels essential - based generationbased GW Significant policy lignite; ~6 ~6 lignite; – 2038 (details yetknown) not (details 2038 – 2029 (expected) 2029 GW hard coal) 2022 to - driven cuts in coal generation by 2030; initial action expected to be effective for 2020 for effective be to expected action initial 2030; by in coal generation cuts driven Significant decided reduction in reduction 2018 41.0 in in in in development capacity Coal Coal capacity development capacity Coal 21.4 19.6 GW GW Decision on closures already already taken - 2.2 until until 2022 closures Plant Plant - 9.1 Target 2022 Target as as recommended by Coal Commission as as recommended by Coal Commission 30 decommis sioning Lignite ~ 6.0 - decommis Hard coal coal Hard sioning ~ 6.7 Hard coalHard Lignite << Agenda - Target 2030 Target 17.0 10 EnBW Factbook 2019 › › › 2.2.4 expected2019.end of by enacted with legislative measures, emission reduction togaps be Ministries’ proposals to close attain both. Protection Program designated to of several sector targets. Climate Germany’s 2030 target composedis Protection Program. issuespaper of planned Climate Government has published a key September In 2019, Federal 2030 Climate ProtectionProgram The autumn of 2019 will be crucial for Germany’s climate protection policies: Coalition Parties attempt to attempt Coalition Parties policies: protection climate Germany’s for crucial be will 2019 of autumn The overcome disagreementsovercomeambition compromiseinstruments.manifestedandClimate on of Lines nowin climate protection policies climateprotection GovernmentFederal Decarbonisation: Protection Program. Regulatory implementation however expectedremain to complex anddifficult. › › level. Carbon Price Floor Europeanon Government announced to support system with price corridor in 2026. prices”,followed by cap System to start in2021 with “fixed transport and heating sectors. implement implement CO government toGerman decided CO 2 pricing 2 pricing system in pricing - - and trade - › › Climate Protection Program. 15 to 20 GW in2030 envisaged in of offshore capacity from Photovoltaics; additional expansion 4 GW each for onshore wind and Special tenders in 2019 developed accordingly) (provided that the national grid is 55% to 65% 2030 by RE expansion goals raised from Renewable energysources - 2021: << Agenda 11 EnBW Factbook 2019 › › › › › › › HVDC: DSO: Distribution system operator operator system Transmission TSO: transmission and distribution grid operators distribution and transmission framework for regulatory the in change substantial no to leads generally Ordinance Regulation Incentive of Amendment Ordinance Regulation Incentive the reform of the to due 2018) and (from gas 2019) (from period regulation electricity third the of as respects some in improved been has grids distribution in investment framework for regulatory The framework regulatory the in changes of account on grids transmission/transport for conditions investment Improved regulation be possible Pressure as efficientto ongoingtodue as fluctuations consumption of independent remain to grid revenues enables cap regulation Revenue regulatory the framework of stability increasing the to due manageable risks Regulatory monopoly a natural term, as long the in including regulated, remain grids and distribution transport gas transmission, Electricity 2.3.1 2.3.1 high - voltage direct current transmission technology Regulatory environment Regulated grids business grids Regulated › Three main challenges for grids: › › › › › solutions: to approaches EnBW's Electricity generation is becoming increasingly uneven uneven increasingly becoming is generation Electricity Coal grid the to connected plants generation electricity Many decentralised grid stability on impact an have Germany as a transit country country a transit as Germany gas transport capacity partners municipal by grids distribution the of expansion swift and efficient grids, distribution of expansion smart cars, electric for infrastructure DSOs: requirements capacity cover to network transport gas HVDC of use centres; and consumption production of point focal between TSOs: trading - – to load flow reversals possible load flowreversals possible some instances in transmission lines and underground cables. Expansion of the the of Expansion cables. and underground lines transmission New electricity transmission lines can bridge the distance distance bridge can the lines transmission electricity New Expansion of the grids to integrate renewables and charging and renewables integrate to grids the of Expansion Challenges for gridsin Europe - gas fuel switching leads to a great increase in demand demand for in a increase great to leads switching gas fuel – large proportion cross of – - fluctuations fluctuations border border << Agenda 12 EnBW Factbook 2019 Electricity Gas 2.3.2 2.3.2 2005 2006 Cost Cost Incentive regulation in Germany in regulation Incentive business: grids Regulated pricing pricing - - based based based 2007 2008 as of 1 January 2009 January 1 of as regulation incentive of Introduction 2009 1st regulation period regulation 1st 2010 1st regulation period regulation 1st 2nd 2nd year Base regulation period regulation 2011 2nd 2nd year Base for for regulation period regulation 2012 for for 2013 2014 2ndregulation period 2015 2ndregulation period 3rd 3rd year Base regulation period regulation 2016 3rd 3rd year Base for for regulation period regulation 2017 for for 2018 2019 3rd regulation period regulation 3rd 2020 3rd regulation period regulation 3rd 4th 4th year Base regulation period regulation 2021 4th 4th year Base for for regulation period regulation 2022 for for 2023 << Agenda 13 EnBW Factbook 2019 2 1 › › KöSt Equity after before before7.85% EK- after before6.91% EK- after % 5.64 EK- 2.3.3 2.3.3 Capital employed in excess of this amount is subject to the EK to issubject amount this of employed in excess Capital equity 40%of at capped the EK to is subject employed capital financing maximum a 40%of structure,of the actual of Irrespective : Körperschaftssteuer II rate II return:of rate II return:of rate return:I of GewSt GewSt GewSt <= 40% EK 3 1 KöSt - Factor 1.1365 Factor 1.225 KöSt KöSt I Return on new systems for the 3rd regulatory period period regulatory 3rd the for systems new on Return business: grids Regulated 2 – , , , corporate tax corporate 4 by law (Stromnetzentgeltverordnung law by 40% Risk premium: premium: Risk Base rate: 4 3 At tax rate 3.50% and multiplier 390% multiplier 3.50% rate and At tax GewSt rate of returnrate of before after after 2.49% : Weighted Gewerbesteuer 3.15% GewSt KöSt , – trade tax tax trade 5.00% 5.21% ) II rate of return. of -II rate 60% after after before return: EK- after KöSt before EK- II rate of II rate: II , GewSt GewSt KöSt Factor 1.1365 >40% EK , - II 4 3.09% 3.44% 2.72% 3.03% I rate of return as this is is this as return of rate -I rate rate series interest Bundesbank 10- year average over over average year Gas Electricity << Agenda 14 EnBW Factbook 2019 German high German Source: VDE FNN/transmission system operators, as of 1 January 2018 1 January of as operators, system VDE FNN/transmission Source: 2.3.4 2.3.4 - - high German business grids Regulated voltage grid voltage voltage grid voltage 4,800 km network expansion in new line routes line new in expansion network km 4,800 › › › › › › › › routes line existing in upgrading km 6,700 to connect new offshore connect offshore new to farmswind further €18 A bn €30 which of €61 length grid current over 30% than more by expanded be to grid Existing DC AC DC AC AC – – – – – bn new new ~1,000 lines: km new lines in existing routes: ~4,500 km reinforcement/ new new ~1,000 lines: km recabling estimated investment needed, needed, investment estimated bn : : ~300 km for DC projects DC for in investment investment in recabling : : ~1,900 km << Agenda 15 EnBW Factbook 2019 1 Depending on regulatory policies › › › › › › › 2.4 gas gas plants topower coal due from generation power Increasing decline steady in plants power conventional of Time profitable operation of energies renewable towards trend Sustained and and volumes prices of volatility Increasing switching fuel Technological developments New market participants Regulatory framework > 160 GW by 2030 > 160GWby 2020 > 120GWby Generationtrading and 1 : Market development Market Business models of large utilities are changing; accelerating development of renewable energies energies renewable development of accelerating changing; areutilities large of models Business : Undergoing constant change, Undergoing change, constant : rising complexity : More competition and fragmentation of the value chain of the fragmentationand competition More : - to - : More diversity, modularity and granularity in the energy system energy the in granularity and modularity diversity, More : gas 2 Power supply companies › › › › › › - in Baden grids transportation gas of expansion Strong smart grids of expansion Accelerating back in increasingly stations power Conventional increase e in increase the to due e.g. grids, distribution power of expansion for needed investment Further 2030 by 65% to target energy renewable the raising by accelerated grid expansion Transmission grid stability to detrimental generation electricity Volatile Power and gas grids gas and Power - up role up andgrids well as newas services for customers Württemberg, due to fuel switch fuel to Württemberg, due - mobility 3 Rising new registrations compared to previous years › › › › › › Landlord electromobility and systems battery PV and with role active an increasingly playing Consumer sector heating residential efficiencyand in rise demand from and electricvehicles energy to and due gas electricity demand for in Downturn business models business (digital) new developing of importance Continued 860 to ~150 from Number of energy co- levy) EEG by (inhibited Renewables for the most part in the hands - non of hands the in part most the for Renewables Customers - to - tenant electricity supply still uneconomic uneconomic still supply tenant electricity operatives has increased 2008 since increased has operatives 1 in the future. in the 3 << Agenda PSCs 2 16 EnBW Factbook 2019 in capacity Installed Source: GW 2.5.1 , March 2019 March , BDEW 2014 195 12 93 90 Nuclear power Nuclear Conventional thermalpowerandplants other energies Renewable Installed capacity and generation and capacity Installed market: electricity German 2015 203 11 95 97 2016 210 104 11 95 2017 216 112 11 93 2018 220 118 10 92 in bn kwH in bn Generation 2014 628 26% 10% 19% 25% 16% 5% Hard coalHard gas Natural energies Renewable 2015 648 18% 29% 10% 24% 14% 5% Other (oil, pumped storage, etc.) storage, pumped (oil, Other power Nuclear Lignite 2016 13% 29% 13% 17% 23% 651 5% 2017 12% 13% 33% 14% 23% 654 5% << Agenda 2018 12% 13% 23% 35% 13% 647 5% 17 EnBW Factbook 2019 105 115 125 135 145 2015 base year (annual average). average). (annual 2015 year base heating oil, gas, electricity and district heating for households since January 2014 relative to the The chart shows the development of prices (indexed rates of increase, not absolute fuel prices) for Figures as of April 2019; Source: Federal Statistical Office (FS 17, R 2), €/MWh in Energy pricesin Germany 65 75 85 95 2.5.2 2014 Natural gas Natural Electricity household energy prices and electricity consumptionelectricityandprices energy household of Development market:electricity German 2015 Index 2015 = 100 Index 2015 = 2016 2017 BDEW (electricity (electricity 3,500 kWh/a) Heating oil District heat District 2018 in Electricity consumption in Germany Figures as of February 2019; February Source: of as Figures TWh 2014 525 consumption habits and economic growth economic and habits consumption in changes by compensated is efficiency to due reduction years; few past in the stable consumption electricity Net 2015 525 AGEB 2016 527 2017 529 << Agenda 2018 526 18 EnBW Factbook 2019 households private for price ofelectricity share 52.5% Electricity price for private households private for Electricity pricehouseholds 2019 CHP: cogeneration combined heat and power 1 Source: German Federal Association of Energy and Water Management ( Average concession fee; varies according to size of community 2.5.3 2.5.3 Electricity Electricity market: electricity German 16.0% 21.0% 2.4% 6.7% 5.5% 0.9% 1.00% 1.37% 0.02% price Electricity Electricity duty Concession fee VAT19% EEG levy EEG Low Sec. 19Ordinance for Electrical surcharge liabilityOffshore levy loads Interruptible CHP CHP Act levy - Voltage products ( products Voltage ), BDEW figures as of January 2019 1 NEV ) surcharge) € cents/kWh € kWh) 3,500 of (Annual consumption 3 a for price electricity Average Figures as of July 2019; Source: 28.70 14.91 Procurement and sales Networkuser charges, including metering, billingand metering station operation Taxes,fees and cost allocation 2015 6.74 7.05 28.80 15.53 2016 7.01 6.26 BDEW 29.28 16.06 2017 7.51 5.71 - person household 29.47 15,98 2018 7.29 6.20 << Agenda 30.43 15.98 2019 7.39 7.06 19 EnBW Factbook 2019 10 20 30 40 50 60 in €/MWh in Forward price baseload for Germany electricity in 0 2.5.4 2014 Wholesale forward price Wholesaleforward market: electricity German 2015 Base 2020 Base 2016 Base 2021 Base 2017 Base 2022 Base 2018 2019 << Agenda 20 EnBW Factbook 2019 10 12 › in €/MWh in Clean Clean- -6 -4 -2 0 2 4 6 8 2016 (plant efficiency: 36%)efficiency: (plant coal a of margin Gross 2.5.5 dark - - spread is the corresponding indicator for coal dark - spread base spread CSS above CDS above CSS market: electricity German 2017 fired power plant plant power -fired - fired generation of electricity. 2018 2020 2019 2021 -10 10 15 -5 in €/MWh in Clean 0 5 › 2016 having bought gasand the required number of carbon allowances. Clean- (plant efficiency: 50%)efficiency: (plant gas a of margin Gross spark - spark - spread represents the net revenue a generator makes from selling power, 2022 - spread peak spread 2017 fired power plant plant power -fired 2018 2019 << Agenda 21 EnBW Factbook 2019 Source: regulations Unbundling Energiewende theof Challenge Tasks Organisation 2.5.6 2.5.6 BNetzA / BKartA Monitoring Report December 2018 electricity transmission and distribution grids distribution and transmission electricity for Comparison market: electricity German › › › › › › › › › Building new high voltage direct current ( current direct voltage high new Building Germany southern to northern wind of Transport Connecting offshore wind farms wind offshore Connecting cables underground using lines transmission operator operator (ITO) transmission independent unbundling, Ownership power balancing Using consumption and generation between balance Ensuring Grids by operators owned km ~37,500 Grid length: 50Hertz, operators: 4 380 kV, 220 kV 380 kV, Transmission grids - generated generated electricityfrom Amprion HVDC : high , - TenneT voltage direct current transmission technology , TransnetBW HVDC ) › › › › › › › › › › - non to as obligation and grid business the of and unbundling financial Functional smart (e.g. meters) operation metering of digitization and grid tech smart of Use cars electric for charging infrastructure of Integration photovoltaics, wind)(e.g. ofdecentralised Connection renewables troubleshooting and incidents Recording and consumers Connectinglocalproviders franchises for Competition municipalities by issued Franchises km ~1,808,000 Grid length: operators 890 ≤ 110 kV 110 ≤ grids Distribution discriminatory use of grid information grid information of use discriminatory << Agenda 22 EnBW Factbook 2019 Distribution › › Transmission › › General › › Electricity grids Electricity 2018: 2018: “E BMWi Source: Federal requirements plan, second draft network development plan 2030 (version 2019), direct ( remodelling already farms Expansion Growing investment Changes The Still Feed ARegV 2.5.7 distribution grid study 2014, Oliver Wyman/ - Mobilität strong electricity - in current ) extended, growing geographical setzt in of grid trend in of grid Netzbetreiber legislation transmission are the backbone of the “Energiewende” the of backbonethe are grids Electricity market: electricity German ( grids the HVDC grid due back however) energy : business ) to e.g transmission imbalance to unter local . municipal have revision market Druck grid generation has TU ” (“E simplified – München between - become of primarily mobility putting pressure on grid operators”), own estimates ownership lines the , and Incentive generation a reimbursement construction growth connection (large Regulation business share and of consumption of offshore of for high concession due Ordinance costs voltage to wind the of in € € in tothrough 2030 Capex expansion for electricity the gridof German bn Transmission grids 61 connections Offshore 24 Distribution grids 24 Total expansion through to 2030 through to << Agenda 109 23 EnBW Factbook 2019 Taxes and duties (market procurementGas and sales and operation) station and metering billing metering, (including price Gas Regulated network user charges 1 billing, subject to large regional variation, figures as of 07/2019; source: Average net network user charge including charges for metering, metering station operation and 2.6.1 2.6.1 - determined) Gas Gas gas German price 1 5.8 7.1 Single market - family home 25% 50% 25% BDEW : 2 concession fee (0.03 Most heating gas customers are customers on contract with the regional default supplier with a reduced € cents/kWh € kWh) 20,000 consumption (annual supplier default regional with contract Single Single 6.26 Procurement and sales Networkuser charges, including metering, billingand metering station operation Taxesand franchise fees 2015 3.15 1.53 1.58 - family home, gas central heating including hot water, customer on on customer water, hot including heating central gas home, family - family home, gas central heating ct /kWh); /kWh); figures as of 07/2019; source: 07/2019; BDEW of as source: figures 5.89 2016 2.75 1.62 1.52 5.73 2017 2.65 1.59 1.49 2 5.81 2018 2.77 1.53 1.51 << Agenda 6.19 2019 3.05 1.55 1.56 24 EnBW Factbook 2019 35 10 15 20 25 30 in €/MWh in prices month Front reference 1 Average of Gaspool 5 2.6.2 2015 and and Front Front gas German NetConnect 2016 Germany (NCG) month 1 2017 market price and and 2018 : spot 2019 market 65 15 25 35 45 55 in €/MWh in Spotmarket 5 2015 development reference prices 2016 1 2017 2018 << Agenda 2019 25 EnBW Factbook 2019 Source: regulations Unbundling Energiewende theof Challenge Tasks Organisation 2.6.3 BNetzA / BKartA Monitoring Report December 2018 Comparison for gas transport and distribution grids distribution and transport gas for Comparison gas German › › › › › › › renewables storage medium for generated electricity from grid as gas natural of use potential term: Long operator operator (ITO) transmission independent unbundling, Ownership areas) market other or and industry (DSOs versa and vice (transit) points export to from import gas Transport Gaspool Twomarket areas ( Grids by operators owned km ~38,800 Grid length: grid operators 16 380 kV, 220 kV 380 kV, grids transport Gas ) (consolidation planned 2021) in planned ) (consolidation market NetConnect DSO: Distribution system operator : Germany and and Germany › › › › › › › › › - non to as obligation and grid business the of and unbundling financial Functional power via gas natural synthetic and gas natural bio of Integration troubleshooting and incidents Recording and consumers Connectinglocalproviders franchises for Competition municipalities by issued Franchises km ~498,000 Grid length: grid operators 718 heating increases heating distance and long heating electricity if utilisation of Degree ≤ 110 kV 110 ≤ grids distribution Gas - to - gas plants discriminatory use of grid information grid information of use discriminatory << Agenda 26 EnBW Factbook 2019 › › › Distribution grid › › grid Transport 2 1 L Gas grids Gas Source: Source: Gas network development plan 2018 - gas: low calorific gas calorific low gas: Still strong trend back to municipal municipal ownership back trend to strong Still grid gas natural the to communities new of connection the to due potential Growth “ Smaller expansion compared scale of electricitytobecause - Baden in especially switch, fuel gas coal the to due increases requirement capacity the addition, In 2025) by Russia/Norway from L of half (approx. L from market the in Switch environment: regulatory in changes from requirements capacity Increasing ” has less pronounced effect on gas on effectgas pronounced market has less Energiewende” 2.6.4 BNetzA / BKartA 1 element of the “Energiewende”the of element major a are grids Gas gas market: German Montoringbericht - gas gas from Netherlands be replaced to by H H - gas:high calorific gas (Monitoring Report) 2018 - 2028 Württemberg - gas to H- gas - gas - to - in MW in Compressors to 2028 through Germany in Expansiontransportgas of the grid 31.12.2016 2,700 1 Investment of ~ €6.9 €6.9 ~ of Investment 2018- Increase 499 2028: 2028: ~3,200 2028 bn in transportgrids in Germany 31.12.2017 in km in Transport lines 38,800 2 Increase 1,364 << Agenda ~40,150 2028 27 EnBW Factbook 2019 1 › › › › › Source: Source: IDC (2015), Market growth of approx. 17% approx. of growth Market work to 5G for needed infrastructure fibre optical 5G emerging as a as emerging 5G EnBW by planned Rollout Expected development boost development Expected nationwidea presence key success criterion dynamic: increasingly market Broadband/telecommunications in telecommunications/broadband 2025 by telecommunications/broadband in › › 2.7 €12 bn in grants in bn €12 infrastructure in investment bn expected €100 around with Nationwide rollout of optical fibre essential Market trends & development of new regional new of andnationwide opticalfibre networks VATM strong growth in coming years coming in growth strong see to market Broadband/telecommunications (2015), (2015), analysis Deloitte key technology in technology key available to available through for new infrastructure technologies: infrastructure new for 24.7 1 expected digital transformation 2025 in medium term term medium in – › › › EnBW’s ambitionsgoalsEnBW’s & New chapter for EnBW forchapter New Germany throughout services telecommunications provides EnBW rollout infrastructure 5G in support massive provide prepared to EnBW municipal utilities and B2B, an overarching EnBW for angoal B2B, and sector asset in especially growth, Profitable – successive rollout successive – focus on B2B and and B2B on focus << Agenda 28 EnBW Factbook 2019 Competitors (DACH region) International 2.8 Regional National New International, national, regional and new competitors new and regional national, International, Competitors: Companies Key challenge: Optimal positioning given the regulatory/competitive market environment Characteristics › › › › › › › › success factors success each field leads to growing impact specific of chain value the of parts single on Focused participants market new of Entry and sales grids on focused mainly activities Business onregional markets Focus solutions renewableenergies, grids, and/or sales onmarket Focus development, forexample in markets foreign selected in activities position, Stable national and sales/solutions grids especially Growthrenewable in energies, strategy growth Broad – - based, internationally oriented based, oriented internationally high degree of specialisation within specialisation of degree high - added Position of EnBW › › - - - areas: growth Main markets foreign selected and Germany on focusing company energy integrated an as positioned is EnBW Customer Solutions Customer Grids Energies Renewable << Agenda 29 EnBW Factbook 2019 Retailcustomers and – › › › › › › › › 2 1 Source: Source: 2019 BDEW Source: Kreutzer Vertriebskanalstudie 2018 Growing price sensitivity price Growing decision Eco- aim increase reach toThe often and is develop groups customers new - Non operators) platform plant and power virtual suppliers electricity as manufacturers CHP manufacturers, (car and transport heating of electrification the and coupling sector to due markets the on convergence Increasing business solutions energy future of development the for and a prerequisite are access customer change meters Intelligent Consumers are becomingprosumers Localenergyrise: production on the by customers energy with products their supplementing increasingly are utilities customers, for and/or emotive interesting more products gas and electricity make pure to order In significant. still is and gas) (electricity business Commodity competingand for customers market shares increasingly are and intermediaries suppliers disruptive entrants, Lateral 2.9 energy again has a greater influence on the customer’s supplier supplier customer’s the on influence a greater has again energy industry companies continue to be popular sales partners. partners. popular sales be to continue companies industry - related related ornon 1 The “Energiewende“ increasescompetition“Energiewende“The - energy 1 and and lead competitors fiercernewcompetition to trends - related additional services. additional related CHP: cogeneration combined heat and power Gas Gas in % in Cumulative rateretail of churn customers competition: Strong Electricity 2014 2014 27.6 36.1 2015 2015 30.9 39.5 2016 2016 32.3 42.0 2017 2017 33.2 42.6 2 << Agenda 2018 2018 34.5 43.8 30 EnBW Factbook 2019 › › › › › › › Operations of smart metering solutions metering smart of area the in market, especially the in opportunities growth ofand scale shiftsignificantofferTechnology economies advantages Cost forlarge providers influencedby scale of economy heavily is business the that mean costs fixed High energy market the the for technology billing and requirements meetregulatory need tothe pressure oncosts, from rising municipal utilities for challenges Growing market the onto surging continually industries, other from and industry, energy from the players new with competition Intense bn €5.5 Germany in volume Market Market for energy for Market 2.10 Market potential for energy for potential Market - related related very fragmentedservices remodeling of of Servicesand key competencies › › › › SaaS solution based state on based SaaS solution ofnew Launch outsourcingprocess Services software either- as prosumer products Services fornon companies utility of needs individual the suit to chosen complete the services metercover EnBW - related services related Utility Utility EnPowerX - commodity commodity products and e- e.g.solutions, cloud plattform Smart Smart service and IT solution for suppliers by EnBW in 2019. 2019. in EnBW by suppliers for solution and IT service as- - of metering a - the - Process service service (SaaS) or onlyfull - art art technology. operations - to - cash cash chain. value Services be can Consulting and and Consulting - mobility and bundled and bundled mobility scale business and and Smart training innovations services << Agenda 31 EnBW Factbook 2019 in € m € in Value pool market contractingto Growth in German 2025 › › 1 Source: Growth opportunities to be exploited, exploited, be to Growth opportunities aided (also by energyprice increase) marketgrowth Continuous through 2025 to 2.11.1 3,925 2015 Marktperspektive › › combining combining energysupply charging with infrastructure, storage systems, etc.) role the in as activities Expanding portfolioservice versatility the adding in and Expanding Media and services from a single source single a from services and Media Contracting (Market Outlook) (Market Outlook) 2016 5,004 2020 6,408 2025 – sales segment sales primarily by: : infrastructureservice provider (e.g. in € m € in Profit pool 2015 246 CHP: cogeneration combined heat and power 1 2020 310 2025 394 › › › › › › positionmarket EnBW’s Baden on currently projects sector housing in focus Main market German national Targeting and/or heat focus on (CHP) power needs; customer 100 to up currently plants, large complex (including types plant of range Wide efficiency energy plant around additional services with complemented activities contracting Core contract under plants 200 customers sector, public and sector commercial/retail/service housing industry, for solutions contracting Custom - Württemberg and regions selected – spanning the entire value chain value entire the spanning MWth ) for diverse fordiverse ) << Agenda 32 EnBW Factbook 2019 Source: › › › › › 2.11.2 pool) pool) relevance value of terms (in through2025 to retain to Current customer segments requirements buildings) (smart building energyas efficiency such Increasinglycomplex regulatory framework, Slight medium Slight energyin nextrise fewin prices Slight years Increasing importance energydistributed of trend:research – General market trends industry remainsindustry segment biggest market study, “ study, market Challenging Challenging Contracting - term interestterm in rise rates Market and customer trends require contracting providers to adjust their capabilityadjust portfolios, their providers to contracting require trends customer Market and Markt und und Marktentwicklung mostly in terms of media mix, increased versatility and additional services : market für Contracting” (“Contracting market and market development”), reference scenario, January 2017; 2017; own analysis market January scenario, reference development”), market and market (“Contracting Contracting” für › › › › › heating and additional additional services and heating on focus interestwith modernisation, in energyof terms in outdated efficiency; stock residential of Majority housing cost biggest factor) the Key importance energyof efficiency (energy “special” areatask energydistributed of in- maintaining than Increasingstaffdemand for (rather outside provision reduction operating risksof energyin Focuscore on capex optimisation, business: energysystems Growing (complex) of numbers distributed environment Customer trends house resources)house for › › › › › energy data monitoring data energy and monitoring systems as such Digitization, presence; morealliances (direct) of marketingExpansion and local scale projects and sector housing standardisationpartial with forsmaller forneed complex Ongoing solutions, custom charging and (e.g. systems infrastructure) direct (e.g. marketing)services other with to landlordas such contracting new models, packages combination Increasingof and use systems) management energy(and energymanagement as such services, additional of Integration - tenant electricity supply electricity and tenant combining Provider/product trends << Agenda - - 33 EnBW Factbook 2019 4. 3. 2. 1. Agenda 3 − Strategy − 3 Agenda › › › › › › › › › › › › Business Segments Segments Business Strategy Environment EnBW at a glance GenerationTrading and Renewable Energies Grids Sales Compliance, Data Protection Decarbonisation, Innovation, Corporate Sustainability, Broadband, Contracting, Digitization, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW Markets Regulatory environment Political environment Key non- Key financials ...... financials ...... Corporate Governance, ...... page 34 »» 34 page page 66»» page 6 »» page 3 »» 8. 7. 6. 5. Service Capital Markets - Non and KeyFinancials EnBW’sShareholdings Main › › › › › › › › › › › › › › › › › › › F Halfyear 2019 Fiscalyear 2018 Five Borusan AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. Energiedienst Important Contact details calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Financial Asset Management inance - year summary ...... strategic and other goal dimensions EnBW EnBW links Holding AG Holding Enerji ...... yatırımları financials ve ...... Üretim ...... A.S page 155 »» page 143 »» page 130 »» page 111 »» page 34 EnBW Factbook 2019 play? shall we Where structure be? structure our should What win? we can How 3.1 EnBW 2020 EnBW › › › › › › › › with energy- Acquisition of/jointventures Building upInnovation of an campus Strongbrandportfolio and innovationmanagement Innovative capability expertiseSystemenergy for Trading and origination municipalfor and utilities localcommunities) (defined B2C and B2B increasinglysegments, Energy- electricityforand gas End business customer relatedservices/energyefficiency related companiesrelated strategy Customer proximity : Corporate : Energiewende › › › › and lean processes flatstructures, hierarchies managementsimplewith Simpleand functional dialogue Partnershipsand fostering management Stringent performance Switzerlandand Turkey into Germany,Austria, Baden From the region of - Württemberg strategy . Safe. Hands on. Engine room of the the of room Engine › › › › › › › › › › › Technological developmentpartnerships to invest andparticipate Active thirdforpartiesopportunities Maximum efficiency Operationalexcellence neighbouring(alsoregions as service provider) managed from Baden Transmission and distributiongridinfrastructure in Baden Conventionalgeneration,located mainly andWind (onshore offshore) and hydropower Simplicityand standardisation definedquality level (target costing) orientationcost Stringentfor Regulatorymanagement energyin industry the Infrastructure - Württemberg Energiewende - Württemberg into << Agenda 35 EnBW Factbook 2019 in € bn € in EBITDA Adjusted 3.2 Sales Renewable Energies Generation and TradingGeneration and Grids requires major portfolio transformation portfolio major requires : Strategy Implementing the EnBW 2020 Strategy Strategy 2020 EnBW the Implementing 2012 1.2 0.2 0.2 0.8 2.4 +25% +100% +250% - 80% 2020 0.4 1.0 0.7 0.3 2.4 Outlook 2019: Outlook 2,500 2,350 in € m € in EBITDA Adjusted to 1,300 1,300 1,400 425 425 350 500 225 300 to to to to << Agenda 36 EnBW Factbook 2019 program FOKUS › › › m € in Efficiencyprograms: Launch Unprofitable power plants incorporated in German power plants network reserve ~€150 m p.a. contribution from functional units, including holdings such as VNG 2016: Exit from unprofitable B2B commodity business 3.3 2012 750 Efficiency targets already to be met by 2019 by met be to already targets Efficiency Strategy: 2014 400 2016 250 1,400 2020 in € m € in Ramp measures: Efficiency FOKUS Additional 1,050 2016 750 300 1,250 2017 750 500 - up 1,400 2019 << Agenda 37 EnBW Factbook 2019 Earnings share per business segment per share Earnings 1 May not add up to 100% due to rounding 3.4 48% low Strategy: 40% to at least 70% in 2020 in 70% least at to 40% 2012 - 10% 10% risk activities will increase from around around from increase will activities risk 33% Share of adjusted EBITDA EBITDA from adjusted of Share Renewable Energies Renewable 1 12% 20% 2018 Grids Sales 14% 54% Generation & Trading & Generation earnings share earnings Low - risk ~15% ~15% Strategic target 2020 ~40% ~30% << Agenda 38 EnBW Factbook 2019 in € € in 2012- volume Investment/divestment 1 ² M As of 31 December 2018; 2012 reference year; ay not add up to 100% due to rounding investment 3.5 3.5 bn Total Total 14.1 11.5 2.6 - (2019 Remaining Completed divestment EnBW’s EnBW’s model business Strategy: Total Total 2020 5.1 4.4 0.7 2020) 1 investment Net Net 9.0 5. 1.9 8 Infrastructure investments fit well with well fit investments Infrastructure Investment volume2019 › › Grids Sales Disposal of remaining of shareminority Disposal EWE in onshorein sector models Investment ~€1 ~€1 28% bn 7% €6.4 bn €6.4 divestments 7% Generation & Trading & Generation Renewables – 58% 2021² Investment volume2021 ~35% › System Smart infrastructurefor costumers Sustainablegeneration infrastructure €12 ~15% of which 80% in growthin 80% which of €12 bn bn - critical infrastructurecritical investment - ~50% 2025² 2025² << Agenda 39 EnBW Factbook 2019 Adjusted EBITDA in € € in EBITDA Adjusted earningsDevelopment of 3.6 and Trading Generation Generation Renewable Energies Sales Grids followed by growth phase 2021phase growth followed by Strategy: 2020 2.4 bn Transformation phase 2013- phase Transformation 2025 >3.0 - 2025 Sustainable power infrastructure power Sustainable Smart infrastructure Smart customers infrastructure for System › › › › › › › › › › › Actively driving decarbonisation driving Actively Selective international activities:business Taiwan, U.S. Expansion of renewable energies: energy New infrastructure Expansion of the solution portfolio: contracting transformation to customer infrastructure business Reorganisation and digitization of B2C sales and network of Growth Suedlink Significant expansion of electricity transmission grid: Profitable growth in the distribution grid Onshore wind and photovoltaics Offshore wind - 2020 critical infrastructure critical together with with together - - related related service related areas business beyond TennneT << Agenda 40 EnBW Factbook 2019 › › 3.7 › › 1 1,000 MW 1,000 the Significant by Maybe higher depending on further full consolidation Ideal Ideal platform for model development of business MW fully MW capacity EBITDA approx Increase 2020 strategic . . €15 onshore Strategy: EnBW’s strategy 2025 strategy EnBW’s consolidated in in move contribution by production to 100 MWleast (at 35 target 20 m in 2020 in 20 m towards synergies and wind ) ) in 2020 capacity of achieving Valeco 1 of acquisition contributes to to contributes acquisition › › › › › Portfolio diversification players in France in players One of the top five wind and solar Medium termMedium target France based based a on with a a with Solid growth and business model regulatory framework Project pipeline and strong brand operational team Experiencedmanagement and high market high potential favourable : : in in << Agenda 41 EnBW Factbook 2019 › › 3.8.1 › implementation phase large retailers in negotiation Large projects networks hundred German Plusnet utilities utilities networks in highest Complements the state’sthe municipalities will submit willsubmit offers to several - capacity fibre EnBW’s strategy 2025 strategy EnBW’s Strategy: to plan and operate their BaWü municipal with well with serving serving >40% of N etCom’s - optic optic Plusnet - or even known acquisition contributes to to contributes acquisition › › › necessary over the next few years strategic network investments Capex mainly customer driven Low customers (higher bandwidth) to existing B2B Sale of Consolidating Consolidating other other market players regional DSL networks belonging to - risk business model: businessrisk higher valuehigher products smaller and – no no << Agenda 42 EnBW Factbook 2019 › Municipal utilitycompaniesGermany in › › Network › › › Sales organisation › › › Customers Key highlights Key B2B: Business to business to B2B: Business building and open access solutionsfor municipal utilitycompanies, offering unique white label Plusnet Plusnet state invested, Fully Seamlessinteraction between indirectand direct saleswith strong products Strong direct saleschannel indirect and salesnetworkmore with 300partners than Significant experience in B2Bsaleswith long risk cluster No customers business ~25,000Overall - Well ~150 base stations ~150 base with Germany in WLL network offices 3.8.2 known and loyalcustomerknown base , fullytailoredto business (DSL) marketsasthe well as largestindependent B2B - is well positioned to be the go- the to be positioned well is ownsand operates largestthird copper blocks – Plusnet Strategy: customer base well diversified by region, industry, size and products size and region, industry, by diversifiedwell base customer - of - the CO: Central office - art redundantart 100 - to provider of network services, white label white services, network of provider to Leading nationwide B2B telecoms operator B2B Leadingnationwide telecoms : Wireless:WLL local loop - term employees term Gbit - based accessbased networkwith 1,445 central and /sbackbone ~1,050 customer links ~1,050 customer MSC: Metropolitan service centre Central offices network offices Central Telekom and Vodafone Deutsche besides network CO Largest CO location MSC location << Agenda 43 EnBW Factbook 2019 3.8.3 24,000 2014 Total customer growth customer Total 50,000 Broadband at Broadband : Strategy 2018 65,000 2020 NetCom » » » » » » construction and expansion and construction in locations phone mobile connected 300 with cooperation (in - Baden outside locations customer of Integration - in Baden municipalities of >40% Serves - in Baden Second biggestbackbone network cable optic fibre of km 12,000 Around industrial and commercial 6,200 which of customers, 50,000 Approx. Württemberg Württemberg BW Württemberg Württemberg GasLINE & ) Plusnet Existing areas Expansion areas << Agenda 44 EnBW Factbook 2019 CHP: cogeneration combined heat and power our our Who are 3.9 titors do we we do What What do? compe ? Business area continuously builtyears,over 15 up positioned as established contractingproviderGermanyin - Capability Contracting › › contracting providers in Germany providersin contracting 5 top the among EnBW › Highlyfragmented marketwithproviders, >500 mostwithout primary focus in termsof customer segments and media; occasional tak Five main provider groups provider main Five (similarcapabilityportfolio national and presence) Energygroups’ subsidiariesindependent and contractors are EnBW’s main competitors › › › Customers › Regions Germany Publicsector Housing sector Industry portfolio : › › › Municipal utilities (e.g. providers management service providers/facilitysystems Building (e.g. Contracting subsidiariesof major energy groups Enercity and and › › portfolio Product/service E.ON − − − Additionalservicessuch as networks and energy efficiency Main focus: contracting performance supply/energy energy under systems energy e.g. optimisation of system operation system of optimisation e.g. Operation management and efficient systemmanagement systems photovoltaics/storage energy efficiency optimisation, charging infrastructure, Packages linkedwith additional servicessuch directas marketing, Integratedsingle / Danpower Connecting Energies, MVV competitors Techem Design ) and - - sourcepackages, custom tailored build Engie - - operate ) Energy Solutions, finance services for distributedfor services finance › › Component manufacturers (e.g.Siemens/Bosch) Independentcontractors (e.g. › Systems/technologies › Media air systems, ventilation systems ventilation systems, air compressed turbines, gas systems, refrigeration boilers, plants,CHP ventilation air, compressedpower,CHP Heat (hot water, steam), refrigeration, refrigeration, steam), (hot water, eovers Getec ) << Agenda 45 EnBW Factbook 2019 Value chain BUSINESS BUSINESS 3.10 CORE CORE NEW NEW internet of things of internet 30+initiatives aroundartificial intelligence, blockchainand 180+ initiatives Digitization Plant,smartcities e Connected home, Sales & OperationsSales & Grids Trading Generation - mobility, VirtualPower within Impact Low EnBW High About 500 employees actively involved, with around 15 communities 15 around with involved, actively 500 employees About in 2020 by planned potential Significant dimensions Relevant organisation Technology (methods) processes Products People & & Focuses Modern customer interaction Optimisation of maintenance Improved forecasting Automated trading Digital customer experience New products Predictive maintenance Increased availability of customers and systems Interconnection Digital business models from external sources further education and new talent competencies through training / Development of digital << Agenda 46 EnBW Factbook 2019 › Example: Offshore wind farms for deeper regions sea projects demonstration and pilot through Generated Research and development builds capacityfuturefor business opportunities. 1 in deeper indeeper sea - off floating for farms wind reconstruct to how Wanted: 3.11.1 3.11.1 Request The research process at EnBW atprocess researchThe development:and Research shore operation operation shore ? › 2 with business units, customers and suppliers and customers units, business with together projects demonstration and Studies Research or or › › › 3 Early Reliable forcommercial basis offers building Capacity Commercial approachprepared - stage strategic collaborations strategic stage << Agenda 47 EnBW Factbook 2019 › › › Explore › › › business opportunitiesfutureskills right for The › › › Pilots and demonstrations with particular focus on doing: by Learning Exciting R&D projects to attract future employees Win public opinion with attractive solutions New to skillssucceed for the energy future Smart technology city Smart infrastructure Critical Sustainable energy provision e.g. offshore wind, green gases New partnerships - Game Emerging technologies 3.11.2 new changing changing technologies solutions Creating know Creating development:and Research - how for new opportunities new for how 0.5 0.3 in € m € in Expenditureresearch, on development and innovation 2017 39.8 2 1 Includes e.g. electromobility and hydrogen mobility Also includes green gases 21.6 5.1 5.3 1.2 3.6 2.3 + 2.1% Gas 40.6 2018 23.0 5.8 4.3 4.0 2.2 0.9 0.4 Innovation management Grids renewables from Generation Customer Other Smart energy worldand storage Dismantling - related research projects research related 1 2 << Agenda 48 EnBW Factbook 2019 The innovationThe processat EnBW › builder Company › › Incubation › - Start Corporate 3.12.1 scaling andGrowth validation market From idea to development model Business development Internal ups Innovation 4. Urban Infrastructure 3. Virtual Power Plant 2. Connected Mobility Connected Home 1. portfolio Innovation Innovation Source: fotolia , NicoElNino › › M&A › › › Venturing › - Start investments Majority start Late stage stakes Minority VC method investor Professional ventures cooperative Stakes in ups - ups › Examplesmature of projects › › › › › LIV Customer solution. enterprise label white tier Internetof Things( Joint venture in Munich (softwareand services). agreement with white labelcustomers and operation of use cases via licence Generates revenue from hardwaresales methodology. developmentusing lean startup Spin backgrounders. courses, explanatoryvideosand compact Other productsincludee knowledgesharing. informationmanagementand and WTT ( toolsand learning management system LMS - T incubates, scalesTand operates top - CampusONE ) platforms for resource resource for ) platforms off in Ludwigsburg in off - centric, rapid and efficient provides web provides IoT - learning ) use casesuse ) as a - based based - › › › › › › Companybuilderin Stuttgart dynamic tariffs. marketing, flexibilitymanagement and Relatedbusinessactivities focus on direct consumers with marketsand each other. independentenergy producersand energy is adigitalplatform that connects Virtuelles existing or newinfrastructures. urban that transportcan be integrated into wifi SMIGHT Internal microInternal businessunit in Karlsruhe servicesandmanagement. data developmentin the areas of technology, under portfolio product Corresponding , environmental sensors,security and developssolutionsfor charging, Kraftwerk (VirtualPowerPlant) << Agenda 49 EnBW Factbook 2019 › › › › 3.12.2 17 projects active projects 17 stopped 10 projects 2014) September (16 launch since projects 33 6 projects 6projects adopted Funnel start develops and launches management Innovation Wärmecloud - Community car sharing up projects through incubation and scaling and incubation through projects up Pre Souk - Flex Seed SM!GHT@Netze Teams adopted byGroup: Teams adopted Incubation Seed Seed Startup Direktvermarktung Kleine Smart Energy Smart Plattform - Spin offs & micro business units ( units business micro offs & Company Builder Company Scale MBUs << Agenda ): 50 EnBW Factbook 2019 Current portfolio Current › › › › openNewEnBW innovation Venturesthe is connectionbetween › › › portfolio approach active follows an Ventures New EnBW VC: Venture Capital Venture VC: Cooperative approach to foster business with products and services based on innovative business models EnBW benefits from fast innovation cycles and growth options Start Win Open for syndication in a traditional VC approach Direct minority stakes, investment in entrepreneurial founder teams Evergreen VC investor with total investment amount of €100 m 3.12.3 - win for both sides, with - ups gain access to EnBW’s energy market expertise, customers and suppliers of EnBW › › › › › › › › - start innovative in investment capital Venture Innovation: Global cloud communications platform Smart parking solutions with overhead sensors Cloud hosting provider Photovoltaics leasing provider Peer- Artificial intelligence for better roads High Data centre resource analysis and virtualisation - temperature superconductors to AI: Artificial intelligence - peer energy trading utility EnBW New Ventures – innovative infrastructure - – operating generate and use your own solar power on your rooftop without upfront investment - in – - – innovationhigh- and a – AI solution to help municipalities plan and monitor their road maintenance - box box enabling end as professional VC investor – software for the decentralised and digitalised energy world – – real software for a transparent view on complex IT infrastructure as - - a - time parking data for parking operators and guidance systems to - service & platform - end customer journeys through focus on no- tech with unique manufacturing approach and high power density startups - as - a - service solutions and EnBW Group ups code integrationautomationcode & www.env.vc << Agenda 51 EnBW Factbook 2019 Strategy 2025 3.13.1 3.13.1 sustainable,reliable innovativeand tomorrow’s tomorrow’s “We are are “We Integral part of the strategy strategy the of part Integral Sustainability: Corporate makers and designers infrastructure world infrastructure of - ” Sustainability is integrated in integrated is Sustainability › › › › › › › Our understanding of sustainability Annual Reporting Risk and opportunities Stakeholder management Non Corporate strategy responsibly.” claim to conduct our all business activities associate “We sustainable management with the the infuture.and employees, partners and society whole a as social added value for our customers, shareholders, Creation of economic well as ecological as and - financial top KPI’s and targets – today today << Agenda 52 EnBW Factbook 2019 Cash Value creation in € m € in EnBW Group value added 1 We define value added as 3.13.2 3.13.2 - relevant performance business 22,195 of value creation for EnBW stakeholdersEnBW itsfor andcreation value of Corporate Sustainability: Transparent presentation presentation Transparent Sustainability: Corporate EnBW’s EnBW’s 17,875 4,320 cash - relevant business performance in the past financial year minus cash- expenditure operational material and other Suppliers andservice providers value of Use 1 : relevant expenses. interest investors Outside dividends Shareholders taxes State retained cash flow GroupEnBW salaries and wages employees former and Active << Agenda 53 EnBW Factbook 2019 › › › sustainable sustainable finance strategy on elaboration and implementation itsof advises the German Federal Government Committee Finance Sustainable reporting climate of development ( Disclosures Financial Climate on Force Task able financing opportunities ment European Commission in the develop Finance ( Sustainable on Technical Group Expert 3.13.3 of of legal a framework for sustain EnBW memberships TEG EnBW Sustainable Finance Activities Finance Sustainable EnBW Sustainability: Corporate ), ), which supports the - TCFD - related related related risk ) for the for the - - › › − − − − − − First green bond in bond green First greenTwo hybridJulybonds in 2019: 15- sizeIssue 500 € million First German First German green hybrid bond issuer €500 m: 60- €500 m: - 60.25 Total issue size € 1 billion yearmaturity term to Green financing@ EnBW year term to maturity year term to year term to maturity yearto term October 2018: << Agenda 54 EnBW Factbook 2019 ISS ESG 3.13.4 3.13.4 Prime Status B 2018 Ratings Sustainability: Corporate - Sustainalytics Outperformer 100 73/ 2018 CDP Leadership 2018 B << Agenda 55 EnBW Factbook 2019 HVDC Dimensions and activities and Dimensions 3.13.5 3.13.5 : high - voltage direct current transmission technology › › › Social › › › Environmental › › › › Economic Economic, environmental and socialperformanceand environmentalEconomic, Sustainability: Corporate Investment by retail investors in EnBW wind farms wind EnBW in retail investors by Investment with processes customer of Digitization (2019) €1 bn of size issue total with bonds hybrid green Two m (2018) €500 of size issue bond with Green Development of new safety services services and products forsafety local new Development of authorities and companies local authorities support to concept Prevention Crisis for Management Crisis and Emergency Municipal Projectsand campaigns occupational on and safety foremployees health die für “Impulse grid ( transmission in Progress generation Expansion offrom offshoreand and onshorewindrenewable energies: photovoltaics Vielfalt ” (“Stimulus for Diversity”) funding programme for the protection of amphibian species and amphibian reptile of protection the programme for funding Diversity”) for (“Stimulus ” ULTRANET EnPower and and SuedLink HVDC ) projects by ) by projects TransnetBW << Agenda 56 EnBW Factbook 2019 › › Integrated Reporting 3.13.6 Council (IIRC) Council Integrated ReportingInternational the of Report recommendationsbased onthe Integrated Annual the publishes EnBW economicaspects company’s accountas into wellas activities takes ecological and social aspects ofthe Report, Integrated Annual EnBW the In in ESG Reporting Reporting in ESG a as EnBW Sustainability: Corporate – › › Report: Integrated Annual the supplements Impact The Report onEnBW’s Green Bonds Green Reporting Impact Bond selected benefit forclimate the benefit Added value fromour projects terms inof are allocated funds Further the how information about examples frontrunner › › › GRI UN GlobalUN Compact requirements progressofthe report forthe reporting the sustainability meets also The stakeholders for elements essential includes Core the which selects option, EnBW Supplement Sector Utilities the on reportingSustainability Annual based is Sustainability Reporting Sustainability GRI Standards, Electric the including << Agenda 57 EnBW Factbook 2019 EnBW‘s position on cross- ETS: Emissions Trading System Trading Emissions ETS: 3.14.1 › › Payment with implementation in the sectors heating and transport and heating sectors the in implementation its and System Trading Emissions the in price Decarbonisation: price price Level Level transport Heating regard or of of of of prior average ETS energy to CO mimimum year 2 taxes ETS ETS and sector CO sector EEG: Erneuerbare Energien EEG: Erneuerbare 2 pricing EnBW supports a minimum CO minimum a supports EnBW › › Use CO - Gesetz ( Recuction minimum tax Elimination of 2 except minimum tax €40 (2030) €30 (2025) €25 (2020) renewable S T A T S revenue CO of for A of T EEG EEG legal legal electricity energy 2 price levy ) act : Payment Payment plants Fossil power ( of mimimum currently a tax on fossil of €0) price difference - fuel market 2 in power plants power in between price in form (currently price market of Payment ETS ETS market ~ €25) << Agenda 58 EnBW Factbook 2019 1 Run › › › action? climate to Why is committed EnBW 3.14.2 3.14.2 - of action/sustainability responsibility for climate social delivers its on EnBW activities lowwith attained EnBW’sstrategic can goals be energysector are key growthmarkets the in Low - river power plants, pumped storage power plants with natural inflow, wind power, photovoltaic and other - carbon business areas to attainment of climate targets climate of attainment to geared fully activities Business Decarbonisation: - carbon carbon Adjusted EBIT Adjusted renewablesEnBW growth › › › › by 2025 by business of Selectiveinternationalisation 1,000to - Renewables growthTurkeyin 2025 by Offshoregrowth wind MW 1,500 ≥ to 2025 by MW 2020/2,000 by MW 1,000 Onshoregrowth wind to 1,500 MW by 2025 by 1,500 MW D 2012 0.2 A in € bn € in A 2020 target 2020 0.7 1 35.5% activities EnBW’srenewable energy theoretically be served by Württemberg can - Baden in consumption ofhouseholdelectricity annual energy savings equivalent to to equivalent savings energy annual delivered has EnBW alone, customers industrial for energyits By efficiencynetworks means of ~35,000 households (300 GWh/p.a.) (300 << Agenda 59 EnBW Factbook 2019 in g CO EnBW CO 2015 606 3.14.3 3.14.3 Target corridor to 2020 EnBW Group 2 /kWh 2 Intensity 2016 577 CO / Decarbonisation 2 2017 556 Intensity key performance indicator performance key Intensity 2018 553 2019 comparedthe to CO 2015 base year base 2015 EnBW Goal : Goal EnBW Reduction of 15% to 20% to 15% 2 intensity by by intensity Climate protection: Climate 2020 › › › › › The CO The of between We trend anticipate a positive overall and expecta reduction COin water supplies. and wind factorsImportant forecast2019 volatility for of the uncertainty in the include energysources due further expansiontothe renewableof energies. from generation expectincrease we electricity an 2019, ownrenewableIn in comparison 2017. to in fuels fossil simultaneously almost constantfromlevelthe generation electricity of decrease This was to higher due generation from renewable sources and forecasted our within thus range. and was power fell g/kWh previous553 slightlythe to to comparison year in 0.5% by low strategy.2020 its central herelongThe medium and focus the in already EnBW clearly“ the committed to itself - CO 2 2 intensity of EnBW’sof excluding generation intensity electricity ownnuclear orzero emission electricitygeneration. - 10% and 0% in 2019 in comparison to the 2018 reporting 2018 the to comparison year.in 2019 in and 0% 10% Energiewendewith 2013 in ” - term term is << Agenda 2 intensity intensity 60 EnBW Factbook 2019 3.15.1 › › › Chief FinancialChief Officer Thomas Chief Executive Officer Dr. Frank Mastiaux Board Board Represents the company legally Responsible Group management of Kusterer Management Responsible Corporate , Chief Technology Officer Dr. Hans Chief Personnel Officer Rückert Colette Governance: - Josef Zimmer Josef and transparent management transparent and - Hennen Transparent & EnBW EnBW Strengthen Long › › › › confidence Public Employees Capital providers Customers corporate - term term trust responsible success in in culture and and › › › › › Chairman of the Supervisory Board Feldmann Lutz Supervisory Advises them on management of the company Supervises the Board of Management remuneration Appoints members of Board of Management and defines their representatives, thereof 3 union representatives 20 members Board : 10 shareholder representatives, 10 employees << Agenda 61 EnBW Factbook 2019 3.15.2 German Corporate Governance Corporate German › › are are years from previous declarations and the 2018, December ( Act Corporations German 161 Stock The governance- docs/corporate_governance_1/german https://www.enbw.com/enbw_com/investoren/investors_ 2017: February 7 on , amended Code as Governance Corporate German the of recommendations the with compliance in is EnBW 2018.pdf downloads/enbw https://www.enbw.com/enbw_com/bericht/bericht_2018/ published at published recent German Corporate Governance Corporate Declaration of Compliance - code - declaration of - 7 - february Governance: - of - - 2017.pdf corporate- AktG pursuant to section section to pursuant Code - corporate- ) , dated 5 dated , management - Code Further information Further › › › › › us/supervisory https://www.enbw.com/company/the Board: Supervisory us/executive https://www.enbw.com/company/the Management: of Board general https://www.enbw.com/company/investors/events/annual governance/articles - https://www.enbw.com/company/investors/corporate governance/german - https://www.enbw.com/company/investors/corporate EnBW Annual General Meeting: General Annual EnBW Articles Code: Governance Corporate German - of of meeting/ Association - board/index.html - board/index_en.html - - of corporate- - ( association/ Dated 20 March 2018): March 20 governance- - - - group/about - group/about code/ << Agenda - 62 EnBW Factbook 2019 Number of participants in compliance training events training compliance in participants of Number 3.15.3 1,274 1,474 2014 Sensitive areas /employees personnel management New Management personnel 162 38 Compliance Governance:Corporate 2015 546 778 186 46 2016 754 184 523 47 2017 962 363 158 441 2018 941 746 182 13 1 Number of compliance breaches compliance of Number 1 The Compliance ManagementTheSystem: › › › › At EnBW AG and directly controlled companies with employees Breaches (2018: 5) (2018: Breaches compliance Simple Annual ComplianceRisk and Assessment Ombudsman variousaree.g. training/workshops, tools used of Conduct,Code encompasses allcontrolledcompanies employees in with the EnBW Group on companyfocuses andsector tominimiseserves andrisks avoid liability and issues a of reputation loss breaches: 10 Compliance 9 - specific risks andpriorities 1 1 breaches (2018: 2) (2018: breaches Material compliance << Agenda 63 EnBW Factbook 2019 Data protection EnBW at 3 2 1 Managers in the following business areas: 1 Human Resources, 1 IT, 1 Trading, 1 Generation, 1 Nuclear, 2 Operation & Sales, 1 As of 1 April 2019 Data Data › › 3.15.4 3.15.4 Protection Officer under Article 37 - self and employees’personal data been has importance protecting of The customers’ Central organisation of data Central organisationGroupdata EnBW protectionof the at Data Protection Protection Data evidentforto EnBW many decades. Data Protection PhilosophyDataProtection Governance:Corporate - 39GDPRthe of Model 1 , “Trust keeper” subject. the owned by is datathe which of › solutions) build on that trust. that build on solutions) (digital/smart models business New place everyday. us in confidence customers trustand that the keyprotection Data also is maintaining to › › › › › 14 Local Data ProtectionLocal Data 14 Managers³ and data Partner protectiondigitization Business 1 2Data protection compliance & employees protectionData 2 officers² Compliance data and of protectionHead 1 G rids, 6 Other Businesses Businesses 6 Other rids, › in data data in protection times: at all compliance full is Our at EnBW aim level.new importance data a to protection of issues ProtectionRegulation ( force into entry General The Data the of GDPR ) raised raised the ) << Agenda 64 EnBW Factbook 2019 › › › › › › This has so far involved: incorporate the enhancedsubjects data rights of accountability ( Advancement of the Data Protection Management System requirements. business developers and process designers facing Implementing a multimedia training course specifically for framework Ongoing Revision of data. customers Starting processing operations Second wave in restructuring and assessing some 3.15.5 DPMS protectionall partsinthe valuechain of areThere processes involving data ) ) based on the suppliers auditsonsite main suppliers at directwith accessto training allprocessing operations in Data protection in the value chain value the in protection Data Governance:Corporate of of employees employees IDW to increasing transparency and AsS 980 standard. to consider the new legal customer service 400 GDPR to to Data protection compliance cycle compliance protection Data and solutions Security aspects Subject Legal compliance technology strategy and Digitization aspects Valuechain << Agenda 65 EnBW Factbook 2019 4. 3. 2. 1. Agenda 4 − Business Segments Business − 4 Agenda › › › › › › › › › Business Segments Strategy Environment EnBW at a glance › › › GenerationTrading and Renewable Energies Grids Sales Markets Regulatory environment Political environment Key non- Key financials Compliance, Data Protection Decarbonisation, Innovation, Corporate Sustainability, Broadband, Contracting, Digitization, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW ...... financials ...... Corporate Governance, ...... page 66 »» 66 page page 34»» page 6 »» page 3 »» 8. 7. 6. 5. Service Capital Markets - Non and KeyFinancials EnBW’sShareholdings Main › › › › › › › › › › › › › › › › › › › F Halfyear 2019 Fiscalyear 2018 Five Borusan AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. Energiedienst Important Contact details calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Financial Asset Management inance - year summary ...... strategic and other goal dimensions EnBW EnBW links Holding AG Holding Enerji ...... yatırımları financials ve ...... Üretim ...... A.S page 155 »» page 143 »» page 130 »» page 111 »» page 66 EnBW Factbook 2019 HVDC: HVDC: high › › › › › › › › 4.1 with local authorities; collaboration with municipal utilities municipal with collaboration authorities; local with solutions; energy supply energy and supply energy solutions; Tasks: 2018: Investments Employees: 2018: EBITDA Adjusted operation operation ofrenewable energy plants power Tasks: 2018: Investments Employees: 2018: EBITDA Adjusted - voltage direct current transmission technology Renewable Sales Sale Sale ofelectricity, and energy gas, industry services energy Project development and management; construction and and construction management; and development Project Segment overviewSegment Energies - saving contracting; cooperation cooperation contracting; saving €132.4 m €132.4 3,657 m €270.6 €476.0 m €476.0 1,144 m €297.7 › › › › › › › › Adjusted EBITDA 2018: EBITDA Adjusted 2018: EBITDA Adjusted Employees: Employees: Investments 2018: Investments 2018: Investments plants power energy renewable of distribution direct services; environmental / management waste heating; district business, midstream operation plants; power gas ofreserve services; provision ofsystem gas, and electricity trading of gas; of storage plants; power thermal Tasks: grid of provision connections; HVDC of expansion Tasks: water supply; guaranteeing the security of supply and system stability system and supply of security the guaranteeing supply; water Generation and Trading Trading and Generation Grids Advisory services, construction, operation and dismantling of and dismantling operation construction, services, Advisory as well and as gas electricity of and distribution Transmission €428.6 m €428.6 m €1,176.9 5,419 8,920 €166.5 m €166.5 m €967.4 - related related services; << Agenda 67 EnBW Factbook 2019 › › › › › › › › › › › 1 ² Not fully² consolidated, accounted forusing the equity method. Directlyindirectly and shares. held Laufenburg EnergiedienstHolding AG Heilbronn AG Energie ZEAG Stuttgart TransnetBW GmbH Stuttgart terranets Stuttgart GmbH Solutions & Sales Stuttgart GmbH BW Netze Mühlacker NaturEnergie Stuttgart GasVersorgung Karlsruhe Erdgas SüdwestGmbH Ellwangen EnBW Ostwürttemberg Karlsruhe EnBW Energie Baden- 4.2 bw GmbH + Deutschland AG Süddeutschland GmbH Selected EnBW EnBW Selected Württemberg AG Württemberg DonauRies AG Further information: The full set of consolidated financial statements asof 31.12.2018 is published at The full list of shareholdings can be found in the notes to the consolidated financial statements under (36) “Additional disc companies www.enbw.com/shareholdings . Istanbul Borusan EnBW Prague Pražská Cologne GmbH Strom Yello Leipzig AG VNG Düsseldorf StadtwerkeDüsseldorf Group Leipzig GmbH Gastransport ONTRAS Balle ConnectedWind Services A / S Falkenberg EnBW www.enbw.com/report2018 Sverige energetika AB Enerji a.s yatırımları - . 1 downloads . ve los Üretim ures”. ures”. A.S 2 << Agenda 68 EnBW Factbook 2019 4.3 - Multi Sales: › › › › › › was the first independent gas supplier in Germany. In 2012, the company added electric power and eco and power company electric added the 2012, In Germany. in supplier gas independent first the was 2008, In resellers. and customers major industrial organisations, housing customers, commercial households, private goldgas the within BW) NetCom with cooperation (in telecommunications regional a As provider, combines ODR electricity,EnBW gas, energy water/wastewater, Erdgas - Baden throughout Natur Natur customer. every for a alternative viable market, providing mass German national the brand for single EnBW’s is Yello German Energiewende.German e as such solutions energy for Germany - Baden the on focus with brand premium energy as EnBW brand brand Energie Südwest GmbH leading GmbH the onesuppliers of is energy in Germany. company fromThe Plus is the national brand for environmentally aware households. aware brand environmentally national for the is Plus approach is an energy service provider for residential customers, business customers and municipalities operating operating municipalities and customers business customers, residential provider for service an energy is Württemberg. (1/2) - mobility and contracting. EnBW offers the full range of decentralised solutions for the the for solutions decentralised of range full the offers EnBW and contracting. mobility Württemberg mass market and public authorities. Throughout Throughout authorities. and Württemberg market public mass Ostwürttemberg , Hohenlohe and - and Donau Hohenlohe , Eschborn - related related and services supplies gas and electricity to to electricity and gas supplies - power to its portfolio. topower its Ries region. << Agenda goldgas 69 EnBW Factbook 2019 4.3 - Multi Sales: › › › › › › and services in gas and and infrastructure. gas in and services market. energy the in expertise of years 60 and employees 1,100 than ZEAG VNG management. and waste contracting water, energy, of areas the in Stadtwerke PRE as premium energy brand with focus on Prague mass market for electricity and energy solutions. energy and electricity for market mass Prague on focus brand with premium energy as PRE hydropower. 100% and green NaturEnergie via platform via E and electricity,gas to addition In GasVersorgung brand brand is the corporate brand brand the of corporate the is Energie Düsseldorf is a multipurpose supply and disposal company with business activities activities business with company disposal and supply a multipurpose is Düsseldorf - is is AGregional a is energy supplier ofelectricity, gas, and heat energyservices. approach Point. Süddeutschland Energiedienst’s – main brand and one of Germany’s first green energy brands. It is regional, regional, is It brands. energy green first Germany’s of brand main and one GVS VNG partner to municipal utilities, regional energy suppliers and industry in Germany regional and municipal Germany utilities, beyond. energy to in partner industry suppliers and (2/2) provides a broad spectrum ofenergy Group and stands for a strong group of more than 20 independent companies with more more with companies independent 20 than more of group a strong for and stands Group VNG - related services. Focuses includebusiness online has a broad, a broad, future has - oriented portfolio of products orientedportfolioproducts of << Agenda 70 EnBW Factbook 2019 4.4 Market Sales: › › › › › › › › › › › › › › Retail/business/industrial customers and municipalities/municipal utilities and municipalities/municipal customers Retail/business/industrial Selected special added products withvalue Fair prices, and service excellentparticipation customer e- (e.g. solutions energy connected and heating district/local services, energy/environmental water, gas, electricity, Enhanced brand awareness planning in awareness brand Enhanced onpeople Focus Ecologicalproducts brand sustainability Nationwide Selected special products onlyin cooperation bundles product Innovative standard service and for gas Electricity onsales onlineand service Focus pricing Attractive Germany in customers Retail - Full - Baden in made and inventiveness quality delivering provider service line feedback mobility – and Brand Brand decentralised decentralised energygeneration) awareness Württemberg: Württemberg: Baden National National Q1/2019 Q1/2019 Q1/2019 - Württemberg 85% 95% 6% << Agenda 71 EnBW Factbook 2019 Electricity sales Gas sales Gas Trade (B2B) and customers industrial Business Retail and commercial customers (B2C) Trade (B2B) and customers industrial Business Retail and commercial customers (B2C) 4.5 in bn kWh in bn Group:EnBW Electricityandsales gas Electricity and gas sales gas and Electricity Sales: 136.8 100.0 328.3 166.7 144.5 2018 2018 21.9 14.9 17.1 122.0 250.1 142.0 2017 2017 23.7 15.0 83.3 14.4 93.7 Variance% in Variance% in << Agenda 12.1 20.0 31.3 18.8 17.4 54.2 - - 7.6 0.7 72 EnBW Factbook 2019 Key facts Key Our partners Our › › 1,000 charging locations fast DC Goal of end till 2020: the 230 than more Fast 4.6.1 - charging locations today locations charging Key E- and and : mobility references facts EnBW mobility+ app mobility+ EnBW › › 14,503 Active users >250,000 downloads App Our range Our Consulting Consulting and Sales of services Location Location Analysis Project Planning, Civil Engineering Civil Planning, Planning, and and Billing Access Access and Service and << Agenda Operation Operation 73 EnBW Factbook 2019 › › › › DACH: German DACH: most most popular e- The Access to over EnBW offers the stations EnBW is one of the same price through our transparent tariff 4.6.2 award - speaking region (Germany, Austria and Switzerland) in Germany, together with with together Germany, in - is Germany's Germany's is mobility+ winningapp EnBW What E- 30,000 chargingpointsin mobility app with over : mobility in DACH in coverage network largest largest operators of fast charging charging fast of operators largest we do Allego 250,000 downloads DACH and Innogy.and with the << Agenda 74 EnBW Factbook 2019 › › › › › Current features: 1 German DACH: › › Upcoming releasesUpcoming AC charging locations of EnBW and other providers Further sectors Further management Fleetfunction (B2B) … time, drive power, charge Cost, Data analysis simulated km 4,000,000 Over Driving simulation rates multiple of Selection Payment monitoring, tracing Start, process Controlcharging of to30,000 overpoints chargeAccess finder station Charging 4.6.3 EnBW mobility+ App mobility+ EnBW - speaking region (Germany, Austria and Switzerland) EnBW mobility+ app mobility+ EnBW E- : mobility › › Charge locations (AC) Fast charge locations (DC) Low density Low Other providers’ locations providers’ Other locations owned EnBW High density (> 400 locations) 400 (> density High DACH Additional digital services digital Additional roaming grid roaming 1 › › › shown in EnBW mobility+ EnBW in shown route along locations Partner advertising mobile and content mobile of Deployment Proximity marketing amount purchase specific a at free for charge to Vouchers system couponing Smart << Agenda 75 EnBW Factbook 2019 › & Charge Live Private › Type 2 / 2 Type Schuko plug ( Technology: AC 3 AC Technology: industry, hotel hospitality home, at night over Examples: wallbox 4.6.4 4.6.4 0 battery - charging 100% ) park time park Examples of different charge needs (AC DC) needsvs. chargedifferent of Examples E- 10– 12 h – mobility: mobility: (AC) 11 kW 11 kW 10– usage daily 12 h procedures in private areas private >70% of charging charging of currently › › Work & Charge Type 2 Type plug ( 3 AC Technology: vehicles commercial electricguests, employees, pool, car Examples: wallbox 20- battery 100% ) park time park 8 – 10 h – 22 kW 22 kW 8 usage – daily 10 h Shop & Charge › › Public Public plug CCS Technology: DC up to 50Technology: to up kW DC chains food fast supermarkets, Examples: 20- battery charging 80% park time park 0 - 2 h (DC) weekly usage 1 – 3 h Charge = Refuel= Charge › › plug CCS Technology: DC 150 DC Technology: e points, charge urban areas, service at ChargeExamples: during travel, battery almost empty -taxis park time park 8 - 10 min – << Agenda 350 kW usage yearly 1 – 5 h 76 EnBW Factbook 2019 5 x VW e 5 x 4.6.5 - › › › Golf Customershave three toup much toas chargetimetimes they as need. Largeforchargesmart potentialstorage. battery and management expectedthan loadsmallerGrid Far fewercharges week per than in beginning.the Customers’ dispelled. concerns range patterns and no moreand patterns 50%charging than any one time. at E- NETZlabor 2 x BMW i3 x 2 mobility: mobility: 3 x Renault Zoe x 3 (“Grid Lab”) Avenue Lab”) (“Grid – 1 x Tesla Model S 75D S Model Tesla x 1 due to customers’to due charging differing What we are doing: › › › › › › › Studying customer behaviour and acceptance and behaviour customer Studying Testingcharge smart management Testing grid in customers’the systemsin storage and homes Monitoringand analysing gridstatus electric11vehicles, boxes, 10 wall 1 powercircuit Tenpensioners) couples, (families, customers test Ostfildern in homes private area with Residential , Stuttgart metropolitan regionmetropolitan Stuttgart , << Agenda 77 EnBW Factbook 2019 › › › › blocks apartment in connection grid convenient for Solutions Focus: housing association housing electric cars, private association or owners’ test customers test Who: feedback charge management, homestorage, customer grid monitoring, charging infrastructure, smart What: 30- parking, underground Where: Grid: 4.6.6 Urban grid area grid Urban Researchers, Researchers, local authority, Convenient grid connection, scalable scalable grid connection, Convenient – E Existing apartment block with apartment Existing - apartment block apartment mobility mobility grid labs add experience in real conditionsinreal experience gridlabsadd E- mobility: Outlook 2019/2020: “ 2019/2020: Outlook mobility: Carré 40 chargers and and chargers 40 grid lab grid › › › › causedbyelectric vehicles in rural area disturbances voltage for Solution Focus: test customers test Who: in- storage, battery central grid monitoring, management, What: five chargers and electricvehicles Where: Grid: Rural Rural grid area Researchers, Researchers, local authority, Charging infrastructure, smart charge charge smart infrastructure, Charging in rural community E Long power circuit, households/farm, households/farm, circuit, power Long - mobility Avenuemobility lineregulatorpower NETZlabor ” new housing development housing new Focus: First e First Focus: › › › › currentin garages, cable etc.). ducts, (three planning construction in Support e of identification timely the for Grid monitoring additional substation. empty cable reserved space ducts, for of installation household, per capacity higher What: Where: Grid: Who: Suburban grid area grid Suburban Implementation of planning assumptions, assumptions, planning of Implementation Local authority Local new E New terraced terraced Newdevelopment housing - mobility - housing mobility - ready - ready ready development - mobility ramp mobility << Agenda - - up. up. phase 78 EnBW Factbook 2019 › 4.7.1 customer. municipal each for solution integrated deliver deliver a custom to is Our priority and services. products our with beyond and Württemberg - Baden in municipalities support and advise we municipal authorities, for challenges future and current related the of understanding a clear and life) and public economy the mobility, energy, all (communication, areas across view big picture necessary the With places to live and businessdo great managing and Shaping Activity areas Activity utilities: municipal and authorities Local - tailored, future tailored, - ready ready › billing to smart energy solutions. energy smart to billing from and solutions IT to operation network technical ranging from portfolio, capability a Webroad process. have business range services forevery almost of full proven and experience longstanding EnBW’s from benefit entities Joint Baden across utilities municipal Needs - - Württemberg driven alliances with with alliances driven › - Baden in municipalities to partner effective a highly is EnBW region, the throughout local ties with team a proven and experience longstanding such as water and broadband networks, additional infrastructure of operation the inBaden concessions gas and electricity 700 over With infrastructure infrastructure municipal managing and operating Efficiently - Württemberg and and Württemberg Württemberg. Württemberg. << Agenda 79 EnBW Factbook 2019 » » » » Electricity and gas concessionsElectricity gas and Baden in >2 m ready energyinfrastructure, especially rural regions.in workforce,supply makeof we futureand security of terms a in major contribution With researchWith state activities, targets. supply and broadband infrastructurerollout are and concessions gas Electricity our take care approximatelyof entities. joint 115 We Furthermore, and holdconcessions. overgas over100 electricity 550 also we efficient and costand - efficient - group water network and gas Baden in Netze 4.7.2 BW GmbH, wholly a GmbH, BW Municipal infrastructure: efficient and reliable Electricity customers Electricity Municipal alliances in Baden Württemberg Baden in alliances Municipal utilities: municipal and authorities Local effective utility supply effective utility customer and - owned subsidiary of EnBW and the biggest electricity, biggest and the EnBW of subsidiary owned - of - the - art technology and highlyand art our technology dedicated >150k >150k main focusmain Württemberg, delivers secure,reliable, – - the latter with very ambitious growth very ambitious with latter the Württemberg ( Gas house house Gas connections , but arebut we, strong also water in - friendly service. network Netze BW) - Grid area South area Grid Centre area Grid North area Grid Netze BW locations << Agenda 80 EnBW Factbook 2019 » » » EnBW investment portfolio in Baden investment in portfolio EnBW of entirethe region. to the business development and ensuring the long the development and ensuring business the to substantiallybroadbandcontributes areasas EnBW business mobility), (such and electric new and and operating services) network as capabilities (such established both With EnBW). and authorities (municipal owners their of capabilities complementary and the by perspectives shaped is utilities development these in Business Baden regional throughoutdeep has ties EnBW shareholder minority entities, a overin As joint 100 20 4.7.3 % - we are a drivingforce in alliances across Baden- numerous In joint entities with municipal authorities and utilities Württemberg. volume) in Baden Market share (electricity/gas, by Investment portfolio Investment utilities: municipal and authorities Local - Württemberg - Württemberg - term viability of utilities and thereforeand utilities of term viability €3 €3 bn Württemberg revenue << Agenda 81 EnBW Factbook 2019 EnBW grid regions grid EnBW Excluding shareholdings in 4.8.1 4.8.1 constituteEnBW’s corebusiness grids gas and Electricity Grids: Energiedienst Holding AG, Erdgas Südwest GmbH, EnBW EnBW GmbH, Ostwürttemberg DonauRies EnBW has a thorough grasp of the gridbusiness › › › › › › Gridbusiness has stabilisingeffectportfolio on Stabilising risk/return mix with stable cash flows cash stable mix with risk/return Stabilising regulation to are subject and grids gas Electricity Highregulatory competence/market competence grids EnBW for results best generally certifies Efficiencybenchmark recentfrom most regulatory period priority highest our is supply of Security years 100 than more for grid business the in been have companies predecessor and its EnBW and tested technologies and maintain an extensive network of service centres service of network extensive maintain an and technologies and tested AG and ZEAG Energie AG – which is why we employ modern modern employ we why is which << Agenda 82 EnBW Factbook 2019 Distribution grid Transmission grid Overall length 1 The slight decrease in the length of the distribution grid is mainly attributable to concession agreements not being renewed Extra Extra Medium voltage 30/20/10 kV 30/20/10 voltage Medium kV voltage 110 High Low voltage 0.4 kV 0.4 voltage Low 4.8.2 - - high voltage voltage highkV 220 voltage highkV 380 in km lengths grid Network Group: EnBW Electricity grids Electricity Grids: 1 1 wit h h some municipalities 150,600 94,400 44,400 8,600 1,000 2,200 2018 << Agenda 151,100 94,200 45,100 8,600 1,000 2,200 2017 83 EnBW Factbook 2019 DC expansion reinforcement grid AC 1 Source: 5 4 3 2 1 In cooperationIn with converter,- Baden in power lines contribution: EnBW incorridor “ A - Baden foreast north - for Baden north for river Rhine area in Baden in corridor C C corridor in 4.8.3 BNetzA , EnBW, Net Develop Plan (NEP) 2030 2. Draft 2019; www.netzausbau.de TenneT “SuedLink” “SuedLink” grid to ensure security of supply supply of security ensure to grid transmission of Expansion Grids: Ultranet Württemberg Württemberg ” 2 GW corridor GW 2 ” Investment up to 2025: around €6.5 bn €6.5 around to 2025: up Investment 4 GW corridor GW 4 Württemberg 158/+56 km 158/+56 Grid section 700 km 142 km 119 km 40 km 1 Scheduled completion Scheduled 2022/2030 2023 2025 2023 2023 Amprion TransnetBW 5 1 New construction (DC) Grid reinforcement reinforcement (AC) Grid New construction (AC) 2 3 4 << Agenda TenneT 50 Hertz 84 EnBW Factbook 2019 Source: www.netzausbau.de/leitungsvorhaben/bbplg › › › › Rated Expected Main investments expected start to in: Voltage 4.8.4 output level date date project of the Energiewende theof project Grids: : : Planned 2x2 GW high voltage 2x2 of commissioning ± SuedLink 320 kV DC 320 kV Total investment: €10 bn investment: €10Total : cooperation with 2025 or direct 525 kVDC 2020 is the largest infrastructure infrastructure largest is the current transmission Bruns büttel 600 TransnetBW SuedLink km - gartach Groß - rheinfeld Grafen Wilster 530 km - << Agenda 85 EnBW Factbook 2019 “grid laboratories”. “grid several in partners with together grids distribution smart investigating is EnBW grids, distribution the of expansion to addition In currentpeaks storage, etc.) (e.g.controllable local technologies grid station, smart using grid expansion necessitate ... › › › in Baden Challengesdistributionthe of grid Challengesactivities and Growing prevalence Growingprevalence electric ofcars power wind for targets expansion High grid area the in photovoltaics of use Widespread 4.8.5 - Württemberg ... necessarydevelop to electricity the distributiongrid infrastructure in investment of ~€2.5 ~€2.5 of investment high quality supply quality high whilstcarssecuringelectric and renewables Grids: Baden Through to 2025, 2025, to Through - Württemberg Investing in distribution grid to integrate integrate to grid distribution in Investing bn EnBW grid laboratories and grid innovations grid and laboratories grid EnBW 2 5 1 4 3 5 4 3 2 1 › › › › › of smart chargingsmart of infrastructure use the fleetswith electricof Integration Electric fleets of electric mobility in the low the in mobility electricof Approaches forintegration the E regulationand voltage Improvement faultof isolation Niederstetten grid traffic implementation lightof distributed grid as powerplant; The Freiamt Interactivegrid demonstrator smart Sonderbuch - Mobility Avenue Mobility - << Agenda voltage grid voltage 86 EnBW Factbook 2019 Overall length Distribution grid Long High pressure High Low pressure Low pressureMedium pressure High 4.8.6 - distance transmission grid in km EnBW Group’s gas grids Gas grids Gas Grids: 24,200 4,600 8,400 2,300 8,900 2018 << Agenda 23,900 4,600 8,100 2,300 8,900 2017 87 EnBW Factbook 2019 Thermal powerplants Total Renewable energies Other Offshore wind Onshorewind natural Storage/pumped water) flowstorage of (using - Run Other Gas Hard coal Lignite Nuclear natural water) flowof using storagePumped (not 4.9.1 of - river EnBW Group in 2018 in Group EnBW portfolio:and Generation 13,399 in MW in 3,738 9,661 1,507 1,006 1,468 3,491 2,933 2018 171 336 718 349 875 545 Generation portfolio portfolio Generation share in % in 100 28 72 11 11 26 22 1 3 5 8 3 6 4 45,078 53,492 in GWh in 12,868 20,656 8,414 1,233 1,030 4,846 3,518 6,048 1,790 2018 309 996 198 Own generation generation Own << Agenda share in % in 100 16 84 24 11 39 1 2 2 2 9 7 3 - 88 EnBW Factbook 2019 2 1 Continued temporary operation of 9 power plant units due to system relevance: HLB5/6 , MAR DT III, MAR GT II, MAR GT III, WA Majorpower plants Altbach Heilbronn Lippendorf Düsseldorf Karlsruhe Walheim Stuttgart Walsum Rostock Mannheim 4.9.2 in MW Conventional / Deizisau Thermal power plants in 2018¹ in power plants Thermal portfolio:and Generation 1,246 1,351 778 875 136 211 250 259 546 589 Altbach Karlsruhe Walheim Heilbronn Marbach Fessenheim,Cattenom Neckarwestheim Philippsburg in MW plants² power reserve Grid in MW Nuclear L1 /2, RDK4s and ALT HKW1 (France) << Agenda 1,096 1,402 433 353 244 250 426 89 EnBW Factbook 2019 › › › › next steps and Timeline › › › in South Germany necessary stability gridAdditional for capacity Commercial operation in October 2022 Commissioning around mid 2022 Construction works on site starting beginning of 2020 Permitting process ongoing Contract awarded to EnBW in August 2019 gas gas turbine power plant at the existing EnBW site started 2018.in July EnBW took proposing by part a 300 MW Call for tenders the of South German grid operators (TSOs) Energiewende maintain grid stability in the context of the so to Germany South in GW 1.2 generation power of capacity In 2017 the federal regulation agency approved additional 4.9.3 4.9.3 stability purposes in South Germany South in purposes stability New portfolio:and Generation . - built gas turbine power plant for grid grid for plant power turbine gas built - called called Marbach a.N . Artistic impression of the gas turbine power plant at the site site the power at plant turbine impressiongas Artistic the of Marbach << Agenda a.N . 90 EnBW Factbook 2019 EnAlpin power Iller Glatt,Jagst, Kocher, Argen Neckar, Murg, Donau, Nagold, Rhine 4.9.4 power power in MW Run plants - plants of Hydropower2018 in plants portfolio:and Generation - river Enz, Enz, 271 159 560 51 - Rudolf Glems Vorarlberger Schluchsee in MW Pumped storage Fettweis power power Illwerke - Werk Werk plants Forbach << Agenda 1.049 870 43 90 91 EnBW Factbook 2019 1 Planned commercial operation date (COD) 4.10.1 4.10.1 › › EnBW He EnBW He EnBW EnBW Secured pipeline: Installed capacity end of 2019: Portfolio andPortfolio wind: Offshore Albatros Hohe Dreiht See: : : : ~ 900MW ~ 112 MW - 497 MW end of 2019 of end 900 MW 1 1 project 945 MW pipeline Hamburg EnBWBaltic 1: Construction Rostock 48.3 MW 48.3 Development Development Barhöft EnBWBaltic 2: stage << Agenda In In 288 MW operation 92 EnBW Factbook 2019 EEG: Erneuerbare Energien EEG: Erneuerbare Feed Commissioned Shareholders Total capacity Type turbine of Technology Country 4.10.2 4.10.2 - in tariff Windfarms wind: Offshore - Gesetz ( renewable energy ) act in EEG 2009 EEG April 2011 municipal utilities 19 ~49.9% EnBW ~50.1% 48.3 - 2.3 SWT Siemens x 21 OffshoreWind Germany operation MW EnBW Baltic 1 93 EEG 2015 September PGGM & ~49.9% EnBW ~50.1% OffshoreWind 288 MW 288 - 3.6 SWT Siemens x 80 Germany 2012 EnBW Baltic 2 ÄrtzeVersorgung 120 Westfalen << Agenda - Lippe 93 EnBW Factbook 2019 EEG: Erneuerbare Energien EEG: Erneuerbare Feed Commissioning Shareholders Total capacity Type turbine of Technology Country 4.10.3 4.10.3 - in tariff Offshore windfarms under construction under windfarms Offshore wind: Offshore - Gesetz ( renewable energy ) act EEG 2014 EEG 2019 Inc./CPPIB Enbridge ~49.9% EnBW ~50.1% 497 - 7.0 SWT Siemens x 71 OffshoreWind Germany MW EnBW Hohe 154 See EEG 2014 EEG 2019 Inc./CPPIB Enbridge ~49.9% EnBW ~50.1% OffshoreWind 112 MW - 7.0 SWT Siemens x 16 Germany EnBW Albatros 154 << Agenda 94 EnBW Factbook 2019 › › › DevelopmentFormosa3 of - › › › › Taiwan market wind Offshore › › establishedLtd. Pacific Asia EnBW Several permits (e.g. EIA approval) obtained Three offshore wind Project development together with partners supply chain and transferring knowhow Improving relations with stakeholderslocal and EnBW’s local presence 3 2050 by 21GW and Long term of goals 11 GW by 2035 Estimated market volume of 5.5 GW 2025 by Building Founded in 2018 and located in Taipei elections 4.10.4 4.10.4 rd stage auction expected for 2020 after general - up a service JV and enhancing EnBW EnBW wind: Offshore projects projects of to up 2 GW capacity presence pipeline in Taiwan in Taiwan › › › 11 Formosa 3 Formosa site 17: 17: site site 16: 16: site site 11: 11: site 16 18 14 12 19 17 9 720 732 552 15 25 13 24 MW MW MW 10 23 28 22 27 29 21 20 26 30 Tainan City Tainan Kaoshiung Chiayi City Taichung City Taichung City Hsinchu CityHsinchu << Agenda Taipei City 95 EnBW Factbook 2019 › › › Coast West US 60% by 2030 and 100% by 2045 by and 100% 2030 by 60% California renewable energytarget generation of developed inUSA Firstcommercial America (80%) North and EnBW projectlocal wind developer between Trident (20%) Winds venture Joint CastleLLC Wind for first offshorefloating 4.10.5 4.10.5 wind project Offshore Project development activities in North America North in activities development Project wind: Offshore Sacramento San Francisco - scale floatingoffshore wind project California Los Angeles Nevada Las Vegas Las US East Coast US East › › › along US East Coast increasedCoast East alongUS over to 20 Official offshoredevelopment wind targets states of control site offshorein auctions participation lease by wind Project LLCcompany Wind East orderin established achieve to local since withstaff operation 2018 and in legally Inc. America North established EnBW Local subsidiary New York South Hudson North Hudson South Fairways North Fairways GW by 2035 by BOEM Ocean OCS Ocean Wind LLC US Wind Inc.OCS Statoil WindUS LLC OCS areas call Proposed Federal/ State Boundary lease areas lease << Agenda - A 0499 A - A 0498 A - A 0512 A 96 EnBW Factbook 2019 Trier as 31.8.2019 of as portfolio and pipelineGermanyin 2019 distributionRegional the of 3 2 1 Wind parks in operation with EnBW majority shareholding At least land contracts concluded (large proportion is completed) in Germany Negotiations for land contracts in Germany (low proportion make it to project development) 4.11.1 4.11.1 STU. for growth up to 2020 to up growth for plans with line in 2019 pipeline Project portfolio:wind Onshore Hamburg Erfurt Berlin Installed windfarmsInstalled Underconstruction Secured pipeline Project initiation phase office EnBW 2 3 1 in MW Onshore wind portfolio and pipeline August 2019 August 1,905 729 Forecast2020 1,000 2,000 Secured Secured pipeline Germany PortfolioGroup EnBW << Agenda 97 EnBW Factbook 2019 EEG: Erneuerbare Energien EEG: Erneuerbare Number of locations Number turbines of Number Installed total power 4.11.2 as of 31.12.2018 of as operation in Windfarms Germany: inPortfolio Portfolio and windfarms under construction under windfarms and Portfolio Germany: in portfolio wind Onshore - Gesetz ( renewable 59 276 613 MW Germany energy ) act Feed date Operation turbines of Number in MW capacity Total turbine of Type Technology Country - in system Under construction: EEG 2017 EEG 2020 May 3 9 Enercon E115 Onshore Germany Prötzel I << Agenda 98 EnBW Factbook 2019 EEG: Erneuerbare Energien EEG: Erneuerbare Commissioning date Feed Number of turbines of Number Total capacity in in MW capacity Total Type of turbine of Type Technology Country 4.11.3 4.11.3 - in system Installed wind farms farms wind Installed Germany: in wind Onshore - Gesetz ( renewable Sep 2017 Sep 5 older and 2014 EEG 16.5 Vestas Onshore Germany Waldhausen Aalen - energy V126 ) act Dec 3 older and 2014 EEG 6 Vestas Onshore Germany Alt Alt Zeschdorf 2009 V90 (1/7) Dec 5 older and 2014 EEG 5 NM1000 NEG Onshore Germany Benndorf 2001 Micon Dec 3 older and 2014 EEG 6 - E82 Enercon Onshore Germany Berghülen 2012 E2 Feb 2017 Feb Dec 4 older and 2014 EEG 12 Enercon E Onshore Germany Angeltürn Boxberg 2016 - - 115 Mar 2018 Mar 4 older and 2014 EEG 12 Enercon E Onshore Germany Bobstadt Boxberg - - 115 July 1 older and 2014 EEG 3.1 Enercon E Onshore Germany Oberschüpf Boxberg 2017 - - 101 Dec 2016 Nov 5 older and 2014 EEG 15 Enercon E Onshore Germany Braunsbach << Agenda 2016 - 115 99 EnBW Factbook 2019 1 Temporary regulations Commissioning date turbines of Number turbine of Type Technology Country Feed Total capacity in in MW capacity Total 4.11.3 4.11.3 - in system Installed wind farms farms wind Installed Onshore wind in Germany: Germany: in wind Onshore EEG 2017 EEG 2018 Jan 1x 2x 3 8.25 2,75 GE Onshore Germany Breitenbach Dec 2017 - 120 1 EEG: Erneuerbare Energien Erneuerbare EEG: older and 2014 EEG 2016 Nov 6 9 Nordex Onshore Germany Bremervörde S70 - (2/7) Gesetz ( older and 2014 EEG 2017 Sep 2 6.6 Nordex Onshore Germany Brettenfeld renewable N131 energy older and 2014 EEG Dec 18 36 Vestas Onshore Germany Buchholz ) act 2009 V90 older and 2014 EEG 2 4 Onshore Germany Buchholz II Dec - E82 Enercon 2012 E2 older and 2014 EEG 4 13.2 Onshore Germany Buchholz III Vestas Sep 2017 Sep V126 older and 2014 EEG 4 13.2 Onshore Germany Bühlertann May 2017 May Vestas V126 older and 2014 EEG 3 9.9 Onshore Germany Burgholz Sep 2017 Sep Vestas << Agenda V126 100 EnBW Factbook 2019 EEG: Erneuerbare Energien EEG: Erneuerbare Country Technology Type of turbine of Type Total capacity in in MW capacity Total Number of turbines of Number Commissioning date Feed 4.11.3 4.11.3 - in system Installed wind farms farms wind Installed Germany: in wind Onshore - Gesetz ( Christinendorf III Germany Onshore Vestas 6 3 Dec older and 2014 EEG renewable 2011 V90 energy ) act Dienstweiler Germany Onshore Nordex 4.8 2 Mar 2017 Mar and 2014 EEG older N117 Dittelsdorf Germany Onshore Vestas V90 Vestas 6 3 Jun 2010 Jun older and 2014 EEG (3/7) III Dünsbach Germany Onshore Vestas 9.9 3 Aug 2017 Aug and 2014 EEG older V126 Düsedau Germany Onshore NM72 NEG 7.5 5 Dec and 2014 EEG older 2002 Micon Eisennach II Germany Onshore Vestas 12 6 Dec and 2014 EEG older 2009 V90 Elze Germany Onshore E53 Enercon 3.2 4 Dec and 2014 EEG older 2010 Eppenrod Germany Onshore NW52 NEG 2.7 3 Dec and 2014 EEG older 2001 Micon << Agenda Fichtenau Germany Onshore Vestas 9.9 3 Sep 2017 Sep and 2014 EEG older V126 101 EnBW Factbook 2019 EEG: Erneuerbare Energien EEG: Erneuerbare Country Technology Type of turbine of Type Total capacity in in MW capacity Total Number of turbines of Number Commissioning date Feed 4.11.3 4.11.3 - in system Installed wind farms farms wind Installed Germany: in wind Onshore - Gesetz ( renewable Freckenfeld Germany Onshore Nordex 19.8 6 Dec older and 2014 EEG 2017 energy N131 ) act Friedberg Germany Onshore Vestas 6 3 Dec and 2014 EEG older 2011 V90 Fürth Germany Onshore Nordex 16.5 5 Jun 2018 Jun older and 2014 EEG (4/7) N131 Görike Germany Onshore Vestas 10 5 Dec and 2014 EEG older 2010 V90 Germany Onshore Vestas 2 1 Jul 2014 Jul older and 2014 EEG Grevenbroich V90 GS Harthäuser Germany Onshore Enercon E 54 18 Sep 2017 Sep Dec 2015 Nov older and 2014 EEG 2015 - 115 Wald Hasel Germany Onshore Vestas 9.9 3 Nov 2017 Nov and 2014 EEG older V126 Haupersweiler Germany Onshore Nordex 15 6 Dec older and 2014 EEG 2010 << Agenda N117 102 EnBW Factbook 2019 EEG: Erneuerbare Energien EEG: Erneuerbare Country Commissioning date turbines of Number in MW capacity Total turbine of Type Technology Feed 4.11.3 4.11.3 - in system Installed wind farms farms wind Installed Germany: in wind Onshore - Gesetz ( renewable Homburg Germany Mar 2017 Mar 4 9.6 Nordex Onshore and 2014 EEG older energy N117 ) act Ruppertshofen Ilshofen- Germany Jun 2015 Jun 2014 Jul 2 6.1 Enercon E Onshore older and 2014 EEG - 101 Kemberg II Kemberg Germany Jul 2014 Jul 6 12 Vestas Onshore and 2014 EEG (5/7) older V90 Königheim Germany Sep 2017 Sep 2 6 115 Enercon E Onshore and 2014 EEG older - Langenburg Germany Dec 12 40.05 Vestas Onshore and 2014 EEG older 2017 V126 Leddin Germany Dec 1 2 Vestas Onshore and 2014 EEG older 2009 V90 II Müncheberg Germany 4 8 Onshore Nov 2006 Nov Vestas and 2014 EEG older V90 Neuruppin Germany 8 16 Vestas Onshore Feb 2014 Feb and 2014 EEG older V90 << Agenda weiler Niederlinx Germany 2 4.8 Nordex Onshore Dec and 2014 EEG older 2015 N117 - 103 EnBW Factbook 2019 EEG: Erneuerbare Energien EEG: Erneuerbare Feed Commissioning date Number of turbines of Number Total capacity in in MW capacity Total Type of turbine of Type Technology Country 4.11.3 4.11.3 - in system Installed wind farms farms wind Installed wind: Onshore - Gesetz ( Mar 2017 Mar 2 4.8 Nordex Onshore Germany Nonnweiler and 2014 EEG renewable older N117 energy ) act Dec 15 12 Enercon E53 Onshore Germany Oldendorf and 2014 EEG older 2010 Nov 2016 Nov 12 18 Nordex Onshore Germany Ostercappeln and 2014 EEG older S70 (6/7) Dec 10 20 Vestas Onshore Germany Puschwitz and 2014 EEG older 2017 V80 Sep 2017 Sep 2 6.6 Nordex Onshore Germany Rosenberg Süd Rosenberg and 2014 EEG older N131 Nov 2016 Nov 9 13.5 Nordex Onshore Germany Rositz and 2014 EEG older S70 Jun 2019 Jun 2016 Sep 4 9.9 Vestas Onshore Germany Rot am See am Rot and 2014 EEG older V126 Dec 1 1 DeWind Onshore Germany Schnittlingen and 2014 EEG older 2002 D6 Dec 1 2 Enercon E82 Onshore Germany Schopfloch and 2014 EEG << Agenda older 2012 104 EnBW Factbook 2019 EEG: Erneuerbare Energien EEG: Erneuerbare Country Feed Commissioning date turbines of Number in MW capacity Total turbine of Type Technology 4.11.3 4.11.3 - in system Installed wind farms farms wind Installed Germany: in wind Onshore - Gesetz ( renewable Schulenburg II Dec 3 6 Vestas Onshore Germany older and 2014 EEG 2010 V90 energy ) act Schwienau Dec 5 10 Vestas Onshore Germany older and 2014 EEG 2009 V80 II Jul 2014 Jul 3 6 Vestas Onshore Germany older and 2014 EEG Söllenthin (7/7) V90 Dec 3 6.15 MM92 Repower Onshore Germany older and 2014 EEG Webenheim 2016 Dec 1 0.6 NM600 NEG Onshore Germany older and 2014 EEG Westerheim 1998 Micon I Nov 2004 Nov 2 4 V80 Vestas Onshore Germany older and 2014 EEG Willich Winterbach Dec 3 9.9 Nordex Onshore Germany older and 2014 EEG 2017 N131 Zernitz 8 14.4 Enercon E66 Onshore Germany Nov 2016 Nov older and 2014 EEG << Agenda 105 EnBW Factbook 2019 Nantes The Valeco wind and solar solar and wind Valeco The Boulogne 4.12 Toulouse - Billancourt Amiens Activities in France: France: in Activities January January 2020) (opening in Montpellier Dijon Dijon asset portfolio 6 Enercon E- Enercon 6 Audincthun Valeco Under In operation farm Solar Wind farm 2019 Valeco 92/2.35 MW turbines construction office wind farm in 2019summer commissioned SAS installed capacity 14.1 14.1 MW capacity –installed focus regions pipeline Valeco › › › › › Aquitaine) France, Bourgogne promising market potential of approx.pipelinePV solarand Valeco Generation portfolio as of 30.9.2019: of as portfolio Generation employees 133 French the on focus Main Market Develops, owns and operates and Develops,owns › › › › › (30 MW fully MW (30 consolidated) solar MW 61 consolidated) fully MW (100 wind 344 MW small hydro small projects and solar onshorewind develops and enhances a wind onshore wind a enhances and develops -Franche Comté, -Comté, Nouvelle- (esp. (esp. 1.7 GW1.7 Hauts << Agenda with with -de - 106 EnBW Factbook 2019 › › › › 1 Figures Figures of 31 as December 2018 investment firms FAMfirms investment and AB acquiring PowerPartners(previously Wind AB by owned after through Sweden in portfolio subsidiaries twowind operated MW a 105 has Sverige AB EnBW 2018, of end Since the constantly growingportfolio. wind Falkenbergup in built company being is The develop to a currently (threeturbines, phase). constructionin project Sweden development farmfor permit a wind south in a of acquisition by established was AB Sverige EnBW 2018 In operating from Falkenberg. market leaders maintenance for Sweden, workin wind the of one is CWSSweden 2016. and in CWSGermany Sweden CWSthree Denmark, CWS Service withsubsidiaries (CWS) acquired EnBW providerservice Wind independent Connected and and plus two grid grid companies. two plus 4.13 Gnösjö Energi Activities AB (from Folksam Proventus in Sweden ). ). portfolioThe comprises and and insurer Folksam 1 : EnBW EnBW : ) Sverige MW 10.8 Råmmarehemmet 10 MW Granberget 16 MW Säliträdberget Wind farm Wind farm gridwith company ConstructionMW 10.8 MW 105 Operating AB AB Gothenburg Falkenberg Stockholm 10 MW Kulltorp 10 MW Brahehus 16 MW Röbergsfjället 10 MW Hedbodberget 32 MW Bliekevare << Agenda 107 EnBW Factbook 2019 as 31.8.2019 of as portfolio and pipelineGermanyin 2019 distributionRegional the of 3 2 1 Solarparks in operation with EnBW majority shareholding At least land contracts concluded (large proportion arecompleted) Negotiations for land contracts (low proportion make it to project development) 4.14.1 Stuttgart for growth up to 2020 to up growth for plans with line in 2019 pipeline Project Photovoltaics Berlin portfolio in Germany: Germany: in portfolio Installed solar farms solar Installed Underconstruction Secured pipeline Project initiation phase office EnBW 2 3 1 in MW pipeline and Portfolio › developing projects on largera scale without feed Besides projects within the EEG system, EnBW focuses on p August 2019 August 678 99 Forecast2020 350 500 Portfolio Secured pipeline Germany - in tariff.in << Agenda 108 EnBW Factbook 2019 Number of solar parks solar of Number Installed total power Feed date Operation in MW capacity Total Technology Country 4.14.2 - in system Installed in 2019:Installed in as of 31.12.2018 of as In operation: Portfolio and projects under constructionunder projects andPortfolio Photovoltaics EEG 2017 EEG 2019 Aug 5 Solar Germany 2 Leibertingen >50 73 MW Germany portfolio in Germany: Germany: in portfolio Feed date Operation in MW capacity Total Technology Country EEG: Erneuerbare Energien EEG: Erneuerbare - in system Under construction: - Gesetz ( EEG 2017 EEG Oct 5.8 Solar Germany Birkenfeld renewable 2019 energy ) act EEG 2017 EEG Oct 7.5 Solar Germany Inzigkofen 2019 EEG 2017 EEG Oct 6.9 Solar Germany Lindendorf 2019 << Agenda 109 EnBW Factbook 2019 » » » » » TTF PPAs PEGAS NCG 4.15 › » » » » Annual trading 2018: trading volumes, Annual MW+ 3,500 Directmarketing renewablesof 2019: power, fuels coal, emissions, gas, forcustomers and group:EnBW Market access towholesale commodity markets 2,000,000+ 2,000,000+ 200+ : Title transfer facility facility transfer Title : 34 mn 600 mn 170 mn 1,740 : 850 : Power: purchaseagreements NetConnect : Pan- EnBW’s trading activities: employees TWh TWh EuropeanCooperation Gas bbl trades per year t coal t power wholesale markets to manage price and volume risks volume and price manage to markets wholesale to access Central activities: trading EnBW’s EUAs natural gas natural oil Germany Germany (H/L): High calorific gas, lowcalorific gas LNG: Liquidgasnatural EPEX ICE:Intercontinental Exchange : European Power Exchange › › › › › › › › 150+ counterparties 150+ PEGAS major on powercommodity exchangesand Active including OTC access for gas OTC access for power to NL,FR, CH, AT,CZ, IT, HU customers gas and forelectricity support their Procurement and companies sales for management EnBW risk and Commercialflexibleof power optimisation and portfolios including gas - - LNG for power and including gas activities Origination - - - - Trading “ marketswholesale and on powergas selling and fromBuying intraday years+ 10 to storage and storage and supply contracts, foralso third parties Expansion of LNG trading activities trading LNG activities of Expansion contracts by assets conventionalgeneration of Substitution Directmarketing ofrenewables origin Guarantees of portfolio expansion of International PPAs (Paris) and Energiewendeproducts: ” AT AT Over- OTC: EEX EPEX TTF VTP : European Energy Exchange , : Austria VirtualAustriaTrading : Point Gaspool Spot (Paris), as well as on OTC on wellas as (Paris), Spot markets where trade withwe the - counter (H/L), NCG (H/L), AT HU: Hungary CZ: Czech Republic CH: Switzerland NetherlandsNL: VTP , IT,FR EEX (Leipzig), ICE (London) (London) ICE (Leipzig), << Agenda IT: Italy Italy IT: AustriaAT: FR: France 110 EnBW Factbook 2019 4. 3. 2. 1. Agenda 5 − EnBW’s Main Shareholdings Main EnBW’s − 5 Agenda › › › › › › › › › Business Segments Segments Business Strategy Environment EnBW at a glance › › › GenerationTrading and Renewable Energies Grids Sales Markets Regulatory environment Political environment Key non- Key financials Compliance, Data Protection Decarbonisation, Innovation, Corporate Sustainability, Broadband, Contracting, Digitization, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW ...... financials ...... Corporate Governance, ...... page 66»» page 34»» page 6 »» page 3 »» 8. 7. 6. 5. Service Capital Markets - Non and KeyFinancials EnBW’s Main Shareholdings › › › › › › › › › › › › › › › › › › › F Halfyear 2019 Fiscalyear 2018 Five Borusan AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. Energiedienst Important Contact details calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Financial Asset Management inance - year summary ...... strategic and other goal dimensions EnBW EnBW links Holding AG Holding Enerji ...... yatırımları financials ve ...... Üretim ...... A.S page 111 »» page 111 page 155 »» page 143 »» page 130 »» page 111 EnBW Factbook 2019 1 ² Not fully² consolidated, accounted forusing the equity method. Directlyindirectly and shares. held › › 5.1 5.1 Laufenburg EnergiedienstHolding AG StadtwerkeDüsseldorf Group Düsseldorf EnBW‘s Main Shareholdings Main EnBW‘s Switzerland The full set of consolidated financial statements asof 31.12.2018 is published at The full list of shareholdings can be found in the notes to the consolidated financial statements under (36) “Additional disc Further information: Württem Baden berg Germany - - www.enbw.com/shareholdings . Czech Rep. Turkey Turkey www.enbw.com/report2018 › Leipzig AG VNG › Prague Pražská - downloads energetika . los a.s. ures”. ures”. 1 Istanbul yatırımları Borusan EnBW ve << Agenda Üretim Enerji A.S. 2 112 EnBW Factbook 2019 5.2.1 5.2.1 » » Profile 994 Employees 1908 Established tomorrow’s mobility panels, smart The In customers sells Energiedienst addition, group electricity Energiedienst Holding AG Holding Energiedienst interconnected together heat with drives world Energiedienst pumps, generates and electricity with of the gas decentralised, Energiewende car electricity products . The green . sharing is growing group’s electricity . and storage renewable for own in services, new customers grid systems from business and companies hydropower including digital Switzerland Laufenburg Location and by areas providing electric energy supply solar and for , . » » » Alexander Lennemann www.energiedienst.de + [email protected] 49 7623 92 2660 49 7623 << Agenda 113 EnBW Factbook 2019 Three business segments Three SpanningGermanSwiss marketsthe & 1 As of 31 December 2018 › › › › NewBusiness Areas 5.2.2 Switzerland BU Switzerland 986 employees 986employees customers and gas electricity 270,000 Around Approximately 8,100 Approximately (primarily - run renewables in capacity installed MW 651 Germany BU Germany BU Energiedienst of - river power plants) power river km low km - voltage grid voltage Energy industry/generation Energy industry/generation Photovoltaic Holding AG at a glance a at AG Holding Soundinvestmentpotential with › › new businesses new Clear strategic ondeveloping focus businesses traditional in flows Stable cash Heat Heat and energy solutions Distribution Distribution 1 Additional figures Additional › › › › › Equity ratio: 51.6% ratio: Equity flow: Freecash m €13.2 profit: Net m €28.4 EBIT: Adjusted m €896 revenue: Net - Electric mobility Electric €4.7 m €4.7 Sales Sales << Agenda 114 EnBW Factbook 2019 5.2.3 Current AG: HoldingEnergiedienst assignment of business areas New top New The The Sale of solar equipment and and equipment solar of Sale to integrate new business business new integrate to Switzerland and and Germany Switzerland also growing in heat and growingand also heat in additional in additional products Clear Clear cross Energiedienst energysolutions Photovoltaics - level organisation key ideas - national national topics Group is and and southern Baden Switzerland in and Baden southern infrastructure and and e infrastructure multiple electricity concessions electricity multiple Applications are underway for underway are Applications Expansion of charging station charging station of Expansion projects Concessions E - mobility - car sharing in sharing car hydropower hydropower plant toproduce and achieve transformation transformation and achieve Flagship project at at project Flagship Support Group integration integration Group Support component in strategy strategy in component Digitization as a key a key as Digitization hydrogen as fuel as hydrogen Digital roadmap implementation Culture project Power capability - to - gas Wyhlen << Agenda 115 EnBW Factbook 2019 5.3.1 » » » » Profile 1,478 Employees 1897 Established Energyinfrastructure and for B2B B2C, B2G services Renewable generation Prague in Republic;segment B2C Czech on focus the in customer segments all to and supplies gas Electricity Prague in distribution Electricity Pražská energetika, a. s. a. energetika, Pražská Prague, CZ Location » » Mgr. PetrHolubec www.pre.cz/en 790 265 602 +420 << Agenda 116 EnBW Factbook 2019 Number 3 utility in the Czech Rep. Czech the in utility 3 Number Three business segments Three 1 As of 31 December 2018 › › › › 5.3.2 Strong roots in Prague in roots Strong employees 1,478 structure Stable shareholder 6,327 GWh Electricity Sales Pražská electricity distributed electricity energetika Generation Balanced risk › › on Focus , a. s. at a glance a at s. a. , (~30% EBITDA) (~30% and supply gas Electricity and EBITDA) (~60% Distribution Procurement - return profile return Grids 1 Distribution Key figures Key › › › Group net profit: CZK m 2,868 CZK profit: net Group m 4,873 CZK EBITDA: Adj. m 20,459 CZK Revenues: Renewable Energies and Energy Services Sales << Agenda 117 EnBW Factbook 2019 › › › › › › 5.3.3 ( Activities/products Employees Adjusted mobility power and Activities/products Employees Adjusted retention Yello Renewable Energies / Energy Services Sales management brand) plants services EBITDA EBITDA in : : Segment overviewSegment Pražská 647 256 Prague (photovoltaics) ; ; 2018: 2018: operation construction : : Sale Energy (PRE CZK CZK of of - brand) energetika 1 428 electricity related , ; 329 local energy and m m distribution and operation services and efficiency growth gas ; project of ; networks focus outside , a. s.: s.: a. , renewable consultancy on development of customer Prague energy ; e- › › › stability related Activities/products Employees Adjusted Grids services EBITDA : 575 ; 2018: guaranteeing : Distribution CZK 3 , 116 security of m electricity of supply ; provision and << Agenda of system grid - 118 EnBW Factbook 2019 5.3.4 › › › Energy services › › › city Smart › › › Fibre › › › E › - Mobility E Installation of Digitisation of network operation; upgrade to Provision of fibre infrastructure for telco retail partners ( Backbone for Synergetic development of Provision of private charging B2C and B2B Expansion Servicing of Installation of Installation of Multi - car sharing sharing car - in commodity in buildings measuring Current key topics and projects andtopics key Current Pražská of public of local distribution networkslocal integrated e integrated smart grid smart multifunctional smart lamps lamps smart multifunctional heating,ventilation and airconditioning roof pilot in Prague - top solar systems incl. storage charging - applications mobility solutions energetika electricity and fibre fibre and electricity network solutions ( (for OEMs, B2B,B2C), i.e. chargers, commodity, billing, cars (with partner) SMIGHT smart distribution distribution smart grid grid , a. s.: s.: a. , ) systems FTTH ) stations << Agenda 119 EnBW Factbook 2019 5.4.1 » » Profile 3,327 Employees 1866 September 20 Established infrastructureenergy,of fields the in and buildings mobility Demand electricity,energy City utility: district heating water and gas, Stadtwerke Düsseldorf Group Stadtwerke - driven driven development interconnectedof urban Germany Düsseldorf, Location » » Accountingand Finances Business Capari Carsten www.swd info@swd - - ag.de ag.de ag.de ag.de << Agenda 120 EnBW Factbook 2019 Key figures Key Five business segmentsFive 1 As of 31 December 2018 5.4.2 Electricity District heating Electricity Waste Water Stadtwerke Düsseldorf Group at a glance a at Group Düsseldorf Stadtwerke Gas › › › Net profit: €91 m €91 profit: Net m €209 EBITDA: m €1,768 Revenue: Generation Procurement Generation Generation Gas Thermal Thermal waste treatment › › › Total assets: €2,015 m €2,015 assets: Total 38%Equity ratio: m €758 Equity: Procurement Trading heating District Distribution Distribution Trading Distribution 1 Non Water Distribution - thermal waste treatment Sales Sales Sales Sales Waste << Agenda 121 EnBW Factbook 2019 1 As of 31 December 2018 › › › › › › › 5.4.3 Installed capacity: Installed Production: area: Business Revenue: Production: area: Business Revenue: Water Electricity Segment overviewSegment Düsseldorf Group: Stadtwerke renewable: conventional: 14,871 kWh m Grids, Sales Generation, Trading, €1,106m 52m 52m m³ Generation, Grids, Sales €93m 1,246 59 MWel MWel 1 › › › › › › Production: Production: Business area: Business area: Business Revenue: Revenue: Waste Gas 425 kWh m 9,211 Thermal waste treatment Generation, Grids, Sales €184m €289m kt › › › › › › Business area: Business Revenue: Installed capacity: Installed Production: area: Business Revenue: Others heating District Services €14m conventional: 2,416 1,186 m kWh Generation, Grids, Sales €82m << Agenda MWth 122 EnBW Factbook 2019 Business development › Creation › › Impact › 5.4.4 Optimisation Development Pace New Digitization business on of new Current Düsseldorf Group: Stadtwerke of possibilities areas conventional for key business Decentralisation of of Decentralisation energy generation energy topics and and projects Optimisation of conventional business business conventional of Optimisation New business areas areas business New › › › A Focus among other things on Systematic optimisation of our Düsseldorf for enhanced efficiency and customer friendliness successful › › › › › › › ADAC automobile club test: Top marks for scooter sharing Number of scooters increased due to strong demand (electricity, heating/climate action and mobility) Eddy is a prime example of modern sector coupling electricity for lower environmental impact Emission by the end of 2019 Düsseldorf Airport will be connected to the district heating system and natural low a as gas natural and Electricity and heat are produced using climate- The heart this of district heating system is the Fortuna plant product, - neutral transport reducing congestion and powered by green the “eddy” creating a smart district heating system district smart a creating - sustainable generation infrastructure generation sustainable carbon energy source e - scooter hit Düsseldorf’s friendly cogeneration technology streets in 2017 for the Citythe of for << Agenda 123 EnBW Factbook 2019 5.5.1 » » Profile 1,101 Employees 1958 Established district solutions. district solutions. infrastructure,digital biogas, include and These fields. business Group’s “ the core business, these on Building gas the competences in Trading chain: Sales, Transport,& and Storage. Group the Leipzig, concentrates three on linksvalue gas the in years energy60 experienceof the in market. Headquartered in infrastructure,products and gas in services and and more than a broad,energy with industry future VNG is a a group is European the overof active companies in 20 VNG AG VNG 2030+” strategy places strategy growingplaces 2030+” a new on focus - orientedportfolio of Czech Republic Czech Slovak Republic Poland Austria Italy Germany VNGGroup Locations 1 1 2 2 2 14 » » » VNG www.vng.de/en 443- 341 +49 [email protected] AG 0 << Agenda 124 EnBW Factbook 2019 1 As of 31 December 2018 › › › › › › › 5.5.2 2.2 2.2 (Bad (Bad facilities storage underground Four Third Frankfurt/Main, Stuttgart) Munich, Leipzig, Hamburg, Frankfurt/Main, Erfurt, Dusseldorf, (Berlin, Germany in offices sales Eight Power and (B2C) gas consumers 500 and Germany Europe in divisions Retail and Wholesale Trading & Sales Sales & Trading Storage business area bn bn › Investment Investment result: Revenue: , Lauchstädt - largest storage facility operator Germany in operator facility storage largest m Germany: 182,500 | Austria: 58,000 | Poland: 37,000| Poland: 58,000 | Austria: 182,500 Germany: kWh gas send 3 storage storage capacity VNG AG at a glance a at AG VNG Bernburg - out business area , €11.2 €296 m Etzel , Jemgum bn ) 1 EBIT: EBIT: Adjusted EBIT: › › › › › › › municipal/industrial solutions energy municipal/industrial integrated of operation and Building Solutions: District applications infrastructure in fibre, data centres and infrastructure and centres fibre, data in infrastructure - mission provider of Independent Infrastructure: Digital hydrogen in a position of development plants, biogas of operation and owning in position Significant Gases: Green 130 downstream network operators network downstream 130 points interconnection network 450 high- km 7,000 Germany‘s second As an independent transmission operator, operator, transmission independent an As Transport business area New New €196 m €159 m businesses pressure gas pipeline system - longestgas transmission system Group net profit : ONTRAS is responsible responsible for is - based critical critical €142 m << Agenda 125 EnBW Factbook 2019 Core businessCore 5.5.3 › › › Transport › › › › Storage › › › & Sales Trading Focused on future options for sustainable, green use of the gas infrastructure with renewable natural gas natural renewable with infrastructure gas the of use green sustainable, for options future on Focused thecomprehensive fieldexpertise energyDevelopmentinofinfrastructureof green efficiency(e.g.improvements) framework regulatory the in optimisation and continuous segments business new of implementation Increasing energies renewable volatile for facilities storage as supply energy future part of an integral Remaining forcases underground use Developmentofof storage hydrogen parties third for business service up of and scaling of Integration leadership innovation and cost and extending ensuring on Focus Digitizationand market ofprocesses access development ofonmidstream the Focus and moderate excellenceretail growthin business sales and procurement of terms in position market of Optimisation Current AG: VNG key topics and and projects (1/2) << Agenda 126 EnBW Factbook 2019 New business 5.5.3 › › › › startup and Innovations › infrastructure Digital › › solutions District › › gases Green Positioning of Positioning Becoming a leading independent provider of fibre optic infrastructure and infrastructure and critical of infrastructure optic fibre of provider independent a leading Becoming chain value the along Optimisation individual of independent is approach which an in infrastructure network advanced with local solutions integrated Developing s subsidy EEG post concepts of development the as well as plants biogas of and optimisation integration acquisition, on Focus mix energy the in hydrogen and biogas of share the increasing of aim the with gases green a road map for Following Strategic partnership with accelerators ( accelerators with partnership Strategic new in invest to created fund capital Private venture Implementation group of Implementation Current AG: VNG VNG in hydrogen key - - wide innovation process and development of new business areas business new of development and process innovation wide activities topics SpinLab and and ) to access innovative solutions and support internal entrepreneurial development development entrepreneurial internal and support solutions innovative ) access to startups projects with a strategic fit to to fit a strategic with (2/2) VNG - based based data in Germ services che man any any me ufacturers << Agenda 127 EnBW Factbook 2019 5.6.1 ~150 Employees September Established » Profile Enerji importance efficiency Borusan segment being Borusan EnBW EnBW Borusan plays a 2009 . leading EnBW From and . a In prominent respect investments electricity Enerji energy continues role to generation sales society to in Turkish operations, and its and Enerji activities company electricity trading, nature in all with in Borusan of are yatırımları Istanbul, Istanbul, Turkey Location sector wind its a of activities, vision . utmost energy EnBW of ve Üretim A.S. » » » Engin https://www.borusanenbw.com.tr/en/anasayfa 2903432 212 +90 [email protected] Aslan << Agenda 128 EnBW Factbook 2019 1 Balabanli Saros Feslegen Kiyiköy Koru Figures not consolidated 61.4 36 146 40 28 72 52.8 5.6.2 MW MW MW MW MW MW MW Borusan Turkey in Activities Fuatres 33 MW Düzce Makif 30 49.5 EnBW Energy portfolio projectsEnergy EnBW portfolio MW MW Buket Kaktüs Harmanlik Bandirma 10.5 49.5 52.8 89.7 Hatmi Sarmasik 6.6 49.5 MW MW MW MW Pamuklu MW 2.2 MW 1 : MW Mut 52.8 Dayicik MW 6.6 MW Pelit 80 MW Bögürtlen 30 MW Kartaldagi 65.6 Sandal 50 MW MW Yedigöl 50.3 MW Aksu Development Construction Operating Solar Hydro Wind << Agenda 432 218 495 MW MW MW 129 EnBW Factbook 2019 4. 3. 2. 1. - Non and Financials Key − 6 Agenda › › › › › › › › › Business Segments Segments Business Strategy Environment EnBW at a glance › › › GenerationTrading and Renewable Energies Grids Sales Markets Regulatory environment Political environment Key non- Key financials Compliance, Data Protection Decarbonisation, Innovation, Corporate Sustainability, Broadband, Contracting, Digitization, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW ...... financials ...... Corporate Governance, ...... page 66»» page 34»» page 6 »» page 3 »» financials 8. 7. 6. 5. Service Capital Markets Key Financials and Non EnBW’sShareholdings Main › › › › › › › › › › › › › › › › › › › F Halfyear 2019 Fiscalyear 2018 Five Borusan AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. Energiedienst Important Contact details calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Financial Asset Management inance - year summary ...... strategic and other goal dimensions EnBW EnBW links Holding AG Holding Enerji ...... yatırımları - financials ve ...... Üretim ...... A.S page 130 »» page 130 page 155 »» page 143 »» page 111 »» page 130 EnBW Factbook 2019 EnBW Group EnBW 1 ² No figures for the comparative period 2014 are available for the new performance indicators. The figures for 2017 have been restated Balance sheet Earnings Cash flow Cash Profitability Capital markets Capital Energy sales Energy Equity External revenue Net financial debt Group net profit/lossnet Group EBITDA Free cash flow Cash flowfrom operating activities ROCE Valueadded Dividend pershare Dividend Electricity Gas 6.1 1 Five 2 - year summary summary year bn bn kWh kWh € m € m € € m € € m € € m € € m € m € € m € % € (1/2) 20,618 - 6,273 3,738 2,090 374.9 827.6 0.65 2018 334 137 328 6.5 32 - - 2,789.0 1,696.1 21,974 2,054 5,863 2,918 3,752 0.50 2017 152 122 250 7.3 19,368 - - 1,797 3,216 3,654 494.7 473.6 0.00 2016 731 124 115 139 7.8 1,918.3 21,167 5,123 1,918 3,329 651.6 0.55 2015 158 354 115 135 9.5 << Agenda 1,775.7 21,003 4,546 2,137 4,403 330.2 - 10.0 0.69 2014 466 376 126 117 131 EnBW Factbook 2019 EnBW Group EnBW 1 The figures for 2017 have been restated Sales segment Sales Grids segment Renewable Energies segment Energies Renewable Generation& Trading segment Electricity Gas External revenue Adjusted EBITDA Adjusted External revenue Adjusted EBITDA Adjusted Electricity sales Electricity External revenue Adjusted EBITDA Adjusted Electricity sales Electricity Gas sales External revenue Adjusted EBITDA Adjusted 6.1 1 Five - year summary summary year bn bn bn bn bn kWh kWh kWh kWh kWh € m € € m € € m € € m € € m € € m € € m € € m € (2/2) 7,061 3,215 1,177 9,856 2018 271 478 298 272 429 37 57 97 2 7,354 7,472 1,046 6,631 2017 330 508 332 193 377 40 57 80 2 7,771 6,644 1,004 4,434 2016 250 511 295 337 44 54 68 85 3 9,061 6,351 5,300 2015 255 747 447 287 777 48 82 65 53 3 << Agenda 9,067 6,231 5,290 2014 231 886 407 191 900 48 72 75 45 4 132 EnBW Factbook 2019 Financial and strategic performance indicators performance strategic and Financial 2 1 The figures 2017 have been restated. In relation to the profit/loss attributable to the shareholders of EnBW AG. Cash flowfrom operating activities Group net profit/lossnet Group Earnings pershare from Groupnet profit ROCE Valueadded financingInternal capability Net debt Net ratio Equity Free cash flow 6.2.1 2 Key performance figures performance Key 2018: year Fiscal 1,2 1 € m € € m € m € € m € m € % % % € 9,586.6 - 827.6 334.2 374.9 32.1 1.23 93.2 15.8 2018 6.5 - - 1,696.1 2,054.1 8,413.3 2,789.0 151.2 111.9 7.58 15.1 2017 7.3 << Agenda Changein % - - - - - 83.7 78.8 83.7 16.7 13.9 86.6 2.4 - - 133 EnBW Factbook 2019 5 4 3 2 1 LTIF:Time Lost Injury Frequency TOP TOP TOP TOP TOP TOP TOP Number of employees excluding apprentices/trainees and inactive employees. Variations in the group of consolidated companies (consideration of all employees at those companies controlled by the Group, Converted into full Variations in the group of consolidated companies (consideration of companies controlled by the Group [without The figures for 2017 have been restated. 6.2.2 EnBW/ Reputation Index Customerssociety and goal dimension SAIDI LTIF³ Employee Commitment Index ( Index Commitment Employee dimension goal Employees the share of the generation capacity accounted for byRE in % Installed outputInstalled of renewableenergies (RE) in Environment goaldimension CO - Full Employees Employeesof theEnBW Group 2 intensity in in g/kWh intensity (electricity) in min./year time equivalents time Yello - time equivalents. CustomerSatisfaction Index - Non 2018: year Fiscal 5 financial key performance figures performance key financial ECI 4 )² )² SAIDI: System AverageInterruption Duration Index GW and 1 ITOs ]). ex cept external agency workers and contractors). 31.12.2018 120/152 3.7/27.9 20,379 21,775 51.3 2018 2.3 553 17 62 31.12.2017 143/161 3.4/25.8 19,939 21,352 52.1 2017 3.0 556 19 60 << Agenda Changein % - Changein % 16.1/ 8.8/8.1 - - 10.5 23.3 - - - 5.6 1.5 3.3 0.5 2.2 2.0 134 EnBW Factbook 2019 2 1 › › › Group level The figures for the previous year have been restated. Investment result of €59.4 million, adjusted for taxes (investment result/0.706 held held as financial assets. the result from the sale of equity investments, the share of the result from entities accounted for using the equity method n by segment by Group EnBW the to added Value Value added WACC ROCE investment investment result EBIT adjusted Adjusted the incl. Average capital employed Increase in average average Increase in capital employed ROCE m) €151 (2017: Decrease in value added €32 m to 6.2.3 at 6.5 % compared to 7.3 % in the prior year prior the in % 7.3 to compared % 6.5 at 1 2 Fiscal year 2018: ROCE and value added value and ROCE 2018: year Fiscal € m € € m € € m € % % 1,037.0 140.0 220.3 21.2 2018 Sales 7.7 198.3 262.8 836.8 31.4 2017 - 7.7 investment investment result; with 0.706 = 1 7,019.8 393.1 768.4 10.9 2018 Grids 5.3 5,919.2 367.0 686.8 11.6 2017 5.4 - tax rate rate tax 3,667.4 123.7 - 29.4%). Does not include impairment losses and reversals to impairment losses on investments, 99.0 ot relevant to the ongoing management of the company and the result from equity investments 2018 Energies Renewable 6.1 3.4 3,276.9 164.9 - 36.0 2017 6.1 5.0 2,139.1 - 194.7 - 24.2 2018 - & Trading Generation 8.0 1.1 2,242.4 - 206.3 - 27.0 2017 - 8.0 1.2 2,190.0 - 46.6 2018 Consolidation / Other - - - 2,844.6 21.2 2017 - - - 16,053.3 1,041.6 32.1 2018 << Agenda Total 6.3 6.5 15,146.1 1,108.7 151.2 2017 6.3 7.3 135 EnBW Factbook 2019 in € m € in reporting Segment 1 The figures for 2017 have been restated Revenue Earnings indicators Internal Internal revenue Depreciation and amortisation EBITDA Adjusted EBITDA Total revenue External revenue Impairment losses using the equity method Netprofit/loss from entities accounted for Significant non 6.2.4 - cash items Segment reporting reporting Segment 2018: year Fiscal 1 7,738.5 7,061.4 677.1 232.6 270.6 - - 68.4 11.0 2018 - Sales 2.5 1.1 8,275.4 7,354.3 921.1 317.8 330.0 - 68.2 31.2 2017 - 8.6 3.7 (1/2) 5,568.5 2,353.1 3,215.4 1,120.0 1,176.9 - 457.5 22.2 51.1 2018 Grids 0.0 10,030.4 1,025.3 1,045.9 2,558.6 7,471.8 - 435.4 29.8 27.2 - 2017 0.8 - 810.6 333.1 477.5 285.1 297.7 173.7 - 48.3 2018 - Energies Renewable 0.8 4.8 - 622.5 331.7 160.4 - 788.8 281.3 507.5 13.5 - 2017 2.8 4.4 12,503.9 2,647.7 9,856.2 - 407.9 428.6 471.1 30.0 2018 - & Trading Generation 9.4 0.9 1,703.1 9,370.3 2,739.2 6,631.1 - - 377.1 422.8 111.3 - 2017 0.6 0.2 - - 6,004.0 6,011.0 - - 44.0 16.3 29.3 2018 - - Consolidation / Other 7.0 1.1 7.9 0.0 - - 6,490.9 6,500.2 - - 83.7 28.3 27.4 14.4 14.1 2017 0.0 9.3 20,617.5 20,617.5 - 2,089.6 2,157.5 1,200.0 - - 13.8 67.0 24.1 2018 << Agenda Total 0.0 - 21,974.0 21,974.0 3,752.4 2,113.0 1,114.2 - 134.2 47.7 43.3 2017 0.0 136 EnBW Factbook 2019 in € m € in reporting Segment 1 The figures for the previous year have been restated Assets and liabilities accounted for using the equity method which Of carrying amount of entities and property, plantand equipment Capitalexpenditure on intangible assets Capitalemployed 6.2.4 Segment reporting reporting Segment 2018: year Fiscal 1 1,009.4 (188.2) 91.5 2018 Sales 1,004.6 (198.8) 83.3 2017 (2/2) (402.1) 7,2139 959.3 2018 Grids 6,534.8 (386.0) 784.0 2017 3,843.2 (863,4) 138.9 2018 Energies Renewable 3,501.9 (670.2) 417.3 2017 2,164.4 (146.5) 160.3 2018 & Trading Generation 2,293.0 (133.6) 115.7 2017 2,714.6 (0.0) 19.5 2018 Consolidation / Other 2,021.0 (0.0) 18.9 2017 (1,600.2) 16,945.5 1,369.5 2018 << Agenda Total 15,355.3 (1,388.6) 1,419.2 2017 137 EnBW Factbook 2019 › › › 1 Adjusted for the effects from the reimbursement of the nuclear fuel rod tax by €200.0 million (previous year: € Adjustedretained cash flow Retained cash flow( Net (cash) investment Internal financingInternal capability Adjusted retained cash flow cash retained Adjusted Internal financing capability: financing Internal RCF 6.2.5 6.2.5 : Cash › › › › - In 2018 the value for internal financing capability was slightly below the target value of ≥100%. internally without the need to raise additional capital Key performance indicator for the Group's ability to finance its capital expenditures (net cash investment) Will be used for additional investment of €685 m from 2018 to 2020 Will be used for debt repayment of around €836 m in 2018 relevant earnings after settlement of stakeholder needs (interest payments, taxes, dividends) taxes, payments, (interest needs stakeholder of settlement after earnings relevant Internal financing capability financing Internal 2018: year Fiscal RCF ) 1 1 : A djusted for the following effects of the nuclear refund tax nuclear fuel the of effects the djusted following for € m € € m € € m € % 1,199.1 1,287.1 999.1 93.2 2018 - 1,520.8 million ). 3,050.3 1,529.5 1,367.1 111.9 2017 Changein % - - - 67.2 21.6 16.7 - 5.9 << Agenda 138 EnBW Factbook 2019 2 1 In relation to the profit/loss attributable to the shareholders of EnBW AG. The figures for the previous year have been restated. Group net profit net Group Total investments Total Retained cash flow External revenue Adjusted Group net profitnet Group Adjusted EBIT Share of adjustedEBITDAaccounted for byGrids Share of adjustedEBITDAaccounted for bySales Earnings pershare from Groupnet profit/loss Share of adjustedEBITDAaccounted for byRenewable Energies EBITDA Adjusted Share of adjustedEBITDAaccounted for byGeneration Tradingand Share of adjustedEBITDAaccounted for byOther/Consolidation Adjusted EBIT Adjusted EBITDA 6.3.1 2 1 Financial and strategic performance indicators performance strategic and Financial Half 2 - year 2019: year 2 1 € m € m € m € € m € m € € m € € m / % € m / % € m / % m € € € m / % € m / % € m € € m € 1.1. 1.1. – 719.8/56.4 204.9/16.1 261.2/20.5 - 108.8/8.5 30.6.2019 18.7/ 11,529.0 1,276.0 1,071.1 1,528.6 572.3 365.7 286.2 510.0 514.0 - 1.06 1.5 1.1. 1.1. 158.9/14.0 684.9/60.0 164.8/14.4 139.4/12.2 – - 10,073.0 30.6.2018 7.0/ 1,141.0 1,184.7 346.2 328.3 574.3 333.5 549.4 586.8 1.28 - 0.6 Changein % - 31.5/ 24.3/ 87.4/ - 5.1/ - - << Agenda 11.8 14.5 37.7 - 17.3 55.3 17.3 54.1 9.6 4.2 - / ------139 EnBW Factbook 2019 5 4 3 2 1 The number of employees for the Number of employees excluding apprentices/trainees and inactive employees. Variations in the group of consolidated companies (consideration of all employees at those companies controlled by the Group, The figures for the key performance indicators Reputation Index, Employee Commitment Index ( In relation to the profit/loss attributable to the shareholders of EnBW AG. Customer Satisfaction IndexEnBW/Yello for Customers goaldimension SAIDI Employeesof theEnBW group Employees goal dimension goal Employees and CO from from 31/12/2018 forward. carried is LTIF: Lost Time Injury Frequency - Full Employees LTIF 6.3.2 6.3.2 3 2 (electricity) in min/year time equivalents time intensity are solely collected at the end of the year. - Non Half ITOs - (ONTRAS financial performance indicators performance financial year 2019: year 4,5 Gastransport 2 SAIDI: System Average Interruption Duration Index GmbH, terranets bw GmbH and TransnetBW ECI ), installed output of renewable energies (RE) in GmbH) is only updated at the end of the year; for intervals of less than a year, the number of employees 1.1. 1.1. e xcept external agency workers and contractors). – 30.6.2019 30.6.2019 116/161 22,488 21,086 1 2.1 8 GW and the share of the generation capacity accounted for by RE in % 1.1. 1.1. 30.6.2018 – 30.6.2018 130/150 21,397 19,999 2.5 8 Changein % Changein % - 10.8/7.3 - 16.0 5.1 5.4 - << Agenda 140 EnBW Factbook 2019 Goal 1 Other / Consolidation accounts for € Finance Strategy GenerationTrading and Share of accountedresult for by Energies Renewable Share of accountedresult for by Grids Share of accountedresult for by /Sales proximity” “Customer Share of accountedresult for by Increasing Groupvalue High levelof financial discipline Secure profitability 6.4.1 6.4.1 1 Finance and strategy goal dimensions goal strategy and Finance - non and Financial - 0.02 billion / KPI EBITDA in € billion % billion / in EBITDA in € Share of overall adjusted % billion / in EBITDA in € Share of overall adjusted % billion / in EBITDA in € Share of overall adjusted % billion / in EBITDA in € Share of overall adjusted ROCE capability in % Internal financing € in Adjusted EBITDA - 0.7% of the overall adjusted EBITDA. bn in % in financial KPIs and targets: and KPIs financial 2018 0.4/19.9 0.3/13.8 1.2/54.5 0.3/12.5 6.5 93.2 2.2 Target 2020 0.3/15.0 0.7/30.0 1.0/40.0 0.4/15.0 8.5 >100 2.3 – - 2.5 11 capital. EnBW iscreating value for itsstakeholders. Return on capital employed ( andonly represents around of 15%the Group operating result. conditions changed to due framework billion in 2020 €0.3 to billion (reference 2012) year: 1.2 € from 80% by and Trading falls segment Generation the for The operating result of the Group operating result. EnBW isbecoming more sustainable. 30% around represents and billion in 2020 €0.7 to billion year: (reference 0.2 2012) € The operating result for the Renewable Energies segment increases by from 250% result. The share accounted for by stableregulated businessis expanding. operating Group the of 40%and around represents billion in 2020 €1.0 to year: 2012) The operating result for the Grids segment increases by 25% from 0.8€ billion (reference operating result. Innovations makethispossible. Group the of around represents 15%and billion in 2020 €0.4 to year: (reference 2012) The operating result for the Salessegment doubles from €0.2billion adjusted retained cashflow. The Group canthus finance itsown repositioning internally. The level of net financial debt iscontrolled by limiting net investment to the level of contributes this result. to around contributes 70% The total regulated business (Grids andRenewable Energies segments) together The operating result isto return tothe average level achieved before the ROCE ) is higher of than )higher cost the is Energiewende << Agenda . 141 EnBW Factbook 2019 Goal 1 LTIF: Lost Time Injury Frequency ² Variations in the group of consolidated companies (consideration of all employees at those companies controlled by the Grou Variations in the group of consolidated companies (consideration of companies controlled by the Group [without ITOs]). Customers & society & Customers Environment Employees Climate protection Climate Expandrenewable energies (RE) Occupational safety commitment Employee reliability Supply proximity Customer Reputation 6.4.2 6.4.2 Other goal dimensions goal Other - non and Financial CO capacity accounted for by REin % andthe share of the generation RE in of output Installed LTIF² ( Index Employee Commitment in min./year SAIDI Satisfaction Index EnBW / Index Reputation 2 KPI intensity in g/kWh (electricity) ECI Yello ) 1 SAIDI: System Average Interruption Duration Index Customer GW financial KPIs and targets: and KPIs financial 2018 3.7/27.9 2.3 17 120/152 51.3 62 553 Target 2020 5.0 / > 40 > / 5.0 year ≤previous < 25 159 > / 136 > 55.4 65 to to - 15 % 15 - 20 % 20 p, p, except external agency workers and contractors. meet the needs andwishes of their customers through tailored solutions andproducts. forefront forefront of thisdevelopment. compared with Onshore2012. andoffshore wind power and hydropower are atthe The share of the generation capacity accounted for by renewable energies hasdoubled falling. The number of accidents workat andthe resulting daysabsence of remains stable or is grids andplants and our abundant system expertise. reliability in the grid areaoperated by EnBW isbased on comprehensive investment in the further development of the grids of its grid subsidiaries. The high degree of supply Maintaining the quality of supply to itscustomers isof central importance to EnBW in loyalty. EnBW and and Yello EnBW improve itsreputation. In parallel withrepositioning itsbusiness model, EnBW aims to continuously future future viability of the company. The commitment our of employees to EnBW isvery strong and there isfaithin the 2020 compared to 606 g/kWh in the reference 2015. year in reference the g/kWh compared 606 to 2020 intensity of itsown generation electricity of (excluding nuclear power) by to 15%20% by EnBW actively contributes toclimate protection by successively reducing the CO₂ customers aresatisfied customers with ahigh level of customer Yello are organisations strongly oriented towardscustomers and << Agenda 142 EnBW Factbook 2019 4. 3. 2. 1. Agenda 7 − Capital Markets Capital −7 Agenda › › › › › › › › › Business Segments Segments Business Strategy Environment EnBW at a glance › › › GenerationTrading and Renewable Energies Grids Sales Markets Regulatory environment Political environment Key non- Key financials Compliance, Data Protection Decarbonisation, Innovation, Corporate Sustainability, Broadband, Contracting, Digitization, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW ...... financials ...... Corporate Governance, ...... page 66»» page 34»» page 6 »» page 3 »» 8. 7. 6. 5. Service Markets Capital - Non and KeyFinancials EnBW’sShareholdings Main › › › › › › › › › › › › › › › › › › › F Halfyear 2019 Fiscalyear 2018 Five Borusan AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. Energiedienst Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Financial Asset Management Important Contact details calendar Financial inance - year summary ...... strategic and other goal dimensions EnBW EnBW links Holding AG Holding Enerji ...... yatırımları financials ve ...... Üretim ...... A.S page 143 »» page 143 page 155 »» page 130 »» page 111 »» page 143 EnBW Factbook 2019 RCF: Retained cash flow 7.1 EnBW’sfinancial objectives EnBW’s financingstrategy Financial objectives and financing strategy financing and objectives Financial OCF: Operating cash flow › › › › › › › › › › and limit burden OCF on and burden limit provisions and nuclear pension future cover to Management Liability Asset Sophisticated debt financial net managing thus and RCF to limited Investments holders debt senior support capital to Hybrid long for - Well Diversifiedmarket approach - Multi Maintaining a strong credit standing credit a strong Maintaining risks rate interest Limiting liquidity of level sufficient Guaranteeing financing of Optimisation balanced spread maturity profile with preference preference withprofile maturity spread balanced pillar strategy offering maximum flexibility in financing in flexibility maximum offering pillar strategy - term financing for the purpose of risk mitigation risk of purpose the for financing term << Agenda 144 EnBW Factbook 2019 Strategic asset allocation asset Strategic 7.2.1 30% Illiquid assets (e.g. property) (e.g. assets Illiquid bonds) government equities, (e.g. assets Liquid Covering the Group’s pension and nuclear provisions nuclear and pension Group’s the Covering Management: Asset Financial 70% › › To › › › To To reach meet Liability Ensuring in Risk Diversification Effects Active statement line - EnBW‘s EnBW‘s optimised investment with management on on Management Model at the the are market functionality pension balance taken within investments targets trends of into the and and sheet long : account permitted nuclear of - with term term EnBW‘s Asset as the well a financial obligations performance same same time nine as income asset assets : classes 145 EnBW Factbook 2019 12,000 0 200 400 16,000 600 800 in € m € in EnBW’scash flow 1 Adjusted for inflation 4,000 8,000 16.000 12.000 7.2.2 4.000 8.000 800 200 400 600 0 2018 Financial Provisions EnBW nuclear and pension provisions still covered still provisions pension and nuclear EnBW Model Management Liability Asset Management: Asset 2020 - assets based model OCF: Operating cash flow p.a. € 300 on OCF on Max. Max. impact impact 2025 m 1 OCF contribution OCF contribution 2031 100% projected Coverage Assetcontribution 2031 2035 impact on on impact No OCF 2040 2045 << Agenda 146 EnBW Factbook 2019 in € bn € in 2 1 ³ As of 5 August 2019 August 5 of As ³ Rounded figures As of 30 June 2019 7.3 Debt Issuance Programme Issuance Debt Thereof €2.7 bn utilised Maturity date: 2021 Undrawn Syndicated financing sources financing various to access flexible a has EnBW 1 1.5 7.0 2.7 4.3 credit green line 1,2 Including €0.5 bn bn €0.5 financing financing Bilateral Hybrid bonds free 0.921 3.0 credit 2,3 green lines Including €1.0 bn bn €1.0 1,2 financing financing Commercial paper programme paper Commercial Thereof €0.6 bn utilised from the EIB the from and low financing Project 2.0 0.6 1.4 1 - interest loans interest loans << Agenda 147 EnBW Factbook 2019 Issuer:International EnBW FinanceB.V. L: Luxembourg, S: Switzerland, CCY: Currency asof 30 June 2019 Senior Senior Bond Type Senior Senior Senior Senior Senior Senior Green Senior 7.4.1 7.4.1 € € € € YEN € € € € CHF CCY EnBW’s EnBW’s bonds senior income:Fixed Denomination 100,000,000 100,000 100,000 100,000 100,000 1,000 1,000 1,000 1,000 5,000 Volume 20,000 ( 100 100 600 500 500 500 100 mn 50 75 ) (years) Term 30 30 22 25 20 30 15 12 20 10 16.12.2008 31.10.2018 15.1.2019 16.6.2014 13.6.2014 9.12.2004 12.7.2013 Issue date 1.8.2014 7.7.2009 4.6.2014 16.12.2038 31.10.2033 21.1.2041 16.6.2039 13.6.2034 16.1.2025 12.7.2023 1.8.2044 7.7.2039 4.6.2026 Maturity Coupon Coupon 3.880 2.900 2.080 3.080 2.875 6.125 1.875 2.500 4.875 2.250 (%) Interest date Interest .6. & & 16.6. 16.12. 31.10. 21.1. 16.6. 13.6. 16.1. 1.8. 7.7. 4.6. 1.7. Security A1HM5N A2RTNC A0DG9U A1AJTV A1ZJ9E (WKN) No. Private Placement Private Placement Private Placement Private Placement Private Placement CH0217677654 XS1074208270 XS0438844093 XS1901055472 XS0207320242 ISIN No. ISIN << Agenda Exchange Stock S L L L L 148 EnBW Factbook 2019 Bond Type Green HybridGreen HybridGreen Hybrid Hybrid Hybrid Issuer 2 1 L: Luxembourg, F: Frankfurt, asof 30 June 2019 Hybrid bond coupon initially Regulation S: These Notes are not offered or sold within the United Statesor to, or for the account or benefit of, U.S. pers 7.4.2 7.4.2 : EnBW Energie BadenEnergie: EnBW- € € € USD € CCY 1 EnBW’s bondsEnBW’s hybrid income:Fixed CCY: Currency Denomination 100,000 100,000 1,000 2,000 1,000 Württemberg AG Württemberg Volume 1,000 725 300 ( 500 500 mn 2 2 2 ) (years) 60.25 Term 60.5 60.5 62 60 5.10.2016 5.10.2016 18.3.2014 Issue date 5.8.2019 5.8.2019 5.11.2079 5.4.2077 5.4.2077 2.4.2076 5.8.2079 Maturity on s Coupon Coupon 3.375 5.125 3.625 1.625 1.125 (%) Interest Interest 5.11. 5.4. 5.4. 2.4. 5.8. date Security A2BN7K A2BN7K A2BPFD A2BPFD A2YPEQ A2YPEP A11P78 (WKN) No. XS1405770907 XS1405770907 XS1498442521 XS2035564629 XS2035564975 XS1044811591 ISIN No. ISIN << Agenda Exchange Stock F, L F, L L L L 149 EnBW Factbook 2019 in € m € in 4 3 2 1 First call date: hybrid maturing in 2079 CHF 100 million, converted as of the reporting date of 5.8.2019 First call date: hybrid maturing in 2077; includes USD 300 million (swap in €), coupon before swap 5.125% First call date: hybrid maturing in 2076 1,000 7.4.3 7.4.3 2021 1 2022 993 2 Maturities of EnBW’s bonds EnBW’s of Maturities Income:Fixed 2023 92 3 2024 500 Senior bondsSenior Firstcalldatesof green hybridbonds Firstcalldatesof hybrid bonds 4 2025 500 2026 500 2027 500 5 …. 2033 500 Green hybrid bonds hybrid Green bonds Hybrid bond Green 2034 100 …. 7 6 5 170 2038 Includes USD 300 million, converted as of 5.10.2016 JPY 20 billion (swap in €), coupon before swap 5.460% First call date: hybrid maturing in 2079 6 2039 700 …. 2041 75 …. 2044 50 …. 1,000 2076 2077 993 7 1,000 2079 << Agenda 150 EnBW Factbook 2019 Rating: Sound financial policy has allowed EnBW to maintain A category ratings › › › › › › › 7.4.5 within Baden- Leadershipposition as verticallyintegrated utility Strong shareholdersupport acquisitions of VALECO Anticipated erosion of financial flexibilityfollowing programme investment Certain execution risksrelating to large markets retail environment in conventional generation challengingand Evolvingoperating environment in Germany for credit quality demonstratedcommitment to maintaining a robust Historicallybalancedfinancial policyand EnBW continues to invest in line withstrategy its growing share of renewablesunder contracts, as distributionand transmission activities and ofAround50% EBITDA from low Wuerttemberg Credit Ratings Credit income:Fixed a and Plusnet A3 - risk regulated risk 14 June 2019 June 14 in 2019 in / negative / › › › › › › › › - Well renewables regulatedriskactivities and long Increasing shareof operating income from low commodity significantStill exposure to volatileand conventional powergeneration Difficult operating environment in Germanyfor segment in Taiwan, theand U.S., France Geographical diversificationin the renewables Moderate likelihood of government support government of likelihood Moderate Prudentfinancial policy acquisitions, in line with the company's strategy new of integration the followingincrease Debt diversified sources of cash flow of cash sources diversified - driven wholesale power prices power wholesale driven - term contracted A 26 July 2019 July 26 - / stable - › › › › to the senior unsecuredrating sustainedbasis,Fitch maya applyone Ifthe shareof regulatedexceedsEBITDA on 50%a respectto fundsfrom operations ( stronger than peers, with some exceptions with Average forecast credit metrics are generally paymentrisk; of €4.8 offsetpartlyresidualbynuclear decommissioning High earnings visibilityin gridsand renewables contracted businessprofile Continued evolutiona more towards regulatedand charge cover reducedsubstantiallythese risk responsibilityfor nuclear waste storage has bn for transferring transferring for 28 September September 2018 28 A FFO - ) fixed - << Agenda notch uplift / stable 151 EnBW Factbook 2019 Stock exchange information exchange Stock Shareholder structure Shareholder 2 1 100% subsidiary 100% of subsidiary May not add up to 100% due to rounding; ISIN Stock markets Stock Classof share shares of Number Indices level Transparency abbreviation exchange Stock 7.6.1 7.6.1 EnBW EnBW Other Other shareholders OEW Badische Neckar Gemeindeelektrizitätsverband NECKARPRI /securityidentification no. Energie- Energie - Elektrizitätsverband Energieaktionärs NECKARPRI - Beteiligungsgesellschaft Shareholder structure Shareholder market: capital Equity Beteiligungs Baden GmbH, which is a 100% subsidiary of the State of Baden - Württemberg Figures Figures as of 31 December 2018 1 - GmbH GmbH Vereinigung Schwarzwald Over Regulatedmarket: Frankfurtand Stuttgart no Ordinary 276,604,704 GeneralAllShare, DAX sectorUtilities, AllCDAX GeneralStandard BloombergEBKGY/reutersEBK/EBKG.DE 522000 DE0005220008/ - AG the mbH - counter trading:counter Berlinand Munich - 2 par valuebearershares - Donau - Württemberg 46.75% 46.75% 0.63% 2.08% 0.39% 2.45% 0.97% << Agenda 152 EnBW Factbook 2019 3 2 1 Distribution in terms of eligible shares as of year Total number of shares 276.605 million shares Share price based on closing price trading the EnBW share in Dividend pershare Dividend Market capitalisationas of 31December Annual high Stock exchange trade(total) Annual low Stock exchange trade(daily average) Distribution Closing price Closing Numberof shares outstanding 7.6.2 3 EnBW share in figures in share EnBW market: capital Equity 2 as of 31 December 31of as - end. XETRA Number of Number Number of Number Thousand shares shares shares € € m € bn 1 € € € € 270,855 86,190 34.00 25.40 29.20 0.65 2018 176 435 8.1 270,855 157,021 135.4 29.63 20.00 28.78 0.50 2017 604 7.8 270,855 80,173 24.25 18.29 19.69 0.00 0.00 2016 391 5.3 270,855 125,440 149.0 27.00 20.21 20.62 0.55 2015 568 5.6 << Agenda 270,855 157,809 186.9 28.39 24.50 25.60 0.69 2014 711 6.9 153 EnBW Factbook 2019 7.7 7.7 Financial Discipline Key financial indicators financial Key High Levelof Group Value Profitability Increasing Securing - 8.5 ROCE Net Investments >0 Investments Net minus Flow Cash Retained InternalFinancing Capability adj. EBITDA contribution by 2020 by contribution EBITDA adj. ~70% with Renewables Grids and Transformation Portfolio 11.0 > WACC Solid investment grade ratings grade investment Solid Markets Capital toAccess Cap on operating cash flow of €300 m p.a. m €300 of flow cash operating on Cap Model Management Liability Asset provisions nuclear and pension of Coverage Adj. EBITDA Target2025€3.0 Adj. EBITDA Target2020€2.3 (medium Payout ratio of 40% of ratio Payout Level Dividend Sustainable - term term target) - - 3.3 3.3 2.5 bn bn - 60% << Agenda 154 EnBW Factbook 2019 4. 3. 2. 1. Agenda 8 − Service − 8 Agenda › › › › › › › › › Business Segments Segments Business Strategy Environment EnBW at a glance › › › GenerationTrading and Renewable Energies Grids Sales Markets Regulatory environment Political environment Key non- Key financials Compliance, Data Protection Decarbonisation, Innovation, Corporate Sustainability, Broadband, Contracting, Digitization, Research and Development, Further strategic aspects: 2025Strategy EnBW 2020Strategy EnBW ...... financials ...... Corporate Governance, ...... page 66»» page 34»» page 6 »» page 3 »» 8. 7. 6. 5. Service Capital Markets - Non and KeyFinancials EnBW’sShareholdings Main › › › › › › › › › › › › › › › › › › › F Halfyear 2019 Fiscalyear 2018 Five Borusan AG VNG Stadtwerke Düsseldorf Group Pražská energetika, a. s. Energiedienst Important Contact details calendar Financial Key financial indicators Share Shareholder structure Credit Ratings Maturity profile Bonds Financial Asset Management inance - year summary ...... strategic and other goal dimensions EnBW EnBW links Holding AG Holding Enerji ...... yatırımları financials ve ...... Üretim ...... A.S page 155 »» page 155 page 143 »» page 111 »» page page130 »» 155 EnBW Factbook 2019 13 November 2020 13 November 30 July 2020 15 May2020 12 May2020 26 2019 8 November 8.1 8.1 March 2020 Financial calendar Financial Quarterly Statement January to September Quarterly 2020 September to January Statement Six Quarterly March to January Statement 2020 General Meeting Annual Report Integrated 2019 December to Annual January Quarterly 2019 September to January Statement - Monthly 2020 ReportFinancial June to January Upcoming Events << Agenda 156 EnBW Factbook 2019 8.2 8.2 [email protected] 721 +49 T Senior Manager Investor Relations von Julia [email protected] 721 +49 T M&A and Investor Relations HeadFinance, of Ingo PeterVoigt – – Wietersheim 6312060 6314375 Contact details Contact [email protected] 721 +49 T Manager Investor Relations Lea [email protected] 721- +49 T Director Capital Markets Peter Berlin Gantz – 6312844 6313646 › Service- › › › banks requirements Investor Active As generating groups strategic interest investors investor EnBW only in focused InvestorRelations communication is a of enable a decisions aware relations small and Relations timely our value credit of investors proportion of us added manner investors, . the activities analysts to strives and importance . underscore . is of ongoing always on our analysts, concentrate to the shares of of buy meet dialogue investor EnBW’s relevance rating and are the on sell in with relations agencies free potential fixed side when information the float, << Agenda . - income taking target . The and our for 157 EnBW Factbook 2019 EnBW currentEnBW ratings Maturitiesofour bonds Financing facilities IntegratedAnnual Report Six Calendar Financial Energies Renewables EnBW EnBW EnBW OverviewSupervisory Board EnBW Overview EnBW EnBW group 8.3 8.3 monthly report 2019 monthly Strategy Relations Investor online Board of Management of Board Important links Important 2018 https://www.enbw.com/company/investors/bonds/ratings.html https://www.enbw.com/company/investors/bonds/index- https://www.enbw.com/company/investors/strategy/ https://www.enbw.com/enbw_com/bericht/bericht_2018/downloads/integrated https://www.enbw.com/enbw_com/downloadcenter/quarterly https://www.enbw.com/company/investors/events/finance https://www.enbw.com/renewable https://www.enbw.com/company/investors/strategy/group https://www.enbw.com/company/the https://www.enbw.com/company/the www.enbw.com/investors www.enbw.com - energy/renewables/ - - group/about group/about - - us/supervisory us/executive en.html - - calender/ strategy.html - statements/six - board/ - board/ - monthly - annual - - financial report - 2018.pdf - report - january - to - june - 2019.pdf << Agenda 158 EnBW Factbook 2019 are at EnBW presentation current This Future consent EnBW Unless not company sell not This No which offer 8.4 8.4 constitute indicated constitute securities presentation presentation . Group - Such . oriented indicated assumptions, or they All of investment the future descriptions, for and by are an issued a EnBW illustration Important statements the is request, has offer, otherwise, published contains - calculated oriented context, plans, by been Group recommendation an EnBW instruction examples invitation prepared purposes future estimates statements for or all but according Energie any the data may - oriented other first and or for note only or contained and also Baden a are to information time recommendation . calculations company recommendation IFRS forecasts be statements therefore . - Future identified Württemberg . hereinafter . This purposes of - only oriented are the that presentation by valid included management to to the are AG refers vote purchase only statements at use (EnBW), based the . or It in to of does does time give this the the on or of a performance Actual uncertainties diverge By expressions “assumes”, words statements EnBW complete, assumed . presentation No actually contained obligation nature, “may”, assumes events, occur considerably otherwise correct in to . of to “forecasts”, that future Therefore future this in “will”, EnBW update future the no cannot or presentation - future events oriented obligation that from “should”, and precise the results, it be the . cannot these information or the “potentially” controlled companies developments or statements future “plans”, of or the that future be any to financial guaranteed - expected oriented adjust - or kind of oriented “intends”, or accurately the . are to “continued” EnBW or position, statements and update subject nor update statements “expects”, forecast Group predicted can development the future any to may made and << Agenda results information risks “believes”, will liability by therefore - oriented similar in EnBW prove this and will be or .