In this uncertain environment, ENGIE's strategy for a balanced, affordable, and resilient energy mix has proven its relevance and we have stayed on track! offers FT membership to read for free. We completed the SUEZ transaction in October and launched further strategic reviews. So when you will reinvest? I will try and stick to two questions, too. As CEO, Catherine MacGregor will focus on defining and implementing the Group's strategic road map, in particular around the two priority areas announced in July 2020 by the Board of Directors: speeding up growth . Renewables showed continued progress and overall operational resilience to COVID with organic growth of 11% in 2020. French utility's new chief Catherine MacGregor to increase investment in renewables. Yes. Bereits 2025 wolle Engie wieder einen Gewinn von bis zu 4,7 Mrd. I think on the question of network convergence between gas and power, I think were a bit obviously, different drivers behind this, one, which is the trend towards more electrification is something to stay. We will now take our next question from Peter Bisztyga with Bank of America. The enshittification of apps is real. On the 100 million, quite frankly, there isnt any unusuals that you should assume. Again, especially when it comes to replace when it replace coal. And with that, Im pleased to hand you over to Catherine. On May 18, 2021, ENGIE's Chief Executive Officer Catherine MacGregor unveiled the Group's strategic roadmap, to reaffirm ENGIE as a leader in the energy transition. And so we have assumed a very strong recovery like we have seen it in the second half. Some of your peers there have convinced the market that they transitioned to hydrogen. You may now disconnect. Im just wondering, youve identified sort of the identity of Renewables, Networks and across Client Solutions. So you say the inflection on the strategy last summer, ENGIE already has started pretty fast on that as you flagged. Any changes made can be done at any time and will become effective at the end of the trial period, allowing you to retain full access for 4 weeks, even if you downgrade or cancel. You may also opt to downgrade to Standard Digital, a robust journalistic offering that fulfils many users needs. Her appointment as a member of the Group's Board of Directors will be proposed for approval at the General Shareholders' Meeting in 2021. Aarti Singhal - Director of Investor Relations. We will then consider next steps and review future ownership options for the new entity in the second half, maximizing value and acting in the interest of all our stakeholders. The Board has reaffirmed the groups dividend policy and proposed for 2020 a payout ratio of 75%, which is at the top end of the range. #economics #business #culture, Chief Executive Officer at Masdar (Abu Dhabi Future Energy Company). I think the team has done, so far, a really nice job. She was in charge of the entitys IPO. During your trial you will have complete digital access to FT.com with everything in both of our Standard Digital and Premium Digital packages. En juillet 2019, elle est candidate au poste de prsidente de Schlumberger, mais le conseil d'administration prfre nommer Olivier Le Peuch. Premium Digital includes access to our premier business column, Lex, as well as 15 curated newsletters covering key business themes with original, in-depth reporting. MacGregor will take the helm at Engie in January 2021, joining from TechnipFMC Group where she has spent just over a year as head of Technip Energies. We invested 7.7 billion of CapEx in total. analyse how our Sites are used. Currently under construction is the 1,000-kilometer Gralha Azul project and the 1,800 kilometers Novo Estado project. From 2013 to 2016, she served as President Europe & Africa at Schlumberger, before being promoted in 2017 to President of the group's drilling activity, based in London. If youd like to retain your premium access and save 20%, you can opt to pay annually at the end of the trial. So I would like to hear your opinion, how maybe your story might be slightly different from electric renewables players, how we maybe think about the gas network as a funding option for the renewables growth. - Contribute to measures to support purchasing power These headwinds were partially offset by various one-offs, including an internal negative 2019 one-off mirrored in Networks. Finally, on Client Solutions, we see a strong growth potential driven by decarbonization and energy efficiency, especially in heating and cooling networks, on-site generation, and green mobility among other asset-based solutions. As you put a fresh perspective into this organization, do you see room for improvement in terms of organization? We support credit card, debit card and PayPal payments. For more information and how to manage your privacy settings, please refer to our privacy and cookie policies. Welcome to the utilities world. So in short obviously, its a topic we could talk for hours. Enel nearly tripled, Orsted quadrupled. Thank you very much for your attention, and I would like to turn now the line back to the operator for the Q&A session. These headwinds were partly offset by a 700 million positive change in working capital requirements from energy management activities driven by dynamic management of margin calls in 2020 in a context of extreme volatility of commodity prices. Precisamos de 20.000 apoios para que a ideia se transforme em lei. And so obviously, a decision that we communicated today is based on a scenario where it is unlikely that the lifetime extension happens. and other data for a number of reasons, such as keeping FT Sites reliable and secure, The second half of 2020 showed a strong recovery after second quarter, which has which was heavily impacted by COVID. It will also require some infrastructure, maybe not with the same density at todays gas network. But on defining the structure, does that mean we have a disposal in Q3, Q4? Economic net debt-to-EBITDA ratio was four times stable compared with December 2019 and better than 2020 guidance. We also suffer from the same crisis and have also contributed to this, especially in the Corona years. Catherine Fiamma MacGregor is an Influencer, https://noviocean.energy/novigenews-oeec-startup-award-green-tech-net-zero-future, https://www12.senado.leg.br/ecidadania/visualizacaoideia?id=167822. And so the number that I quoted, which was the injection that we did last year, you start to see that it becomes meaningful. And so from a financial impact standpoint, unlikely to be a 2021 story. Together, let's continue to make a difference! We are investing significantly in these activities to ensure safety and reliability as well as improving energy efficiency. Find here the list of all the sessions presented by this speaker in order not to miss any of it. Following which, as usual, well open the lines for Q&A. Yes. Its youre obviously guiding for a significant improvement in Supply COI this year versus last year. I just had indeed, I will stick to two questions as well, maybe a strategic 1 as well and a more detailed 1. Renewable #Gas: We continue to make progress, with 459 #biomethane production units connected to our networks in France, and with 5 of our #hydrogen projects in Europe selected to benefit from public aid from the European Commission. The Board of Directors decided on Catherine MacGregor's appointment as ENGIE's Chief Executive Officer on 2 October last year. In addition to EVBox, we expect to execute disposals of around 2 billion, aligned with the group simplification. It is such an exciting time to have joined ENGIE, exciting time for the group and for the energy industry as a whole. And thats really the key part of what we do. Now simplification is a bit of a general concept, and I was hoping for a bit more color from your part. And then I also had a question on the coal phase out. Our focus is on disciplined investment through organic growth and through targeted acquisitions that offer good returns. The ENGIE Board set out strategic orientations for the group last year in July 2020, and my new executive team and I have three clear priorities: firstly, simplifying the group at pace; secondly, investing further, investing in renewables, networks and asset-based client solutions, as these are areas of competitive strength for ENGIE; and finally, strengthening our groups commitment to the energy transition. So if you add those two effects together, you go from 150 million positive to roughly 160 million positive in 2021. You mentioned diversity of vast diversity of business line, et cetera. And I think the way I want to say this is I think we know the broad plan now for the business, but I think its also important to look back at the last 5 years and understand why essentially the investment thesis has not delivered so far for shareholders. On 14th of January, I announced a new executive committee, and Im very pleased that Paulo, Edouard, Ccile and Sbastien have started their new business roles. Catherine, the floor is yours. We have a very nice digital platform to help us manage our assets better. 2020 was really a milestone year for ENGIE in the U.S. with nearly 2 gigawatts of this new capacity commissioned across four states, taking our total installed renewable generation there to over 3 gigawatts. Now having said that, we are also very excited about transitioning our gas systems into renewable and by that, I mean, renewable gas. Premium access for businesses and educational institutions. So to summarize, ENGIE made progress at pace in 2020. Aged 48 and an engineering graduate of cole Centrale Paris, Catherine MacGregor started her career at Schlumberger in 1995, where she spent 23 years in positions of international responsibility, notably as group HR director. So there will be a capital gain on this. This is one of the largest renewable PPAs signed with an industrial group in Belgium and demonstrates the growing appetite for PPAs from a broader range of customers. Engie has been riven in the past by fights between chairman and CEO and is a company where the board plays a big role in shaping strategy. How the biggest companies plan mass lay-offs, The benefits of revealing neurodiversity in the workplace, Tim Peake: I do not see us having a problem getting to Mars, Michelle Yeoh: Finally we are being seen, Our ski trip made me question my life choices, Apocalypse then: lessons from history in tackling climate shocks, Smart data to help spot risk and opportunity, Lex, our agenda-setting business commentary (Premium only), Due Diligence, an exclusive M&A newsletter (Premium only). Some others, there is still a good portion of assumption that there might be a stranded asset. So again, of course, I mean, it 2020 was heavily impacted. Ocean Winds to rival Orsted as Engie and EDPR unveil new offshore giant, Only female CEO of a major European utility sacked by board. Tout au long de cette priode, les quipes d'Elengy, Storengy - ENGIE, GRTgaz, GRDF Catherine Fiamma MacGregor on LinkedIn: nergie : la consommation de gaz a baiss de 6,2% en France en . And my second question will be more accounting related regarding EVBox. Sur cette version linguistique de Wikipdia, les liens interlangues sont placs en haut droite du titre de larticle. currently to 4 GW p.a. And so were confident to be able to invest in lots of opportunities that Catherine talked about. Net interest expense was also slightly higher driven by negative FX and lower cash remuneration. Now the guidance for 2021. Is this happening to you frequently? For a full comparison of Standard and Premium Digital, click here. This button displays the currently selected search type. Were going to really focus on a few geographies. And we will now take our next question from Vincent Ayral with JPMorgan. These projects further cement Masdars position as a leading clean energy powerhouse, helping Azerbaijan to unlock its tremendous clean energy potential. Are you talking about Q3, Q4 for the end game? In addition, her appointment as Board member of the Group will be proposed for approval during the General Shareholders Meeting in 2021. And so the amount will be much lower than what you have seen in 2020. From 2019 to 2020, she was a member of TechnipFMC Executive Committee and the head of Technip Energies, More information, our agenda as well as the opportunity to register are available here: https://fusion.concur.com/. DN Media Group is the leading news provider in the shipping, seafood, and energy industries, with a number of English- and Norwegian-language news publications across a variety of sectors. So and then maybe Ill add that there is also, I think, a lot of things we can do and we are doing, and we will continue to do and even increase around industrialization, procurement, supply chain, of course, digital. Im Aarti Singhal, Director of Investor Relations at ENGIE, and welcome to our 2020 annual results conference call. Although we were in crisis management most of 2020, we did not lose focus on our long-term objectives and continued to invest for the future. Its been a period in which the sector was exceptionally strong. This impact was partially offset by higher achieved prices for our hydro power production and higher volumes produced mainly by our wind assets. But in short, we have big ambition, but we will be disciplined. And what is your philosophy there? And so were excited about this transaction. It's inspiring to see how ENGIE's strategy for a balanced, affordable, and resilient energy mix has proven its relevance in these uncertain times. commentary and analysis you can trust. And so every year, we will allocate capital to that, and thats 1.3 billion a year. Okay. To read more about DN Media Group, De mme pour Angeles Garcia Poveda, prsidente du conseil d'administration de Legrand et Barbara Dalibard, prsidente du conseil de surveillance de Michelin. The second quarter was unprecedented and very, very stringent lockdown measures in our main countries. So let me start then with your question on Thermal. About Catherine MacGregor MacGregor became the CEO of French energy company Engie in January 2021. (Tech. Elle est ingnieur, diplme de l' cole centrale Paris, dont elle sort en 1995. As always, my team and I are here to assist you, so do please reach out. But we really want to focus on a return-based growth strategy. Obviously, well give you more color on our ambition on renewables in May. on the development of flexible and resilient energy systems. In addition, we had higher contributions from power transmission lines in Brazil as their construction is progressing well. I know weve heard from the Chairman very helpfully on this last year, but I think wed love to hear your thoughts on this. Have a nice day. Thats one thing. Let me start with your second question, and then I will hand over to Judith, who will go through the details of the impairment impact, if you dont mind, Rob. We will now take the next question from Meike Becker with Bernstein. You can update your choices at any time in your settings. Judith, you want to start with the EVBox question? We think its important to have a system play on renewables. And Judith will give you a little bit of the background and more details on the rest. Our portfolio of wind and solar assets has an average age of five years with an average residual contract duration of 15 years, which offers us with good visibility of earnings. And still on the asset rotation, this leaves you probably, I dont know, 12 billion of total proceeds, maybe overall when we put everything all together. Financial net debt decreased by 3.5 billion to 22.5 billion from December 2019 primarily due to disposal proceeds. Our regulated networks offer stability and visibility of earnings to the group with regulatory remuneration arrangements in place through to 2024. If you do nothing, you will be auto-enrolled in our premium digital monthly subscription plan and retain complete access for 65 per month. Second, change in working capital requirements from activities, excluding energy management, had an impact of negative 200 million. We continued to put in place dedicated action plans, including OpEx reductions and G&A resizing. In addition, ENGIE also progressed geographic rationalization and strengthened its position in key regions. This was also driven by higher operational contribution of Brazilian assets and by improved performance from Middle East gas contracted activities.