E.on Se · XETR:EOAN
E.on — Investor Day (September 2004)
19 slides from E.on's investor day presentation, Sep 6, 2004
Slide 1: Capital Market Day
Capital Market Day Munich, September 6, 2004
Slide 2: Generation: The Source of our Power
Generation: The Source of our Power Prof. Rainer Frank Elsässer Member of the Board of E.ON Energie AG
Slide 3: Agenda
Agenda Activities Challenges Strategy Page 3
Slide 4: Optimizing an integrated value chain in Central Europe
Optimizing an integrated value chain in Central Europe Market Shared service Trading & Retail & distribution, Generation management companies optimization transmission nuclear IT hydro Engineering fossil & waste ZSE incineration Facility management Page 4
Slide 5: Agenda
Agenda Activities Challenges Strategy Page 5
Slide 6: E.ON Energie is a major player in the European market
E.ON Energie is a major player in the European market Installed power generation capacity of 27,055 MW Germany y E.ON Energie’s total installed capacity in Germany of 25,130 NL MW corresponds to a 25 % B D PL market share L The Netherlands CZ y E.ON Energie’s installed capacity is 1,770 MW SK CH A C
Slide 7: Power Generation is organized in three Business Units
Power Generation is organized in three Business Units Power Generation E.ON Energie in Germany Total revenue € 4,5 billion Installed Capacity 25,130 MW Power generation 137 TWh Headcount 7,350 E.ON Kraftwerke E.ON Kernkraft E.ON Wasserkraft Conventional power plants Nuclear power plants Hydro power
Slide 8: 180 power plant locations in Germany
180 power plant locations in Germany Cost-effective power plants due to y Hard coal power plants with good Nuclear connections to existing infrastructure y Appropriate cooling conditions Nuclear, being y Proximity to consumer load Hanover phased-out Hard coal Installed capacity in Germany Lignite to
Slide 9: Agenda
Agenda Activities Challenges Strategy Page 9
Slide 10: Our power plants are in the middle of their technical lifespan
Our power plants are in the middle of their technical lifespan Age Distribution for generation park (as of 2003) potential lifetime Natural Gas extension to 50 years Coal potential lifetime extension to 45 years potential lifetime Nuclear Power extension to 45 years invested lifetime 40 years 1980 2
Slide 11: Capacity reduction is affected by the political framework
Capacity reduction is affected by the political framework Capacity reduction scenarios 2004 2006 2008 2010 2012 2014 2016 2018 2020 0 y 45 years operating time for nuclear - 5,000 power plants, CO2 according to Kyoto targets - 10,000 [MW] y Maximum capacity - 15,000 reduction due to ambitious CO2 ta
Slide 12: Due to low CO2 emissions, we will face a low burden from emission trading
Due to E.ON Energie's relatively low CO2 emissions, we will face a low burden from emission trading y Low CO2 generation portfolio E.ON Energie: 360 g CO2/kWh national average: 580 g CO2/kWh y Due to the high proportion of CO2-free generation, E.ON Energie has low specific emissions (approx. 1/3 bel
Slide 13: Plans to create new capacity of 2,000 MW by 2012, further 3,000 MW available
In addition to our plans to create new capacity of 2,000 MW by 2012, a further 3,000 MW can be made available within a very short timeframe New capacity and flexibility through Option 2 boosting capacity, lifetime extensions Demothballing of power plants for power plants & demothballing Capacity Inc
Slide 14: Agenda
Agenda Activities Challenges Strategy Page 14
Slide 15: Considering power generation capacity in Central Europe: Italy
In Central Europe, E.ON Energie is considering the creation of power generation capacity as an asset-backing measure Current situation NL Italy B D PL z High price market for L CZ power due to generation bottleneck SK CH A H RO I BG Page 15
Slide 16: Considering power generation capacity in Central Europe: Hungary
In Central Europe, E.ON Energie is considering the creation of power generation capacity as an asset-backing measure Current situation NL Hungary B D PL z Plans for additional power L CZ generation capacity for the local market SK CH A H RO I BG Page 16
Slide 17: Considering power generation capacity in Central Europe: Netherlands
In Central Europe, E.ON Energie is considering the creation of power generation capacity as an asset-backing measure Current situation NL The Netherlands B D PL z A competitive hard coal power L plant exists at Maasvlakte CZ (1,040 MW). Building additional SK CH A capacity today would put H pressure
Slide 18: Considering power generation capacity in Central Europe: Czech Republic
In Central Europe, E.ON Energie is considering the creation of power generation capacity as an asset-backing measure Current situation NL Czech Republic B D PL z Long-term, attractive location L for construction of lignite power CZ generation with simultaneous SK CH A investment in lignite mining H
Slide 19: Conclusion
Conclusion y E.ON Energie operates a highly competitive generation park with considerable lifetime reserves y By using the opportunities presented by the National Allocation Plan, we intend to construct replacement capacity of 2,000 MW until 2012 y Opportunity to mobilize 3,000 MW capacity (lifetime