SUSTAINABLE performance and s trategy SUSTAINABLE performance and s trategy

Stéphane QUERETBLI 9 November 2006

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SUEZ profile

Our identity Our identity

SUEZ, an international industrial and services Group, designs sustainable and innovative solutions in the management of public utilities as a partner of public authorities, businesses and individuals in electricity, gas, energy services, water and waste management.

Our mis s ion Our mis s ion

Delivering the essentials of life.

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A European leader in Energy and Environment

NNoo . 5. 5 producer of e lec tric ity in Europe producer of e lec tric ity in Europe• Capacity of 58 GW worldwide• 5.6 million customers

NNoo . 6. 6 European natural gas company European natural gas company• 40 Gm3 sold worldwide• 20% of the Atlantic LNG market• LNG terminals (Zeebrugge and Boston)

NNoo . 2. 2 s upplier of environmental s ervices in Europe s upplier of environmental s ervices in Europe• 80 million inhabitants served in drinking water• 44 million inhabitants served in water treatment• 65 million waste services customers

Leading energy s ervices provider in Europe Leading energy s ervices provider in Europe

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SUEZ key figures

• €€41.5 billion41.5 billion revenues in 2005

• 80%80% of revenues generated in Europe.

• 157157,, 650 650 employees throughout the world.

• More than 33,,000000 municipalities and 200 million200 million individuals served daily.

• 500500,,000000 industrial and commercial clients.

• 11,939,939 sites certified ISO 14001, ISO 9001 v2000 or EMAS.

• 400 400 researchers in 66 R&D centers.

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Sus tainable Development Sus tainable Development

:is a bus ines s opportunity for SUEZ :is a bus ines s opportunity for SUEZ

SUEZ is a local-based Group, involved in day to day community life.

SUEZ activities are at the core of SD issues (natural resources, economic development, climate change)

SUEZ provides tools and solutions to local authorities and industrial companies to achieve their own SD agenda.

Fully invo lved in Sus tainableDeve lopment

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’ :SUEZ top priorities in s us tainable development are’ :SUEZ top priorities in s us tainable development are

To reflect the values of sustainable development in its practices and its culture

To integrate sustainable development in its commercial offers for the benefit of its customers and users

To protect the environment

To promote the Group’s social commitment

To act as a corporate citizen and ensure local roots for our businesses.

Prioritie s in Sus tainable Deve lopment

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An effec tive reporting is s et for a continuous An effec tive reporting is s et for a continuous improvement in Sus tainable Development improvement in Sus tainable Development

:practices :practices

In place since 1999

A growing scope of reporting

Substantial improvements of indicators

Higher level of external certification.

Reporting Sus tainable Deve lopment implication

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Climate change : management of CO2 emissions

Preservation of natural resources : water, air, biodiversity

Improving quality of life: health, safety, access to essential goods

Accompanying market shifts

Promoting community involvement : local development, integration of stakeholders expectations, diversity

Core challenges

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: SUEZ antic ipates building a balanced energy mix : SUEZ antic ipates building a balanced energy mix

First mover with a proactive approach

Attractive position : SUEZ generates limited emissions thanks to significant shares of natural gas,hydropower and nuclearin the fuel mix. Position in 2005 (Kyoto scope):

Emissions 40.6MtAllowances 41.4Mt

Full integration of CO2 emissions constraints through optimal “merit order” management of generation plants

: Focus on a core challenge c limatechange

Natural Gas39%

Hydro24%

Nuclear12%

Oil12%

Coal9%

CO2 free

Allocation of capacity managed by fuel type

Other4%

(2005 figures)

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SUEZ develops a s trategy of innovation SUEZ develops a s trategy of innovation

Energy efficiency A SUEZ Energy Services core activity

Renewable energies Objective of 18% installed capacity for Electrabel in 2009

EPR (European Pressurized Reactor) project Carbon Sequestration

Sharing know-how with developing countries : Clean Development Mechanisms.

: Focus on a core challenge c limatechange

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: Res ults SUEZ has a reduced expos ure to Co : Res ults SUEZ has a reduced expos ure to Co 22

: Focus on a core challenge c limatechange

2005 figures (source : 2005 Activity and Sustainable Development Report

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SUEZ is a res pons ible Utility leader with a competitive SUEZ is a res pons ible Utility leader with a competitive management of CO management of CO22 expos ure expos ure

SUEZ strategy is to pursue a continuous balanced situation

CO2 is treated as an element of overall portfolio management and is one of the investment criteria

At Group level, opportunities for SES and SEI

Group’s CO2 efficiency better than most peers ~0.4t CO2 / MWh

Slightly positive impact on SUEZ’ H1 2006 results

: Focus on a core challenge c limatechange

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: SUEZ Sus tainable Deve lopment and Strategy

: SUEZ A European leader i : SUEZ A European leader i n Energy and n Energy andEnvironmentEnvironment

• Integrating sustainable development and climate change in long term strategy.

• Delivering solid growth and results based on quality of strategy and activities portfolio.

More information ?More information ?www.suez.com / Activities and Sustainable Development Report 2005

Delivering the es s entials of life Delivering the es s entials of life