Table of Contents
The Top 10 European Utility Companies Executive summary 14
Industry overview 14
EDF 15
E.ON 15
Gazprom 16
Enel 16
RWE 17
GDF SUEZ 17
Eni 18
GasTerra 18
Centrica 19
Scottish and Southern Energy 19
Chapter 1 Introduction 22
What is this report about? 22
Methodology 22
Chapter 2 Industry overview 24
Summary 24
Introduction 25
Market dynamics of European utilities market 25
Power utilities 27
Power generation in Europe 27
Shift in power generation fuel mix 28
Resurgence of nuclear power 29
Consolidation underway 30
Gas utilities 31
Gas production in Europe 31
Globalization leading to consolidation 33
Gas consumption in Europe 34
Gas prices in Europe 36
Water utilities 37
Water distribution in Europe 37
Competitive landscape 39
Competitive positioning of the top 10 companies 41
Top 10 utilities based on revenues 41
Top 10 utilities based on generation capacity 42
Fuel mix of top 10 utilities 43
Geographic diversification of top 10 utilities 44
Competitive landscape analysis 47
Buyer power 47
Supplier power 48
Barriers to entry 48
Threat of substitutes 48
Competitive rivalry 48
Chapter 3 EDF 52
Summary 52
Company overview 53
Business segments in Europe 53
Generation-Supply 53
Distribution 53
Transmission 54
Other 54
Recent financial performance 55
Performance by business segments 56
Growth strategies 57
Strengthening market position in Europe 57
Developing renewable energy 58
Investing in nuclear revival 58
Acquisitions 59
SWOT analysis 60
Chapter 4 E.ON 62
Summary 62
Company overview 63
Business segments in Europe 63
Central Europe 63
Pan-European Gas 63
UK 63
Nordic 64
New Markets 64
Recent financial performance 65
Performance by business segments 66
Growth strategies 67
Develop generation portfolio and modernize distribution network in core markets 67
Expansion into new markets 68
Focus on renewable energy 68
Acquisitions 68
SWOT analysis 70
Chapter 5 Gazprom 72
Summary 72
Company overview 73
Business segments in Europe 73
Marketing 73
Electric Power 73
Recent financial performance 74
Performance by business segments 75
Growth strategies 75
Strengthening power generation business 75
Focusing on European countries 76
Acquisitions 76
SWOT analysis 77
Chapter 6 Enel 80
Summary 80
Company overview 81
Business segments in Europe 81
Sales 81
Generation and Energy Management 81
Infrastructure and Networks 81
Iberia and Latin America 82
International 82
Renewable Energy 82
Recent financial performance 82
Performance by business segments 84
Growth strategies 85
Reducing dependence on the domestic market 85
Reinforcing financial position 86
Acquisitions 86
SWOT analysis 87
Chapter 7 RWE 90
Summary 90
Company overview 91
Business segments in Europe 91
RWE Power 91
RWE Innogy 91
RWE Energy 91
RWE npower 92
Recent financial performance 92
Performance by business segments 94
Growth strategies 94
Focus on core European markets 94
Expansion of gas procurement 95
Acquisitions 95
SWOT analysis 96
Chapter 8 GDF SUEZ 98
Summary 98
Company overview 99
Business segments in Europe 99
Energy France 99
Energy Benelux & Germany 99
Energy Europe 99
Infrastructures 100
SUEZ Environment 100
Recent financial performance 100
Performance by business segments 102
Growth strategies 103
Reinforcing business in domestic core markets 103
Developing natural gas infrastructure 104
Acquisitions 104
SWOT analysis 106
Chapter 9 Eni 108
Summary 108
Company overview 109
Business segments in Europe 109
Gas & Power 109
Recent financial performance 110
Performance by business segments 111
Growth strategies 112
Expanding international gas and power sales 112
Consolidating market share in Italy 113
Acquisitions 113
SWOT analysis 114
Chapter 10 GasTerra 116
Summary 116
Company overview 117
Recent financial performance 117
Growth strategies 119
Securing gas supplies and distribution network 119
Acquisitions 119
SWOT analysis 120
Chapter 11 Centrica 122
Summary 122
Company overview 123
Business segments in Europe 123
British Gas 123
Centrica Energy 123
European Energy 124
Recent financial performance 124
Performance by business segments 126
Growth strategies 126
Improving operational efficiency 126
Securing gas supplies 127
Diversifying fuel mix 127
Acquisitions 127
SWOT analysis 129
Chapter 12 Scottish and Southern Energy 132
Summary 132
Company overview 133
Business segments in Europe 133
Power Generation and Energy Supply 133
Power Transmission 133
Gas Network 133
Recent financial performance 134
Performance by business segments 135
Growth strategies 136
Strengthening renewable energy portfolio 136
Entering into new markets 137
Investing in emerging technologies 137
Acquisitions 137
SWOT analysis 138
Chapter 13 11 to 20 Companies 140
Veolia Environnement 140
Company overview 140
Business segments in Europe 140
Recent financial performance 141
EnBW 143
Company overview 143
Business segments in Europe 143
Recent financial performance 144
Edison 146
Company overview 146
Business segments in Europe 146
Recent financial performance 147
Vattenfall 149
Company overview 149
Business segments in Europe 149
Recent financial performance 150
EDP 152
Company overview 152
Business segments in Europe 152
Recent financial performance 153
Atel 155
Company overview 155
Business segments in Europe 155
Recent financial performance 156
Iberdrola 158
Company overview 158
Business segments in Europe 158
Recent financial performance 159
National Grid 161
Company overview 161
Business segments in Europe 161
Recent financial performance 162
CEZ Group 164
Company overview 164
Business segments in Europe 164
Recent financial performance 165
Dong Energy 167
Company overview 167
Business segments in Europe 167
Recent financial performance 168
Appendix 172
Glossary 172
Index 174
List of Figures
Figure 2.1: European utilities market size ($bn), 2003–07 26
Figure 2.2: European utilities market segmentation by value (%), 2007 26
Figure 2.3: Power generation in Europe (TWh), 2003–07 28
Figure 2.4: Fuel mix in European utilities market 1995–2007 29
Figure 2.5: Gas production in Europe (TWh), 2003–07 32
Figure 2.6: Gas consumption in Europe (TWh), 2003–07 34
Figure 2.7: Top 10 gas consuming countries in Europe, 2003–07 35
Figure 2.8: Gas prices in Europe, 1997–2007 36
Figure 2.9: Water distribution in Europe (bcm), 2003–07 37
Figure 2.10: Water utilities market in Europe, 2007 38
Figure 2.11: Water consumption by sector in Europe, 2007 38
Figure 2.12: Major European utilities 40
Figure 2.13: Top 10 European utilities market share, 2007 41
Figure 2.14: Fuel mix of top 10 European utilities by type, 2007 44
Figure 2.15: Geographic diversification of top 10 European utilities by region 45
Figure 2.16: Competitive analysis of European utilities market 47
Figure 3.17: EDF European utilities financial performance ($m), 2005–08 56
Figure 3.18: EDF SWOT analysis 60
Figure 4.19: E.ON European utilities financial performance ($m), 2004–08 66
Figure 4.20: E.ON SWOT analysis 70
Figure 5.21: Gazprom European utilities financial performance ($m), 2005–07 75
Figure 5.22: Gazprom SWOT analysis 77
Figure 6.23: Enel European utilities financial performance ($m), 2004–08 84
Figure 6.24: Enel SWOT analysis 87
Figure 7.25: RWE European utilities financial performance ($m), 2004–08 93
Figure 7.26: RWE SWOT analysis 96
Figure 8.27: GDF SUEZ European utilities financial performance ($m), 2006–08 102
Figure 8.28: GDF SUEZ SWOT analysis 106
Figure 9.29: Eni European utilities financial performance ($m), 2004–08 111
Figure 9.30: Eni SWOT analysis 114
Figure 10.31: GasTerra European utilities financial performance ($m), 2005–08 119
Figure 10.32: GasTerra SWOT analysis 120
Figure 11.33: Centrica European utilities financial performance ($m), 2004–08 125
Figure 11.34: Centrica SWOT analysis 129
Figure 12.35: Scottish and Southern Energy European utilities financial performance ($m), 2004–08 135
Figure 12.36: Scottish and Southern Energy SWOT analysis 138
Figure 13.37: Veolia Environnement European utilities financial performance ($m), 2004–08 142
Figure 13.38: EnBW European utilities financial performance ($m), 2004–08 145
Figure 13.39: Edison European utilities financial performance ($m), 2004–08 148
Figure 13.40: Vattenfall European utilities financial performance ($m), 2004–08 151
Figure 13.41: EDP European utilities financial performance ($m), 2004–07 154
Figure 13.42: Atel European utilities financial performance ($m), 2004–08 157
Figure 13.43: Iberdrola European utilities financial performance ($m), 2006–08 160
Figure 13.44: National Grid European utilities financial performance ($m), 2005–09 163
Figure 13.45: CEZ Group European utilities financial performance ($m), 2004–08 166
Figure 13.46: Dong Energy European utilities financial performance ($m), 2004–08 169
List of Tables
Table 2.1: European utilities market size ($bn), 2003–07 25
Table 2.2: Power generation in Europe (TWh), 2003–07 27
Table 2.3: Major M&A deals in European power utilities, 2008 31
Table 2.4: Gas production in Europe (TWh), 2003–07 32
Table 2.5: Major M&A deals in European gas utilities, 2008 33
Table 2.6: Gas consumption in Europe (TWh), 2003–07 34
Table 2.7: Water distribution in Europe (bcm), 2003–07 37
Table 2.8: Major M&A deals in European water utilities, 2008 39
Table 2.9: Top 10 European utilities based on revenues ($m), 2007 42
Table 2.10: Top 10 European utilities based on power generation capacity (MW), 2007 43
Table 2.11: Major M&A deals in Eastern Europe in 2008 46
Table 3.12: EDF snapshot 52
Table 3.13: EDF key operating parameters, 2008 54
Table 3.14: EDF European utilities financial performance ($m), 2005–08 55
Table 3.15: EDF business segment performance, 2008 57
Table 3.16: EDF major M&A deals, 2007–09 59
Table 4.17: E.ON snapshot 62
Table 4.18: E.ON key operating parameters, 2008 64
Table 4.19: E.ON European utilities financial performance, 2004–08 65
Table 4.20: E.ON business segment performance, 2008 67
Table 4.21: E.ON major M&A deals, 2007–09 69
Table 5.22: Gazprom snapshot 72
Table 5.23: Gazprom key operating parameters, 2007 74
Table 5.24: Gazprom European utilities financial performance, 2005–07 74
Table 6.25: Enel snapshot 80
Table 6.26: Enel key operating parameters, 2008 82
Table 6.27: Enel European utilities financial performance, 2004–08 83
Table 6.28: Enel business segment performance, 2008 85
Table 6.29: Enel major M&A deals, 2007–09 86
Table 7.30: RWE snapshot 90
Table 7.31: RWE key operating parameters, 2008 92
Table 7.32: RWE European utilities financial performance, 2004–08 93
Table 7.33: RWE business segment performance, 2008 94
Table 7.34: RWE major M&A deals, 2007–09 95
Table 8.35: GDF SUEZ snapshot 98
Table 8.36: GDF SUEZ key operating parameters, 2008 100
Table 8.37: GDF SUEZ European utilities financial performance, 2006–08 101
Table 8.38: GDF SUEZ business segment performance, 2008 103
Table 8.39: GDF SUEZ major M&A deals, 2007–09 105
Table 9.40: Eni snapshot 108
Table 9.41: Eni key operating parameters, 2008 109
Table 9.42: Eni European utilities financial performance ($m), 2004–08 110
Table 9.43: Eni business segment performance, 2008 112
Table 10.44: GasTerra snapshot 116
Table 10.45: GasTerra key operating parameters, 2008 117
Table 10.46: GasTerra European utilities financial performance, 2005–08 118
Table 11.47: Centrica snapshot 122
Table 11.48: Centrica key operating parameters, 2008 124
Table 11.49: Centrica European utilities financial performance ($m), 2004–08 125
Table 11.50: Centrica business segment performance, 2008 126
Table 11.51: Centrica major M&A deals, 2007–09 128
Table 12.52: Scottish and Southern Energy snapshot 132
Table 12.53: Scottish and Southern Energy key operating parameters, 2008 134
Table 12.54: Scottish and Southern Energy European utilities financial performance, 2004–08 134
Table 12.55: Scottish and Southern Energy business segment performance, 2008 136
Table 12.56: Scottish and Southern Energy major M&A deals, 2007–09 138
Table 13.57: Veolia Environnement snapshot 140
Table 13.58: Veolia Environnement key operating parameters, 2007 141
Table 13.59: Veolia Environnement European utilities financial performance, 2004–08 141
Table 13.60: EnBW snapshot 143
Table 13.61: EnBW key operating parameters, 2008 144
Table 13.62: EnBW European utilities financial performance, 2004–08 145
Table 13.63: Edison snapshot 146
Table 13.64: Edison key operating parameters, 2008 147
Table 13.65: Edison European utilities financial performance, 2004–08 147
Table 13.66: Vattenfall snapshot 149
Table 13.67: Vattenfall key operating parameters, 2008 150
Table 13.68: Vattenfall European utilities financial performance, 2004–08 151
Table 13.69: EDP snapshot 152
Table 13.70: EDP key operating parameters, 2008 153
Table 13.71: EDP European utilities financial performance, 2004–07 154
Table 13.72: Atel snapshot 155
Table 13.73: Atel key operating parameters, 2008 155
Table 13.74: Atel European utilities financial performance, 2004–08 156
Table 13.75: Iberdrola snapshot 158
Table 13.76: Iberdrola key operating parameters, 2008 159
Table 13.77: Iberdrola European utilities financial performance, 2006–08 159
Table 13.78: National Grid snapshot 161
Table 13.79: National Grid key operating parameters, 2008 162
Table 13.80: National Grid European utilities financial performance, 2005–09 162
Table 13.81: CEZ Group snapshot 164
Table 13.82: CEZ Group key operating parameters, 2008 165
Table 13.83: CEZ Group European utilities financial performance, 2004–08 165
Table 13.84: Dong Energy snapshot 167
Table 13.85: Dong Energy key operating parameters, 2008 168
Table 13.86: Dong Energy European utilities financial performance, 2004–08 169