THE GROUP'S DECARBONIZATION

AMBITIONS ARE UNDERPINNED

BY AMBITIOUS GAS GREENING

TARGETS, AS WELL AS

THE PROVISION OF BOTH

DECARBONIZATION AND ENERGY

SYSTEM FLEXIBILITY SOLUTIONS.

The Group is largely committed

to the development of new

technologies, and in particular to

biomethane, renewable hydrogen

and batteries, with in 2030:

~

10 TWh

of annual

biomethane production capacity

in Europe

~

30 TWh/year

of biomethane sold

~

50 TWh of annual

biomethane production capacity

connected to ENGIE networks

in France

4 GW of renewable

hydrogen production capacity

by electrolysis

700 km of network

dedicated to hydrogen

1 TWh of H

2

storage

capacity

30 TWh of hydrogen in

the energy management portfolio

+100 hydrogen vehicle

charging stations

10 GW of battery capacity

The Group will invest

~

10% of

its development CAPEX between

2023 and 2025 in batteries and

green molecules. Between now

and 2030 4 billion will be

invested in hydrogen and

25 billion for biomethane

connections to the networks

At least 75% of these growth

investments are aligned with the

European taxonomy. This corresponds

in particular to the development of:

• the production of renewable wind,

solar and hydraulic electricity

(€13 to 14 billion) ;

• production of green gases (biogas,

biomethane and hydrogen) and

related infrastructures as well as

storage capacities such as batteries

(€2 to 3 billion) ;

• infrastructures (electric transport,

low-carbon mobility and heating

and cooling networks) (between

€1 and €2 billion).

Regarding the 25% not aligned

with the European taxonomy

Between 5 and 10 relate to

centralized or decentralized

generation assets which today

operate with fossil gas but which

have the capacity to decarbonize by

2045 These are either investments

aimed at optimizing their efficiency

and reducing their greenhouse gas

emissions, i.e. additional capacities

necessary to bring flexibility to the

electricity system (partly remunerated

via a capacity-based remuneration

mechanism)

• Between 5 and 10% concern gas

infrastructures. Given the thresholds

of the taxonomy, these infrastructures

are not considered eligible to date,

but will change over time with the

increase in the volumes of renewable

gas in the networks. In addition, these

projects respond to requests whose

execution are made mandatory by

the European regulatory system:

connections to new customers and

strengthening and improvement

of existing networks including

digitization measures

Finally part of the CAPEX is not

covered by the European taxonomy

between 510 including for

instance desalination solutions or

the development of digital solutions

between 2 and 3 billion

2023-2025 CAPEX

Maintenance capex

Growth capex

2021-2023 2023-2025

€7 bn

to

€8 bn

€7 bn

to

€8 bn

€15 bn

to

€16 bn

€22 bn

to

€25 bn

+50%

ENGIE IS COMMITTING FINANCIAL RESOURCES IN LINE WITH ITS

DECARBONIZATION AMBITION.

To deliver its ambitions, ENGIE is committed to align all of its CAPEX with its

decarbonization strategy. Over the 2023-2025 period, €22 to €25 billion in

growth investments are anticipated (+50% compared with 2021-2023 period).

2023 INTEGRATED REPORT - 83