2020 Integrated Report About This Report
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2020 Integrated Report About this Report ENGIE's Integrated Report provides a comprehensive, The report was drafted by the CSR Department forward-looking vision of the Group, its purpose, and produced with the active involvement of the ambition, strategy, objectives, governance and value functional departments, businesses and BUs that creation. Modeled on the reference framework of worked throughout the process to select and structure the International Integrated Reporting Council (IIRC), the information. The 2020 Integrated Report has the Integrated Report forms part of an approach been approved by the Executive Committee and the to medium-term value creation and the systematic Ethics, Environment and Sustainable Development reconciliation of financial and CSR approaches. In it, Committee of the Board of Directors of the Group. It ENGIE presents its contribution to the most significant has been reviewed by the Statutory Auditors, who United Nations Sustainable Development Goals (SDGs) have validated its compliance with the indicators in terms of its activities. verified by them. (n: moderate assurance for audited indicator and n n: reasonable assurance for audited indicator). An audit statement appears on page 65 of the report. This report was prepared under difficult conditions due to the Covid-19 health crisis. We would like to thank all the contributors who worked during this period. We are thinking in particular of our colleagues involved in the provision of essential services and of all the people mobilized in the health management of this crisis. We hope you find this report useful! #Stay at home Major developments in the ENGIE Integrated Report 2014-2015 2016-2018 2019-2020 Publication of ENGIE's first integrated report, Presentation and implementation of the Presentation and implementation of the drawn up on the basis of a first "interim" 2016-2018 transformation plan, which 2019-2021 strategy, which aims to position version submitted for consultation with the repositioned ENGIE on three activities: the Group as a world leader in the Group's stakeholders. renewable energy, energy efficiency and energy and climate transition. natural gas. The 2020 edition includes a climate notebook, a customer focus and a statement by the Statutory Auditors on the audited CSR indicators. SEE ALSO 2020 INTEGRATED REPORT > ENGIE’s Contribution to Sustainable Development Goals > pp. 50-51 2019 UNIVERSAL REGISTRATION DOCUMENT > Statement on Non-Financial Performance > Chapter 3 engie.com: https://www.engie.com/en/group/social-responsibility PLAN REPORT I 01 Group Profile 02 Editorials 04 Summary of the ENGIE Integrated Report 1 STRATEGY 06 Guided by its purpose to "act to accelerate the transition Consultation central to to a carbon-neutral economy*," ENGIE continues to the definition of our purpose 07 Our vision of energy implement its strategy to become the leader in the market trends 08 energy and climate transition. Convinced that value Our 2019-2021 strategy 09 creation must be understood in its entirety, the Group Main achievements in now relies on an integrated business model, focused 2019 and early 2020 13 on four major activities: client solutions, Our objectives 14 renewable energy, networks and thermal. Our commitments in the fight The Board of Directors and the Executive Board are against climate change 16 the guarantors of this model of responsible capitalism: Our other commitments 20 they rely on attentively listening to the Group's internal Our business model 22 and external stakeholders, as well as on the highest Client solutions 24 standards of governance. Renewable energy 26 Networks 28 By developing its activities toward a carbon-neutral Thermal 30 economy, ENGIE strives for harmonious development in Other activities 31 its ecosystem. This model, which is profitable for the 2 GOVERNANCE 32 Group and its shareholders, creates – very concretely – The Board of Directors 33 economic, social, environmental and societal value for An expert and engaged Board 34 all its stakeholders. Strong involvement of Board Committees 34 Executive Board 36 Our organization 37 Human Resources 38 Corporate Social Responsibility 40 * Subject to approval by the 2020 General Shareholders’ Meeting Ethics and Compliance 42 Vigilance Plan 43 Risks 44 3 VALUE CREATION 45 Our customers at the center of our value creation 46 Challenges bringing risks and opportunities 48 ENGIE’s contribution to Sustainable Development Goals 50 A sustainable carbon-neutral transition 52 A carbon-neutral transition that serves everyone 56 A competitive carbon-neutral transition 58 A carbon-neutral transition that brings people together 60 A carbon-neutral transition for the future 62 Distribution of value in 2019 64 Statement and indicators 65 02 I INTEGRATED REPORT ENGIE 2020 GROUP PROFILE An energy Group mobilized to become a leader in the energy transition ENGIE is a global energy and services group based on four major activities: client solutions, renewable energy sources, networks and thermal power generation. Driven by the aim of contributing to harmonious progress, ENGIE is facing up to major global challenges such as combating global warming, access to energy for all and mobility, and is offering its customers – companies, the tertiary sector, cities and regions – energy production NORTH AMERICA solutions and services that bridge the gap between individual interests and 3.6GW €4.5 bn installed 1.2GW collective challenges. revenues capacity of which 1.3 GW renewable Low in carbon, its integrated, effective 0.1GW and sustainable offers rely on digital technology. Going beyond energy, they foster the development of new uses and new 6,300 employees ways of living and working. Every day, 171,100 employees are working toward ENGIE’s ambition. ENGIE has its purpose enshrined in its bylaws*, and has set up new medium-term objectives (2030) to support its customers and partners in a carbon-free world LATIN AMERICA 19.7GW 1.0GW 12.2GW €5.3 bn installed revenues of which 14 GW renewable 0.7GW 4,500 km natural gas transmission 14,300 employees * Subject to approval by the 2020 General Shareholders’ Meeting PROFILE I 03 €189 m + 3 GW €10.7 bn +4,500 km 52.7GW spent on installed revenues in natural gas natural gas installed research and renewables capacity portfolio for transmission capacity at the close development (R&D) in 2019 customer solutions network of 2019 in 2019 in 2019 in 2019 EUROPE GROUP 36.6GW 4.3GW 4.1GW 96.8GW 7.4GW 16.3GW €47.3 bn installed capacity €60.1 bn installed revenues of which 9.8 GW revenues capacity renewable of which 26.9 GW renewable (28%) 1.1GW 2.6GW 34,900 km 39,400 km natural gas natural gas transmission transmission 171,100 137,200 employees employees EAST MIDDLE 28.7GW €1 bn installed revenues capacity 3,100 ASIA & OCEANIA employees 5.2GW €1.7 bn installed 0.3GW revenues capacity AFRICA of which 0.9 GW renewable 0.6GW 3GW €0.2 bn installed 0.7GW revenues capacity of which 0.8 GW renewable 0.1GW 6,700 employees 3,500 employees 04 I INTEGRATED REPORT ENGIE 2020 Editorial “ In 2020, our purpose must be indistinguishable from our actions. ” Jean-Pierre Clamadieu Chairman of the Board of Directors EDITORIAL I 05 very year for the past seven years, At the time of writing, the world is facing an ENGIE’s integrated report has presented unprecedented health crisis, which has taken hold in Eour understanding of developments in many parts of the world for an indefinite period. In the world of energy, clarifiedthe challenges, these unprecedented circumstances, the Group has affirmedour commitments and ambitions fully mobilized to protect the health of our and explained our strategy. employees, subcontractors and customers, continue our operations where our activities are often This report is intended for our shareholders, indispensable, ensure the quality of service and employees and, more broadly, civil society actors, information to our customers and preserve the and it aims to give meaning to our actions and sustainability of our ecosystem. greater transparency to our approach and the setting of our objectives. It illustrates our main Published earlier than last year at the request achievements and demonstrates the economic of our investors, this edition of the integrated report value that our projects create for all of our has been enriched with a climate notebook, a stakeholders in line with our CSR commitments. stronger customer focus, and it gives a detailed presentation of our 2030 objectives and the changes ENGIE is an actor with a commitment to CSR. in our business model while continuing to give voice Our historical adherence to the 10 Principles of the to several of our stakeholders. United Nations Global Compact is currently expressed in our many commitments and actions for the planet On behalf of our Board of Directors, I invite you to (climate, biodiversity, water, circular economy, etc.) read this 2020 integrated report, which is the product and for people (gender balance, youth, the disabled, of a collaborative effort internally and externally that minorities, access to energy, etc.). These actions is informed by and enriching for all those involved. contribute primarily to 12 of the 17 United Nations Sustainable Development Goals. The year 2019 was marked by the launch of a new strategic plan based on four priority activities and by a participatory reflection on our Group’s purpose, which will be put to the vote at our General Shareholders’ Meeting. In 2020, our purpose must be indistinguishable from our actions. We will continue to deepen our strategy to make it even clearer and more effective, along with the recruitment process for the future Chief Executive Officer, who will be in charge of its operational implementation. 06 I INTEGRATED REPORT ENGIE 2020 STRATEGY Guided by its purpose "to act to accelerate the transition to a carbon-neutral economy*," ENGIE continues to implement its strategy Making the to become the leader in the carbon-neutral transition.