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The Energy Revolution

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Page 1: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

The EnergyRevolution

Page 2: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

Introducing ENGIE and the

Energy Revolution

Page 3: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

ENGIE: a truly global energy company

3

2% 1%

€0.6bn

6%

96%

23%

€6.2bn

55%

20%

57%

14%

46%

Total EBITDA 2015

€11.3bn

40%

North America

Europe(2)

Low CO2 power generation

10% <1%

€1.6bn

14%

Latin America

89%

<1% 6%

€1.2bn

11%

94%

86%

6% 9%

€1.7bn

15%

Global Networks

Customer Solutions

Other international Global BUs & Other(1)

Page 4: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

ENGIE today: a bold transformation into new energy models

4

ENGIE TODAY

2016 INVESTOR WORKSHOP 6

CUSTOMER

SOLUTIONS

GLOBAL

NETWORKS

LOW CO2 POWER

GENERATION

Page 5: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

ENGIE tomorrow: “Full 3D”, showing the way into the EnergyRevolution

5

Decarbonation Digitalization Decentralization

Page 6: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

The Energy Revolution: when technology changes everything

6

DISRUPTIVE BUSINESS MODELS

IoT

Energy and Digital

technology disruptions

Analytics

H2 Robotics

Wind AI

Energy Digital

Cybersecurity

Solar

Batteries

Page 7: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

Solairedirect, competitive solar and entrepreneurial growth: the perfect match for ENGIE’s Energy Revolution strategy

7

Incredible achievements in generation costs ($/MWh)

Exponential growth(MW installed per year)

A truly global footprint

Page 8: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

The Energy Revolution: a systemic vision, ushering a new era of energy abundance, affordability and service for all

8

ENERGY SOURCES

WindSolar Hydro Biomass Waste

ENERGY VECTORS

Power Gas HeatCold

ENERGY USAGE AND SERVICES

Home Commercial Industrial Mobility

Page 9: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

The Energy Revolution: five

tsunamis

Page 10: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

The technology adoption J curve: do you remember the combustion engine?

10

New York City

1900

New York City

1913

Page 11: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

Tsunami #1: super-competitive solar and wind bringingenergy costs (and prices) closer to zero

11

Wind and solar now far cheaper thanconventional energy sources

30 USD/MWh

31 USD/MWh

31 USD/MWh

26 USD/MWh

New technologies bring the promise of nearlyinfinite, quasi-free energy

Price of MWh of recent wind and solar

tenders

wind solar

Page 12: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

Tsunami #2: battery storage technologies in a solar-like costand volume race

12

Perspectives of the Lithium-Ion battery market

1012

22

37

49

78

202020172015201220102009

80

60

40

20

0

(Unit: $billion)

Energy storage

Electric vehicles

Mobile IT

Source: International Information Technology

Battery costsand energy density

Page 13: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

Tsunami #3: electric and digital mobility in an exponentialdrive

13

Number of electrical vehicles in the world

Norway

neteherlands

Japan

USA

UK Germany

Rest of the worldFrance

China

Source: Centre for Solar Energy and Hydrogen Research

800 000

700 000

600 000

500 000

400 000

300 000

200 000

100 000

0

2009 2010 2011 2012 2013 2014 2015

Page 14: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

Tsunami #4: The internet of things and big data turning homes and buildings into active participants in the energy system

14

2004 2006 2008 2010 2012 2014E 2016E 2018E

2 000 000

0

4 000 000

6 000 000

8 000 000

10 000 000

12 000 000

14 000 000

16 000 000

18 000 000

20 000 000The Internet Of

Everything

In thousand

Internet of Things

Smartphones

Tablets Connected automobiles

Connected TVs

Portable technologies

Number of connected objects

in the world

Computers

Source: BI Intelligence Estimates

Page 15: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

Tsunami #5: new hydrogen technologies and the incomingsubstitution of fossil fuels

15

5 technology disruptions

1 Energy sources (ultra-competitive energy sources)

2 Generation(electrolysis technologies)

3 Storage(pressurized and in saline cavities)

4 Conversion into power (fuel cells)

5 Applications

Page 16: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

ENGIE Fab: the businesses of

the Energy Revolution

Page 17: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

ENGIE Fab: a one-of-a kind initiative to build the business models of the Energy Revolution

17

Analytics

Mobiles Apps

IoT(1)

Management des API(2)

Cyber-security

Open innovation

ecosystems

MÉTIERS

STRATEGY

R E S E A R C HN

Key

Programs

ENGIE Fab: positioning ENGIE as a leader of the Energy Revolution through global energy technology businesses

.in synergy with other ENGIE entities

ENGIE

Digital

ENGIE

Fab

Unicorn factory

Business

Units

Investment in start-ups

Innovation ecosystems

Technology sourcing

Page 18: The Energy Revolution · models of the Energy Revolution 17 Analytics Mobiles Apps IoT(1) Management des API(2) Cyber-security Open innovation ecosystems MÉTIERS STRATEGY R E S E

EngieFab: five verticals and a systemic vision of a full 3D energy world

18

Energy

communities,

mini-grids

and energy

management

Grid-scale

battery

storage Hydrogen

generation,

transport

and storage

Electric and

digital

mobility Building as a

Service