BKW FMB Energy Ltd Annual Report 2003

18 Provisions
CHF (million) Nuclear Onerous Onerous Restruct- Other
waste contracts for contracts for uring provisions
disposal energy energy sales
procurement Total
Status at 31.12.2001 809.2 330.6 25.2 38.9 81.9 1,285.8
Changes in scope of consolidation 0.3 0.3
Provisions made 52.2 38.8 4.4 7.9 14.1 117.4
Provisions used – 22.8 – 69.8 – 8.2 – 2.7 – 15.8 – 119.3
Provisions reversed – 0.3 – 1.8 – 11.3 – 13.4
Translation adjustments 0.0
Status at 31.12.2002 838.6 299.3 19.6 44.1 69.2 1,270.8
Provisions made 53.8 31.0 21.8 0.3 15.0 121.9
Provisions used – 27.0 – 40.4 – 5.2 – 4.5 – 3.3 – 80.4
Provisions reversed – 1.8 – 0.9 – 2.7
Translation adjustments 0.0
Status at 31.12.2003 865.4 289.9 34.4 39.9 80.0 1,309.6
Less short-term provisions – 6.4 – 9.1 – 4.3 – 19.8
Total long-term provisions 865.4 289.9 28.0 30.8 75.7 1,289.8
The provision for nuclear waste disposal is reserved for the disposal of spent fuel elements and radioactive waste as well as for the
decommissioning of nuclear power plants. Annual payments must be made to the state funds for decommissioning and nuclear waste
disposal. These funds pay the costs of disposal on behalf of operators following the decommissioning of plants. According to current
assumptions, decommissioning and disposal work will continue until 2093. The majority of payments will be made following the
assumed decommissioning of the nuclear power plant in 2012. However, some payments for the disposal of spent fuel elements and
radioactive waste fall due before this date. Anticipated reimbursements are reported under non-current fi nancial assets. Operators of
nuclear power plants are subject to joint and several reserve liability for the decommissioning of plants.
The provision for onerous energy procurement contracts covers the excess cash outfl ows for purchasing energy from production
plants.
The provision for onerous energy sales contracts covers future cash infl ow shortfalls from the sale of energy from these contracts.
The provision for restructuring covers future expenses for defi ned or legally required restructuring measures.
Other provisions include obligations in the personnel area as well as other operating obligations. Interest is charged on provisions
calculated at net present value under fi nancial expenses. The increase under fi nancial expenses amounts to CHF 61 million. (2002:
CHF 64 million)
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