1 | Title of presentation | Author | YYYY.MM.DD

CRERomanian Energy Center

Experiences of Vattenfall in European AffairsSeminar Brussels 2012-04-26

Per HallbergVattenfall European AffairsBrussels

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

2 | Title of presentation | Author | YYYY.MM.DD2

050

100150

Finland

050

100150

Sverige

050

100150

Norge

050

100150

Danmark

Generation capacity in Nordic, TWh

WindGasturbinesThermalCHPNuclearHydro

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

3 | Title of presentation | Author | YYYY.MM.DD

Installed capacity in Nordic by 2008

Installerad effekt, 2008-12-31, GW

Danmark Finland Norge Sverige Norden *Vattenkraft 0,0 3,1 29,5 16,2 48,8 52%Kärnkraft 0,0 2,7 0,0 8,9 11,6 12%Övrig värmekraft 9,4 11,2 0,9 8,0 29,5 31% kondens 4,4 ** 2,9 0,0 2,3 9,6 10% kraftvärme, fjärrvärme 4,1 ** 4,1 0,1 3,0 11,3 12% kraftvärme, industri 0,6 3,3 0,0 1,2 5,1 5% gasturbiner, mm 0,4 0,8 0,7 1,6 3,6 4%Vindkraft 3,2 0,1 0,4 1,0 4,8 5%Summa 12,6 17,0 30,8 34,2 94,6*Norden exkl. Island, Källa: Nordel ** Uppskattad fördelning mellan kondens och mottryck

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

4 | Title of presentation | Author | YYYY.MM.DD4

Till Norden

Power flows to and fro Nordic

Från Norden

feb apr jun aug okt dec feb

-600

-400

-200

0

200

400

600

GWh/vecka

NederländernaEstlandPolenTysklandRysslandNetto Totalt

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

5 | Title of presentation | Author | YYYY.MM.DD5

Power exchanges in Europe Volym i TWh 2007 (2006) Spot

auktion

Finansiell på börs och bil. Clearing

Nord Pool 291 (250) 2369 (2220)

EEX (Tys) 117

(88)

1150

(1044)

APX (Ned) 21 (19) - (-)

Powernext (Fra)

(volym 2006)

(30) (83)

Nord Pool ASANord Pool Spot

OMEL

APX

EEXGielda Energii

Powernext

Borzen

EXAA

GME

Belpex

OMIPOPCOM

OTE

Endex

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

6 | Title of presentation | Author | YYYY.MM.DD

Vattenfalls markets and positions in Europe

6 | Group Presentation | February 2011

Wind power # 2 offshore• 955 MW onshore• 772 MW offshore

Technical development Wave power & CCS

Hydro # 334.6 TWh

Biomass # 51 TWh

Electricity generation # 6159 TWh of which 41.5 TWh nuclear

Trading # 5Presence on the most importanttrading markets

Heat production # 137.9 TWh

Electricity distribution # 67.5 millions private customers5.6 millions network customers

Core Markets

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

7 | Title of presentation | Author | YYYY.MM.DD

Vattenfall's six energy sources

• Vattenfall has a wide energy mix which reflects the European one.

• No one energy source can solve all needs. There are pros and cons with each. This is why a mix of energy sources is required to supplement each other.

• We use nuclear power, hydro power, coal power, wind power, biomass and natural gas. But growth within production focuses on energy sources that offer low emissions.

7 | Group Presentation | February 2011

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

8 | Title of presentation | Author | YYYY.MM.DD

European Affairs – coordinating Vattenfall towards the EU

• Up to date on the EU agenda• Well connected in the EU/Brussels (1993)• Clear strategy on positions and actions• Coordinated lobby activities (EU/regional/national) • …and bring knowledge back home..

• Successful influencing – a coordinated approach, • Clear positions and timely actions• Formal group wide representation from all countries• Strong focused leadership/driving force per issue,

responsibilities:

- Analyzing the decision-maker – whom to influence/how to reach/message potential

- Stakeholders cooperation, the best sender?- What is possible and realistic to achieve?

“Coordinating Vattenfall towards the EU and organisations in Brussels”

Effectively managing policy areas

Policy area

EGM

Decisions on positionsand actions

Policy area

Policy area

Policy area

Policy area

BD x

Strat

PRAPRA

BD x

BD x

BD x

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

9 | Title of presentation | Author | YYYY.MM.DD

Influencing and contributing to the EU process

• Use existing information – prepare business• Act early – knowing and contributing to the

EU agenda• Act coordinated as one Vattenfall – EU and

MS levels ( EC in the first stage )• Use fact based advocacy • Use contacts on all relevant levels –find

“friends”

• Basis: • Long term relations• Clear roles, responsibilities and mandates• Clear positions and priorities• What we want and why – “stories”• Whom to influence – from whom?

Proposed directiveCommission

Parliament

Council

Idea

Communication/Green paper

Action plan/White paper

Comitology

Decision

Member states

to implement

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

10 | Title of presentation | Author | YYYY.MM.DD

Reaching the decision-maker

• Active and visual• A natural speaking partner• Positions, “stories”, good and bad examples from reality

• Active and visual• A natural speaking partner• Positions, “stories”, good and bad examples from reality

• A broad co-operation with other stakeholders • Finding the best sender of a message• Co-operate with stakeholders not considered as “allies” – consumers,

green NGOs, trusted think-tanks

• A broad co-operation with other stakeholders • Finding the best sender of a message• Co-operate with stakeholders not considered as “allies” – consumers,

green NGOs, trusted think-tanks

• Influencing – convincing others, creating consensus• Competition – limited possibilities to co-operate• “View of the sector”• Active participation, steering our memberships

• Influencing – convincing others, creating consensus• Competition – limited possibilities to co-operate• “View of the sector”• Active participation, steering our memberships

Coordination needed – limited possibilities to make a difference alone !!

Directly as Vattenfall

Through trade/industry organisations

Through other important stakeholders

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

11 | Title of presentation | Author | YYYY.MM.DD

Policy oriented organisations

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

12 | Title of presentation | Author | YYYY.MM.DD

What works – where do we have potentials to develop

What works

• Competent employees

• A good basis for analyses

• Connections to the right decision-makers and stake-holders

• Being on top of the EU agenda

Where we have a potential for development

• Roles and responsibilities, mandates

• Working as one Vattenfall

• Decision processes

• Planning, positions on time, follow-up

• Sellable/understandable/interesting stories from what we do and what we would like to achieve

• Centres of expertise

Policy area

EGM

Decisions on positionsand actions

Policy area

Policy area

Policy area

Policy area

BD x

Strat

PRAPRA

BD x

BD x

BD x

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

13 | Title of presentation | Author | YYYY.MM.DD

Centres of expertise…as a matrix

Business Policy Areas Policy Area Manager Energy efficiency

Biomass Ulrich Klinkert

CHP/Heat Olaf Litwiakow X

Coal and Gas (lignite) Martijn van Gemert

Distribution Per Hallberg X

Hydro Claes Hedenström

Nuclear tbd

Retail Anne Korthals Altes X

Smart/Sustainable Cities Rainer Knauber

Wind Pieter Wasmuth

Company Policy Areas

Energy and Climate Policy

Environmental Policy

Wholesale market/infrastructure

4/7

13

Policy AreasPolicy Area

way of workingGlossary

Confidentiality - Critical (C4), High (C3), Medium (C2), None (C1)

14 | Title of presentation | Author | YYYY.MM.DD

Coal and Gas

BPAM SponsorCecilia Hellner

BPA ManagerPer Hallberg

PRA members

ER&C members S&E members

BD/BU members

Other members

• Julia Bell (Thermal proj)

• Klemens Millonig (S)

• Karl-Erik Olsson

Extract, strategic PlanPAM Distribution is supposed to add value to BU Distribution by our presence in Brussels in order to bring forward Vattenfalls positions to EC,EP and ACER/CEER. PAM Distribution is also a tool to secure that Vattenfalls points of view is reflected in the papers/positions that Eurelectric is bringing to the stakeholders.

Retail

Distribution

Hydro

Nuclear

Biomass

Smart/ Sust. cities

CHP/Heat

Business Policy Areas

Policy Area Distribution 4/9

Wind14

Policy Areas y