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2011 Annual Report - OTCIQ.com

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42 Corporate Sustainability<br />

In recent years, society’s expectations towards the energy<br />

industry have increased. Our stakeholders expect us to operate<br />

our businesses responsibly and sustainably. At the same time,<br />

we face greater challenges, like finding answers to climate<br />

change and sustainable solutions for the energy supply system<br />

of the future. E.ON’s new strategy, cleaner & better energy,<br />

addresses these <strong>com</strong>plex demands. In line with this strategy,<br />

in <strong>2011</strong> we designed a new sustainability program that focuses<br />

on further embedding sustainability criteria (such as environmental<br />

protection, occupational safety, and corporate governance)<br />

into key business areas. In dialog with various stakeholders,<br />

we have set long-term targets, which we describe in<br />

our Sustainability <strong>Report</strong>. This annual publication also explains<br />

our key focus areas and reports on the latest developments.<br />

It is only by reporting on our performance transparently and<br />

by continually engaging our stakeholders that we will engender<br />

the trust and acceptance that we need to ensure the longterm<br />

success of our business.<br />

Our successes in <strong>2011</strong> included reducing our accident rate and<br />

promoting responsible fuel procurement by cofounding the<br />

Better Coal initiative. We were again included in the Dow Jones<br />

Sustainability Index, which underscores our performance as<br />

a sustainability-oriented <strong>com</strong>pany. More information about our<br />

sustainability efforts is available at www.eon.<strong>com</strong>, where<br />

you will also find our new Sustainability <strong>Report</strong>, which will be<br />

released in May 2012.<br />

Emissions data for our power and heat generation are segmented<br />

by country in accordance with the EU Emissions<br />

Trading Scheme. This differs from the segmentation for the<br />

rest of our reporting.<br />

E.ON emitted about 125 million metric tons of CO 2 from power<br />

and heat generation in <strong>2011</strong>, of which 88 million metric tons<br />

were in Europe. We were allocated EU carbon allowances for<br />

81 million metric tons. Overall, our carbon intensity increased<br />

by about 4 percent to 0.43 metric tons per MWh. Our carbon<br />

intensity in Europe rose from 0.39 metric tons per MWh to<br />

0.41 metric tons per MWh. This increase is attributable to Germany’s<br />

decision in <strong>2011</strong> to shut down several nuclear power<br />

stations, which eliminated a portion of our carbon-free generating<br />

capacity in our largest market. Nevertheless, reducing<br />

our carbon intensity remains our long-term objective.<br />

Carbon Emissions from Power and Heat<br />

Generation, Allocated EU Carbon Allowances<br />

Million metric tons CO2 emissions<br />

Allocated<br />

carbon<br />

allowances<br />

Germany 38.16 28.12<br />

United Kingdom 18.73 17.22<br />

Spain 4.98 4.82<br />

France 4.59 7.68<br />

Italy 7.59 7.67<br />

Other EU Countries1 14.40 15.16<br />

E.ON Group (Europe only) 88.45 80.67<br />

Russia2 36.14 –<br />

E.ON Group 124.59 –<br />

1 Includes carbon emissions from gas transport.<br />

2 Russia is not covered by the EU Emissions Trading Scheme.<br />

E.ON Group Carbon Intensity1 Metric tons of CO2 per MWh <strong>2011</strong> 2010<br />

Germany 0.38 0.32<br />

United Kingdom 0.62 0.66<br />

Spain 0.55 0.51<br />

France 0.71 0.81<br />

Italy 0.45 0.41<br />

Other EU Countries 0.26 0.27<br />

E.ON Group (Europe only) 2 0.41 0.39<br />

Russia 0.56 0.56<br />

E.ON Group3 0.43 0.42<br />

1 Specific carbon emissions are defined as the amount of CO2 emitted for each<br />

MWh of electricity generated.<br />

2 Includes renewables generation in Europe.<br />

3 Includes renewables generation outside Europe (wind power in the United States).

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