EVN Full Report 2018 19

Energy. Water. Life.
Full Report
2018 /19
Dear Ladies and Gentlemen,
Dear Shareholders,
The future of the global climate has domi- investments towards Lower Austria’s network
nated public discussions in recent months. infrastructure. We see these investments as a
EVN’s activities during the 2018/19 financial central step on the road to a climate-friendly
year included the early termination of energy system because they are an indispen-
coal-generated electricity production in sable requirement for protecting network
Lower Austria – also against the backdrop stability in view of a further increase in volatile
of the substantial increase in the price of renewable generation.
CO 2 emission certificates – as well as the
accelerated expansion of wind power. We are also making a substantial contribution
Our wind power generation capacity has in support of renewable generation: EVN,
increased by roughly 100 MW to 367 MW currently the leading wind power producer in
in only two financial years, which means Lower Austria, set an ambitious goal several
we have reached our interim goal one year years ago to increase this capacity to 500 MW.
earlier than planned. These two examples While our work is directed to meeting this
alone show that we are committed to sup- goal, we are also evaluating projects for
porting the future-oriented transformation large-scale photovoltaic facilities, especially at
of our energy system towards renewable our own power plant locations. Here we see
generation. a potential of up to 100 MW in our markets
over the medium term, subject to appropriate
Our long-term strategy as a listed company framework conditions.
is focused on clearly defined corporate values
and a responsibility towards our stakeholders. Energy. Water. Life. This new slogan has
This strategy reflects EVN’s priority areas of represented EVN since the 2018/19 financial
activity, above all supply security and customer year. By supplying energy – electricity, natural
satisfaction. At the same time, our decisions gas, district heating and cooling – and
and actions must also integrate numerous managing drinking water and wastewater,
long-term strategic considerations and business we make an essential contribution to our
requirements. Included here, not least, are customers’ quality of life – each and every
the careful planning and systematic imple- day. These activities are also the focal point
mentation of an investment programme that of a new campaign which was introduced
also comprehensively meets energy sector, in our home market of Lower Austria during
legal and regulatory requirements. spring 2019: With top quality energy and
drinking water supplies, EVN provides
During the past financial year, we again well-being, supply security and customer
dedicated significant portions of our total service day for day, around the clock.
Stefan Szyszkowitz Franz Mittermayer

Spokesman of the Executive Board Member of the Executive Board
Key figures
+/–
2018/19 2017/18 % 2016/17
Sales volumes
Electricity generation volumes GWh 5,594 5,526 1.2 6,059
thereof from renewable energy GWh 2,315 2,213 4.6 2,093
Electricity sales volumes to end customers GWh 19,924 18,413 8.2 18,544
Natural gas sales volumes to end customers GWh 5,083 5,178 –1.8 5,744
Heat sales volumes to end customers GWh 2,196 2,219 –1.0 2,293
Consolidated statement of operations
Revenue 1) EURm 2,204.0 2,078.7 6.0 2,215.6
EBITDA EURm 631.7 671.8 –6.0 721.6
EBITDA margin 1) 2) % 28.7 32.3 –3.7 32.6
Results from operating activities (EBIT) EURm 403.5 392.9 2.7 346.9
EBIT margin 1) 2) % 18.3 18.9 –0.6 15.7
Result before income tax EURm 373.5 355.7 5.0 325.5
Group net result EURm 302.4 254.6 18.8 251.0
Consolidated statement of financial position
Balance sheet total EURm 8,188.6 7,831.1 4.6 6,454.9
Equity EURm 4,552.1 4,092.6 11.2 3,150.1
Equity ratio 2) % 55.6 52.3 3.3 48.8
Net debt EURm 999.5 963.7 3.7 1,213.2
Gearing 2) % 22.0 23.5 –1.6 38.5
Return on equity (ROE) 2) % 7.6 7.7 –0.2 9.2
Consolidated cash flow and investments
Net cash flow from operating activities EURm 429.7 603.5 –28.8 508.9
Investments 3) EURm 391.4 356.4 9.8 303.8
Net debt coverage (FFO) 2) % 50.9 69.0 –18.2 48.7
Interest cover (FFO) x 11.7 14.4 –18.9 10.1
Value added
Net operating profit after tax (NOPAT) EURm 216.3 314.8 –31.3 425.7
Capital employed 4) EURm 4,135.4 4,094.2 1.0 4,173.5
Operating return on capital employed (OpROCE) 2) % 5.2 7.7 –2.5 10.2
Weighted average cost of capital (WACC) 2) 5) % 6.3 6.3 – 6.3
Economic value added (EVA®) 6) EURm –42.1 58.9 – 164.8
Share
Earnings EUR 1.70 1.43 18.7 1.41
Dividend EUR 0.47 + 0.03 7) 0.44 + 0.03 7) 6.4 0.44 + 0.03 7)
Dividend yield 2) % 3.1 2.8 0.3 3.6
Share performance
Share price at 30 September EUR 16.14 16.88 –4.4 13.22
Highest price EUR 17.28 18.00 –4.0 13.40
Lowest price EUR 12.16 13.07 –7.0 10.47
Market capitalisation at 30 September EURm 2,903 3,036 –4.4 2,377
Credit rating
Moody’s A1, stable A2, positive A2, stable
Standard & Poor‘s A, stable A–, stable A–, stable
1) Previous year’s figures were adjusted – see the consolidated notes, note 2. Reporting in accordance with IFRS,
Changes in the presentation of the consolidated financial statements and adjustment of prior year data
2) Changes reported in percentage points
3) In intangible assets and property, plant and equipment
4) Average adjusted capital employed
5) Exact value 2016 /17, 2017/18 and 2018 /19: 6.25%
6) As defined by Stern Stewart & Co.
7) Bonus dividend of EUR 0.03 per share; 2018 /19 financial year: proposal to the Annual General Meeting
2018/19 2017/18 2016/17
Employees
Number of employees on a full-time equivalent basis (FTE) Ø 6,908 6,831 6,840
Number of employees as of 30 September (headcount) number 7,327 7,200 7,181
thereof women number 1,686 1,664 1,674
thereof men number 5,641 5,536 5,507
Proportion of women % 23.0 23.1 23.3
Employee fluctuation % 3.4 1.9 2.6
Training hours per employee hrs. 34.1 33.8 31.3
Number of occupational accidents 1) 2) number 85 100 89
Environment
Direct greenhouse gas emissions (Scope 1) 2) t CO 2e 2,726,185 2,573,847 2,839,782
Specific greenhouse gas emissions (Scope 1) 2) t CO 2e /GWh 310.80 291.62 301.82
NOx emissions t 1,979 2,353 2,497
Hazardous waste and residual materials 3) t 19,604 19,348 11,524
Water consumption 4) m m³ 32.2 32.7 31.5
1) Number of occupational accidents with lost days (excluding commuting accidents)
2) Adjustment of prior year information due to a change in the calculation method
3) Without building residues and power plant by-products
4) Drinking water supplies from purified ground water by evn wasser
Equity, net debt and gearing Cash flow and investments

EURm and % EURm
4,552.1 Equity
4,092.6
603.5
508.9 Net cash flow from

3,150.1
429.7 operating activities
391.4 Investments
356.4
303.8
1,213.2
963.7 999.5 Net debt
38.5%
23.5% 22.0% Gearing
30.09.2017 30.09.2018 30.09.2019 2016/17 2017/18 2018/19
Revenue 1), EBITDA and EBITDA margin1) Employees by region

EURm and % Annual average
2,215.6 2,204.0 Revenue 6,840 6,831 6,908

2,078.71) 4,472 4,435 4,489 International
32.6%
32.3% 1)
28.7% EBITDA margin

721.6 671.8 2,368 2,396 2,419 Austria
631.7 EBITDA
2016/17 2017/18 2018/19 2016/17 2017/18 2018/19
1) Previous year’s figures were adjusted – see the consolidated notes, note 2. Reporting
in accordance with IFRS, Changes in presentation of the consolidated financial
statements and adjustment of prior year data
Highlights 2018/19
Revenue
+6.0% to EUR 2,204.0m
EBIT
+2.7% to EUR 403.5m
Group net result

+18.8% to EUR 302.4m
Dividend proposal
EUR 0.47 + 0.03 bonus per share
1
Contents
Non-financial 01
report
About this report 04
EVN – energy company 06

and environmental
services provider
Business model (Austrian Sustainability
and Diversity Improvement Act)
EVN – the reliable 28

supplier.
Supply security at EVN is 30
protected by a wide range
Forward-looking. 10 of measures
Goal-oriented.
Sustainable. Highly efficient electricity 34
Strategy, analysis of key issues, sustainability networks
risks, involvement of stakeholders (Austrian
Sustainability and Diversity Improvement Act)
Interview with the 10

Executive Board
A focused strategy 15
Our core strategies 18
Efficient CSR organisation 20
Impact of our business 21 Always there. 36

activities on society,
the environment and the Focus on the customer 38
economy
Product labelling and 41
Sustainably attractive for 25 responsibility
investors
Data protection 43
External ratings 27
2
Conserve resources, 44 Sustainability 82
minimise emissions. programme
Environmental issues (Austrian Sustainability
and Diversity Improvement Act) Independent assurance 88
report on the non-financial
Environmentally and climate- 46 reporting 2018/19
friendly actions are an integral
part of all our activities Corporate
governance 91
Environmental impact of our 48 Diversity concept (Austrian Sustainability
thermal power plants and Diversity Improvement Act)
Emissions 49 Report of the Supervisory Board 91
Responsible use of energy 52 Consolidated corporate 93

governance report
Responsible use of resources 53
Sustainable water management 54 Management report 104

Environmentally compatible 56 Energy policy environment 104
waste management
General business environment 106
Biodiversity 57
Energy sector environment 107
Business development 108
Committed to 58 Innovation, research and 116

clear values. development
Employee issues, respect for human rights and
combatting corruption (Austrian Sustainability Risk management 118
and Diversity Improvement Act)
Human rights, ethics and 60 Consolidated 123

integrity non-financial report
Our employees – 63 Disclosures (§ 243a Austrian 123

the basis for our success Commercial Code)
Suppliers 74 Outlook for the 124

2019/20 financial year
Good 76
corporate citizen. Segment 125
Social issues (Austrian Sustainability and reporting
Diversity Improvement Act)
Proactive interaction 78 Consolidated 137

with our stakeholders financial statements
Social commitment 80
Service 227
Value creation for our 81
stakeholders Glossary 227
GRI Content Index 230
Contact Cover
3
Non-financial report
About this report
Under the title “EVN Full and sustainability reporting: 2018/19 consolidated finan-
Report”, we publish an accounting, controlling and cial statements and inte-
integrated annual and sus- human resources manage- grate this information in our
tainability report for each ment as well as the staff full report. The disclosures
financial year. The equal department for innovation, required by the Sustainabil-
treatment of non-financial sustainability and environ- ity and Diversity Improve-
and financial information mental protection. The con- ment Act on environmental,
and the corporate gover- solidated financial state- social and employee issues,
nance report in this publica- ments were prepared in respect for human rights and
tion underscore our self- accordance with § 245a of combatting corruption are
image as a responsible the Austrian Commercial therefore presented under
energy and environmental Code based on the require- the section “Non-financial
services provider. ments of the IFRSs issued report“ and listed separately
by the International Account- in the table of contents for
Applied standards and ing Standards Board (IASB) easier orientation.
guidelines and the interpretations of
the International Financial Reporting principles and
This full report meets the Reporting Interpretations structure
requirements of the Global Committee (IFRIC) which
Reporting Initiative (GRI), required mandatory applica- A central element of EVN’s
option “core“, and also pre- tion as of the balance sheet integrated business model is
sents additional performance date and had been adopted the equal treatment given
indicators. Moreover, it by the European Union. to the interests and concerns
includes company-specific Non-financial reporting was of our various stakeholders.
indicators as defined by the based on the applicable This is reflected, above all, in
GRI Sector Supplement for standards and sector supple- the EVN materiality matrix,
the Electric Utilities Sector. ments of the Global Report- which identifies the priority
The indicators listed in the ing Initiative, which were topics for the various interest
GRI content index reflect applied as completely as groups based on a regular
the requirements of the possible. survey. The non-financial
Global Reporting Initiative reporting content is selected
and, consequently, provide Reporting in accordance according to its relevance
a summary of the content. with the Austrian for sustainability and in order
The GRI content index does Sustainability and to achieve a balanced and
not cover supplementary Diversity Improvement Act complete presentation of the
non-financial information. most important current
EU Directive 2014/95/EU on issues in line, as well as with
This report also meets the the disclosure of non-finan- the following principles:
high standards set by the cial and diversity-related
UN Global Compact and information (NFI Guideline) • Inclusion of stake-
provides information on was implemented in Austria holders: The reporting
progress in this area. through the Sustainability content is based on legal
and Diversity Improvement requirements and the
The following corporate Act (“Nachhaltigkeits- und information needs of our
departments were responsi- Diversitätsverbesserungs- stakeholders, which
ble for the collection and gesetz“). In order to meet were identified through
calculation of data in accord- the related requirements, a stakeholder survey
ance with national and inter- we selected the option in 2016/17. This struc-
national standards and with to prepare a separate non- tured survey process takes
the guidelines for financial financial report for the place every three years.
4
About this report
• Materiality: EVN’s most For the independent assurance “plan“, “anticipate“ etc. We
important activity and report on the non-financial would like to point out that
subject areas are defined report in accordance with actual circumstances – and,
by the EVN materiality GRI standards and the Austrian in turn, the company’s per-
matrix based on the Sustainability and Diversity formance and results – may
results of the stakeholder Improvement Act, see page 88 f differ from the expec tations
survey and are reflected and forward-looking state-
in the structure for this References ments contained in
full report. The classifica- this report for a variety of
tion by area of activity is You can find additional infor- reasons.
intended to give equal mation on certain topics on
treatment to the diverse EVN’s website, as indicated EVN is also committed to
and varied information by the cross-references in equal treatment in refer-
needs of EVN’s target this report. The full report ences to men and women
groups. In agreement also includes references to in its internal and external
with the GRI reporting GRI standards and to other publications, i. e. also in this
standards, information information within the full report. Texts in which
of low importance is not report. The signs used in this only the masculine form is
provided in order to full report are listed below: used to improve readability
maximise relevance and should be understood to
transparency by concen- Reference to additional refer to both genders
trating on the most information in this full report equally.
significant issues. Reference to content on the
internet This full report is available
• Completeness: The Reference to GRI standards in German and English. In
reporting meets the case of doubt, the German
applicable legal require- Content accuracy and version takes precedence.
ments as well as the gender-specific wording
applied GRI standards. The editorial deadline
We prepared this full report for this report was
For information on EVN’s and verified the data 18 November 2019.
materiality matrix, see page 16 f with the greatest possible
diligence. Nevertheless, For information on the
External verification rounding, typesetting and/ GRI content index,
or printing errors cannot be see page 230 ff
KPMG Austria GmbH excluded. The use of auto- For information on the Global
Wirtschaftsprüfungs- und matic data processing equip- Reporting Initiative, see
Steuerberatungsgesellschaft ment can lead to rounding www.globalreporting.org
was responsible for the audit differences in the addition For information on the
of the consolidated financial of rounded amounts and UN Global Compact, see
statements and the verifi- percentage rates. This full www.unglobalcompact.org
cation of compliance with report also contains for- GRI indicators: GRI 102-46,
GRI standards and the ward-looking statements, GRI 102-54
Austrian Sustainability and estimates and assumptions
Diversity Improvement which are based on the
Act for the 2018/19 finan- information available to us
cial year. up to the editorial deadline.
Such statements are typi-
The auditors‘ report can be cally connected with terms
found on page 222f f such as “expect“, “estimate“,
5
EVN – energy company and

environmental services provider
EVN’s activities cover the energy and the environmental service
business. The headquarters of this international Group are located
in Lower Austria, further core markets are Bulgaria and North
Macedonia. In total, EVN is currently active in 16 countries.
Business areas
Energy business Environmental services business Investments
Our integrated business model covers • Drinking water supplies in Investments in areas related to the core
the entire value chain: Lower Austria business supplement and hedge our
• Energy generation • International projects business: value chain:
• Operation of distribution networks planning, construction, financing • Verbund AG (12.63%)
• Delivery of electricity, natural gas and operation of plants for drink- • Burgenland Holding AG (73.63%),
and heat to end customers ing water supplies, wastewater which, in turn, holds 49.0% of
(with different focal points in our disposal as well as thermal waste Energie Burgenland AG
individual markets) and sludge utilisation • RAG Austria AG (50.03%)
Value chain
Generation Environment
Networks
Storage
Trade &
supply
Customers
6
Company profile
DE
AT
HR
Markets1) and business areas BG
Austria
MK
• Generation: electricity, heat,
AL
thermal waste utitlisation
• Network operations: electricity,
natural gas, heat, cable TV,
telecommunications
• Energy supplies: electricity,
natural gas, heat
• Environmental services business:
drinking water supplies
Bulgaria North Macedonia Germany
• Generation: electricity, heat • Generation: electricity • Generation: electricity

• Network operations: electricity, heat • Network operations: electricity • Energy supplies: electricity
• Energy supplies: electricity, heat • Energy supplies: electricity • Environmental services business:
drinking water supplies and waste-
water treatment, as well as thermal
sludge utilisation
Croatia Albania Other countries
• Network operations: natural gas • Generation: electricity • International project business:

• Energy supplies: natural gas plants for drinking water supplies,
• Environmental services business: wastewater treatment and thermal
wastewater treatment waste and sludge utilisation
1) Map outlines markets in the energy business
7
1,704 MW
157,951 km electricity generation
capacity
networks
42.2%
renewable
57.8%
thermal
143,013 km
electricity
893 km
heat
14,045 km
natural gas
6,908
employees
35.0% 65.0%
in Austria international
8
Company profile
Key data
2.0m
at a glance
Austria
1.8m
Bulgaria
0.9m
North Macedonia
4.7m
customers
3.4m
electricity
0.6m 0.1m
heat
drinking water
0.3m
natural gas
75%
0.3m EBITDA from regulated
cable TV and
and stable activities
telecommunications
21% 54%
in South East Europe in Austria
9
Forward-looking.
Goal-oriented.
Sustainable.
“As an energy and drinking water supplier
for Lower Austria – this country’s largest
province – we are committed to a social
and political consensus that will allow us
to meet the United Nation’s Sustainable
Development Goals. We see it as an obliga-
tion as well as a challenge to make a real
contribution in all our markets. The guiding
principle for our actions is our materiality
matrix, which reflects the interests and
concerns of our stakeholders.”
Stefan Szyszkowitz
and Franz Mittermayer
EVN Executive Board
10
Interview with the Executive Board
11
Our shareholders can depend

on EVN for stability and continuity.
Franz Mittermayer and Stefan Szyszkowitz on
changing customer expectations, climate protection
and renewable energies, extensive investments and
success in the international project business.
and to help us find the

answers to customers’
changing requirements.
In order to meet these
”In 2020 we will have demands, we need moti-
reduced our CO2 vated colleagues who are
footprint in Lower receptive to change and
Austria by roughly two have the necessary positive
thirds in comparison mindset. Our ideas and
with 2005 – through actions can’t simply stop at
the department or company
the massive expansion door. Of course, we naturally
of our renewable want to keep our focus on
generation and the our customers’ needs. It’s
earlier-than-planned also interesting to see the
shutdown of hard changes on the labour mar-
coal-fired production kets in our core countries.
One solution for these
in Dürnrohr.“ challenges is dual training,
Stefan Szyszkowitz, like the programmes we
spokesman of the Executive Board created together with partner
schools in Bulgaria and
North Macedonia. Innovative
methods for human resour-
To begin with: What is Franz Mittermayer: That’s establish both a quantitative ces development are also
the core message behind not only true for energy, but and qualitative equilibrium part of our future approach
the slogan for this report, also for drinking water. In and, in this way, protect in Lower Austria: here we
“Energy. Water. Life.“? order to guarantee reliable, supplies for our customers. are launching a new course
high-quality supplies for of studies that will allow
Stefan Szyszkowitz: Our our customers, we’ve been What do change and our employees to complete
customers have clear expec- making massive investments challenges mean for training to become a
tations: high-quality supplies in water supplies for many EVN’s employees? “digitalisation master“.
in the form of a broad port- years. This investment pro-
folio of products and services gramme will undoubtedly Stefan Szyszkowitz: In August 2019, EVN pro-
that support and facilitate – continue for at least another We are open to new forms duced electricity in the
and frequently also form the decade, with special weight of communication and Dürnrohr power plant for
basis for – their daily living on the expansion of the cooperation – which is what the last time with hard
and working routines. The pipeline infrastructure. As we mean with the “new coal. How did you reach
indispensable foundation for you know, a cross-regional EVN Working World“. Addi- this decision?
all this is a highly developed network – and here we are tionally, we are using the
technical infrastructure, from currently speaking of a total opportunities created by Franz Mittermayer: The
generation to distribution length of approximately digitalisation to make inter- German-Austrian electricity
through our networks. 2,800 km – allows us to nal processes more efficient price zone was terminated
12
Interview with the Executive Board
” Supply security means that

our electricity customers
always have the desired quan-
tity of electricity when it is
needed – and here I mean the
50 Hertz frequency quality that
is standard in Europe.“
Franz Mittermayer,
member of the Executive Board
on 1 October 2018, which capacity. Here I am thinking,
means it’s no longer possible above all, of fast-starting
to have our thermal power gas turbines, comparable
plants, including Dürnrohr, to the ones in aircraft,
under contract to serve as which can be bundled into
reserve capacity for southern flexibly deployable energy
Germany as we had in pre- stations. In order to create
vious years. That eliminated the necessary framework
a major reason to keep these conditions, we need a
plants in operational readi- coordinated approach –
ness, particularly since not only in Austria, but
the price of CO2 emission at the European level.
certificates had nearly tripled
by the end of May 2019 – And what lies in the
over a period of only one future for Dürnrohr?
and a half years. In the end,
we decided not to order Franz Mittermayer:
any more coal, and the ship Dürnrohr will be assigned
with the final delivery for new responsibilities as a key
Dürnrohr arrived in late energy location. Our ther- facility – all things consid- future-oriented step will
May 2019. Apart from busi- mal waste utilisation plant ered, a very nice alternative transform us from a pure
ness considerations, this will continue to generate for the site of a former supplier into an energy
decision will make an active process steam for industrial coal-fired power plant. manager for our climate-
contribution to climate customers, in addition to conscious household
protection: by terminating conventional electricity and In recent months, public customers.
operations before the end district heating. In order discourse has increasingly
of the plant’s technical to meet our obligations turned to climate protec- Stefan Szyszkowitz:
useful life in 2025, we will towards these customers, tion. What answers does This is only one of many
avoid approximately 3.6m for example in the event EVN have for climate- offers. For many years, our
tonnes of CO2. of maintenance-related conscious customers? customers have been able,
downtime, we are currently for example, to purchase
Stefan Szyszkowitz: installing an additional Franz Mittermayer: electricity from 100% renew-
However, this shutdown gas-fired boiler for steam Our latest answer is joulie, a able generation through our
creates a major challenge for production. We are also highly innovative web-based “Nature“ product line. Here
supply security, and other planning to construct a package that supports the we can see a welcome trend
power plants in Austria will sewage sludge incineration use of photovoltaic equip- in that large customers –
need to step in. As long as plant and install a large- ment in private households. companies as well as munici-
the electricity produced from scale photovoltaic plant – joulie – which is an EVN palities – are increasingly
water, wind and the sun and are currently studying innovation – not only opti- and directly asking for green
can’t be stored in sufficient the optimal capacity. It mises generation and con- electricity. In recent years,
volumes to protect supply could range up to 20 MW, sumption for the equipment’s we have also changed our
security, we will need alter- which would make it Lower operator, it also markets supply mix to substantially
native forms of reserve Austria’s largest photovoltaic the surplus electricity. This reduce the share of electric-
13
ity with a CO2 footprint. And appropriate framework con- tion of sewage sludge – our company’s capital mar-
we intend to make further ditions. This goal is based which is an issue with great ket operations. Our strategy
progress in this area over the on a pipeline of roughly one potential for the future. With is closely tied to responsible
coming years. dozen projects in Lower our know-how in the plan- and sustainable actions. We
Austria, which have already ning, construction and oper- believe this makes the EVN
Keyword: investments. been developed and, in part, ation of these types of share attractive, above all for
What were the focal approved by municipal plants, we have exactly the people who are interested in
points in 2018/19, and authorities. However, we are right solutions in our port- sustainable financial invest-
what are your plans for also evaluating the feasibility folio. WTE Wassertechnik is ments.
the future? of large-scale photovoltaic currently working on con-
equipment in our supply tracts for the construction of Since our goal is to secure
Stefan Szyszkowitz: Our areas and currently see a sewage sludge incineration ratings in the solid A range,
projects are concentrated potential of up to 100 MW plants in Germany, Lithuania we place high priority on
on the network infrastruc- for the EVN Group as a and Bahrain. balancing the use of funds
ture because the current whole. The third focal point between investments and
schedule includes a higher for our investments – as In conclusion: What distributions to our share-
investment cycle for the previously mentioned – is expectations can shareholders – and follow a divi-
distribution network of the drinking water supplies for holders have for EVN? dend policy that is focused,
future. During the next Lower Austria. above all, on stability. We
three years, we also expect Stefan Szyszkowitz: plan to ask the Annual
to invest additional funds Translated into figures, this Stability and continuity are General Meeting to approve
for the introduction of smart means investments will be two factors our shareholders an ordinary dividend of
meters in Lower Austria. in the range of EUR 400m can definitely depend on. EUR 0.47 per share for the
per year over the next four Our strategic positioning for 2018/19 financial year. Our
At the same time, we are financial years. And roughly EVN reflects a clear focus on shareholders are also inter-
continuing to invest in three quarters of this regulated and stable activi- ested in planning their cash
renewable generation: dur- annual total will account ties that safeguard the com- flows and, to make their
ing the past financial year, for Lower Austria. pany’s plannable cash flows work easier, we will work to
we significantly accelerated and, in turn, its fundamental hold this ordinary annual
the expansion of our wind And what is the latest stability. This explains the dividend at least constant in
power capacity and com- news from the interna- concentration of our invest- the future. The past financial
pleted five projects. That tional project business? ments in these business year marks the 30 th anniver-
means we have reached our areas and our very conserva- sary of EVN’s listing on the
medium-term expansion Franz Mittermayer: tive approach to additional Vienna Stock Exchange: we
goal of roughly 370 MW one Here we are looking at an growth in fields with a want our shareholders to
year earlier than originally exciting new field. Our higher risk-return profile. join us in this celebration
planned. We want to expand attention has recently turned and will also ask the Annual
EVN’s wind power capacity to the development of con- Sustainability is a further General Meeting to approve
to roughly 500 MW by the cepts and solutions for the important aspect that also a bonus dividend of
end of 2023, subject to drying and thermal utilisa- has a significant influence on EUR 0.03 per share.
14
A focused strategy
A focused strategy
Our path to the future follows clearly defined principles:

we have anchored our central, sustained goals and
values in our vision, our mission and our corporate
values and thereby created an orientation system for
all our activities as an energy company and environ-
mental services provider. This value structure underlies
the principles and rules for our interaction with our
employees, suppliers and business partners. It also
forms the basis for our corporate strategy, which is
strictly focused on the concerns and priorities of our
stakeholders.
Our values We meet our responsibility The EVN Code of Conduct:

for the environment, in ” A clear see page 60ff, 102f
Our strong sense of respon- particular, through the commitment to EVN’s environmental policy
sibility for our daily supply greatest possible conser- our responsibil- statement: see page 46
and disposal activities is vation of resources, the ity and the EVN’s integrity clause for
reflected in strict standards minimisation of emissions inclusion of our suppliers: see page 60, 74f
for our business activities and the increased use of Also see www.evn.at/
and the management of our renewable energy carriers.
stakeholders is corporate-policy-statement
Group. Compliance with A decisive role in this process the central GRI indicator: GRI 102-16
ethical values and all applic- is played by continuous theme underly-
able legal requirements is innovation and efficiency ing our strategy.“
a matter of course. improvements. Stefan Szyszkowitz,
spokesman of
We are committed to the Our social responsibility is the Executive Board
concept of sustainable reflected in a number of
management and, in this ways. Concern over the
sense, work to create a well-being of our employees,
balance between economic, fair compensation and the and an open approach to
ecological and social factors. design of a positive corpo- dialogue, inside and outside
Our guiding principle is to rate culture that is shaped by our company.
achieve a fair balance openness, loyalty and mutual
between the concerns of respect are just as important In addition to these basic
everyone interested in our as service to humanity and expressions of our vision,
company – our stakeholders. appropriate positioning in a mission and corporate values,
society that is influenced numerous other binding
Economic responsibility for by a wide variety of factors. documents define the frame-
the long-term existence We promote and support work for behaviour and
of our Group requires our activities and initiatives – actions in the EVN Group.
top performance. Maximum from employees as well as We are a member of the
expertise and reliability third parties – in the areas of UN Global Compact and, as
create satisfaction for our art, culture, social issues and such, are clearly committed
customers and partners sport – on both a tangible to compliance with the
and, in turn, safeguard our and intangible basis. This global principles of ethical
long-term success. includes high transparency and economic actions.
15
Value system, sustaina- context and we stay in close form of our materiality is strongly geared to the
bility and stakeholder contact with them in many matrix takes place every Sustainable Development
management as integral different ways. three years, with the next Goals (SDG) defined by the
parts of the corporate update planned for the United Nations. Our report-
strategy The core of our stakeholder 2019/20 financial year. The ing is also concentrated on
management is an institu- last survey in 2016/17 the major issues and areas
“Sustainability“ – which tionalised dialogue with our included a workshop with of activity.
is understood to represent various stakeholder groups, external and internal experts,
a comprehensive term, which are shown on the which helped us to identify For information on the SDG
above all, for ethical, social following diagram. They are the social, ecological and and the respective sub-targets,
and environment-related regularly identified and economic impact of our also see https://sustainable-
aspects – is the fundamental ranked by priority in connec- business activities in connec- development.un.org/sdgs
principle for our actions. In tion with the updating tion with the individual areas
combination with our value of our materiality matrix, of activity. This structured
system, this concept creates whereby this process always survey process allows us to
a clear framework for our includes an evaluation of focus on the issues that have
entrepreneurial activities, the relevance of the individ- the highest importance for
which, in turn, is the founda- ual stakeholder groups for our stakeholders as well as a
tion for our core strategies. our company. high economic, ecological or
Taking the interests of our social impact. Our corporate
internal and external stake- The systematic presentation strategy thereby always
holders into account repre- of our most important reflects the latest ecological
sents a key element in this sustainability issues in the and social developments and
EVN's major stakeholders
Customers
Politics
Government
Supervisory agencies
Board Shareholders
Institutional investors
Private investors
Media Bond investors
Local initiatives Lenders
Environmental NGOs Capital market Analysts
Social NGOs
Project neighbours Civil society
Competitors
Interest groups
Associations
Industry associations
Works council
Employees
Business partners
Science
Research
Executive Board
Managerial employees
Managing directors
Employees
16
A focused strategy
EVN materiality matrix

6.0
High
5.5
Responsible Supply security

management Environmental and
Supply chain
climate protection
responsibility
Customer satisfaction
Average relevance for stakeholders
Stakeholder involvement
5.0
Sustainable increase in
corporate value
4.5
Social
commitment
4.0
3.5
Mean
3.0
3.0 3.5 4.0 4.5 5.0 5.5 6.0

Mean Impact High
High target congruency an important issue for us. For information on the
with energy and climate The concepts and solutions energy policy environment, Eight major
policies to address climate change, see page 104f areas of activity
which are expected from our GRI indicators: GRI 102-29,
Especially as an integrated industry, take precedence GRI 102-40, GRI 102-42, The EVN materiality matrix
energy company, we see on EVN’s agenda. This focus GRI 102-43, GRI 102-44, with its eight areas of activity
ourselves as a logical partner is underscored by the GRI 102-47, GRI 413-1 and their potential positive or
for politics and society. We massive expansion of our negative impact on society,
want to make an active con- equipment for renewable ecology and/or the economy
tribution to meet the climate electricity generation and serves as the basis for the
and energy goals defined our investments in network alignment of our corporate
at both the European and infrastructure, which make strategy with the interests of
Austrian levels in all our busi- an essential contribution our stakeholders.
ness areas. The alignment to integrating the increasing
of our corporate strategy decentralised generation
with these goals is therefore in the energy system.
17
Our core strategies
Integrated business model Expansion and improvement Further expansion of our Use of our gas-fired power
as a solid basis of our network infrastructure wind power capacity in plants for network
Lower Austria stabilisation
Sector environment Sector environment Sector environment Sector environment

and trends and trends and trends and trends
Programmes to combat Strain on networks due to the Global targets for the Demand for the cross-regional
climate change create distor- transport of rising and volatile reduction of greenhouse exchange of services and
tions on the international feed-in from renewable gas emissions management of shortages to
energy markets generation balance out the increasing
European and Austrian climate feed-in volumes from renew-
Reorientation of business policy with clear commitment able generation and protect
models by a number of to system conversion towards network stability
energy providers (above all renewable generation
in Germany)
Our strategy Our strategy Our strategy Our strategy
Diversification along the Focus on supply security Increase in wind power Framework contract to
entire value chain and quality capacity from the current level provide reserve capacity for
of 367 MW to approximately Austrian network transmis-
Increase in the capacity from Continuous and future- 500 MW by the end of 2023 sion operator
renewable generation with oriented expansion of (subject to appropriate
parallel protection of supply facilities in the regulated framework conditions) Commitment to gas-fired
security network segment power plants to manage
Increase in renewable shortages and, in this way,
Stable and regulated activities generation to 50% of total protect supply security
form a solid backbone electricity production
This strategy element applies to

the following area of activity:
Sustainable increase Supply security; environmental Supply security; environmental Supply security; sustainable
in corporate value and climate protection and climate protection; increase in corporate value
sustainable increase in
corporate value
18
A focused strategy
Strong base in end Optimisation of our activities Increased focus on drinking Diversification through selected
customer business in South East Europe water supplies in Lower projects in the international
Austria environmental services business
Sector environment Sector environment Sector environment Sector environment

and trends and trends and trends and trends
Increasing competition in the Energy supply in South East Increase in water consumption Specific regional characteris-
end customer market Europe between challenging due to demographic changes tics and general conditions
framework conditions and (urbanisation) and growing require individual solutions
Rising demand for digitalisa- future potential number of weather-related for municipal water supplies
tion and smart technologies peak periods and wastewater disposal
as well as the utilisation of
Rising quality demands on sewage sludge
water supplies (e. g. hardness
of the water)
Our strategy Our strategy Our strategy Our strategy
Competent partner to Commitment to supply Increase in pumping station Concentration of our solution
our customers for supply, security and quality, also in capacity to improve per- expertise on selected pro-
individual advising and South East Europe formance and expansion of jects in municipalities and
products and services to cross-regional pipeline countries with strong credit
support energy efficiency Focus on measures to reduce networks standings
network losses and improve
Customer closeness for the collection rate Construction of natural filter Creation of added value for
fast solution of concerns plants to reduce the hardness our customers as the basis
and needs Efficiency improvements in of the water by natural means for our economic success
the operating business
Expansion of digital product Development of new drinking Development of solutions
and service offering water sources for the thermal utilisation
of sewage sludge as a new
business field with high
future potential
Customer satisfaction; Supply security; sustainable Supply security; sustainable Sustainable increase in
responsible management increase in corporate value; increase in corporate value corporate value; responsible
responsible management management
19
Efficient CSR organisation
The following diagram illus- each year, comprises the relevant levels of the by individual advisory boards
trates the CSR organisation members of the Executive EVN Group. The assignment in diverse areas:
in the EVN Group, which – Board as well as key man- of responsibilities for the • EVN Customer Advisory
in agreement with European agers from various areas coordination of sustainability Board
best practice – reflects the of the company. The com- activities and environment- • Advisory Committee for
special priority placed on the position of the committee and climate-related issues to Environmental and Social
following principles: members ensures that the the staff department for Responsibility
strategies, measures and innovation, sustainability and • Advisory Board of the
• The full Executive Board is goals defined in these environmental protection, EVN Social Fund
responsible for sustainabil- meetings are rolled out and which reports directly to the • EVN Art Advisory Board
ity and all related activities, implemented in operating Executive Board, has proven
including sustainability activities throughout the to be very effective. In The EVN Customer Advisory
management. Since the EVN Group. addition, most of our inno- Boards in Austria and Bulgaria
Executive Board – in close vation and research projects help us to identify and inte-
coordination with the Group-wide focus on involve technologies that grate the practical views of
Super visory Board – is also energy and climate are intended to make a private persons, whereby we
responsible for strategy, policies positive contribution to the pay close attention to the
the interface for the (fur- environment and climate. greatest possible diversity
ther) development of these Our CSR organisation among the regularly chang-
issues is anchored at the ensures that energy and An intradepartmental ing members. On the other
highest corporate level. climate policy issues are sustainability team, which advisory boards, external
• The CSR steering com- addressed according to is integrated in the staff experts from various disci-
mittee, which meets twice structured methods at all department for innovation, plines contribute their valua-
sustainability and environ- ble know-how and unique
mental protection, ensures outsiders' perspectives.
EVN CSR organisation full compliance with our
Group’s high sustainability For information on the
standards. Its members are project-related stakeholder
Advisory boards trained to stress the impor- dialogue, see page 78f
tance of sustainability and For information on the
• Executive Board and the ethical and social aspects EVN Customer Advisory Board,
managerial employees of business operations, to see page 38f and www.evn.at/
CSR steering committee • Close coordination with communicate their know- Customer-Advisory-Board
the Supervisory Board how to the sustainability For information on the Advisory
• Target-oriented coordina- experts in the individual areas Committee for Environmental
tion of CSR activities of our company and to sup- and Social Responsibility, see
port these men and women page 46 and www.evn.at/
in implementing sustaina- Environmental-council
• Coordination by staff
department for innovation, bility-related activities. The Interview with Jörg Krampe,
sustainability and aspects of climate change member of the EVN Advisory
Sustainability team environmental protection that are relevant for our Committee for Environmental
• Ensuring compliance of business activities also have and Social Responsibility:
CSR standards within high priority for this team. see page 47
the Group For information on the
EVN’s advisory boards: EVN Social Fund, also see
valuable inputs from page 80 and www.evn.at/
• Implementation of different areas social-fund

Sustainability experts For information on the
sustainability activities
of the indiviudal areas of In addition to the regular
in the individual areas EVN Art Advisory Board, also
the company
of the company exchange of information see page 80 and
with internal experts, our www.evn-sammlung.at
Executive Board and Super- GRI indicators: GRI 102-21,
visory Board are supported GRI 102-42, GRI 102-44
20
A focused strategy
Impact of our business activities on society,

the environment and the economy
The following table, which is structured according to

the areas of activity on the EVN materiality matrix,
provides an overview of the major potential effects of
our business activities. It also includes examples of
instruments and measures that are designed to mini-
mise possible negative effects. These instruments and
measures are in keeping with the EVN Code of Conduct
and the overriding behavioural standards regarding
compliance. More detailed information can be found in
the individual sections of the non-financial report.
Sustainability risks by presenting and discussing Executive Board and

the results and analyses of Supervisory Board levels. ” The regular,
The high priority given to the risk inventory in the structured
sustainability in our company risk working group and the Supply security risks involve,
is reflected in the identifica- among others, supply inter-
identification of
Group Risk Committee.
tion and management of ruptions or danger to people sustainability
sustainability and compliance The risks arising from climate or infrastructure from explo- and compliance
risks through clearly struc- change represent a threat for sions or accidents. In order to risks is our start-
tured and defined methods EVN, above all with regard ensure trouble-free operations ing point for the
as part of our annual central to the demand for our prod- and protect the technical development of
risk management process. ucts and the development safety of our power plants –
These activities are the of procurement and selling both of which are important
targeted counter-
responsibility of the central prices. We therefore also requirements for reliable sup- measures.“
risk management team incorporate the related fluc- plies – we carry out regular Thomas Polzer,
which, together with the tuations (e. g. volume declines inspections and maintenance head of corporate finance
and risk management
decentralised risk officers in as a result of warmer winter work which result in planned
our business units, identifies weather) in the planning downtime. Actual interrup-
risks and develops measures process through appropriate tions in electricity supplies
for their minimisation. Sus- sensitivity factors and are calculated and monitored
tainability risks represent scenario analyses. These in the networks according
interdisciplinary material and, evaluations focus on the to the System Average Inter-
consequently, are included extent to which climatic ruption Frequency Index
in all risk categories. Of spe- factors may increase or (SAIFI) – which measures the
cial note here are the risks decrease the volumes on mean supply interruption –
related to supply security, which our forecasts are and the System Average
sustainable management based and could therefore Interruption Duration Index
and environmental or climate have a negative effect on (SAIDI) – which measures
risks. Our differentiated risk our earnings. Comparable the average annualised dura-
management process allows issues influence the selection of unplanned power
us to identify and analyse tion of the scenarios for the interruptions.
risks and their effects on the development of future
various organisational and energy and primary energy Occupational safety and
hierarchical levels and, in prices. Issues like climate accident prevention are also
turn, develop suitable count- change and its effects on important issues in all our
ermeasures. We ensure the our business activities are business units. We guarantee
inclusion of the management discussed within this frame- the required high level of
and Executive Board levels work at the management, safety, above all, through
21
training and by raising attractive work environment Additional details on the Group-
employees’ awareness. In and flexible working time wide risk management process,
addition to legal require- models as well as our internal which includes the identification
ments, we have developed control system (ICS). of sustainability risks, are pro-
an extensive set of internal vided on page 118f
rules which includes direc- The staff department for For additional information on
tives and guidelines. All work innovation, sustainability and SAIFI and SAIDI, see page 35
accidents in the EVN Group environmental protection is For additional information
are recorded and analysed responsible for the identifica- on the subjects of occupational
centrally by the occupational tion and analysis of the eco- safety, accident prevention
safety department. As shown logical impact of our busi- and compliance, see page 66ff
in the following table under ness activities with regard to and 60ff
the “responsible manage- the use of resources, energy Details on the ecological impact
ment“ area of activity, and water consumption, of EVN’s activities can be found
employee-related risks also emissions, biodiversity and on page 44ff
include the loss of highly transport as well as waste- GRI indicators: GRI 102-15,
qualified staff or the intended water and waste disposal GRI 203-2
or unintended misrepresen- (environmental risks). Based
tation of transactions or on its analyses, this depart-
positions in the annual finan- ment also supports the oper-
cial statements. These risks ating units in preventing or
are addressed, among others, minimising their effects on
with the creation of an the environment.
Overview of the major potential effects of our business activities (selected items)
Impact assessment (excerpt) Management instruments Sustainable Development Goals
EVN area of activity and definition “–” = negative; “+“ = positive and measures (excerpt) (SDG)
Supply security – Influence on habitats (people, animals • Certified environmental management • SDG 6 Clean water and
… stands for reliable supplies, also and nature)/negative impact on bio- systems sanitation
in crisis situations. The key factors diversity through network expansion, • Goal: expand wind power to 500 MW • SDG 7 Affordable and clean
in the energy area include a pro- hydropower plants and the construc- over the medium term energy
active procurement strategy, a flexi- tion of wind power plants • Top priority for supply security and • SDG 9 Industry, innovation
ble generation mix with sufficient – Consumption of natural resources quality and infrastructure
reserve and storage capacity as – Emissions • EVN-internal crisis and emergency • SDG 12 Responsible consump-
well as the technical quality of the – Impact of network breakdowns on plans (e. g. flooding, hydropower tion and production
networks. society and the economy plants)
+ Increase in the share of renewable • Extensive monitoring activities
energy (e. g. water quality)
+ Reliable energy supplies for society • Low network losses and electricity
and the economy supply interruptions
+ Provision of infrastructure
Customer satisfaction – Data protection incidents • Top priority for supply security and • SDG 7 Affordable and clean
… stands for products and services + Improved, more efficient use of quality energy
that are transparent and meet energy • Top priority for data protection • SDG 10 Reduced inequalities
individual needs, for high service + Cooperation projects protect jobs in • Extensive monitoring activities • SDG 12 Responsible consump-
quality, for target group-oriented the region (e. g. water quality) tion and production
communications and for support + High standards for supply security • Monitoring of mean electricity supply • SDG 13 Climate action
for our customers in the efficient + High availability of EVN power plants interruption
use of energy. • Support for customers in improving
consumption efficiency
22
A focused strategy
EVN area of activity and definition “–” = negative; “+“ = positive and measures (excerpt) (SDG)
Environmental and climate – Influence on habitats (people, animals • Advisory Committee for Environmental • SDG 7 Affordable and clean
protection and nature)/negative impact on bio- and Social Responsibility energy
… stands for the system conversion diversity through network expansion, • Certified environmental management • SDG 9 Industry, innovation
towards climate-neutral generation hydropower plants and the construc- systems and infrastructure
with energy storage for balancing tion of wind power plants • Goal: expand wind power to 500 MW • SDG 12 Responsible consump-
purposes. Until this status is – Consumption of natural resources over the medium term tion and production
achieved, the thermal power plants – Emissions • Earlier-than-planned exit from coal at • SDG 13 Climate action
take on a bridge function to protect + High standards for supply quality Dürnrohr plant in August 2019 • SDG 15 Life on land
supply security. Efficiency improve- + Efficient and environmentally friendly • EVN-internal crisis and emergency plans
ments and innovation initiatives energy supplies for society and the (e. g. flooding, hydropower plants)
make an important contribution in economy • Wide-ranging measures for species
all areas – because our products + Macroeconomic contribution through conservation, protection of biodiversity
and services should generally be as innovation initiatives and the protection and restoration of
environmentally friendly as possible. + Contribution to meeting international natural habitats
and national climate targets • Innovation, research and development
+ Reduction of greenhouse gas-relevant activities
emissions • High demands on sustainability along
the supply chain
• Ongoing modernisation of natural gas
pipeline network
• Focus on efficiency improvements
Sustainable increase in – Risk of a loss in value for equity and • Protection of projects through • SDG 7 Affordable and clean
corporate value debt investors guarantees energy
… stands for entrepreneurial actions + Stable development of dividends • Goal: balance between investment • SDG 8 Decent work and
that are focused, among others, + Improvement of the infrastructure in projects and an attractive return for economic growth
on continuous adjustments to reflect countries/regions where projects are shareholders • SDG 9 Industry, innovation
our dynamic environment through in progress or were carried out • EVN Code of Conduct and infrastructure
targeted innovations, a value-oriented + Job security • EVN integrity clause as an integral part
investment strategy and the stable of every supplier relationship
development of dividends. • Corporate compliance management
• Innovation, research and development
activities
Social commitment + Support for children and young • Combatting energy poverty • SDG 1 No poverty
… stands for the acceptance of people in challenging life situations • Support for customers in improving • SDG 4 Quality education
responsibility for people in challeng- + Improvement in customers‘ consump- consumption efficiency • SDG 10 Reduced inequalities
ing life situations, above all for tion behaviour • Responsibility for art and culture • SDG 12 Responsible consump-
children and young people. The + Instruction for elementary school- through the evn art collection tion and production
focus is also on measures to fight children on the scientific and practi- • EVN Social Fund
energy poverty as well as on the cal basics of electricity • EVN School Service
evn art collection, EVN archive
and EVN Social Fund.
Stakeholder involvement – Asymmetric inclusion of various • EVN Customer Advisory Board to • SDG 17 Partnerships for the
… stands for a proactive dialogue stakeholder groups protect the interests of the different goals
with our stakeholder groups and – Lack of identification with the stakeholder groups in a balanced way
the responsible handling of their expectations and requirements of • Regular stakeholder survey
concerns, e. g. through the involve- the various stakeholder groups • Proactive stakeholder involvement
ment of neighbouring residents in – Adverse effects of air pollution from • Project-related stakeholder
the expansion and operation of the power plants communications
our plants. – Adverse effects of noise from plant • EVN materiality matrix as an instru-
construction and operations ment to reconcile corporate and
+ Protection of interests of major stakeholder interests
stakeholder groups
+ Protection and improvement of the
quality of life through reliable energy
supplies
+ Protection of the quality of life
through supplies of high-quality
drinking water
23
EVN area of activity and definition “–“ = negative; “+“ = positive and measures (excerpt) (SDG)
Responsible management – Risk of a loss in value for equity and • EVN Code of Conduct • SDG 1 No poverty
… stands for ethical, legally correct debt investors • Compliance training • SDG 3 Good health and
behaviour and the forward-looking – Work accidents • EVN values well-being
development of the business model – Fraud incidents, corruption • Anonymous whistle-blowing procedure • SDG 4 Quality education
with a focus on digitalisation and + Job creation • Corporate social partnership • SDG 5 Gender equality
innovative energy services. Also + Job security • Sustainable human resources • SDG 8 Decent work and
important is the acceptance of our + Attractive working environment development economic growth
responsibility as an employer in + Stable development of dividends • Principles and guidelines of the • SDG 10 Reduced inequalities
order to ensure sustainable human + Macroeconomic contribution through International Labour Organisation
resources development in a training and continuing education (ILO) and UN Global Compact
constantly changing working + Macroeconomic contribution through • High standards for health protection
environment. infrastructure projects and invest- and occupational safety
ments • Flexible working time models
• Internal control system (ICS)
• Re-entry of employees on parental
leave; retention periods that exceed
legal requirements
• Innovation, research and development
activities
• Integrated business model
• Focus on regulated and stable activities
• Goal: ratings in the solid A-range
• Goal: balance between investment
projects and an attractive return for
shareholders
Supply chain responsibility – Violations of human rights or • High sustainability demands along • SDG 8 Decent work and
… stands for anchoring social and occupational safety by suppliers or the supply chain economic growth
ecological aspects in procurement subcontractors • Sustainable focus of all EVN procure-
and tenders as well as ensuring – Insufficient efforts to protect the ment procedures
compliance with human rights by environment and conserve resources • EVN integrity clause as an integral part
our suppliers. + Regional creation of value through of every supplier relationship
cooperation • Self-reporting form for all bidders in
+ Fair and transparent tenders tenders
• Regular control of compliance with
human rights and workers‘ rights in
the supply chain
24
A focused strategy
Sustainably attractive for investors
The importance we place on the economic interests

of our stakeholders is most evident in our efforts to
balance value-oriented investments and an attractive
return for our shareholders in all our strategic deci-
sions. In this respect, investment decisions are taken
in accordance with strict profitability criteria and,
particularly, in keeping with the energy sector, legal
und regulatory framework conditions which are
relevant for our activities.
We also attach great impor- strategic orientation is also • Integrated business model Dividend policy
tance to achieving and crucial for the ratings which • Solid capital structure
maintaining a position as a establish the conditions for • Attractive dividends EVN’s objective is to estab-
reliable partner on the our positioning on the debt lish a balance between its
capital market and meeting market. Investor relations investment projects and
the expectations of our attractive dividends for share-
equity and debt investors. Our focus on the sustainable We work to strengthen the holders. The Executive Board
Not least for this reason, increase in corporate value long-term confidence of will make a recommendation
our business activities are is also reflected in the core the capital market in EVN to the 91st Annual General
focused on regulated and points of our equity story: with active, regular and Meeting on 16 January 2020,
stable business areas. This target group-oriented com- which calls for the distribu-
forms the basis not only • High share of regulated munications with all market tion of an ordinary dividend
for plannable cash flows, and stable activities participants. Our capital of EUR 0.47 per share for the
but also for continuity in • Stable home market in market operations are based 2018/19 financial year plus a
our dividend policy. A clear Lower Austria on a commitment to pro- one-time bonus dividend of
viding timely, transparent, EUR 0.03 per share to mark
understandable and substan- the 30 th anniversary of EVN’s
Shareholder structure1) tial information. We hold listing on the Vienna Stock
quarterly telephone confer- Exchange. EVN’s future divi-
1.0%
ences in connection with dend policy is directed to
Treasury shares
Free float
19.4% the publication of results as holding the absolute amount
well as regular meetings of the ordinary dividend
with analysts and investors constant at a level of at least
at international road shows EUR 0.47 per share.
and investor conferences.
In this way, the Executive Market environment and
Board and the investor performance
relations team work to
continuously improve the Developments on most of
awareness of and under- the international stock mar-
28.6% 51.0% standing for EVN and kets failed to follow a clearly
EnBW Trust e.V. NÖ Landes-
strengthen the long-term identifiable trend during the
Beteiligungsholding GmbH confidence in our share. reporting year from Octo-
1) As at 30 September 2019
GRI indicator: GRI 102-5
25
ber 2018 to September 2019.

The German benchmark The EVN share as a sustainable investment
index DAX rose by 1.5% and
the US benchmark index Ecological and social issues and goals are anchored • Innovative products and solutions for
Dow Jones by 1.7%, while just as firmly in our core strategies as economic climate-conscious customers:
Vienna’s benchmark index targets. For this reason, we have intensified our – Broad range of products from 100% renew-
ATX closed this 12-month activities to also position the EVN share as an invest- able Austrian energy sources
period nearly 10% lower. ment for sustainability-oriented investors and are – Continuous reduction of the CO2 component
The DJ Euro Stoxx Utilities, working to optimally meet their information needs. in the total supply mix
the relevant industry index The following aspects highlight this orientation: – Product innovation joulie: optimal utilisation
for EVN, gained 26.2%. of electricity generated by customers’ own
However, the EVN share was • A commitment by the Executive Board and photovoltaic equipment for future-
unable to follow this positive Supervisory Board to manage and further oriented prosumers
example and lost 4.4% year- develop the EVN Group in order to achieve a
on-year. The average daily sustainable increase in the corporate value • Contribution to reduce CO2 emissions through
turnover in EVN shares – Close integration of values, behavioural the early termination of coal-based electricity
equalled 53,555 in 2018/19 standards, stakeholder dialogue, sustain- generation from the Dürnrohr power plant at
(single counting), which ability issues and core strategies the beginning of August 2019
represents an annual trading – High compliance and governance standards
volume of EUR 190.1m • Future topic: drinking water
(single counting) for EVN’s • Investment strategy and innovation activities that – Extensive investments in supply security for
shares on the Vienna Stock support environmental and climate protection: Lower Austria despite rising water consump-
Exchange and 0.6% of – Focus on investments in CO2 -free generation tion as a result of population growth,
the total trading volume in capacity consumer behaviour and climate change
Vienna’s Prime Market. – Future-oriented expansion of the network
infrastructure to integrate the increase in • Sustainable sewage sludge utilisation as a
decentralised renewable generation and new business field in the international project
strengthen supply security business:
– Research projects on supply security, – Know-how in plant design and construction
electricity storage and environmental and plus operation as a contribution to resource
resource conservation conservation and health protection
EVN share 2018/19 2017/18 2016/17

Share price at 30 September EUR 16.14 16.88 13.22
Highest price EUR 17.28 18.00 13.40
Lowest price EUR 12.16 13.07 10.47
Price performance % –4.4 27.7 25.2
Total shareholder return % –1.6 31.3 29.2
Performance ATX % –10.0 0.9 37.9
Performance Dow Jones Euro Stoxx Utilities % 26.2 –3.4 13.5
Value of shares traded 1) EURm 190.1 169.7 97.9
Average daily turnover 1) Shares 53,555 42,769 33,921
Market capitalisation at 30 September EURm 2,903 3,036 2,377
Weighting ATX prime % 1.13 1.09 0.81
Earnings per share 2) EUR 1.70 1.43 1.41
Dividend per share EUR 0.47 + 0.03 3) 0.44 + 0.03 3) 0.44 + 0.03 3)
Price/earnings per share X 9.5 11.8 9.4
Dividend yield % 3.1 2.8 3.6
1) Vienna Stock Exchange, single counting
2) Shares outstanding at 30 September
3) Bonus dividend of EUR 0.03 per share; 2018 /19 financial year: proposal to the Annual General Meeting
26
A focused strategy
External ratings
External evaluations by Sustainability ratings towards the environment sustainability index of the
independent rating agencies and indexes and stakeholders. Vienna Stock Exchange
represent an important since 2005. This index
part of EVN’s capital market In addition to traditional EVN is regularly evaluated includes listed companies in
operations and financing financial criteria, sustain- by the following independ- Austria which are considered
strategy. Our goal is to able investments also take ent sustainability rating leaders for their social and
maintain ratings in the solid environmental, social and agencies: ecological performance.
A range. These agencies ethical factors into account. The continued inclusion in
updated their ratings for Independent sustainability • MSCI ESG Research this index for 2019/20 has
EVN in April and May 2019: rating agencies evaluate • ISS Oekom Research already been confirmed. The
the performance of compa- • Vigeo Ratings EVN share is also included
• Standard & Poor’s: nies with regard to sustain- • Sustainalytics in the Ethibel Excellence
rating raised from A– ability. Sustainability indexes • Carbon Disclosure Project Register compiled by the
to A, stable outlook also help interested inves- (CDP) Ethibel Sustainability Index
• Moody’s: rating raised tors to identify companies Group (ESI).
from A2 to A1, stable that meet international The EVN share has been
outlook standards for responsibility included in the VÖNIX GRI indicator: GRI 102-12
27
EVN – the reliable
supplier.
Fully committed to
supply security.
24/7 supply security is

our central promise to
customers. Energy and
drinking water must always
be available in sufficient
quality and quantity when-
ever it is needed – we never
compromise. And we have
implemented a broad range
of measures to meet this
promise.
28
Reliable supplies around the clock
”Our customers
need to know
that they can
rely on EVN,
each and every
day. This is also
my personal
concern.“
Irene Pinczolitsch,
employee Netz
Niederösterreich GmbH
29
Supply security at EVN is protected

by a wide range of measures
Our networks – which form the basis for delivering supplies to

our customers – are extensive and diverse. Just like the measures
we have implemented to protect the smooth functioning of this
infrastructure and, in turn, safeguard supply security. These
measures generally remain discreetly in the background because
ideally our customers do not notice them. However, we see them
everywhere in virtually all areas of our business.
Electricity: The interview supplies, explains why these market with the installation and supporting the dynamic
on the following page with measures are necessary of an area-wide basic supply growth of e-mobility with
Franz Mittermayer, member and describes the many network of e-charging sta- numerous initiatives. Joint
of the Executive Board with connections. tions in Lower Austria. From roaming projects allow
responsibility, among others, our perspective as an energy drivers with an EVN electric-
for the Generation and Basic supplies for supplier, we are steadily ity fuel card to choose
Network segments, details e-mobility: We made an expanding the charging infra- from 3,500 loading stations
the far-reaching bundle of early and decisive contri- structure in the public area throughout Austria.
measures implemented bution to the spread of and, increasingly, also in the
by EVN to protect electricity e-mobility in our home private sector
”EVN’s activities
on behalf of
supply security
often go unno-
ticed, but they
are all the more
effective.“
René Maier,
high voltage engineer
30
What do you see as the answer to these challenges?
I could answer this question with a single word: investments – primarily

in two areas: in backup services for the power plant segment, on the
one hand, and in network infrastructure, on the other hand. Power plants
are always needed – and that normally on very short notice – when
there is not enough wind and sun to generate the electricity we need.
Since the existing thermal power plants are generally not very flexible,
we must invest here over the medium and long term, for example in
fast-starting gas turbines. We are currently evaluating these types of
projects for our plants in Dürnrohr, Korneuburg or Theiss.
And what type of investments are needed in the network business?
In this area, we need to make sure we can actually transport the steadily
increasing volume of electricity from decentralised wind and photovoltaic
“Reliable electricity supplies facilities. This involves the high-voltage sector on the one hand, where
we are continuously expanding the transmission network as well as our
are a major challenge.” peripheral equipment and systems, meaning transformer stations, sub-
A conversation with Franz Mittermayer, stations, IT etc. And the low-voltage sector on the other hand, where
member of the EVN Executive Board we need to upgrade our local networks to meet the increasing demands.
That means we not only need to add more substations but, in some
cases, also stronger lines. All this shows that reliable electricity supplies
are a major challenge.
The wind and sun sometimes produce more electricity than is

Mr. Mittermayer, the growing popularity of renewable energies has needed. What happens with the surplus volumes?
been accompanied by a greater focus on the issue of supply security.
What exactly does this term mean? That brings us to the subject of day-night or summer-winter compensa-
tion, in other words to electricity storage. Day-night compensation takes
Franz Mittermayer: Supply security means the electricity customer place through local batteries in households or through sector coupling –
always has the desired quantity and quality of electricity when it meaning the use of electricity in transportation or industry – but, up to
is needed. And with quality, I mean the 50 Hertz frequency stability now, the economical storage of electricity in larger volumes over longer
that is standard in Europe. That’s not as easy as it may seem periods has only been possible in pump storage plants like EVN’s facility
because physics set very narrow limits. To be specific: when the in Ottenstein. However, these types of plants can only allow for compen-
rigidly connected European electricity network doesn’t generate sation over a relatively short period of time.
exactly as much electricity as customers need, the frequency
fluctuates. Batteries still don’t really represent an economic option for seasonal
storage, so we need to develop new innovative concepts. One is the
And what does electricity from renewable sources have to do electrolytic conversion of surplus wind and solar power into hydrogen,
with all this? which is then stored and can be used to generate energy as required.
Interesting trials – in which EVN is also involved – are currently in
The use of conventional power plants can be planned and managed progress here. This “green gas“ could gradually replace the natural gas
very precisely, but renewable electricity is volatile because of its we currently use, for example in our new gas turbines.
dependence on the wind and sun. In addition, a wide range of decen-
tralised, independent equipment feeds electricity into the general In effect, this means we still need reserve capacity?
network, which makes the issue even more complex. However, it’s not
only the volatility of electricity from renewable sources, consumer Absolutely, because the final transformation of the energy system to
behaviour has also changed significantly – and is still changing. Take renewable energies will still take some time – even though we, and many
a look, for example, at e-mobility, smart homes or heat pump systems. other players, are working intensively to make this reality. And precisely
These factors are contributing to the rising demand for electricity. during this transition period, supply security is particularly important.
In the past, an average household had a connected load of only 5 kW, That’s why we are investing continuously in our network infrastructure –
but the demand today is, in fact, much higher – especially when an in addition to the steady expansion of our own wind power and, in the
e-car needs to be charged or a house needs to be heated with a heat future, also in photovoltaic capacity. With these two focal points, we are
pump when temperatures are very low. making an active contribution to the energy transformation.
31
Natural gas: Our long-term ness – has high strategic renewable energy from and expansion of cross-
contracts for natural gas importance in this context. locally available biomass. regional connecting lines
storage facilities ensure plus the construction and
uninterrupted supplies, District heating: As the Cable TV and telecom- operation of natural filter
especially in periods with largest natural heat supplier munication services: plants – with this bundle
temperature-related higher in Austria, we invest con- High-performance networks of measures, we safeguard
consumption or possible tinuously in the maintenance and technical infrastruc- reliable supplies of high-
shortages at the European and new construction of ture also form the basis for quality drinking water.
level (e. g. due to political biomass heating plants and uninterrupted high-quality,
crises in transit or origin the expansion of our district reliable solutions in this area.
countries). Our investment heating networks. This
in RAG – with its strategic allows us to provide our Drinking water: The
focus, above all, on the customers with reliable and development of wells and
natural gas storage busi- comfortable supplies of well fields, the installation
EVN power generation capacities 30.09.2019 30.09.2018 30.09.2017

MW % MW % MW %
Renewable energy 719 42.2 673 27.5 624 26.1

thereof hydropower 1) 307 18.0 306 12.5 306 12.8
thereof wind power 367 21.5 318 13.0 269 11.2
thereof photovoltaics 6 0.3 5 0.2 5 0.2
thereof biomass 13 0.7 18 0.7 18 0.8
thereof other renewables 2) 26 1.5 26 1.1 26 1.1
Thermal energy 3) 985 57.8 1,771 72.5 1,771 73.9
thereof natural gas 4) 583 34.2 1,037 42.4 1,037 43.3
thereof hard coal 5) 355 20.8 734 30.0 734 30.6
thereof energy hub Dürnrohr 6) 46 2.7 – – – –
Total 1,704 100.0 2,444 100.0 2,395 100.0
1) Includes purchasing rights from the Danube hydropower plants in Melk, Greifenstein and Freudenau and from
investments in the hydropower plants Nussdorf in Vienna and Ashta in Albania as well as in Verbund Innkraftwerke
2) Includes two sludge-fired combined heat and power plants in Moscow.
3) Includes co-generation and combined heat and power plants in Austria and Bulgaria;
capacity data (net output) according to participation interests
4) The thermal power plant capacity in Theiss and Korneuburg which is no longer under contract as reserve capacity
was deactivated and conserved in view of the current market environment and is therefore no longer included.
5) The hard coal-fired power plant in Dürnrohr is no longer included because electricity production from hard coal was terminated ahead of schedule in August 2019.
6) Includes the steam cogeneration from thermal waste utilisation in Zwentendorf/Dürnrohr
Energy generation 2018/19 2017/18 2016/17

Coverage ratio % 28.1 30.0 32.7
Share of renewable energy in the total energy generation mix % 41.4 40.0 34.5
32
”The demand
and quality
requirements
for drinking
water supplies
are increasing
continuously –
and we have
Top-quality drinking water – good solutions
today and tomorrow for both.“
Raimund Paschinger,
“Austria: a country rich in water“ – this almost poetically sounding, managing director
but verifiable slogan is frequently used in connection with images evn wasser
of bubbling springs and clear mountain streams. For our drinking water
customers, this image becomes reality in the form of tap water,
which is always available in top quality. Ensuring reliable supplies of
this product requires know-how and continuous investments. And the
demand for drinking water is rising continuously: it is a trend which
reflects the demographic developments in our supply area – especially mechanically and without the use of chemicals. Soft water protects
the growing population in metropolitan regions – as well as the electrical household equipment like washing machines, dishwashers
changing climatic conditions. and electric kettles and eliminates the individual use of chemical
water softeners. Additional natural filter plants are currently in the
All these factors lead to fluctuations in the local availability of drinking planning stage.
water, while demand peaks are rising at the same time. Another require-
ment is the consumer’s increasing focus on quality. A growing number Our investments over the coming years are also focused on the expan-
of households are no longer relying on their own wells because they are sion and new construction of cross-regional pipeline networks. One
unable to meet today’s higher standards. of our major projects is the new supply pipeline between Krems and
Zwettl with an overall length of 60 km. In total, we plan to invest
EVN currently operates an extensive drinking water pipeline network approximately EUR 165m in drinking water supplies for Lower Austria
with a total length of approximately 2,800 km. It is fed from 99 well until 2030. Preparations are currently in progress to develop a well in
fields and 99 high-level tanks throughout Lower Austria. In this way, the Alpine foothills of Lower Austria, which will provide optimal drink-
we protect direct and continuous supplies for our customers. Our range ing water supplies for future generations. This “cold spring“ lies at
of services is also supplemented by natural filter plants. In 2018/19, the foot of the 1,002 m high Eibl Mountain, and 100 to 200 litres per
we completed construction on the fourth plant of this type. The invest- second gush from its cliffs. It could supply 100,000 households with
ment of roughly EUR 8m in the Wienerherberg well field south of Vienna fresh drinking water. Through its know-how and investments, EVN is
makes it possible for nearly 100,000 residents in 18 communities to optimally equipped to ensure reliable and high-quality water supplies
benefit from high-quality drinking water supplies which are softened also over the long term.
33
Highly efficient
electricity networks
In Lower Austria, unscheduled network

breakdowns remained at a comparatively
low level during the 2018 calendar year
and were limited to roughly 24 minutes
as a result of our ongoing investments to
improve the network infrastructure.
The same is true for network losses –
with around 4% in Austria, we hold an
absolute top rank internationally with
this indicator.
The comparable values We have thus reduced our

for Bulgaria and North network losses in Bulgaria
Macedonia are higher due from approximately 20%
to the different electricity at the time of our market
network infrastructure, entry in 2004/05 to a
and our investment pro- recent level of 7.2% and
grammes are therefore from approximately 25%
concentrated on the further in 2005/06 to now 13.9%
reduction of network in North Macedonia.
losses and the continuous
improvement of efficiency. GRI indicator: GRI EU12
34
Electricity disruptions far ruptions 1), as calculated Nearly complete availa- reserve capacity for the
below the sector average according to the System bility of power plants Austrian transmission net-
Average Interruption Dura- work operator. Due to the
The reliability of our electric- tion Index (SAIDI), equalled The following table shows threefold increase in the
ity supplies is also confirmed 23.99 minutes in the 2018 the scheduled and unsched- price for CO2 emission certi-
by externally calculated calendar year (previous year: uled periods in 2018/19 ficates over the past one
indicators. The mean supply 38.09 minutes) and was when our operational ther- and a half years, we decided
interruption 1) – calculated again lower than the Austrian mal power plants and wind to terminate electricity pro-
according to the System average 2) of 31.47 minutes parks were not available. duction in the Dürnrohr
Average Interruption (previous year: 53.22 min- Not included is the capacity hard coal-fired power plant
Frequency Index (SAIFI) – utes). Information is not in the Theiss and Korneuburg earlier than planned during
equalled 1.01 for the 2018 provided on the SAIDI and thermal power plants which August 2019.
calendar year (previous SAIFI at EVN’s locations in is no longer under contract
year: 1.16). This SAIFI value Bulgaria and North Mace- as reserve capacity and was GRI indicator: GRI EU30
means an EVN customer donia because a clear data- therefore deactivated and
experienced roughly one base is not available for conserved as of 1 Octo-
unplanned power inter- the necessary calculations. ber 2018. For the 2018/19 1) Source: Netz Niederösterreich GmbH,
breakdown and disruption statistics
ruption during 2018. The financial year, 430 MW in for 2017 and 2018
average annualised duration GRI indicators: GRI EU28, the Theiss gas-fired power 2) Source: E-Control, breakdown and
of unplanned power inter- GRI EU29 plant served as contractual disruption statistics for 2017 and 2018
Average non-availability Planned Unplanned

of power plants 2018/191) Hours %2) Hours % 2)
Wind power plant 3) Austria 123.5 1.5 396.4 4.6

Small hydropower plants Austria 96.4 1.1 460.2 5.3
Pump storage plants Austria 669.2 7.6 52.1 0.6
Natural gas-fired power plant Theiss Austria 1,455.8 16.6 13.5 0.2
Hard coal-fired power plant Dürnrohr Austria 2,968.0 33.9 10.3 0.1
Hard coal-fired power plant Walsum 10 Germany 529.2 6.0 189.4 2.2
1) The thermal power plant capacity in Theiss and Korneuburg which is no longer under contract as reserve capacity
was deactivated in view of the current market environment and is therefore no longer included.
2) Reference value: 8,760 operating hours per year (standard operational capacity)
3) Average value per wind turbine; The plants commissioned in 2018/19 are included on a proportional basis.
Electricity generation by energy source (GWh) Heat generation by energy source (GWh)
Renewables 2,315 GWh (41.4%) Renewables 2,012 GWh (83.9%)
Hydropower 1,218 Biomass 759
Wind power 790 Steam 831
Other renewables 306 Co-generation 420
Thermal 3,279 GWh (58.6%) Thermal 386 GWh (16.1%)
Natural gas 404 Natural gas 358
Hard coal 2,749 Heating oil 28
Other (thermal waste utilisation) 126 GRI indicator: GRI EU2
35
Always there.
Full commitment for
our customers.
EVN’s activities are only effective

when they are focused on the
needs of our customers. Our fore-
most goal is, therefore, to give
each and every one of them the
best possible, individual support.
Through our intensive personal
contact, we know exactly what
our customers want and need.
This forms the basis for our
efforts to continuously increase
their satisfaction with our
products and services.
36
Focus on our customers
”When I need
something
from EVN, my
customer advisor
is always avail-
able and knows
just what to do.
I really appreci-
ate that.“
Philipp S.,
EVN customer in
Lower Austria
37
Focus on
the customer
Our central product is the energy

we deliver to end customers, but
we also supply drinking water and
provide cable TV and telecommu-
nication services in Lower Austria.
EVN’s products and services are,
however, much more than this.
They also include energy advising
and the sale of energy-efficient
products and energy services. The
specialised know-how that forms
the basis for the day-to-day con-
tacts between our employees and
our customers is just as extensive,
even when most of these commu-
nications involve basic issues –
such as the registration and can-
cellation of services, assistance
with tariffs or questions on
invoices.
More than 1m
customer inquiries
Our activities are always • EVN’s Service Centres, For information on energy
focused on the needs and customer events and efficiency services and products, … were answered by
satisfaction of our custom- trade fairs provide an also see page 52 our customer relations team
ers. This is reflected in optimal setting for during 2018/19 in Lower
the high ranking given to personal contacts with Intensive dialogue in the Austria alone. This volume
“customer satisfaction“ as our customers. Customer Advisory Boards demonstrates the continuing
an area of activity on the • A service telephone with high demand for personal
EVN materiality matrix. individual numbers for We have installed Customer and individual advising.
Top professionalism and specific topics and con- Advisory Boards in Austria
maximum customer cerns simplifies direct und Bulgaria to support
closeness are the guiding contacts with our staff. the regular and systematic
principles that define our • Our emergency call exchange of ideas between
services. For our customers centre is on duty 24/7 EVN and representatives
in Austria, Bulgaria and to help our customers. of our various customer
North Macedonia, we have • E-mail and various other segments. Their recommen-
created a wide variety of online services (e. g. chat) dations and ideas flow
simple, easy-to-use commu- also represent important directly into the design
nication channels for channels where our and improvement of our
all types of questions and customers can reach us services, products and
concerns: at any time. communication measures.
38
In 2018 /19 the Customer services that meet individual evaluation of every complaint innovative and successful
Advisory Boards made valu- needs and are transparently and the regular analysis approaches of other eco-
able contributions, among invoiced. On the other hand, through sampling of email nomic sectors, such as
others, to the introduction customer satisfaction is also answers to optimise the telecommunication and
of the “kabelplus mobile” a result of high service qual- quality of our advising. banking, as a source of
product. ity, target group-oriented inspiration and fresh ideas.
communications and assis- These quality assurance
The EVN Customer Advisory tance for our customers on measures are reinforced by New ISO standard for
Board in Austria started issues involving the efficient our high priority on focused EVN’s customer service
its fifth term of office with use of energy. In these key modules and training pro-
new members during the areas, our goal is to create grammes for the customer EVN‘s customer service
2019 calendar year. Its first and maintain a fair and relations staff. Training at was certified according to
meeting focused on the highly professional partner- EVN is a continuous process ISO 18295-1 in Decem-
issue of customer satisfac- ship with our customers in that covers individual pro- ber 2018. This new, interna-
tion, and initial ideas and all our markets. Service is grammes as well as team- tionally recognised quality
suggestions for improve- an area where we want to building seminars and seal replaced EN 15838,
ment will now be evaluated distinguish ourselves from instructions for new employ- which had served as the
by the involved specialist the competition through ees. EVN’s customer service standard since 2010. EVN
departments. stronger commitment and, team leaders have also is one of the first companies
in this way, better meet received special training and in Austria to have its cus-
Also see www.evn.at/ our customers’ needs and certification for conducting tomer centres certified under
Customer-Advisory-Board become even more success- voice coaching courses. this strict, global standard.
ful. Examples of our efforts The extensive audit which
Continuous improvement include the prompt process- We also draw on best prac- preceded certification cov-
in service quality ing of inquiries, active com- tice examples to improve ered a detailed examination
plaint management that our services. This involves of employee recruiting,
We define customer satis- includes the development monitoring the services training, communication
faction, on the one hand, of specific suggestions for offered by other companies forms, data security and
through products and improvement after the and systematically winning many other aspects.
Numerous, In North Macedonia our custom-

ers can comfortably pay by credit
customer-friendly card in our Service Centres.
payment forms
We offer our customers in all in Bulgaria and North Mace-

our markets a broad range of donia. In addition to direct
flexible payment forms which debits and transfers, custom-
also reflect the different ers can also pay their bills
market practices. For example: directly in our service centres.
customers in Austria can pay Cash payments are accepted
quarterly or semi-annually via here, and special terminals are
direct debit or transfer, while also available for credit card
monthly invoicing is customary payments.
39
Customer orientation as In order to continuously Strategies to combat

a focal point in 2018/19 optimise our performance energy poverty Municipalities
at the customer interfaces, now see light
The Executive Board defined we organise an event every EVN’s values also include
customer orientation as two years for our customer a commitment to social EVN’s customers in
one of EVN’s focal points service employees in Austria, responsibility. This is Lower Austria also include
in Austria for the 2018/19 Bulgaria and North Mace- reflected, among others, 152 municipalities with
financial year. The goal donia. These meetings in our work to combat approximately 83.6 thousand
was – and is – to concen- provide an opportunity to energy poverty. In this area light points in total. Here we
trate even more on the exchange experience and we cooperate primarily offer an extensive package of
needs of and benefits for discuss the specific content with social aid organisations lighting services that covers
customers. K 2, a programme and requirements for daily on projects that provide operation, maintenance and
introduced to improve our service activities. The results targeted support for low- repairs as well as the expan-
internal and external cus- flow into the development income households. These sion of road lighting. In order
tomer orientation, includes of appropriate measures for projects concentrate on to react quickly to breakdowns,
a range of specific initiatives the entire Group. measures to reduce energy the package also includes
to create a greater aware- consumption and the reali- 24-hour emergency service
ness on the part of employ- Sustained high customer sation of cost-cutting oppor- which can be contacted by
ees for customer orientation satisfaction tunities that often lead to community leaders and resi-
throughout the EVN Group. significant savings. We have dents via a special EVN portal.
The medium-term goal We commission regular had very good experience Our advising for customised
of K 2 is to make EVN the independent, external sur- with programmes based lighting solutions in the
energy provider with the veys to proactively analyse on the “train the trainer” municipal sector also involves
best customer orientation and evaluate the quality of principle, which prepare the use of efficient and eco-
in Austria. our customer service and social counsellors to conduct nomical LED technology.
the satisfaction of customers advising discussions (e. g.
in our three core markets. on subjects like potential
The survey data and analyses subsidies for heating costs
combined with long-term etc.), and we also accom-
trends show the develop- pany the counsellors in their
ment of customer satisfac- work with people threat-
20 years of tion and help us to analyse ened by poverty.
customer relations relevant business transac-
tions. The results provide GRI indicator: GRI 203-2
EVN transformed its customer valuable information on
service department into a cus- opportunities for improve-
tomer relations department ment and, in a next step,
20 years ago. At that time, a are evaluated by the involved
mere twelve employees were departments. We then
involved in advising our define concrete approaches
customers in Lower Austria. for improvement measures.
Today, the department has a
staff of 116 – which is clear In Austria, we also calculate
proof for the high importance a monthly index to monitor
our company places on active and measure customer
customer support. In our loyalty. The index and under-
supply areas in Bulgaria and lying indicators help us to
North Macedonia, we quickly identify changes in customer
developed our customer ser- behaviour and the underly-
vice departments based on ing causes at an early point
the Austrian model. Our staff in time, which allows for
in this area numbered 158 in quick reaction. On a very
Bulgaria and 60 in North positive note, the index value
Macedonia during 2018/19. has remained stable at a
high level in recent years.
40
Product labelling
and responsibility
The high standards that govern our personal contacts and

interaction with customers are also reflected in the high quality
demands we place on our products and services. The related
requirements are deeply anchored in EVN’s value hierarchy.
In accordance with legally rial deadline for this full ence over the composition customer satisfaction, health
required electricity labelling report. The values for 2018 of the delivered electricity. and safety based on continu-
regulations, our customer show a very encouraging The sales companies in both ous quality assurance proce-
invoices in Austria include trend from an ecological countries are not required dures.
information on the geo- viewpoint: CO2 emissions to label electricity.
graphical origin of the elec- from the electricity delivered GRI indicators: GRI 102-11,
tricity delivered, its composi- by EVN KG to its end cus- For information on energy GRI 416-1
tion by primary energy tomers totalled 86.61 g/kWh procurement, also see 74
carrier and the environmen- and not only represented a Also see
tal impact of its generation further year-on-year decline www.responsibility.evn.at
(e. g. CO2 emissions and radio- (2017: 103.69 g/kWh; 2016: Also see www.evn.at/Herkunft
active waste). Our product 192.67 g/kWh), but were (available in German only)
portfolio is based on the also clearly below 100 g/kWh GRI indicator: GRI 417-1
following principles within for the first time. This reduc-
this legal framework: tion was made possible by a Customer health
further cutback in the share and safety
• A long-standing commit- of electricity generated with
ment to 0% nuclear-gen- hard coal – its share in the We minimise the potential
erated and grey electricity supply mix equalled only health and safety risks from
• Proof that 100% of the 0.3% in 2018 (2017: 0.3%), our products with careful,
electricity originates and the share of electricity responsible actions along
entirely from Austrian generated from natural gas our entire value chain. EVN’s
sources fell from 27.2% to 23.3%. quality management plays
• An offering of electricity an important role in this
products that are gener- In Bulgaria, electricity for the process by defining high
ated 100% from renew- regulated market segments standards for all relevant
able energy sources must be purchased from the product-related activities
• A hybrid alternative that state-owned energy supplier and processes. Included here
includes a maximum com- NEK. This company does not are the (further) develop-
ponent of electricity from label its products, and no ment of the product portfo-
renewable sources as well other options are available. lio, innovation, research and
as electricity from con- Our Bulgarian sales company development activities as
ventional generation therefore has no influence well as all processes for the
• Options to select fixed or over the electricity mix. A certification, manufacture,
variable energy prices as similar rule applies in North production, distribution,
the basis for the tariff Macedonia: our distribution marketing, sales promotion,
company is legally required use, maintenance, disposal
Compliance with these prin- to purchase the electricity and recycling of our prod-
ciples is verified each year for customers in the regu- ucts. In keeping with our
by an independent auditor, lated market segments from comprehensive responsibility
whereby the data for the the state-owned electricity approach, our products and
2019 calendar year will only company ELEM and, conse- services are continuously
be available after the edito- quently, also has no influ- monitored with respect to
41
“ The perfect offering for

environmentally conscious customers”
Leopold Wanzenböck, managing director of the green electricity firms. Wanzenböck: “In addition to added value in the form of higher
specialist Naturkraft Energievertriebsgesellschaft m.b.H., is delighted quality, direct purchases from numerous green electricity producers
to see the growing demand for high-quality green electricity. mean higher costs compared with the procurement of larger volumes on
EVN holds a 45% investment in Naturkraft indirectly through the electricity exchange. However, our customers have the guarantee
EnergieAllianz Austria. that their electricity only comes from small hydropower plants, wind
parks or photovoltaic equipment right here in Austria.“ Naturkraft also
The volume of green electricity delivered annually by Naturkraft to provides detailed information on the origin of its electricity through its
end customers has quadrupled over the past ten years. “There has been website – and has received the Austrian eco-label for its “NaturStrom“
a sharp rise in demand, from private households as well as business product: “We purchase 100% of our energy from Austria, with a certi-
customers“, explains Leopold Wanzenböck. “We are increasingly also ficate of origin directly from the source, and the composition of our
supplying large customers that see this as a way to improve their carbon electricity is verified each year by TÜV Austria. This is a very important
footprint, including well-known Austrian corporations such as Vöslauer, issue for many of our customers.“
Ottakringer and Ströck. Beginning in January 2020, we will also be
supplying the A1 Telekom Austria Group and Brau Union Österreich.“ In view of the steady upward trend in demand, the company plans to
continue its growth course in the future and could, in fact, be supported
Naturkraft has high standards: “We supply 100% green electricity from by the current public discussions: “The Fridays for Future movement has
Austria at fair prices, and that throughout the entire country. In other not triggered an upsurge in demand at the present time. But I could
words, we have the perfect offering for environmentally conscious custom- imagine a development like this over the medium and long term“, indi-
ers who are looking for quality and willing to pay a slightly higher price.“ cates Leopold Wanzenböck. “This movement will certainly strengthen
our position as a pure eco-electricity provider, and we want to use this
Naturkraft purchases its electricity directly from the producers – small as the basis to significantly increase our sales volumes and market share
private photovoltaic equipment operators as well as larger wind park over the coming years.“
”We supply
100% green
electricity from
Austria at fair
prices and
throughout the
entire country.“
Leopold Wanzenböck,
managing director
Naturkraft
42
Data protection
The professional protection and non-

disclosure of personal data and business
information has always been standard
practice for our company.
This is reflected in the took effect in May 2018 as comments. The related pro-
inclusion of data protection well as the requirements ceedings were subsequently
as a separate subject in of the new Austrian Data terminated by the authority.
the EVN Code of Conduct. Protection Act which was
Based on seven principles, introduced in 2018. Complaints involving the
all employees are instructed failure to protect personal
to ensure the careful EVN’s business directive data are recorded and pro-
handling of personal and on data protection defines cessed quickly to allow for
confidential data in their the framework for the data the fast implementation
daily activities. The high protection management of any necessary corrective
importance of this subject system. We are well aware measures. No justified com-
is also reflected in our cor- of the vote of confidence we plaints concerning the viola-
porate organisation: data receive from our customers tion of customer protection
protection is anchored in and – not least for this rea- rights were identified during
the corporate compliance son – the safe and confiden- the reporting year. Nine
management staff depart- tial treatment of personal cases related to the possible
ment, which reports directly data is one of the key princi- loss of customer data were
to the Executive Board. In ples for our daily operations. identified, but internal
addition, we have a local investigations did not detect
data protection officer in Standardised data protec- any risks for the rights and
each of our markets. tion processes have been freedoms of the involved
implemented to allow for persons.
Our data protection man- the timely and efficient
agement system ensures evaluation and handling of A separate email address is
that the EVN Group has data privacy requests and/or available for direct contact
implemented and met the deletion of information. with EVN’s data protection
all requirements of the In 2018/19, we received four officer: datenschutz@evn.at.
EU General Data Protection requests from the Data Pro-
Regulation (GDPR) which tection Authority to submit GRI indicator: GRI 418-1
43
”We consider
it our responsi-
bility to make
a significant
contribution
against climate
change.“
Andrea Edelmann,
head of innovation,
sustainability and
environmental protection
44
Responsibility for the environment and climate
Conserve resources,
minimise emissions.
Fully committed to protection

of the environment and
climate.
Only if we can minimise – and

continue to reduce – our
resource consumption and the
emissions from our activities
can we achieve long-term –
or even better: sustainable –
success. We therefore engage
in careful and conscious
actions in the sense of our
materiality matrix, which
defines “environmental and
climate protection” as one of
the priority areas of activity.
45
Environmentally and climate-friendly actions

are an integral part of all our activities
Our fundamental goals and values for the protection

of the environment and climate are anchored in
EVN’s environmental policy statement. It includes,
among others, guidelines to minimise environmental
impact, conserve resources through state-of-the-art
environmental engineering and continuously improve
our environmental performance.
EVN has operated an ISO 14001:2004 and • Use of motor vehicles

environmental management BS OHSAS 18001:20017. ”Our invest- with alternative drives,
system on a voluntary basis ments in the e. g. e-cars
since 1995. As an integrated We make an important
management system, it meets contribution to meeting
area of water Also see www.evn.at/environ-
the EMAS (Eco-Management Austria’s climate goals continue to be mental-policy-statement
and Audit Scheme) and through the increased use focused on
ISO 14001 standards as well of renewable energy carriers, the expansion The Executive Board and
as fire and workforce protec- efficiency improvement and new con- Supervisory Board receive
tion regulations. It also calls measures and comprehen- struction of information and guidance
for the definition of measur- sive advising for our custom- on environmental and
able environmental objec- ers on ways to reduce their
cross-regional sustainability issues from
tives. The basic requirements energy consumption. A pipeline the 27 members of EVN’s
for certification under EMAS balanced mix of optimal networks.“ Advisory Committee for
include full compliance supply security and a mini- Franz Dinhobl, Environmental and Social
with environmental regula- mal impact on the environ- managing director Responsibility. Their meet-
tions and a comprehensive ment are the decisive factors evn wasser ings in 2018/19 focused,
accompanying review. All for our actions in this area. above all, on the issues of
our thermal power plants in Our activities on behalf of CO2-free electricity genera-
Lower Austria as well as the climate protection include tion in Austria and current
56 heat generation plants various initiatives and strate- developments in the area of
and four cooling plants are gic approaches: sewage sludge.
subject to these standards. • Greater use of renewable
Our thermal waste utilisation energy sources: water, Also see www.evn.at/
plant in Zwentendorf/Dürn- wind, sun, biomass and Environmental-council
rohr is additionally certified biogas For information on the impact
under ISO 9001 and accord- • Increase in the energy of business activities on society,
ing to the specifications efficiency of EVN’s produc- the environment and the
for the monitoring label tion facilities and networks economy, also see page 21ff
“specialised waste manage- • Active participation in GRI indicators: GRI 102-31,
ment company”. The environ- innovation, development GRI 413-1
mental management systems and research projects
in Bulgaria and North Mace- • Information and advising
donia also reflect interna- for our customers on
tional standards: for example, the reduction of energy
the certified, integrated consumption
quality and environmental • Regional added value
management system in through the use of
Bulgaria meets the require- domestic energy carriers
ments of ISO 9001:2008, like biomass and biogas
46
Supply security and quality
can’t be taken for granted
A conversation with Professor Jörg Krampe, head of the Institute

for Water Quality and Resource Management at TU Wien
Most Austrians assume that we and electricity sectors. And that, in

have always had – and will con- turn, increases the importance of
tinue to have – uninterrupted security aspects like access controls,
supplies of energy and drinking IT security and infrastructure pro-
water. In order to protect this tection.
exceptionally good situation
over the long term, EVN supple- A very professional approach is
ments its internal know-how needed here and, in this environ-
with the evaluations of external ment, major suppliers like EVN can
experts. One of these experts is naturally rely on considerably more
Professor Jörg Krampe, head of experience and ability in the expan-
the Institute for Water Quality sion and operation of larger net-
and Resource Management at works than smaller companies.
TU Wien and a member of EVN’s But to return to your question: the
Advisory Committee for Environ- uninterrupted supply of our house- However, the most important What can the individual
mental and Social Responsibility. holds with high-quality water should measures to protect the high consumer do to help protect
not be taken for granted – it’s the quality of our water over the long the high quality of our water
Professor Krampe, will we result of regular investments in a term take place at the other end here in Austria?
always have enough drinking highly complex infrastructure and of the pipeline. Our objective
water? its continuous improvement. should be to return the used water As consumers, we need to realise
to the water cycle as clean as that many of the chemicals we use
Jörg Krampe: In Austria, we are What role does the infrastructure possible. The treatment plants in in our households end up in our
in the fortunate position to have play in maintaining the water Austria have done excellent work water, and what we put in the soil
sufficient, high-quality water quality? in this area for many years, but ends up in the ground water. We
reserves. The challenge for the we are facing a variety of new should all think twice before
supplier, consequently, is related In Austria, practically 100% of our challenges from trace substances spraying chemicals like fertilizers
less to the required volumes and tap water is ground or spring water. such as drug residues, microplastic and plant protection products
more to their distribution. Three Consequently, the treatment of and hormones. Here the thermal or herbicides at home – and use
aspects play a special role at the drinking water is an issue in only a utilisation of sewage sludge repre- these chemicals sparingly or
present time. The infrastructure few regions. Included here, for sents an important building block evaluate alternatives. In the end,
of water supply consists mostly example, are several of EVN’s supply for future concepts. It not only pre- ground water is also the source
of pipelines, many of which are areas in eastern Austria, where the vents dangerous substances from of the cool, fresh and healthy
now outdated. Extensive replace- drinking water must be treated ending up in the environment, but drinking water that comes out of
ment measures must therefore because of increased hardness. even supports the recycling and the tap in our apartments and
be planned for the near future. With its natural filter plants, EVN energetic recovery of valuable raw houses.
We are also witnessing an increase has the capacity to reduce the hard- materials such as phosphorous.
in the number of extreme ness of the water by natural means. This subject is also a focal point of
weather events throughout the A further connection between water EVN’s projects – for example, the
region – meaning heavy rains quality and infrastructure is that plan to construct a sewage sludge
and dryer periods. Creating a more extensive networks make it utilisation plant at the energy loca-
balance between the individual easier to mix water from different tion in Dürnrohr. I am pleased to
source locations therefore means sources and, in this way, guarantee see that EVN is thereby addressing
network expansion – similar to consistently high quality across an a further important station in the
the situation in the natural gas entire region. water cycle.
47
Environmental impact of
our thermal power plants
The direct and indirect environmental impact of

our power plants is evaluated annually as part of an
ABC analysis which covers the following aspects:
air, water, wastewater, waste, soil, land usage,
resource and energy consumption, noise, vibrations,
radioactivity and biodiversity. The analysis exam-
ines the environmental impact of the plants under
normal operations and disruptions and also assesses
their environmental relevance as well as opportuni-
ties for improvement.
Direct environmental power plants through NOX purposes. The cooling water containing wastewater from
impact and SO2 emissions. The flue drawn from the Danube River condensate cleaning is dis-
ash, coarse ash and REALIT is returned to the river in posed in line with the applica-
The most important direct (a waste product from flue accordance with all applicable ble requirements. The waste-
environmental impact of our gas cleaning) which result environmental regulations. water from water treatment
power plants arises from from incineration and flue Other environmentally rele- and water that does not con-
the emission of the following gas cleaning processes are vant processes include the tain ammonia is returned to
air pollutants: CO2, NOX , used by the cement and treatment of raw water and the water cycle after neutra-
SO2, dust and CO. We use building materials industries. boiler water. Wastewater lisation. The regular measure-
state-of-the-art burners and from sanitary facilities is dis- ment of pH values and annual
efficient flue gas cleaning In our plants, we also use charged through the public external analyses ensure,
equipment to minimise the water as a heat transfer sewage network into a treat- without exception, that all
environmental impact of our medium and for cooling ment plant, and ammonia- required limits are met.
Input-output analysis of thermal power plants
Energy Air Water Other supplies Energy Air Water Residual

Fuels, coal, Combustion air, Drinking water, Limestone, Electricity, Flue gas, H2O, Cooling water, materials,
natural gas, cooling air cooling water, ammonia, oils, useable energy, district CO2 Emissions: wastewater, waste
biomass, steam from process water detergents etc. heating, waste heat etc. dust, SO2, CO, NO X , sanitation Ash, slag, gypsum,
thermal waste Energy loss: steam, carbon dioxide, process REALIT etc., waste
utilisation, waste heat, radiation, sulphur dioxide, oils and parts,
auxiliary steam, Oscillations: nitrogen oxide etc. filter, solvents and
electricity electric, acoustic detergents
Land usage / soil sealing, operational disruptions, transport impacts

(transport of people and goods, grid-bound transport)
48
Emissions
As an energy company and environ-

mental services provider, we see it as
our responsibility to make a substan-
tial contribution to the fight against
climate change. This contribution
involves, above all, the minimisation
of emissions. Our focus here is placed,
not least, on the transformation of the
energy system towards climate-neutral
generation – and, above all, on the
expansion of our wind power capacity.
We have implemented effec- Indirect environmental CO2 emission beginning of August 2019
tive technical measures to impact certificates in view of the threefold
prevent and reduce the noise increase in the price of CO2
resulting from mechanical The indirect environmental The CO2 emissions of all emission certificates during
processes. These measures impact is related primarily EVN thermal power the past one and a half
include, for example, the use to the delivery of the plants and our eight dis- years. CO2 emission certifi-
of low-noise machinery and primary energy carriers trict heating plants are cates were, as a result, only
aggregates and the insula- used by EVN. In order to recorded under the EU required in 2018/19 for the
tion of machines. avoid unnecessary waste emissions trading system. remaining operations at the
and conserve resources, hard coal-fired plant in Dürn-
The impact of our power we include ecological The gas-fired power rohr, for electricity produc-
plants on the environment is factors in the procurement plant in Theiss was under tion at the gas-fired plant in
assessed through extensive processes for the required contract during the Theiss as required by the
monitoring of the surround- operating products. 2018/19 financial year as Austrian transmission net-
ing areas. EVN operates reserve capacity for the work operator to support
permanent air quality meas- Also see www.evn.at/ Austrian transmission network stability and in the
urement stations for this environmental-policy- network operator, but at Walsum 10 hard coal-fired
purpose and carries out statement a maximum volume of power plant (in line with our
hydrological evidence- 430 MW. As of 1 Octo- electricity purchasing rights).
protection measures, i. e. ber 2018, we therefore We purchase the required
groundwater testing, in deactivated and con- emission certificates on the
the areas surrounding served the thermal wholesale market through
its power plants. power plant capacity in EnergieAllianz Austria.
Theiss and Korneuburg
which was not covered EVN needed approximately
by such a contract. We 1.8m CO2 emission certifi-
also terminated electric- cates in 2018/19. Of this total,
ity production at the 3% were allocated free of
hard coal-fired power charge for heat generation.
plant in Dürnrohr earlier
than planned at the GRI indicator: GRI EU5
49
Direct and indirect green- Measures to reduce Further significant air emission quantities by EVN 1)
house gas emissions greenhouse gas-relevant t
emissions 2016/17
2017/18
The direct and indirect 2018/19
greenhouse gas emissions With our investment and
reported in this chapter were innovation activities, we 366
calculated according to the want to make an important 281
rules and factors defined by contribution to environmen-
CO 264
the EU Emission Trading tal and climate protection.
Guideline for the individual We see a considerable
2,497
countries. This procedure potential in the expansion
involves the calculation of of CO2-free generation 2,353
CO2 emissions based on the capacity, especially wind NO X 1,979

standard calorific value and power. Our target therefore
standard emission factors as calls for an increase in our 683
well as inputs from the fuel wind power capacity to
817
analysis. Other biogenic CO2 approximately 500 MW
emissions are not taken into by 2023 (subject to appro- SO 2 897
account because the possi- priate framework conditions).

bilities for data collection In 2018/19 we commis- 107
are inadequate. In allocating sioned five new wind parks 85

emissions to the individual and thereby created the Dust 82
categories (scopes), we basis for a further avoidance
follow the recommendations of roughly 78,400 t CO2
in the Greenhouse Gas (Scope 1). EVN’s wind parks, 1) Generation and thermal waste utilisation plants
(excl. local heating plants); Austria, Germany, Bulgaria
Protocol (GHG Protocol) in total, save roughly and Russia; in North Macedonia, there are no emissions
issued by the World Resource 471,600 t of CO2 per year from electricity production.
Institute (WRI). The values (Scope 1).
shown always refer to the
respective financial year. We also decided to discon-
tinue electricity production An important contribution to
The absolute volume of at the hard coal-fired power low-CO2 energy generation
direct greenhouse gas emis- plant in Dürnrohr earlier
sions (Scope 1) equalled than originally planned in Our initiatives in 2018/19 made an active contribution to meeting
2,726,185 t CO2 in 2018/19, August 2019. In addition Austria’s climate and energy targets:
which represents a year-on- to economic considerations, • The early termination of hard coal-fired electricity generation in
year increase of 6.1% (previ- this step also makes an Dürnrohr will prevent 3,600,000 t of CO2 emissions during the
ous year: 2,573,847 t CO2). important contribution to period from 2020 to 2025
climate protection: by termi- • Our wind parks will prevent roughly 471,600 t of CO2 emissions
nating operations before per year; including roughly 78,400 t CO2 through the five new wind
the end of the plant’s techni- parks completed in 2018/19
cal useful life in 2025, we
will prevent roughly 3.6m t
of CO2 emissions (Scope 1).
GRI indicators: GRI 305-5,

GRI 305-7
50
Scope 1 – Direct GHG emissions1) 2) 2018/19 2017/18 2016/17

Austria and Germany 3) t CO 2 e 2,554,212 2,426,230 2,664,823
Bulgaria t CO 2 e 169,226 144,606 172,042
North Macedonia t CO 2 e 2,148 2,327 2,291
Russia t CO 2 e 600 684 626
Total t CO 2 e 2,726,185 2,573,847 2,839,782
t CO 2 e /GWh 310.80 291.62 301.82
1) EVN’s direct emissions (Scope 1) include the CO 2 emissions from its own plants and facilities, which result from the use of primary energy carriers
(hard coal, natural gas, heating oil) for energy generation and for its own use and transportation (fuels) as well as from gas network losses.
2) Calculation method: CO 2 emissions from electricity and heat production + own consumption for production; gas network losses of methane in CO 2 equivalents;
in accordance with the GHG protocol; the intensity is based on the entire electricity and heat production in GWh (= denominator).
3) Adjustment of prior year information due to a change in the calculation method
Scope 2 (location-based) – Indirect GHG emissions1) 2) 2018/19 2017/18 2016/17

Austria and Germany t CO2 e 256,127 201,930 214,744
Bulgaria t CO2 e 179,388 180,896 204,417
North Macedonia t CO2 e 533,717 521,340 556,663
Russia t CO2 e 15,162 15,739 16,340
Total t CO2 e 984,394 919,905 992,164
t CO2 e /GWh 49.40 49.96 53.50
1) Adjustment of prior year information due to a change in the calculation method; Indirect emissions (Scope 2) are emissions attributed to the production
of the volumes of electricity and cooling used by EVN. In addition, electricity network losses have been included.
2) Calculation method: Conversion of electricity and cooling volumes into MWh based on the electricity mix of ENTSO-E, respectively a country-specific
electricity mix; The total amount of electricity sold was used in the denominator in order to calculate the intensity.
Scope 2 (market-based) – Indirect GHG emissions 1) 2) 2018/19 2017/18 2016/17

Austria and Germany t CO 2 e 195,842 161,340 190,494
Bulgaria t CO 2 e 265,193 267,144 302,433
North Macedonia t CO 2 e 533,717 521,340 556,663
Russia t CO 2 e 15,162 15,739 16,340
Total t CO 2 e 1,009,913 965,563 1,065,930
t CO 2 e /GWh 50.69 52.44 57.48
1) Adjustment of prior year information due to a change in the calculation method; Indirect emissions (Scope 2) are emissions attributed to the production
of the volumes of electricity and cooling used by EVN. In addition, electricity network losses have been included.
2) Calculation method: Conversion of electricity and cooling volumes into MWh based on the electricity mix of ENTSO-E, respectively a country-specific
electricity mix; The total amount of electricity sold was used in the denominator in order to calculate the intensity.
Other indirect GHG emissions (Scope 3) 1) 2) 2018/19 2017/18 2016/17

Total t CO 2 e 7,540,215 7,224,874 7,680,936
t CO 2 e /GWh 378.43 392.36 414.20
1) Adjustment of prior year information due to a change in the calculation method; Scope 3 emissions include further indirect emissions, which arise in the
supply chain (emissions from the extraction and transport of primary energy carriers) through the electricity and natural gas sold to and used by end
customers and from the travel by EVN employees with public transportation.
2) Calculation method: Network sales volumes (adjusted for own generation; converted into CO 2 based on EVN’s electricity mix) + natural gas sales
(based on standard factors from the Austrian greenhouse gas inventory) + travel activity (CO 2 reported by travel agencies)
Intensity of GHG emissions 1) 2) 2018/19 2017/18 2016/17

Total CO2 emissions t CO2 e /GWh 449.89 454.33 474.02
1) Adjustment of prior year information due to a change in the calculation method; total specific emissions from Scope 1–3 in relation to the sales volumes of
electricity and natural gas (19,924 GWh of electricity and 5,083 GWh of natural gas for 2018/19)
2) Upstream CO 2 effects from the primary energy carriers, calculated on the basis of the UNFCCC factors
GRI indicators: GRI 305-1, GRI 305-2, GRI 305-3, GRI 305-4
51
Responsible use of energy
As a responsible energy and environmental

services company, we not only want to use our
Energy efficiency
extensive know-how to conserve resources, measures for
protect the environment and use energy effi- customers
ciently in our internal operations – we also
want to share this expertise with our customers. Examples of the measures for
our various customer segments
(households, commercial and
industrial customers as well as
EVN’s energy intensity 1) legally required to implement Measures to reduce cities and municipalities) are:
totalled 26.3 MWh of pri- energy savings measures for energy consumption
mary energy for each GWh end customers at an amount • Energy advising
of energy sold in 2018/19 equal to 0.6% of the previous In 2018/19 we cut our direct • Energy services (among
(previous year: 24.4 MWh). year’s energy sales volumes energy consumption by others, to identify energy
The use of new technologies since 1 January 2015. The approximately 3,000 kWh saving opportunities)
and continuous optimisation target for the 2018 calendar through the installation of • E-mobility
measures, also in connection year was 45.3 GWh, which district cooling to replace • Replacement of boilers
with additional voluntary we met with a wide variety electrically powered air • Conversion to efficient
targets linked to our EMAS of measures. conditioning in one of our LED street lighting in
certifications, help us to company buildings. We municipalities
realise further efficiency We even exceeded the legally reduce our indirect energy • Substitution of district
improvements. defined target for 2018 consumption by using e-cars heating from EVN Wärme
1) Energy intensity indicates EVN’s own when we include our own wherever possible, especially for less efficient heating
consumption of electricity, natural gas, energy efficiency measures – for short trips. Business systems
heat and heating oil as a percentage
of the total energy sales volume
for example, the conversion travel is also being reduced • Installation of photovoltaic
to energy-efficient LED light- by the increased use of video equipment and storage
GRI indicator: GRI 302-3 ing and on-demand equip- conferences and webinars: batteries to increase
ment or the installation of for example, the use of webi- decentralised generation
Energy efficiency measures photovoltaic equipment to nars as a substitute for class- while, at the same time,
cover our internal electricity room training saved roughly optimising consumption
Many different measures help requirements. A number 13 t of CO2 in 2018/19. (demand-side management)
us to continuously improve of these measures resulted
our own energy efficiency from the continuous Energy consumption outside
and, at the same time, reduce improvement process which the organisation (Scope 3)
the emissions from our pro- represents an integral totalled 27,224 GWh
duction and energy procure- part of the environmental in 2018/19 (previous year:
ment activities and the use management system at 25,831 GWh).
of energy by our customers. our generation plants.
As an energy supplier in GRI indicators: GRI 302-1,
Austria, we have also been GRI indicator: GRI 302-5 GRI 302-2, GRI 302-4
EVN’s direct and indirect own energy consumption

by primary energy sources 2018/19 2017/18 2016/17
Non-renewable energy carriers MWh 5,516 5,817 5,834
thereof natural gas MWh 5,198 5,295 5,356
thereof heating oil 1) MWh 317 522 477
Renewable energy carriers MWh – – –
Electricity, heating and cooling energy MWh 640,502 632,163 678,824
Total MWh 646,018 637,980 690,492
1) Heating oil is used in North Macedonia and Bulgaria only.
52
Responsible use of resources
The materials used in our company consist mainly of

primary energy carriers such as fossil fuels, waste
and biomass. We also use various supplies as second-
ary components in our energy generation and waste-
water treatment plants. Only a limited amount of
recycling material is used with these components for
technical reasons.
Material and other supplies – used in energy generation,

wastewater treatment, thermal waste incineration 2018/19 2017/18 2016/17
Renewable energy carriers
Biomass terajoule 1) 3,341 3,389 3,400
Non-renewable energy carriers
Fossil fuels 2) terajoule 1) 31,304 31,562 35,781
Non-renewable materials
Limestone t 27,491 20,547 21,657
Ammonia t 897 957 1,073
Ammonia water 3) t 2,136 1,672 1,579
Demineralised water m³ 175,937 219,133 213,627
Lubricating oils 3) t 7 2 2
Hydrochloric acid 3) t 219 192 188
Sodium hydroxide 3) t 67 113 62
Dosing media t 10 9 9
Rock salt 3) t 131 101 85
Lime hydrate t 340 343 312
Precipitants l 1,645 1,631 1,296
Flocculating agents l 404 386 334
Urea t 15 15 15
Other energy carriers
Waste 4) terajoule 1) 5,581 5,635 5,559
1) Information provided in terajoules because of the different fuel qualities
2) Natural gas, hard coal, heating oil
3) Amount includes Bulgaria beginning with the 2017/18 financial year
4) For incineration by the thermal waste utilisation plant in Dürnrohr /Zwentendorf
Material utilisation – network construction in Lower Austria1) 2018/19 2017/18 2016/17

Additional power lines km 251 356 302
Additional natural gas pipelines km 25 10 15
Additional heating lines km 14 18 15
1) Includes overhead lines as well as underground cables and pipelines.
53
Sustainable water management
At EVN, we use the resource water for normal house-

hold purposes (e. g. in sanitary facilities) or as process
water (e. g. in heating networks or for lubrication). We
draw the required quantities from municipal drinking
water supplies or from our own ground wells. The
cooling water used in our plant operations comes from
surface water.
All ordinary household allowable amount of waste- In the area of wastewater 2) Average value over the parameters for
wastewater is cleaned in water, the main substances disposal, our plants treated chemical oxygen requirements, biologi-
cal oxygen requirements, total nitrogen
municipal treatment plants it may contain and the roughly 144.5m m³ of and total phosphorous. The per cent
before it reaches any surface required wastewater inspec- wastewater in 2018/19 with value represents the quantity of pollut-
water. The wastewater flows tions. Direct discharges into a mean purification perfor- ants removed.
from our power plants are surface water are regulated mance of 87.5% 2) (previous
continuously tested for qual- by the wastewater emission year: 87.7%; 165.2m m³). GRI indicators: GRI 303-1,
ity and – after treatment ordinance and various water- The resulting sewage sludge GRI 303-2, GRI 303-3,
to eliminate any relevant related guidelines. Our is used partly for agricultural GRI 303-4, GRI 303-5,
adverse factors – returned wastewater streams are also purposes and compost pro- GRI 306-5
to the water cycle in accord- tested regularly by accred- duction and partly deposited
ance with the applicable ited external institutions. in landfills or used to gener-
environmental regulations. We naturally comply with ate heat.
In 2018/19, the cooling all requirements defined by 1) Source: “Austrian Hydrographical
water flow rate at our Lower various public authorities Annual 2015“, Federal Ministry for
Sustainability and Tourism
Austrian thermal power for cooling water discharge
plants totalled 256.5m m³ temperatures. The seepage
(previous year: 276.0m m³). water or rainwater from our
This corresponds to 0.43% own landfills is recycled by
of the average annual vol- using it for flue gas cleaning. Wastewater treated
ume of the Danube recorded m m³
at the Korneuburg gauge 1) However, water is also 165.2

(measuring point number important for our company 12.0
207241), which amounted in another context: drinking 4.6 144.5

136.2
to 59,707m m³ and remains water supplies for Lower 14.9 Cyprus
clearly below the allowed Austria are provided by 130.1

1.5 4.6 Austria
threshold of 5%. evn wasser, while WTE 4.7 114.5 Croatia
Wasser technik is involved in 111.6
In cases where the type or the international project

quantity of a wastewater business through the plan-
stream at one of our loca- ning, construction and oper-
tions differs from ordinary ation of plants for drinking
household wastewater and water supplies and waste-
connections to a sewage water disposal. The manage-
system are available, we ment of sewage sludge rep-
conclude contracts with resents a further – and new –
sewage treatment plant business field. The goal here
operators based on the is to construct efficient
indirect discharge ordinance. and ecologically compatible 2.8 2.7 2.5 Slovenia
9.5 9.7 8.0 Germany
These contracts contain plants for the thermal
detailed provisions for the utilisation of sewage sludge. 2016/17 2017/18 2018/19
54
Water 1)
m m³ 2018/19 2017/18 2016 /17
Water withdrawn 2) Total 294.4 314.4 322.9
thereof by source Surface water 259.7 279.0 288.9
Groundwater 34.3 35.0 33.6
Delivered water 0.3 0.4 0.4
Water released 2) Total 262.2 281.7 291.4
thereof by destination Surface water 259.7 279.0 288.9
Water released to third parties
(municipal wastewater treatment) 2.5 2.7 2.5
thereof by treatment No treatment 259.7 279.0 288.9
Treatment level – wastewater
purification (municipalities) 0.2 0.3 0.3
Treatment level – wastewater
purification (EVN Group) 2.3 2.4 2.1
Water consumption 3) Total 32.2 32.7 31.5
1) The treated water from our customers in the environmental services business is not included in the water balance.
2) All of the water withdrawn and released is fresh water (≤ 1,000 mg/l total dissolved solids).
3) Drinking water supplies from purified ground water by evn wasser
raw material that is only found in the planning stage for our
a few countries throughout the energy location in Dürnrohr –
world. As an example, the new as well as the Arabian Peninsula.
waste sewage sludge ordinance in WTE is currently working on a
Germany requires nearly compre- large sewage sludge utilisation
hensive phosphorous recycling facility in Tubli, Bahrain, as part
beginning in 2029 – which gener- of a project to expand a waste-
ally entails thermal treatment.“ water treatment plant.
This also makes sense from an
energetic standpoint because the WTE was also commissioned
utilisation of sewage sludge – to develop a smaller plant in
apart from generating electricity northern Europe – specifically
Thermal sludge utilisation – to meet internal needs – can be in the Lithuanian city of Utena.
the next logical step after used for district heating. Several Manfred Graf: “Our five current
wastewater treatment plants are currently in the planning projects cover a broad spectrum
A conversation with Manfred Graf, or construction stage in Germany, of plant sizes and types. They
head of thermal utilisation at EVN and WTE is working on such a allow us to gain wide-ranging
project in Halle-Lochau through experience and, at the same
sludge2energy, a joint venture time, demonstrate our know-how
formed with a German partner in developing reference plants
An interesting new area of sewage sludge can contain harmful company in 2012. There is also a for different applications.“ Not
business for the EVN Group – substances like microplastic, hor- growing interest in this field least due to its many years of
specifically for WTE Wassertech- mones, antibiotics and other drug outside Germany, and all larger expertise in the customised
nik, which is specialised in the residues. The main point here, how- cities and metropolitan areas planning and turnkey realisa-
treatment of drinking water ever, not only concerns the reduc- will have a need for these services tion of projects, EVN is well
and wastewater – is currently tion of pollutants, but also the over the medium term. prepared to meet the expected
materialising in the thermal conservation of resources. Manfred demand as a general contractor
treatment of sewage sludge. Graf, who is responsible for EVN‘s For the EVN Group, the most for planning and construction
This residual material was thermal sewage sludge treatment promising markets currently include as well as a plant operator.
generally spread on fields or business, explains: “The treatment Germany and Austria – among Manfred Graf smiles: “The
composted in the past, but the of sewage sludge can lead to the others, two plants with different potential for sewage sludge
practice is changing because recovery of phosphorous – a finite dimensions and technologies are in utilisation is really impressive.“
55
Environmentally compatible
waste management
Material and substance flows in the EVN Group are

closely monitored and controlled to avoid waste,
support recycling and ensure appropriate disposal.
In addition, material and equipment suppliers as
well as disposal partners are selected on the basis of
ecological criteria.
All regularly occurring haz- disposed across national All environmentally relevant age of 400 l of heating oil.
ardous and non-hazardous borders in 2018/19. incidents are recorded in This incident had no impact
waste is transferred to a standardised reporting on the environment because
licensed disposal specialists We utilise all flue ash, coarse system that covers the plants the oil leaked out onto the
based on framework con- ash and REALIT, while in Austria, Germany, Bulgaria sealed floor of the heating
tracts. These specialists roughly one-half of the bio- and North Macedonia. Our room. The heating oil was
dispose of the waste in an mass ash from district heat company registered only one removed, and the floor was
environmentally compatible production is transferred environmentally relevant correctly cleaned.
manner consistent with to disposal firms and then incident in 2018/19: in the
the legal regulations ap- utilised. The remaining boiler room of our district GRI indicators: GRI 306-3,
plicable in the respective amounts are deposited in a heating plant in Ernsthofen, GRI 306-4
countries. No hazardous or landfill in accordance with Lower Austria, a defective
non-hazardous waste was the applicable regulations. manometer led to the leak-
Development of waste quantities 1) 2018/19 2017/18 2016/17

Hazardous waste and residual materials t 19,604 19,348 11,524
Non-hazardous waste and residual materials t 237,346 267,224 259,242
Export of hazardous waste

Hazardous waste t 0 0 0
1) Without construction residue or power plant by-products
Utilised quantities of power plant by-products – Utilised quantities of power plant by-products –
Austrian power plants Walsum 10 power plant
t /year t /year
76,769
73,735
31,774 Flue ash
41,849 67,807
40,736
39,245 44,995 Gypsum

35,482
32,966 17,099 REALIT
12,451 13,473 31,886
27,071
1,117 2,318 Coarse ash
21,914 572
18,921 19,828 Flue ash
2016/17 2017/18 2018/19 2016/17 2017/18 2018/19
56
Biodiversity
We are committed to minimising the impact of all our

business activities on nature. Our top priority is the
protection of flora and fauna and the preservation of the
natural habitats of animals and plants in the areas
surrounding our plants and projects. Not only the respon-
sible realisation of construction projects, but also the
responsible operation of our plants is a matter of course.
That means: bats when they are located • Cable installation through • Construction of nest
• Minimisation of resource at the same height as their ploughing as an alterna- platforms to protect the
and land use flight routes. tive to digging endangered white stork
• Minimisation of negative • Cooperation with BirdLife in Bulgaria and North
effects on the landscape We minimise the impact of Austria to insulate power Macedonia
• Minimisation of energy our construction projects poles as protection for • Joint project with the
losses in energy genera- with ecological planning and the imperial eagle in the Bulgarian Association for
tion and transmission construction monitoring. In Laaer Basin Bird Protection to protect
addition, we implement a • Operation of online moni- the imperial eagle
As a result of our infrastruc- wide variety of measures toring equipment to regu- (EU LIFE+ programme)
ture – which consists primar- and programmes to protect larly test the water quality • Joint project with Green
ily of power plants and net- the natural habitats in our at various levels in the Balkans, a Bulgarian envi-
works – the potential impact area of influence. These Ottenstein reservoir ronmental protection
of our business activities is activities often take place • Joint project with the association, to protect the
chiefly related to habitats in in close cooperation with Association for the Pro- black vulture (EU LIFE+
the water and in the air. external experts from tection of Great Bustards programme)
Hydropower plants can have NGOs and local authorities. in Austria (continuation of • Project to protect snakes
an influence on biodiversity, Current projects to protect the EU LIFE+ programme) by using ultrasonic devices
above all because of the lim- biodiversity include, among • Species protection meas- for rodent prevention in
ited passage through rivers, others: ures at selected wind network infrastructure
while the effects of thermal power projects (e. g. joint plants in North Macedonia
power plants are related to • Underground cables as a concept with BirdLife to
the temperature of the cool- substitute for overhead develop compensatory GRI indicator: GRI 304-4
ing water released into the lines wherever technically measures to create alter-
rivers. Wind power plants and economically possible native habitats for birds)
and overhead power lines • Power poles in colour • Installation of fish
can represent a danger for schemes and heights that bypasses at small-scale
various types of birds or fit in with the landscape hydropower plants
Endangered animal and plant species as defined by the

International Union for Conservation of Nature (IUCN) and included
on national lists in Austria, Bulgaria and North Macedonia in 2019
Category Animals Plants
Critically endangered 51 7
Endangered 79 19
Vulnerable 152 23
Near threatened 146 18
Least concern 1,398 696
Total 1,826 763
57
Committed to
clear values.
Responsibility towards employees,
partners and suppliers.
EVN’s materiality matrix speaks

a clear language: “responsible
management”, “sustainable
increase in corporate value”
and “supply chain responsibility”
represent key issues for our
stakeholders. That explains why
we also place high value on
ethical and legally compliant
behaviour by our employees,
business partners and suppliers,
who we, in turn, treat with the
same responsibility and respect.
58
Responsible management
”Respect and
mutual appreci-
ation guide us
in our actions –
both inside
and outside the
company.“
Julia Handler,
recruiting
59
Human rights, ethics and integrity
We have put our commitment to full compliance into

practice by implementing a series of compliance guide-
lines and measures which apply within the EVN Group.
The starting point is formed by the EVN Code of Con-
duct with its ten subject areas. It regulates, among oth-
ers, the aspects of our business activities in the areas
of human rights, governance, compliance, corporate
ethics, the prevention of corruption, public appearance
and competitive behaviour as well as occupational
safety and accident prevention. We have also issued
additional detailed guidelines for specific target groups
such as employees or suppliers and for specific issues
such as the prevention of corruption.
The rules in our Code of For EVN’s integrity clause for pliance with the ten princi- define this term very broadly.
Conduct are based on a suppliers, see page 75 ples of the UN Global Com- For EVN, it includes illegal
diverse group of principles Also see www.evn.at/ pact and, in particular, payments (e. g. bribes, kick-
and policies which were Code-of-conduct.aspx decisively reject any form of back payments, fictitious
adapted to meet our com- child labour or forced labour. services, false classification/
pany’s characteristics and Human rights A related obligation is the account assignment) as well
requirements. They range prohibition of discrimination as all forms of gratuities
from national laws and A very central subject area in based on nationality or eth- (e. g. gifts, invitations, sub-
international regulations, our Code of Conduct is our nic background, gender, jective benefits, immaterial
such as the OECD and UN unlimited and unequivocal sexual orientation, culture, advantages like awards and
Global Compact guidelines commitment to the respect, religion, age or health. This patronage). Our employees
and agreements, to the pol- observance and protection applies not only to our busi- and their close family mem-
icy statements and princi- of human rights and ethical ness partners, but also to bers are prohibited from
ples issued by the Interna- principles at all our locations. our interaction with our accepting any form of these
tional Labour Organisation We are committed to com- employees. payments or gratuities –
(ILO) and internal organisa- with the exception, for
tional directives and corpo- As an international corpora- example, of small memen-
rate principles that go tion, we are also active in toes that reflect local or
beyond legal requirements. Behavioural countries with a less devel- national practices.
Reliability, transparency, norm for suppliers oped understanding for
trust and quality in our human rights issues. A comprehensive set of pre-
interaction with internal and Full compliance and the strict Although the respective ventive measures – including
external partners represent observance of the EVN Code governments are primarily internal behavioural guide-
the central guidelines. of Conduct represent binding responsible for protecting lines and specific training
guidelines for our behaviour in human rights, we consider programmes – have been
The EVN Code of Conduct the areas of human rights, the it our responsibility – within implemented to create a
was issued in German, prevention of corruption, eth- our possibilities – to also greater awareness for the
English and the languages ics and integrity. Our suppliers encourage compliance in prevention of corruption
of our foreign subsidiaries. are required to follow these this area outside our direct among our employees.
It is also available to the gen- same principles and values. scope of operation. Accordingly, the issue of cor-
eral public on our website. Consequently, we expect them ruption represents a special
Interested business partners to comply with the EVN integ- Prevention of corruption focal point of the regular
can obtain detailed informa- rity clause, which also covers compliance risk surveys con-
tion on our compliance man- the issue of human rights. We are decisively opposed to ducted by the staff depart-
agement at any time. all types of corruption and ment corporate compliance
60
management. These analyses • Prevention through the all compliance-relevant to consequences under crim-
are based on a catalogue of creation of awareness and directives and rules. inal law, whereby decisions
criteria whose key elements training are the responsibility of the
include the operating envi- • Identification of violations CCM carried out another designated institutions. Con-
ronment, the country, indus- of the Code of Conduct comprehensive, Group-wide firmed suspicions result in
try and scope of business • Reaction through infor- assessment of compliance prosecution under labour
activities as well as the initia- mation and improvement risks in 2018/19, which and/or civil law, depending
tion and processing of busi- included the structured on the severity of the case
ness transactions. The staff department corpo- review and evaluation of all and the scope of the dam-
rate compliance manage- subject areas in the EVN age. Therefore, employees
GRI indicators: GRI 102-16, ment (CCM) is responsible Code of Conduct. Its goal who unintentionally come
GRI 205-1 for the operation and con- was to identify and analyse into conflicts of interest or
tinuous improvement of existing risks from a broader loyalty during their work are
Organisation of compli- the CMS and, in this func- standpoint in order to fur- advised to contact EVN’s
ance management tion, reports directly to the ther improve the CMS compliance officer directly
Executive Board. In addition through the development and without delay.
EVN has had a separate to the chief compliance of new targeted measures –
compliance management officer and CCM staff, for example, related to train- We received no reports of
system (CMS) since 2012. It decentralised compliance ing. The conclusion of the discrimination based on eth-
defines a standardised officers were assigned to risk assessment in the Aus- nic, national or social origin,
framework for the entire EVN’s individual operating trian Group companies skin colour, gender, sexual
Group, which is designed to areas and national compli- during 2018/19 will be fol- orientation, religion or politi-
support the honest and ance officers were installed lowed by similar procedures cal orientation during
legally compliant behaviour for Bulgaria, North Macedo- in EVN’s international 2018/19.
of our employees in their nia and the WTE Wasser- companies.
everyday business activities. technik international project However, we received three
business. This structure GRI indicator: GRI 205-1 reports in 2018/19 concern-
The CMS is built on three ensures that the centrally ing alleged violations of the
main elements: managed CMS is optimally Whistle-blowing principle of integrity and the
geared to meet the require- procedure prevention of corruption
ments of the various special- which are anchored in the
ist areas and regions. Thus Our employees have access Code of Conduct. Two
a total of eleven employees to a confidential and anony- reports concerning employ-
Compliance in the EVN Group have mous whistle-blowing pro- ees, which were not the
readiness check specific compliance responsi- cedure, which permits the subject of a lawsuit, were
bilities. reporting of (presumed) confirmed after an internal
CCM carried out an evaluation compliance violations via the investigation, and measures
of the compliance culture and Group-wide identification EVN Intranet or designated were taken to prevent simi-
application of the CMS in of compliance risks compliance e-mail addresses. lar incidents in the future.
EVN’s companies in Bulgaria, It can be used to communi- None of these cases led to
North Macedonia and the Compliance risks which, in cate any concerns over the dismissal of or a warning
WTE Wassertechnik interna- line with EVN’s interpreta- unethical or illegal actions. notice to the involved employ-
tional project business dur- tion also cover human rights ees or to the termination of
ing 2018/19. The evaluation and the prevention of cor- Special compliance e-mail contracts with business
covered the structures as well ruption, are identified annu- addresses also allow busi- partners.
as the knowledge and aware- ally for the entire Group on a ness partners to use the
ness of employees on this systematic basis and from whistle-blowing procedure. GRI indicators: GRI 205-3,
issue. The results will now be different viewpoints. These A Group directive defines the GRI 406-1
used to make compliance risks are surveyed as part procedures for dealing with
measures more efficient and of the annual risk inventory the reported concerns and Review of business
target-oriented. The compli- since any violations represent protecting the whistle- partners
ance readiness check will now an important issue for EVN’s blower.
be standardised and carried risk management. The Our business partners are
out in all countries where EVN reviews carried out by our Compliance violations repre- also required to comply with
is active over the coming years. internal audit department sent a breach of employees’ high, strict ethical standards.
also cover the observance of responsibilities and may lead We give high priority to the
61
issues of human rights, tion of corruption, public Participation in mandatory compliance training1)
working conditions and appearances and competitive (as of 30.09.2019)
labour laws, environmental behaviour. The programmes Number
and climate protection and range from mandatory stand- Executive Board and managers
business ethics. Throughout ardised training courses for Employees
the entire EVN Group, we new employees in the Group,

attempt to avoid business above all on the ten subject
relations with companies areas of the EVN Code of 87 (100.0%)
that have been proven to be Conduct, to supplementary
Austria 2,497 (97.7%)
directly or indirectly involved e-learning programmes and
in or accused of offences special courses for areas
against human rights or vio- exposed to increased risk. 61 (98.4%)
lations of corruption, anti- The special courses are Bulgaria 2,058 (93.8%)
trust or commercial law. The directed, for example, to
review process for potential employees in highly compet-
46 (100.0%)
business partners, which also itive business sectors and the
includes the screening of international project business North Macedonia 1,784 (92.1%)
sanction lists, follows a risk- as well as employees with
based approach that is spe- contacts to public authori- 64 (97.0%)
cifically focused on industry ties. The members of the International
and country risks. For Austria Supervisory Board have also project business 530 (95.2%)
and the WTE Wassertechnik received additional compre-

international project busi- hensive training from exter-
ness, we also use the compli- nal experts in the past. 1) Includes non-consolidated subsidiaries
ance database and software
of a specialised external ser- CCM cooperates with man-
vice provider. Risk-minimising agers from various depart-
measures are implemented ments to strengthen and
if the screening reveals any improve our compliance
sensitive issues. principles and rules and our
ethical values. These multi-
GRI indicator: GRI 102-17 hour workshops also equip
managers with the tools
Compliance training to transfer the defined con-
tent to their staffs. The
In order to firmly anchor the managers in Bulgaria, North
issue of compliance through- Macedonia and the interna-
out the EVN Group, we reg- tional project business,
ularly emphasise the impor- together with their employ-
tance of correct, ethical ees, represented a special
behaviour to all managers, focal point in 2018/19. In
employees and the members Austria, managers received
of the Supervisory Board. in-depth training on equal
This information is generally opportunity and conflicts
presented in training courses of interest during the report-
and workshops which con- ing year.
centrate on human rights,
corporate ethics, the preven- GRI indicator: GRI 205-2
62
Our employees –
the basis for our success
The EVN Group had an average of 6,908 employees
on a full-time equivalent basis in 2018/19 and
7,327 employees (headcount) as of 30 September 2019.
Our workforce consists of men and women from
different nationalities, cultures and generations.
With their high qualifications, they play a central
role in all our business activities. The awareness
of this strategic importance is reflected in our
actions as a responsible and fair employer, which
allow us, not least, to safeguard efficient, goal-
oriented human resources development in a
continuously changing working environment.
“The wide vari-

ety of attractive
offerings and
flexible solutions
underscores the
Diversity In addition to our own staff, at EVN in Austria equalled
162 leased employees also approximately 7.5:1.
high priority
Our company’s international worked for the EVN Group EVN gives to its
market presence is also as of 30 September 2019. As of 30 September 2019, employees.”
reflected in our workforce: They represented 2.2% of our workforce included Claudia Tabacco-Buchta,
EVN’s employees come from EVN’s total workforce. We 1,686 women (23.0%) and HR management
more than 25 countries, use personnel leasing for 5,641 men (77.0%). In order
above all from Austria, Bul- several reasons: first, as a to increase the percentage
garia und North Macedonia. preliminary step to a con- of women in the EVN Group,
We are firmly committed to ventional employment rela- we launched the Women@ current educational levels
the hiring and advancement tionship (integration leas- EVN programme. It includes of women in the applicable
of regional employees ing); second, for tasks and requirements-oriented semi- professional groups.
because this improves our projects covering a limited nars, internal networking 1) The calculation was based on the
understanding of the special time period; third, to handle opportunities and several average value.
characteristics of the local peak work periods; and other initiatives to improve
culture and increases the fourth, in business areas the framework conditions for For information on diversity
economic benefits of our with an uncertain market our female staff and support and the diversity concept for
business activities. Our goal, situation. highly qualified women in the Supervisory Board and
therefore, is to maximise the developing a career path Executive Board, see the
number of employees and The remuneration of leased with a management focus. corporate governance report
managers from the respec- employees is based on the Specific measures to improve on page 93ff
tive region in all our markets salary or wage defined by equal opportunity have also GRI indicators: GRI 102-8,
(approximately 90%). In par- collective bargaining agree- been in place in North GRI 202-1, GRI 202-2, GRI 401-1,
ticular the strengthening of ments or legal regulations Macedonia since 2015/16. GRI 405-1
local management capacity for our employees in compa- Over the medium term,
represents an important rable positions. In 2018/19, we are working to increase
aspect of our corporate the ratio of the highest the percentage of women
strategy. salary and average salary 1) to a level that mirrors the
63
Diversity of employees 2018/191)
Gender Type of employment2)
1,686 women 5,641 men 180 workers 7,147 employees

Austria 518 Austria 2,101 Austria 62 Austria 2,557
Bulgaria 576 Bulgaria 1,676 Bulgaria – Bulgaria 2,252
North Macedonia 459 North Macedonia 1,534 North Macedonia – North Macedonia 1,993
Other countries 133 Other countries 330 Other countries 118 Other countries 345
23.0% 2.5%
77.0%
97.5%
Principles and models for we can implement our • Whatever we do, our definition of specific goals
our employee relations strategy and provide focus is always on the for the employee.
energy and environmen- environment, as it is the
In addition to national tal services to our source of the energy We motivate our employees
laws, international guide- customers in the best we generate. not only by meeting our
lines and the basic values possible way. • We are committed to legal obligations as an
described in the Code of • This position ensures the sustainability in all areas. employer, but also by pro-
Conduct, EVN has defined healthy growth of the viding numerous additional
principles and models for EVN Group. These values also represent voluntary benefits. The fol-
the interaction with our an integral part of the key lowing fundamental princi-
employees in a set of bind- encourage: We encourage documents that describe our ples define our corporate
ing documents. people. corporate and management culture:
• The way we think and act culture, e.g. the managerial • Equal treatment, equal
Our goal is to apply these encourages people. mission statement, and the opportunity and diversity
same high standards in all • A good atmosphere and feedback and orientation • Work-life balance
countries where we are a positive working climate sessions which are held reg- • Health care, occupational
active. This led to the defini- are just as important for ularly with more than 80% safety and accident
tion of three key values – our corporate success as of our employees in Austria. prevention
ensure, encourage and for our employees’ devel- In these discussions, employ- • Corporate social partner-
enable – for the EVN Group opment. ees receive feedback on ship and internal commu-
several years ago: • We are the right company their performance and a nication
for people who love to framework for development • Human resources devel-
ensure: We ensure quality learn and who – where planning. A total of opment and advancement
and corporate success. necessary – also offer 429 women (21%) and
• We are committed to constructive criticism. 1,584 men (79%) in Austria GRI indicators: GRI 102-16,
continuity and safety. took part in a feedback ses- GRI 404-3
Our employees are hard- enable: We enable the sion during 2018/19. This
working, competent, future. important management tool
reliable and quality con- • We not only talk, we includes an appraisal by the
scious. also enable. employee’s supervisor as
• Through their individual • We always choose the well as structured reciprocal
contributions, each of our correct and solution- feedback on work perfor-
employees ensures that oriented way. mance and quality plus the
64
Part-time employees3)
464 total 342 women 1) As of 30 September 2019

2) In Bulgaria and North Macedonia, there is no
Austria 280 Austria 208
distinction between employee and worker.
Bulgaria 11 Bulgaria 2 3) EVN only uses limited one-year employment
North Macedonia 136 North Macedonia 98 contracts for new employees. Further data
Other countries 37 Other countries 34 was not collected in this respect because the
category is irrelevant.
6.3%
4.7%
Equal treatment and orientation, culture and tion is independent of In keeping with our commit-
equal opportunity religion, age or state of gender and based solely on ment to equal treatment
health. We also expressly the applicable collective and opportunity, we also
In agreement with the prin- reject any form of discrimi- bargaining agreement or support the integration of
ciples of the UN Global nation in hiring, training, their specific responsibilities people with special needs
Compact and the Interna- career development, working and qualifications. At EVN, in our workforce. We
tional Labour Organisation, conditions and compensa- there is no difference in employed 122 persons
all EVN employees are tion for employees with the compensation paid to with special needs
treated equally regardless of the same professional and women and men who in 2018 /19, representing
their nationality or ethnic personal qualifications. have the same training and 1.7% of the total number
background, gender, sexual Our employees’ compensa- perform the same activities. of employees.
Newly hired employees Total

2018/19 Austria Bulgaria North Macedonia Other countries Nominal % 1)
< 30 years 86 72 67 17 242 3.3

thereof women Number 26 10 33 3 72 1.0
thereof men Number 60 62 34 14 170 2.3
30 – 50 years 62 78 32 31 203 2.8

> 50 years 6 3 2 12 23 0.3

Total 154 153 101 60 468 6.4

1) In relation to total workforce as of 30 September 2019.
65
Work-family balance Men at EVN are also increas-

ingly using the available The new world of work at EVN:
A further central concern models. together simply better
is to help our employees
achieve a balance between In 2018/19, 40 women and The world is changing. Digitali- mation and dialogue between
their working and family life. 19 men were on parental sation, networking and the areas and between supervisors
An important step in this leave in Austria, and nearly energy revolution are creating and colleagues. This concept
direction was the signing of all mothers and fathers new framework conditions for promotes a new working culture
a “charter on the new com- returned to EVN after that the entire industry. We want to where experience and expertise
patibility between parents time (return rate: 97.5% for continue to offer our customers from different departments will
and business” in May 2011, women, 100% for men). a portfolio of innovative prod- be used to develop new cus-
which underscores our com- One employee left the com- ucts and services in the future tomer solutions.
mitment to a parent-oriented pany after parental leave in and, to meet this objective, we
human resources policy. Our 2018/19; in the previous year have launched a project to rede- An important aspect in this con-
employees in many areas all employees on parental sign the working world at our nection is the issue of flexibility.
have the freedom to define leave returned to their jobs headquarters by 2020 – with Our employees are entitled to
their working hours. This and were also employed by the aim of promoting teamwork work up to 100 hours each year
independence is based on a EVN after twelve months. across all departments. at a location of their choice,
flexitime model without core which makes childcare easier or
times, which allows for the GRI indicator: GRI 401-3 The core measure of the “EVN reduces travelling time to and
free organisation of working Working World“ project involves from the office. The EVN Working
hours unless otherwise Occupational safety the opening of workspace. Indi- World will also include a variety
required for operational rea- vidual and group offices are of technical improvements,
sons (e. g. shift work). We An important subject area in being replaced by open areas including the introduction of
also offer various part-time our Code of Conduct with networking zones, shared innovative technologies such as
working models which play involves our efforts on behalf infrastructure and state-of-the- Skype for Business and new
an important role, above all, of occupational safety and art conference rooms. The goal digital equipment.
in connection with childcare. the prevention of accidents is to optimise the flow of infor-
In addition, we support in all our business units. In
employees with family addition to the many Euro-
responsibilities through facil- pean and national require-
ities that include a parent- ments, we have defined our A separate occupational as well as occupational saf-
and-child office and our own principles for occupa- safety department records ety know-how. Moreover, all
supervised summer holiday tional safety and health pro- and analyses work accidents EVN employees and leased
programme for children. tection. These principles are involving our own employ- personnel are represented
anchored in EVN‘s safety ees and leased personnel by safety officers in working
Our salaried employees in mission statement and and introduces any neces- committees that monitor
Austria, Bulgaria and North seven-point safety strategy. sary countermeasures. The and discuss the workplace
Macedonia are legally enti- They are supplemented by recording of identified risks safety programmes. This
tled to parental leave after an extensive set of internal and incidents as well as the exchange takes place once
the birth of a child, and we directives and guidelines monitoring of implemented each year in accordance with
naturally approve this leave which describe the safety measures are based on the legal regulations. Represent-
within the framework of the risks associated with our requirements of ISO 45001. atives of our works council
applicable laws. In South activities and define the Close contacts between the are also involved in all work-
East Europe, this option is necessary countermeasures. safety officers in the individ- place, health and safety
used less frequently than in ual business units and safety issues.
Lower Austria. We maintain Despite extensive safety experts ensure that identi-
direct contact with our precautions, two fatal work fied risks and preventive Our accident analysis is
employees during the entire accidents unfortunately measures are integrated in based on specific events and
leave period and, in doing occurred in North Macedonia all safety and health protec- was expanded to include
so, facilitate their return to during 2018/19. The circum- tion documents. The first the regular analysis of “near-
work. Employees on parental stances surrounding the contact for safety-related miss“ incidents and accidents
leave are invited to special accidents were investigated concerns is the responsible by contract firms. Nearly
information events and can in detail, and the insights safety officer who has the one-third of all work acci-
take advantage of our exten- gained will now flow into the necessary technical expertise dents involve tripping,
sive training programme. Group’s training measures. for the specific work process stumbling and twisted
66
Accident and lost days statistics 2018/19 2017/18 2016/17

Deaths after work-related injuries 2 – –
Ratio of deaths 0.2 – –
Occupational accidents 1) 2) 85 100 89
thereof severe accidents with lost days > 6 months – 5 1
Ratio of severe accidents with lost days > 6 months – 0.4 0.1
Staff sick days 2) 2,376 3,535 2,354
LTIF 3) 4.3 4.8 5.3
Number of LTIF-relevant occupational accidents 4) 53 58 64
Lost days/employees 10 11 10
1) Number of occupational accidents (excluding commuting accidents)
2) Lost days (including weekends and public holidays) resulting from occupational accidents (excluding commuting accidents);
previous years’ figures adjusted due to a change in calculation method
3) Lost Time Injury Frequency Index – frequency of occupational accidents per one million working hours
4) Lost days resulting from work-related accidents (excluding commuting accidents), the causes of which are connected to the occupation
ankles, followed by physical general information and, the safety-related aspects

strain during work proce- above all, behaviour- and of power line construction“.
dures, falls, cuts and stab action-related directions for These courses provide the
wounds. Major potential the employee’s individual involved employees with a
hazards for serious accidents workplace or area of respon- mix of theoretical and practi-
with long work absences sibility. The following points cal training on the safety
are, for example, traffic acci- are also covered: aspects of their day-to-day
dents, falls from power poles • Names and functions of work.
and torn ligaments or broken the responsible safety
bones during power line expert, safety officer, fire In 2018/19 we launched a
inspections. safety officer and fire further initiative to under-
protection officer score the importance of
Our efforts in support of • Safety symbols used wide-ranging occupational
accident prevention include on-site, colour coding, safety in our company.
information and instructions auxiliary equipment as Nearly every meeting now
for our employees on all well as its meaning and begins with occupational
issues related to health and use safety as the first topic on
safety. We use a safety man- • Fire safety regulations the agenda. In addition,
ual that addresses the special and fire alarm plan video animation on the
working conditions in the • Safety, rescue and fire office info screens provides
energy sector and have also protection equipment regular information on this
issued manuals for specific (e. g. fire extinguishers subject. All documents,
areas such as hydropower or first aid kits) training materials and con-
plants or wind power equip- • Any special dangers contact partners for occupa-
ment. Each of these docu- nected with the workplace tional safety are available
ments is updated on a regu- and their prevention or also to our employees via
lar basis and is a required avoidance (e. g. handling the EVN Intranet.
part of the initial instructions of machinery or behaviour
for new employees (on initial near electrical equipment) GRI indicators: GRI 403-1,
hiring or transfer to another GRI 403-2, GRI 403-4,
work area). Detailed instruc- Examples of the regular GRI 403-5, GRI 403-6,
tions are also given to third training and targeted aware- GRI 403-9
parties working within our ness-raising measures in the
operational areas, which area of occupational safety
include detailed information include the seminars on
on the specific dangers con- “Work safety – electricity“,
nected with EVN’s equip- “Working with voltage“ and
ment. The instructions on “Construction of high- and
worker protection include low-voltage overhead lines:
67
Occupational health care healthcare programmes Corporate social employees in Austria are
to increase awareness and partnership and internal covered by the collective
We live up to our responsibil- improve the health of our communication agreement for salaried
ity for our employees’ health employees. EVN does not employees in electricity com-
by offering extensive occu- operate in countries with Over 90% of all employees panies, which was revised
pational medical care that an increased risk of infec- in our Group (especially in by the participating social
exceeds legal requirements. tious diseases or working Austria, Bulgaria and North partners in 2018/19 and
In Austria, two occupational conditions which could per- Macedonia) are represented adapted for the future.
health physicians are avail- manently endanger our by works councils or unions,
able to answer questions on employees’ health, but and their remuneration is Transparency is an integral
maintaining and improving Group guidelines such as protected by collective bar- part of our major business
workplace health and attend the “EVN Pandemic Preven- gaining agreements, tariffs decisions, in line with our
to employees within the tion” are in force at all or legal minimum wage reg- managerial mission state-
framework of labour protec- subsidiaries to deal with ulations. The employee rep- ment and applicable legal
tion laws. The many related emergencies. resentatives in Austria, Bul- regulations. The employee
measures include medical garia and North Macedonia representatives – in addition
check-ups, vaccinations, eye In addition to company- are regularly involved in to EVN AG, all other larger
and hearing tests as well as sponsored measures, the collective negotiations. The companies in our Group
psychological counselling, EVN culture and sports club remuneration scheme for have these types of desig-
coaching, tips on healthy offers employees a wide over 90% of EVN’s employ- nated representatives – are
nutrition and special offer- range of activities which are ees is based on the collective informed of important busi-
ings for groups of employees also focused on health pro- bargaining agreements that ness decisions on a regular
who are exposed to particu- tection. apply to the main business and timely basis or, respec-
lar risks. Our subsidiaries in locations (Austria, Bulgaria, tively, are involved in the
Bulgaria and North Macedo- GRI indicators: GRI 403-2, North Macedonia and decision processes. This
nia have also implemented GRI 403-3, GRI 403-6 Germany). Most of our approach applies to strategic
Employees per operating location 2018/19 Employment period of employees 2018/19

Number
Number of employees Average employment

(as of 30.09.2019): 7,327 period: 16.8 years
1,308
Austria 2,619 Up to 3 years

938 370
1,522
Bulgaria 2,252
4 to 10 years
1,049 473
1,888
North Macedonia 1,993
11 to 20 years
1,463 425
Germany 341
1,398
Other 21 to 30 years
countries 122 1,148 250
1,071
31 to 40 years
914 157
GRI indicators: GRI 102-8, GRI 405-1 140 Women: 1,686
More than Men: 5,641
40 years Total: 7,327
129 11
68
“To make sure
the measures
really work,
occupational
safety must be
internalised.“
Horst Wagner,
occupational safety
Occupational safety
is a top priority!
The health and safety of our Significant progress in safety trend has stagnated in recent years. A good idea with safety
workforce are of course high performance across the entire Here it appears that EVN has We outlined a special focal point
priority issues for EVN. Accidents Group is therefore essential. exhausted the classical measures for for an ideas competition that
not only endanger employees’ increasing occupational safety. Our started in 2018 – the prevention
well-being, but can also lead to First EVN Safety Day employees already have excellent of commuting accidents, which
material damage, supply inter- The first EVN Safety Day was protective clothing, optimal training have recently been on the rise.
ruptions and long downtime. held in May 2018, and key and access at all times to the infor- Within the framework of this
Accident prevention has there- employees of the EVN Group as mation needed to effectively protect competition, our employees
fore always been an integral well as safety officers and works themselves against accidents. dealt with the subject of driving
part of EVN’s DNA and a central council representatives were safety. Several interesting sug-
element of our corporate invited. The Executive Board Not least for this reason, we hardly gestions were or are currently
culture. opened the event with a pre- register any accidents in the han- being implemented, including
sentation of the Group’s strategy dling of our electricity, natural gas, traffic safety measures on the
What moved us in 2018/19 to improve occupational safety heat or water. Most of the accidents company premises. A prize was
We took a number of steps dur- and introduced EVN’s new safety in the Group represent falls that also presented to the competi-
ing the past two financial years mission statement. Lucy Innes, a occur in connection with related tion’s winner.
to increase the awareness of guest speaker from the British activities like removing or transport-
employees throughout the Group utility company UK Power Net- ing material – and are often the
for the importance of occupa- works Services, then explained result of carelessness or a lack of
tional safety. As the basis for how her company became the concentration.
these measures, senior employ- energy supplier with the lowest
ees were informed of the status accident rate in England. The In addition to strict compliance with
of accidents at EVN and the afternoon followed with an all standard occupational safety
related ranking in international information programme for the measures, it has become more
comparison at the EVN Safety safety officers. important to anchor the issue of
Day. EVN currently counts as one safety even stronger in the minds of
of the safest employers in its Occupational safety our employees and make this part of
sector in Austria, but a compari- on your mind their inner conviction. A range of
son beyond the country’s bor- The number of work accidents in initiatives has been developed to
ders or with other industries the EVN Group has declined support this behaviour-oriented
shows room for improvement. steadily for some time, but the occupational safety.
69
An open exchange
on equal footing
A conversation with Paul Hofer, chairman of the
EVN Group’s European works council
Mr. Hofer, in addition to and consulted on relevant In general, our work is focused on active through transnational
national employee representa- issues – meaning all matters social harmony and justice in the community-building initiatives in
tives, EVN has also had a that have greater importance for EVN Group. That’s why we are culture and sport. One example
European works council since employees or which involve more basically working to achieve equal is the EVN Run, which now takes
2007. Where do you see the than one country. In practice, treatment under the same basic place in all countries at the same
main function of this board? this works through a very close conditions, but naturally with a time. With this wide-ranging
partnership at EVN: we routinely good measure of sound judgment involvement, we also want to
Paul Hofer: Apart from our work meet at least twice each year for and consideration for the individ- help EVN remain an attractive
on specific issues, I see a very regular consultations with the ual markets. employer in all its markets –
important function in an open, Group’s management, where the and experience shows that our
direct exchange between the exchange of information is very Specific issues where we also make approach has been well received
employee representatives in our open, and we also have an a contribution across borders and by the Executive Board.
main markets and EVN’s Execu- opportunity to make an active have achieved a great deal are occu-
tive Board. This releases enor- contribution. pational safety, social benefits such
mous potential because it as pensions, health programmes
increases the depth of informa- Not only the head of human ranging from vaccinations up to the
tion for everyone involved and, resources for the EVN Group, prevention of psychological stress,
above all, strengthens mutual but also the Executive Board Group-wide employee assessments
understanding and trust. is almost always present at and the related issues of education,
these events. This is something development opportunities and
And how would you character- we really appreciate because career planning. Another point is
ise the exchange and coopera- we can communicate eye the lack of specialists, which is
tion with management? to eye. becoming an increasing problem
especially in Bulgaria – here the
From my point of view – which is Let’s turn to the essential Group is working to address this
also shared by my colleagues – points – what issues are you problem with the rollout of the Aus-
very positively. In principle, we dealing with in the European trian dual training system in South
have the right to be informed works council? East Europe. However, we are also
70
decisions as well as changes tion in Dürnrohr earlier than high level of expertise repre- and multiple qualifications.
and adjustments involving planned during August 2019. sent a central element of our Most of our apprentices
employees. We provide our Dürnrohr will, however, be human resources manage- remain as employees after
employees and employee maintained and expanded as ment. The related training completing their program-
representatives with infor- an energy location: we are and professional develop- mes. There are no legal reg-
mation at regularly sched- currently installing an addi- ment programmes in Austria, ulations in South East Europe
uled meetings and, in the tional gas-fired boiler to gen- Bulgaria and North Macedo- covering this type of dual
event of operational chan- erate steam for industrial nia are carried out by the training and, for that reason,
ges, always comply with the customers, and a sewage local EVN Academies. we are attempting to estab-
legally required notification sludge incineration plant and lish a similar EVN-internal
periods. a large-scale photovoltaic We invested EUR 356.8 per structure in these countries
plant are currently in the employee in continuous through cooperation with
Employee-related issues are planning stage. A total of training and education dur- schools.
also handled in workplace, 70 employees were affected ing 2018/19 (previous year:
health and safety commit- by the restructuring meas- EUR 335.9), which represents GRI indicator: GRI 404-2
tees that include, among ure, whereby half can con- a total of EUR 2.5m (pre-
others, representatives of the tinue at this location. Most vious year: EUR 2.3m). Each
works councils or unions. In of the other employees are employee spent an average
addition, members of the scheduled to retire in the of 34.05 hours (previous
works council serve on the near future, and the remain- year: 33.8 hours) on these
Supervisory Board and the ing staff will generally be programmes.
Advisory Committee for transferred to other EVN
Environmental and Social units or will replace retiring Our activities in the area of
Responsibility. Apprentices colleagues. human resources reflect our
have a voice in the works high priority on the develop-
council through elected Our “EVN Intern” magazine ment of future specialists
youth representatives. The provides employees with and managers, not least due
South East European subsidi- regular and extensive infor- to the steady increase in the
aries are members of a Euro- mation on corporate devel- average age of our work-
pean works council, which opments. The EVN Intranet force (44.4 years). The need
holds regular meetings and also contains a broad over- for employees with these
serves as a platform for com- view of current events in the qualifications is rising as many
munication and exchange company, information on of our current employees
for the EVN employees in energy supplies and reports retire, and we are working to
Austria, Bulgaria and North by the employee representa- address the situation with
Macedonia. tives as well as information specifically designed training
on current seminars and programmes and measures
One of our central concerns other training events. In to support the transfer of
is to develop and carry out order to support the pre- know-how between older
necessary restructuring meas- ferred internal filling of posi- and younger employees.
ures in a socially acceptable tions, job advertisements Apprentice training has also
manner and in agreement are also first posted on the always had high priority
with the trade unions. This Intranet. for EVN. As of 30 Septem-
productive cooperation also ber 2019, 78 apprentices
formed the basis for a socially GRI indicators: GRI 102-41, were employed at EVN.
acceptable solution for the GRI 402-1, GRI 413-1
involved employees in con- In order to optimally round
nection with the shutdown Human resources devel- out our training program-
of the Dürnrohr coal-fired opment and advancement mes, we offer a dual pro-
power plant. The trend in gramme of theoretical voca-
primary energy and electric- The qualifications of our tional school education and
ity prices and the threefold workforce represent an practical on-the-job experi-
increase in the price for CO2 important element for pro- ence in our Austrian compa-
emission certificates over the tecting the sustainable suc- nies. This traditional model
past one and a half years cess of our company. Conse- is supplemented by internal
prompted our decision to quently, preserving and courses and seminars as
terminate electricity produc- increasing our employees‘ well as support for double
71
benefit for our employees derived from the employer their volunteer work in
“With our in Austria and Bulgaria. and employee contribu- organisations like the Red
broad-based Framework agreements tions up to the date of Cross or the local fire
training pro- with insurance providers in retirement. EVN’s contri- brigade. In total, 427 EVN
the individual countries bution in 2018/19 equalled employees are currently
grammes and ensure optimal medical at least 2% of each eligi- active volunteers in these
exciting career care for all participants. ble employee’s monthly types of aid organisations.
opportunities, gross remuneration. Con- We support this commit-
we are a very GRI indicator: GRI 403-6 tributions by employees ment, in our function as
attractive com- are voluntary, whereby an employer, by excusing
• Pension benefits: All roughly 41% of the work- employees from work for up
pany for quali-
EVN employees (100% of force in Austria took to half of the invested time
fied employees.“ the Group’s workforce) advantage of this offer in in case of an operation.
Wolfgang Maier, are covered by statutory 2018/19. Our responsibil-
head of HR pension insurance. As a ity as an employer is also Employee benefits
supplement, all our Aus- illustrated by the intro-
trian employees with duction of voluntary pen- We spent a total of
Additional benefits permanent contracts are sion insurance for all our EUR 17.5m on employee
entitled to participate in full-time and part-time benefits (pension contribu-
Many of the EVN Group a private, fund-based employees in Bulgaria. tions, other employee bene-
companies also offer their pension programme after fits) in 2018/19 (previous
employees numerous volun- a one-year waiting period. GRI indicator: GRI 201-3 year: EUR 13.9m), which
tary benefits independent In this way, we help our represents 5.2% of person-
of their age, gender or the employees to accumu- Support for employee nel expenses (previous
scope of employment: late additional retirement commitment to social year: 4.3%).
benefits. The pension causes
• Supplementary health fund is not held by the GRI indicator: GRI 401-2
insurance: We offer sup- EVN Group, but is a def- Many of our employees not
plementary health insur- ined contribution scheme, only work for the company,
ance at favourable condi- in which the amount but also make valuable con-
tions as a voluntary of the future pension is tributions to society through
Employee fluctuation – Total

persons leaving 2018/191) Austria Bulgaria North Macedonia Other countries Nominal % 2)
< 30 years 17 15 17 6 55 0.8

30 – 50 years 37 20 48 7 112 1.5

> 50 years 10 6 66 1 83 1.1

thereof women Number 5 3 31 – 39 0.5
Total Number 64 41 131 14 250 3.4

1) This indicator does not include transfers within the Group, retirements, trainees or persons leaving based on the Bulgarian social compensation plan.
2) In relation to total workforce as of 30 September 2019
72
The dual training system:
a new approach for Bulgaria
and North Macedonia
South East Europe has virtually work in a separate training area. Comprehensive package for rooms, protective equipment and
no tradition of high-quality dual The focus for the last two school North Macedonia e-learning solutions. With the
training similar to the Austrian years shifts to practical training – Our commitment to schooling in help of more than 100 EVN
apprenticeship, which combines and here many of these students North Macedonia started as early employees, roughly 120 students
practical on-the-job experience decide in favour of EVN for their as 2013 with practical education currently receive extensive sup-
with theoretical vocational apprenticeships – which is clear for students at EVN in Skopje. Ten port. The first will graduate
school education. EVN has proof that early connections pay off students attended the programme in 2020, and we want to hire the
therefore developed its own dual and bring talented people to EVN. at that time, and today we maintain best 20 as specialists within the
training concept in close cooper- framework of a training pro-
ation with schools in Bulgaria gramme.
and North Macedonia. In this
way, we help young people to The curriculum for our specially
receive practical education and designed programme in North
also make contact with skilled Macedonia, which carries EVN’s
talents for a successful future. signature, is very similar to the
Austrian apprenticeship model. It
Bulgaria attracts young talents has since become the benchmark
Following the start of our coop- project in a wide-ranging educa-
eration with technical schools tional reform that is currently
in Bulgaria two years ago, we being implemented by the North
are now working with six train- Macedonian Ministry of Educa-
ing centres. Our training pro- tion. And we have also been
gramme for electrical technol- recognised numerous times at
ogy, which covers the entire another level. Among others,
five-year period, was attended EU Social Affairs Commissioner
by 61 young people during The schools have a great interest close partnerships with ten schools Marianne Thyssen highlighted
the 2018/19 school year. The in cooperating with EVN. This is throughout the country and have our training programme as
first “EVN graduates” com- not only a result of our positive con- instructed roughly 300 electrical Europe’s best practice example
pleted their studies in 2019. tribution to education – we also technology students in a wide range for vocational training at the
provide an e-learning programme of professional skills to date. Awards for Vocational Education
The curriculum for the first three for students and teachers, equip and Training Excellence which
years of the Bulgarian pro- one classroom in each of the As part of a three-year programme were presented by the European
gramme is directed primarily to six partner schools each year and at two schools, we have contributed Alliance for Apprenticeship in
theoretical education. However, support various school events. our technical know-how as well as a November 2018.
EVN experts visit the classes Particularly good students also comprehensive package since 2017:
during this phase to share their receive financial assistance. it covers training and mentoring for
practical experience. The young And, of course, all students who teachers and students as well as the
men and women can also watch complete internships at EVN provision of teaching materials,
experienced EVN technicians at are paid fairly. technical equipment for the class-
73
Hard coal Organisation of

Suppliers trading partners or over-the-
counter (OTC) platforms – procurement activities
and also include the produc- Electricity production at the
tion from our own power hard coal-fired plant in Dürn- Responsibilities for the pro-
Supply chain plants. We also purchase rohr was terminated during curement of products and
green energy, which is allo- August 2019, i.e. nearly six services in the EVN Group
EVN’s business activities cated in accordance with the years before the end of the are based on the relevant
as a whole and, above all, Green Electricity Act based plant’s technical useful life activity.
the investment focal points on our share of the electric- in 2025. The hard coal used
on network infrastructure, ity sales volume in the up to the early end of coal- All EVN purchase orders with
renewable generation and respective regulatory area. fired electricity generation a volume of EUR 10,000
drinking water supplies was purchased directly from or more have been handled
require extensive coopera- For information on electricity two Tier 1 suppliers (coal over a web-based procure-
tion with construction firms, labelling, see page 41 wholesalers and/or trading ment portal since the begin-
plant, pipeline and cable For information on the and forwarding agents) ning of June 2019. The entire
line builders as well as sup- development of the EEX which, in turn, purchased procurement process – from
pliers of electro-technical exchange prices, see page 107 their supplies from process- the EU-wide announcement
equipment and components, ing companies or exclusive to the tender, submission of
pipes, transmission and Our electricity subsidiaries in exporters (coal wholesalers) offers and contract award –
cable lines, meters, hard- Bulgaria and North Macedo- (Tier 2). These firms pur- can now be processed
ware, software and work nia are required by law to chased their coal supplies online. This broad-based roll-
clothing. purchase the electricity for directly from the mining out of e-procurement has
sale to customers in the reg- companies (Tier 3). Roughly paved the way, above all,
Our German subsidiary ulated market segments from 45% of hard coal deliveries for the introduction of stra-
WTE Wassertechnik – which the state-owned producers, came from Europe, while the tegic procurement. The new
is active in the international i. e. NEK and ELEM respec- rest came from America and platform has substantially
project business through tively. The remainder of the Russia. Coal purchases for increased transparency and
the planning and construc- electricity required for cus- the German Walsum 10 also supports viable supplier
tion of plants for drinking tomers in the already liberal- power plant, in which EVN management, not least in
water supplies, wastewater ised segments is purchased holds a 49% investment, as regard to the strict sustaina-
disposal and thermal waste over wholesale markets. well as the operation of this bility criteria defined by our
utilisation – serves as a gen- plant are managed by the integrity clause.
eral contractor and commis- Natural gas joint venture partner STEAG
sions subcontractors, in par- and therefore outside our We handled a total procure-
ticular construction firms and Long-term supply contracts direct sphere of influence. ment volume of approxi-
suppliers of machinery, elec- cover a large part of our mately EUR 624.0m in
tro-technical equipment and natural gas purchases. The GRI indicator: GRI 102-9 2018 /19 (previous year:
components, to perform remaining volumes are approximately EUR 648.0m)
additional services. purchased on wholesale at our main locations in
markets over national and Austria, Bulgaria and North
Procurement of energy international OTC trading Macedonia. EVN maintained
and primary energy centres and exchanges, for direct supplier relationships
carriers example in Austria (CEGH) with 1,470 suppliers and
or Germany (NCG). Most of contractors during this
Electricity the wholesale natural gas financial year.
purchases are also handled
We cover the electricity by EnergieAllianz Austria. GRI indicator: GRI 204-1
supplies for our Austrian The majority of imports –
customers through medium- from the European point of
term supply contracts and – view – come from Russia
via EnergieAllianz Austria – and Norway.
through purchases over the Procurement activity Responsible organisational unit
wholesale market. These Products and services Procurement and purchasing

supplies are purchased Primary energy and Energy procurement and supply
directly over the electricity primary energy carriers
exchange, through bilateral International project business Environment

(environmental services business)
transactions with various
74
Countries of origin of suppliers at Austria with every tender One mine in America that
main operating locations offer. This office can be used supplied EVN with hard
%, Basis: Order volume by all participating bidders to coal is also certified under
file complaints and request OHSAS 18001 (Occupational
explanations, free of charge Health and Safety). We did
and without mandatory not carry out any on-site
Austria
85.7 8.6 5.7
legal counsel. There were inspections at mining com-
no justified objections in panies during 2018/19 – in
Austria Germany Others recent years. contrast to previous financial
years – because the last hard
Documentation of coal order for the Dürnrohr
Bulgaria
98.7 1.3 sustainability criteria plant was delivered at the
end of May 2019 and coal-
Bulgaria Others
The implementation of our fired generation was termi-
new e-procurement portal nated prematurely in
North
Macedonia was accompanied by addi- August 2019.
79.3 8.1 12.6 tional measures to further
North Macedonia Slovenia Others
standardise and improve
compliance with our high
sustainability demands on
suppliers. Every interested
bidder in Austria must com-
plete a self-reporting form
on all aspects of the integrity
clause at the time of full
registration. All potential
High sustainability were no complaints over suppliers therefore complete
demands compliance with the integrity standardised, systemised
clause by suppliers during questions at an early point in
EVN is committed to fair, the 2018/19 financial year. time on sustainability, risk
partnership-based and trans- assessment and behavioural
parent business relations Also see www.evn.at/ rules in the areas of environ-
with its suppliers. We place integrity-clause ment, health and safety,
high demands on sustaina- human and labour rights,
bility, but always in keeping EVN is classified as a sector business ethics, supply chain,
with economic efficiency. contractor under EU public and occupational safety and
The underlying principles are procurement law in many accidents. We also include
anchored in a separate area areas and is therefore sub- explicit sustainability criteria
of activity in our materiality ject to the applicable provi- in the evaluation of selected
matrix under “supply chain sions of the Austrian Federal tenders.
responsibility“. Our high Procurement Act. We com-
demands are reflected in ply in full not only with these The regular reviews carried
EVN’s integrity clause, which regulations, but also with out by EVN in previous years
requires suppliers to meet the principles governing included a focus on the hard
strict standards in areas that competition in the EU and coal supply chain, in particu-
include human rights, labour the individual member lar regarding compliance
practices, protection of the states. New bidders are with human rights, workers‘
environment, resource con- regularly included in tenders. rights and living and working
servation and business ethics. All tenders with a contract conditions. We were there-
The integrity clause repre- value over EUR 100,000 that fore able to confirm that all
sents a central component involve sector activities have coal mines which supplied
of each order – it applies been announced nation- hard coal for EVN’s energy
Group-wide to all suppliers wide since March 2019. generation in 2018/19 meet
of products and services and As a sector contractor, we wide-ranging international
to all sub-suppliers in the are also legally required to standards and are certified
international project business include a reference to the under ISO 14001 (environ-
without exception. There complaint office in Lower mental management).
75
Good
corporate citizen.
Oriented towards dialogue,

fair, social.
EVN is active in many countries

and at a wide variety of loca-
tions, but our regional roots are
very important. We are well
aware of the great responsibility
this involves and, consequently,
engage in an active dialogue
with our many different stake-
holders to create an equitable
balance between their often
contrary interests. This balance
also includes a strong commit-
ment to social responsibility
through numerous initiatives
and measures.
76
Sustainable performance for stakeholders and society
“I see EVN’s
support for the
arts as a very
positive step.”
Lazar Lyutakov,
artist
77
Proactive interaction
with our stakeholders
We see the social acceptance of our activities as

a basic requirement for EVN's long-term, sustainable
success and good public perception. The overriding
principle in this context is the creation and mainte-
nance of an appropriate and equitable consideration
of the diverse concerns our stakeholder groups share
with us. This is reflected in the importance given
to a regular, proactive and open dialogue with our
stakeholders, which is anchored as a key management
principle in the EVN Code of Conduct. A separate
guideline for stakeholder management was also
issued to ensure the regular integration of these
interest groups at the strategic level.
The foundation for the struc- For details on stakeholders and EVN’s projects and activities experience with previous
tured harmonisation of our the EVN materiality matrix, help us in our planning and projects also plays an impor-
corporate strategy with see page 16f communications. A good tant role here.
stakeholder interests and the GRI indicator: GRI 102-43 discussion climate and
analysis of the social, eco- mutual understanding, out- Project communications –
logical and economic impact Project-related side conventional conflict meaning project-related
of our activities is formed by stakeholder dialogue lines, create the necessary stakeholder management
the EVN materiality matrix, requirements for the joint and dialogue – has been
which is updated every three In addition to a regular development of alternative institutionalised at EVN.
years together with our dialogue with various stake- solutions that are acceptable From small-scale hydropower
major stakeholders. Various holder groups, we are also to all project parties. Apart plants, pipelines and wind
stakeholder groups were involved in an open and from increased planning parks to biomass heating
also involved in the prepara- detailed exchange with quality and security, the pro- plants, we plan and realise
tion of this full report, relevant NGOs and interest active inclusion of NGOs and all our construction projects
e. g. the Supervisory Board, groups on various issues. interest groups often leads with the active participation
Executive Board, employees The development of trusting to more intensive and proof neighbouring residents,
and the Advisory Committee and sustainable long-term fessional communications citizens’ groups, NGOs, polit-
for Social and Environmental relations with groups which with neighbouring residents ical representatives, local
Responsibility. are sometimes critical of and local initiatives. The initiatives and associations.
Survey (employee and

EVN’s stakeholders and customer surveys at Ongoing and Working group, forum, annual Advisory boards, expert
the type of inclusion regular intervals, regular general meeting (1–2 times committees (1–2 times Supervisory
(Extract) stakeholder surveys etc.) contact per year or more often) per year or more often) Board
Employees + + + + +
Customers + + + + +
Business partners + + + + +
Civil society + + + + –
Media + + + – –
Capital marktet + + + + +
78
Ecological and social aspects in easily understandable Our premises for

are included in the devel- information materials, and successful project communication
opment of all our projects the continuous develop-
from the very beginning. ment and improvement of Create
Our extensive dialogue is these materials transparency
intended, in particular, to • Use of modern, open
support the following goals: communication formats
for project information
• Support for the feasibility • Coordination of commu-
Objectify
of projects nications with political the discussion
• Reduction of risks and decisionmakers, support Achieve
planning security and
prevention of damage to for municipalities in their
EVN’s image communications and build trust and
acceptance
• Positive perception of the mediation in conflict
company and its activities situations
• High acceptance by inter-
nal and external stake- Our project communications Develop
holders take place in close coordina- joint solutions
tion and cooperation with
The insights gained through the project managers and
stakeholder communications other responsible persons,
regularly flow into the due whereby the continuous part in annual training regulations, EVN is also listed
diligence audits that are con- improvement of these courses and all employees in the Austrian lobbying and
ducted before the start of employees’ communication attend annual security interest group register and
every project. These audits skills is also part of our training. Crisis management the transparency register of
also represent an integral activities. Local stakeholders systems have also been the European Union.
part of internal decision- can, of course, contact us at installed in Bulgaria and
making processes by the any time to discuss their North Macedonia. For information on active
Executive Board and/or the concerns. In addition to memberships, also see
Supervisory Board, depend- direct contact with the proj- Support for interest groups www.evn.at/memberships
ing on the scope of the ect manager, this is also and initiatives GRI indicators: GRI 102-12,
project. possible over the EVN ser- GRI 102-13
vice telephone or via e-mail We play an important role in
GRI indicator: GRI 102-29 (info@evn.at). the functioning of public life
and the economy through
Responsible handling GRI indicator: GRI 413-1 the operation of our infra-
of local stakeholder structure and wide-ranging
interests Crisis management services. In order to meet
these commitments as best
The timing and form of infor- We have prepared compre- as possible, we are a mem-
mation are critical for the dia- hensive plans to deal with ber, on a voluntary or legally
logue with residents who are crises, emergencies and required basis, of numerous
directly involved in a project other contingencies and national and international
planned by EVN. In particular, developed training pro- organisations and interest
we concentrate on: grammes for major seg- groups. The examples
ments of our business, espe- include Oesterreichs Energie
• Early identification of the cially for risk scenarios that and Eurelectric as industry
expectations and require- also affect the population. associations as well as the
ments of the various Crisis situations are simulated UN Global Compact and
interest groups regularly at all EVN locations. respACT as social and eco-
• Professional, structured In addition, internal and logical initiatives. All activi-
and proactive communi- external exercises and train- ties involved with these
cations with all local ing sessions on crisis man- memberships take place in
stakeholders agement are held in Lower agreement with the rules of
• Transparent and extensive Austria. The emergency staff conduct defined by our com-
presentation of all rele- receive regular training, pliance management system.
vant project information while duty personnel take In accordance with legal
79
Non-financial report The artist Lazar
Lyutakov with
one of his art
objects.
Social commitment
Our social responsibility extends to many different

interest groups, and we have implemented numerous
social and cultural initiatives outside the scope of
our operating business to meet this responsibility.
EVN’s social commitment is focused on the education
of children and young people as well as improving
the quality of life for people in challenging situations.
Following are several examples of our activities in a
social context.
Youth and school plat-

form: One focal point of our Art that connects.
social responsibility is the The evn collection in Plovdiv,
support of knowledge on the European Capital of Culture 2019
“(the careful use of) energy,
energy efficiency and energy We make an important contribution to the economy Capital of Culture. Plovdiv is not only rich in histori-
savings“. The EVN School and society with our products and services, but our cal attractions, it is also EVN’s headquarters in
Service was established for responsibility for society goes much further. Over the Bulgaria and, since 2005, the hub for all our activi-
this purpose in Lower long term, we want to develop strong social roots in ties in our Bulgarian supply area.
Austria, Bulgaria and North all our core markets. The evn collection is one exam-
Macedonia to organise proj- ple of our efforts to meet this goal. Founded in This year the related activities were complemented
ects, lectures and compe- 1995, it has grown to include a diverse collection of by various art projects presented as part of the
titions with children and modern works by international artists. Capital of Culture programme. Together with three
young people. A total of artists, the evn collection designed a special exhibit
TEUR 457.5 was spent on In 2019, the evn collection organised the first-ever in Plovdiv. It presents works by Lazar Lyutakov, who
these projects during the programme outside Austria: an exhibition in Plovdiv, was born in Bulgaria and now lives in Vienna, as
2018/19 financial year. a city in south Bulgaria and this year’s European well as works by Franz Kapfer and Martina Vacheva.
Also see www.young.evn.at
EVN Junior Ranger Bonus points for a good EVN Social Fund: The Also see
Programme: On the Ybbs cause: In the EVN Bonus EVN Social Fund, which www.evn.at/social-fund
River, where we operate a World, our customers can has an annual endowment Also see
number of small hydropower take advantage of various of roughly EUR 100,000, www.evn-sammlung.at
plants with fish ladders as offers to use the bonus supports institutions in
well as a project for sustain- points they collect with Lower Austria that work
able fisheries management, their energy purchases or with children and adoles-
we organised another training the use of other EVN cents. Decisions on the pro-
programme in spring 2019 services. Bonus points can jects to be sponsored are
which led to the certification be used as financial com- taken by an expert commit-
of 13 young people as pensation through the tee that meets twice each
“EVN Junior Rangers“. The payment of the customer’s year. The recommendations
programme was held on four bills or as a contribution for the use of funds are
afternoons and included the- to an EVN social project. made unanimously to the
oretical and practical instruc- This latter method allows Executive Board based
tion by experts on hydrobiol- our customers to donate on a predefined criteria
ogy, flora and fauna in water their bonus points, e. g. catalogue. In 2018/19,
meadows, river ecology and for professional counselling we supported 18 projects
fisheries as well as nature for the psychologically with a total of TEUR 118.5.
and river conservation. disadvantaged.
80
Value creation for our stakeholders
EVN’s economic success is significantly influenced by our

stakeholders who, at the same time, share in our financial
results. Our most important stakeholder groups – share-
holders, society as a whole, the public sector, employees,
suppliers and debt investors – also receive a direct financial
benefit from our activities.
On the revenue side, in energy carriers, materials Direct economic value generated
particular the income gener- and purchased services). EURm
ated by our business opera- The graph on the right Economic value
retained
Direct economic
tions and investments con- shows the economic value value generated 2,255.2
216.2
tributes to the creation of generated by EVN as a total 2,117.4
257.9 Economic value
value. This value is distrib- over each bar. The difference distributed
1,859.5 2,039.0
uted primarily to our inves- between revenues and the
tors and lenders (dividends, amounts distributed repre-
interest), to society as a sents economic value
whole (donations, sponsor- retained, which is available,
ing, social programmes) and among others, for the fur-
to the public sector (taxes, ther development of our
duties) as well as to our company through important
employees (wages, salaries, future-oriented investments.
social security contributions)
and suppliers (primary GRI indicator: GRI 201-1
2017/18 2018/19
Economic value distributed

EURm
2,039.0
1,922.9 2.3 Society
2.0 1,859.5 76.4 Public sector
44.9 2.6 Providers of capital
160.6 38.8 159.7 (equity and debt)
316.8 162.6
321.7 338.7 Employees
380.5 Other suppliers

409.6
372.5
1,081.3 Energy suppliers

989.0 961.3
2016/17 2017/18 2018/19
81
Sustainability programme
Our sustainability programme was developed in an

iterative process during target discussions. Specific
area focal points were identified on the basis of the
EVN materiality matrix, and Group-wide sustainability
targets and measures were defined in a next step.
The sustainability programme is updated and expanded
regularly in cooperation with all departments.
We also identified the Corporate goals by area Environmental and Responsible management
targets and measures that of activity (excerpt) climate protection
currently make a tangible Target: increase the share of
contribution to reaching the Supply security Target: expansion of wind women in the company
17 Sustainable Development power capacity to 500 MW (to reflect the current educa-
Goals (SDG) set by the Target: maintain the Group over the medium term tional levels of women in
United Nations. The follow- coverage ratio at 30% of • Status: installed capacity the applicable professional
ing section shows the electricity sales of 367 MW as of groups)
assignment of the identified • Status: 28.1% own 30 September 2019 • Status: 23.0% share of
targets and measures to the coverage in 2018/19 (previous year: 318 MW) women in the company
respective SDG. (previous year: 30.0%) during 2018/19
Target: increase in (previous year: 23.1%)
The EVN materiality matrix: Target: maintain high net- renewable generation
see page 17 work quality and low dis- to 50% of total electricity Target: continuous reduction
For information on the SDG and ruption times in spite of the production of the Lost Time Injury
the individual targets, also see increasingly volatile and • Status: 41.4% of energy Frequency Index (LTIF);
https://sustainabledevelopment. decentralised generation generation from renew- attainment of a very good
un.org/sdgs capacity on the market able sources in 2018/19 level in industry comparison
• Status: minimal downtime (previous year: 40.0%) • Status: LTIF in 2018/19:
in industry comparison 4.3 (previous year: 4.8)
(2018: 23.99 minutes; Target: end of hard coal-fired
2017: 38.09 minutes – operations at the thermal
Austrian average: power plant in Dürnrohr
31.47 minutes; previous by 2025
year: 53.22 minutes) • Status: earlier termination
of hard coal-fired
For information on electricity electricity generation
disruptions, also see page 35 in August 2019
82
EVN has defined the following project targets and implemented the following measures, among others, to meet these corporate goals:
Milestone Status as of Sustainable Development Goals

Project target Measures Deadline 30 September 2019 (SDG)
Supply security
• Supply security for • Investments in network expan- Continuity • Continued strong focus on • SDG 6 Clean water and
customers in electricity, sion to integrate renewable in investment maximum availability of supplies sanitation (6.3)
strategy –
natural gas, heat and generation and services • SDG 7 Affordable and clean
continuation
water • Expansion and new construction of investment • Start of construction on new energy (7.1, 7.2)
• Protection of supply of cross-regional drinking water offensive transport and connecting lines • SDG 9 Industry, innovation
security during system networks for network and infrastructure (9.4)
conversion to renewable • Integration of additional decen- infrastructure
energy tralised generation capacity for
Expansion of
network stabilisation cross-regional
drinking water
networks –
investments of
EUR 165m;
roughly 300 km
of additional
transport pipe-
lines (by 2030)
• Protection of drinking • Quality improvement through Natural filter • Construction of natural filter • SDG 6 Clean water and
water quality water softening plant at the plants to reduce the water hard- sanitation (6.3)
Wienerherberg
• Optimisation of quality • Use of additional continuous ness by natural means • SDG 14 Life below water
well field commis-
assurance process monitoring systems under sioned at end of • Successful start of operations
evaluation May 2019 by natural filter plant at the
Wienerherberg well field; water
supplies for 18 communities
• Further development of quality
assurance process
Environmental and climate protection

Energy efficiency • Implementation of energy Ongoing • Compliance with legal require- • SDG 7 Affordable and clean
• for the responsible and efficiency measures for continuation of ments defined by the Austrian energy (7.3)
energy efficiency
reasonable use of customers and in the company Energy Efficiency Act plus • SDG 12 Responsible consump-
measures in the
resources and • Support for customers in core business additional efforts by EVN and tion and production (12.2)
• in the provision of EVN’s efficient energy consumption (products and customers
products and services • Reduction of internal require- services) • Continuous development of
ments at generation plants decentralised energy solutions
• Implementation of energy (photovoltaic, storage, energy
efficiency measures at EVN management)
buildings • Further development of the joulie
optimisation assistant; easy and
affordable access to renewable
energy systems; integration in the
overall energy system with the
optimisation assistant; participa-
tion in the energy market through
the virtual power plant
Improvement in EVN’s • Institutionalised environmental Annual Environmental programme 2018 /19 • SDG 3 Ensure healthy lives
environmental performance management and controlling environmental completed and promote wellbeing for all
programmes
• EMAS for heating and electricity at all ages (3.9)
with improvement
generation plants measures • SDG 7 Affordable and clean
energy (7.3)
• SDG 13 Climate action
• SDG 15 Life on land (15.5)
EVN Full Report 2018/19 83


• System-wide develop- • Investments in renewable energy Ongoing • 367 MW installed wind power • SDG 7 Affordable and clean
ment towards de cen- as key measures for climate capacity and 307 MW installed energy (7.1, 7.2)
tralised renewable protection hydropower capacity • SDG 9 Industry, innovation
generation • Increase electricity storage and • Conversion of existing power and infrastructure (9.4)
• Supplemented by solution flexibility plant pool to meet network • SDG 12 Responsible consump-
controllable central • Develop and test innovative support requirements tion and production
and decentral energy storage solutions • Detailed testing at Prottes large
storage • Hydrogen research programme battery storage facility (e. g.
offline simulation of operating
modes, simulation of multi-modal
operations, characterisation of
battery cells, laboratory testing of
converter unit, hardware-in-the-
loop, tests of various operating
modes parallel to field trials);
black start capability and multi-
modal operations of the storage
battery confirmed
• Power-to-gas/wind-to-hydrogen
project completed
• Storage expansion programme at
RAG supported by FFG-subsidised
research project “Underground
Sun Conversion“; subsidised as
part of the energy research pro-
gramme by the Austrian Climate
and Energy Fund; commissioning
of “Underground Sun“ research
facility at the end of October 2018
• Power-to-heat plant in Theiss in
operation
• Decentralised energy solutions for
customers (photovoltaic, storage,
energy management) included in
offering; market introduction of
joulie (sales instrument that per-
mits the simple configuration of
photovoltaic equipment with fast
price calculations; joulie supports
the increase in own consumption
and helps to improve savings by
optimising the power-on time of
electrical equipment; joulie visual-
ises consumption and electricity
production)
Further development of • Investments in electricity Ongoing • Focus on investments in • SDG 7 Affordable and clean
sustainability initiatives in networks and meters network-relevant infrastructure energy (7.3)
South East Europe • Reduction of network losses • Cooperation with public authori- • SDG 9 Industry, innovation
• Further development of environ- ties, NGOs and customers on and infrastructure (9.1, 9.4)
mental and nature protection environmental protection and the • SDG 12 Responsible
(waste management and bird improvement of energy efficiency consumption and production
protection) (12.4, 12.5)
• Activities to increase customers‘ • SDG 15 Life on land (15.5)
energy efficiency and technical
understanding
84

Recycling of by-products • Evaluation of opportunities to Biomass ash • Use confirmed by technical review • SDG 12 Responsible consump-
and waste products utilise biomass ash as a compost- can be used as a tion and production (12.5)
composting
ing additive
additive when
the relevant
quality parame-
ters are met
Reduction of environmen- • Preparation of general list of Completion of Reverse osmosis plant in operation • SDG 12 Responsible consump-
tally relevant chemicals operating materials for assess- a reverse osmosis since September 2018 as replace- tion and production (12.4)
plant at the end
ment and selection of products ment for water purification;
of 2018
reduction in materials required for
water purification (sodium hydroxide
and hydrochloric acid)
Reduction of pollutants in • Construction of a pilot plant by Project runs up to Development of a biofilm process for • SDG 6 Clean water and
wastewater evn wasser for nitrogen removal the end of 2019; the further microbiological cleaning sanitation (6.3)
further nitrogen
of nitrogenous water (for ground
removal; reduc-
tion of space and water and as a downstream biology
energy require- step for municipal wastewater)
ments
• Increase the share of • Create attractive working times Ongoing • Share of women in recruiting • SDG 5 Gender equality (5.5)
women in the company for men and women; increase currently exceeds the percentage
• Increase the interest of flexibility of working hours and of women in the Group
women for technical locations • Above-average participation
professions • Support for training measures of women in human resources
specifically directed to women development programmes
and for the development of net-
works with other successful
women from external areas
• Stronger presence at relevant
educational and training trade
fairs to increase the overall
percentage of women in techni-
cal professions
• Targeted opinion-building in
management circles
Protect the company’s • Continuous development of the Ongoing Very advanced in EVN‘s external • SDG 8 Decent work and
future viability, with a focus corporate organisation to adapt implementation organisation, gradual implementa- economic growth (8.2)
on results-oriented work to the steadily changing working tion in the headquarters
and employee satisfaction world
• Support for mobility and decen-
tralised work, among others
through investments in state-of-
the-art mobile end user devices
• Process support for employees
and regular exchange of experi-
ence to optimise the working
world with external and internal
stakeholders


Sustainable increase in corporate value

Further development of • Increased focus on electricity Ongoing • Gradual introduction of auto- • SDG 7 Affordable and clean
business model to include network controls mated controls for internal and energy
digitalisation • Digital interaction with customers external assets • SDG 9 Industry, innovation
• Protection of critical infrastructure • Further development of joulie and infrastructure
• Provision of innovative energy optimisation assistant
services • Research project in Echsenbach
• Activities in research and as next step after field trials in
technology development Seitenstetten up to the end of
March 2019; testing of an
all-electricity scenario to protect
future optimal supply security
with simultaneous system expan-
sion towards renewable genera-
tion; technology test programme
started
Support for expansion of • Development of an extensive • Ongoing • Currently 3,500 loading stations • SDG 7 Affordable and clean
alternative drive systems in charging infrastructure for expansion of are available to all users of an energy
charging
mobility customers EVN fuel card throughout Austria • SDG 9 Industry, innovation
network
• Creation of a platform for the • Gradual con- • Further development of EVN’s and infrastructure (9.4)
customer-friendly charging of version to e-mobility app “Autoladen“ • SDG 11 Sustainable cities and
e-vehicles throughout Austria e-cars by • Platform operational since communities
• Gradual conversion of EVN motor EVN planned March 2017
(beginning
vehicle pool to alternative drive • 38 e-vehicles in EVN’s motor
in 2018;
vehicles e-vehicles to pool; 25 additional e-cars
comprise 20% planned for 2019 /20 financial
of the car fleet year
by 2022)
Supply chain responsibility

Focus of all EVN procure- • Revision of integrity clause for Extension to all • Survey of measures completed • SDG 8 Decent work and
ment processes on sustain- suppliers relevant procure- for the procurement of construc- economic growth
ment processes
ability • Systematic application of a tion and waste disposal services
by 2019
self-declaration form for all • Self-declaration form in use
bidders in tenders
• Analysis and classification of
relevance of sustainability aspects
in procurement processes and
development of target-oriented
measures
Updating of EVN‘s stake- • Further development of current External evalua- Revision of stakeholder dialogue • SDG 17 Partnerships for the
holder dialogue on sustain- stakeholder dialogue for the tion of areas concept started goals
of activity every
ability external evaluation of EVN’s
three years
areas of activity
86
This sustainability programme is an expression of our efforts to

connect the areas of activity in our materiality matrix with con-
crete project goals and measures. We want these areas of activity
to have a significant influence on our daily activities as a com-
pany, just the same as the core strategies which place our respon-
sible and sustainable orientation in a medium- and long-term
context. The communication of our sustainability programme in
concrete terms is also intended to strengthen the commitment of
our employees further because we want our actions to always be
in harmony with our strategy and in the best interests of our
stakeholders.
Maria Enzersdorf, 18 November 2019
EVN AG
The Executive Board


Independent assurance report on the
non-financial reporting 2018/19
We have performed an independent limited assurance engagement on the consolidated non-financial report as well as the sustainability
disclosures and indicators in the “Full Report” (the “NFI reporting”) for the financial year 2018/19 of
EVN AG
(“the Company“).
Management’s responsibility
The legal representatives are responsible for the proper preparation of the NFI reporting in accordance with the reporting criteria. The
Company applies the legal requirements of the Austrian Sustainability and Diversity Improvement Act (§ 267a UGB) as well as the sustain-
ability reporting guidelines of the Global Reporting Initiative (GRI Standards, Option “Core”) as reporting criteria and publishes the NFI
report in the Full Report 2018/19.
The responsibility of the legal representatives of the company includes the selection and application of reasonable methods for non-
financial reporting (especially the selection of material topics) as well as the use of assumptions and estimates for individual non-financial
disclosures that are reasonable under the circumstances. Furthermore, the responsibility includes the design, implementation and mainte-
nance of systems, processes and internal controls relevant for the preparation of the sustainability reporting in a way that is free of –
intended or unintended – material misstatements.
Auditors‘ responsibility and scope of the engagement

Our responsibility is to state whether, based on our procedures performed, anything has come to our attention that causes us to believe
that the NFI reporting of the Company is not in accordance with the legal requirements of the Austrian Sustainability and Diversity
Improvement Act (§ 267a UGB) and the sustainability reporting guidelines of the Global Reporting Initiative (GRI Standards, Option
“Core”) in all material respects.
Clarification on the assurance scope due to the integrated NFI reporting in the Full Report: Our assurance included the following area of
the Full Report:
• NFI disclosures and indicators referred to the GRI content index in the “Full Report 2018/19”.
Our engagement was conducted in conformity with the International Standard on Assurance Engagements (ISAE 3000) applicable to such
engagements. This standard requires us to comply with our professional requirements including independence requirements, and to plan
and perform the engagement to enable us to express a conclusion with limited assurance, taking into account materiality.
An independent assurance engagement with the purpose of expressing a conclusion with limited assurance is substantially less in scope
than an independent assurance engagement with the purpose of expressing a conclusion with reasonable assurance, thus providing
reduced assurance. In spite of conscientious planning and execution of the engagement it cannot be ruled out that material mistakes,
unlawful acts or irregularities within the non-financial reporting will remain undetected.
The procedures selected depend on the auditor’s judgment and included the following procedures in particular:
• Inquiries of personnel on corporate level responsible for the materiality analysis, in order to gain an understanding of the processes
for determining material sustainability topics and respective reporting boundaries of the Company;
• Conduct of a media analysis on relevant information concerning the sustainability performance of the Company in the reporting
period;
• Evaluation of the design and implementation of the systems and processes for the collection, processing and control of the
disclosures on environmental, social and employees matters, respect for human rights and anti-corruption and bribery, including the
consolidation of the data;
• Inquiries of personnel on corporate level responsible for providing and consolidating and for carrying out internal control procedures
concerning the disclosures on concepts, risks, due diligence processes, results and performance indicators;
88
Independent assurance report on the non-financial report
• Inspection of selected internal and external documents in order to determine whether qualitative and quantitative information is
supported by sufficient evidence and presented in an accurate and balanced manner;
• Assessment of local data collection, validation and reporting processes as well as reliability of the reported data on the basis of
sample testing on the site in Bulgaria (Povdiv);
• Analytical evaluation of the data and trend explanations of quantitative disclosures, submitted by all sites for consolidation at
corporate level;
• Evaluation of the consistency of the for the Company applicable requirements of the Austrian Sustainability and Diversity Improve-
ment Act (§ 267a UGB) and of the GRI Standards (Option “Core”) with disclosures and indicators in the NFI reporting;
• Evaluation of the overall presentation of the disclosures by critical reading of the NFI report.
The procedures that we performed do not constitute an audit or a review. Our engagement did not focus on revealing and clarifying
illegal acts such as fraud, nor did it focus on assessing the efficiency of management. Furthermore, it is not part of our engagement to
review future-related disclosures, figures from previous periods and statements from external information sources and expert opinions.
Disclosures which were audited within the scope of the Annual Financial Statement were assessed for correct presentation (no substantial
testing).
This assurance report is issued based on the assurance agreement concluded with the Company. Our responsibility and liability towards
the Company and any third party is subject to paragraph 7 of the General Conditions of Contract for the Public Accounting Professions.
The respective latest version of the AAB is accessible at http://www.kpmg.at/aab.
Conclusion
Based on the procedures performed, nothing has come to our attention that causes us to believe that the NFI reporting of the Company
is not in accordance with the requirements of the Austrian Sustainability and Diversity Improvement Act (§ 267a UGB) ant the GRI Stand-
ards (option “Core”) in all material respects.
Vienna, 18 November 2019
KPMG Austria GmbH

Wirtschaftsprüfungs- und Steuerberatungsgesellschaft signed by:
Rainer Hassler
Wirtschaftsprüfer (Austrian Chartered Accountant)
This report is a translation of the original report in German, which is solely valid.

90
Report of the Supervisory Board
Ladies and Gentlemen,
Corporate governance
EVN’s steady focus on regulated and stable business areas and the Changes on the Supervisory Board
selective and careful addition of activities with a higher risk-return Irene Pugl and Uwe Mitter were delegated to the Supervisory
profile are the guarantee for a very solid capital structure which, Board by the Works Council as of 14 May 2019 to replace
not least, is reflected in rating agencies’ evaluations. Consequently, Manfred Weinrichter and Franz Hemm who had resigned.
the Supervisory Board sees EVN strategically and financially well
positioned for the future. Consolidated corporate governance report,
Austrian Corporate Governance Code
After a detailed analysis, EVN‘s management decided to terminate KPMG Austria GmbH Wirtschaftsprüfungs- und Steuerberatungs-
electricity production at the hard coal-fired power plant in gesellschaft, Vienna, audited the consolidated corporate govern-
Dürnrohr earlier than planned in 2018 /19 because of the current ance report prepared by EVN AG in accordance with § 96 (2) of the
economic environment. The Supervisory Board expressly supports Austrian Stock Corporation Act and reported to the Executive Board
this step and welcomes its positive contribution to environmental and the Supervisory Board on their work. In a meeting on
and climate protection. A commitment to and passion for a clean 11 December 2019, the Supervisory Board examined the consoli-
energy future are, however, also visible in many other areas of dated corporate governance report as required by § 96 of the
EVN’s strategy. I would like to emphasise two aspects, in particular, Austrian Stock Corporation Act and in accordance with an opinion
here: on the one hand, the high level of investments in the published by the Austrian Financial Reporting and Auditing Commit-
dynamic expansion of wind power – where EVN met its medium- tee. This analysis was based on a report issued by the Audit Com-
term goal to reach roughly 370 MW of installed capacity mittee on 26 November 2019 and did not lead to any objections.
in 2018 /19, one full year ahead of schedule. On the other hand,
EVN’s investments in the network infrastructure make a decisive EVN, as a listed company, is committed to compliance with the
contribution towards increasing the feed-in of decentralised Austrian Corporate Governance Code. The Supervisory Board
renewable energy generation in the Austrian energy sector, a goal approved the implementation of the January 2018 version of the code
shared by politics as well as the general public. by EVN as of 1 March 2018. The Supervisory Board strives to consist-
ently comply with the provisions of the code that relate to its activi-
Fulfilment of duties ties. EVN complies with all rules concerning the cooperation between
The Supervisory Board actively monitored and supported EVN’s the Supervisory Board and the Executive Board and the internal pro-
strategic steps as part of its designated responsibilities. Four cedures of the Supervisory Board, with one exception. This exception
plenary meetings and five committee meetings were held during is specified in the consolidated corporate governance report.
the reporting year, in which the Supervisory Board fulfilled the
tasks and duties required by legal regulations and the company’s Annual financial statements and consolidated financial
by-laws. The Executive Board provided the Supervisory Board with statements
regular, timely and comprehensive reports on all relevant aspects KPMG Austria GmbH Wirtschaftsprüfungs- und Steuerberatungs-
of business development, including the risk position and risk gesellschaft, Vienna, was appointed to audit the financial state-
management of EVN and its key Group companies. This reporting, ments for the 2018 /19 financial year from 1 October 2018 to
in particular, allowed the Supervisory Board to continuously 30 September 2019. This firm examined the annual financial state-
supervise and support the Executive Board’s management activi- ments of EVN AG as of 30 September 2019, which were prepared
ties. The control functions exercised by the Supervisory Board in accordance with Austrian accounting regulations, and the
within the framework of open discussions with the Executive management report submitted by the Executive Board. KPMG
Board did not lead to any objections. Recommendations by the presented a written audit report on the audit and issued an
Supervisory Board were taken up by the Executive Board. unqualified opinion.

The Supervisory Board received and reviewed the auditor’s report. KPMG Austria GmbH Wirtschaftsprüfungs- und Steuerberatungs-
In accordance with § 92 of the Austrian Stock Corporation Act, the gesellschaft, Vienna, carried out a limited assurance review of
Audit Committee reported to the Supervisory Board on the results the independent non-financial report on the consolidated financial
of the audit and its effects on financial reporting as well as the statements, which was prepared by EVN to meet the requirements
additional report prepared by the auditor based on the require- for the disclosure of non-financial and diversity-related information
ments of Art. 11 of Regulation (EU) No. 537/2014 on the statutory in accordance with the Austrian Sustainability and Diversity
audit of public-interest entities. Improvement Act. KPMG Austria GmbH Wirtschaftsprüfungs- und
Steuerberatungsgesellschaft, Vienna, reported on the results of this
Following a detailed analysis and discussions by the Audit Commit- review in writing and also issued an independent assurance report
tee and the Supervisory Board, the Supervisory Board approved on the non-financial report.
the following documents that were submitted by the Executive
Board: the annual financial statements as of 30 September 2019 The non-financial statement included in the management report
together with the notes, the management report and the conso- on the annual financial statements of EVN AG was read by KPMG
lidated corporate governance report as well as the recommenda- Austria GmbH Wirtschaftsprüfungs- und Steuerberatungsgesell-
tion for the use of profits. The annual financial statements as of schaft, Vienna, in connection with the year-end audit to determine
30 September 2019 were thereby approved in accordance with whether it materially contradicts the annual financial statements or
§ 96 (4) of the Austrian Stock Corporation Act. otherwise appears to be materially misstated based on the under-
standing gained from the audit. KPMG Austria GmbH Wirtschafts-
The consolidated financial statements were prepared in accord- prüfungs- und Steuerberatungsgesellschaft, Vienna, issued a writ-
ance with International Financial Reporting Standards (IFRS) and ten report on these results, together with the results of the
also audited by KPMG Austria GmbH Wirtschaftsprüfungs- und year-end audit of EVN AG.
Steuerberatungsgesellschaft, Vienna, which issued an unqualified
opinion. The Audit Committee reviewed the consolidated financial In conclusion, the Supervisory Board would like to thank the
statements together with the management report and reported Executive Board and all employees of the EVN Group for their
on these activities to the Supervisory Board, which subsequently performance and commitment during the 2018 /19 financial year.
approved these documents. Special thanks are also directed to EVN’s shareholders, customers
and partners for their trust in the company.
Maria Enzersdorf, 11 December 2019
On behalf of the Supervisory Board
Bettina Glatz-Kremsner
President
92
Consolidated corporate governance
report
Basic principles and justified. EVN provides a detailed explanation of any deviations
from these rules online under www.evn.at/Corporate-Governance-
EVN AG (EVN) is an Austrian stock corporation whose shares are Report and presents an overview in the following section of this
traded on the Vienna Stock Exchange. Corporate governance is report. The R-Rules (Recommendations) represent recommendations
therefore based on Austrian law – in particular the Stock Corpora- and do not require the disclosure or justification of deviations.
tion Act and capital market laws, legal regulations governing 1) In order to improve readability, reference to the ACGC is not provided for the rules in
the following section.
co-determination by employees and the company by-laws, as well
as the Austrian Corporate Governance Code (ACGC) and the rules
of procedure for the company’s corporate bodies. The Executive Board and Supervisory Board formally declare that
EVN complies with all C-Rules of the ACGC, irrespective of the
following deviation and explanation. Furthermore, the company
only deviates from a limited number of R-Rules.
Commitment to the Austrian
Corporate Governance Code Deviations from C-Rules
EVN does not fully comply with the following C-Rule of the ACGC:
Introduction C-Rule 16: EVN does not comply with this rule which requires
The Executive Board and Supervisory Board of EVN are committed the management board to have a chairman. The Supervisory
to the principles of good corporate governance and, in this way, Board did not appoint a member of the Executive Board to serve
meet the expectations of national and international investors for as chairman because the Executive Board consists of only two
responsible, transparent and sustainable management and control. members in line with its assigned duties and the company’s struc-
On 1 March 2018, EVN announced its commitment to comply ture. In this case, a valid resolution by the Executive Board
with the ACGC in the January 2018 version. The ACGC is available requires that meetings are announced in the approved manner
under www.corporate-governance.at. and both Executive Board members must be present. Resolutions
must be passed unanimously and abstention from voting is not
Burgenland Holding Aktiengesellschaft is a stock corporation under permitted. If a unanimous decision is not reached, the Executive
Austrian law, which is listed on the Vienna Stock Exchange and Board must review and vote again on the respective point of the
included in EVN’s scope of consolidation. The corporate gover- agenda within ten days. The Executive Board must report to the
nance report prepared and published by this company is available Supervisory Board if the second round of voting does not bring a
under www.buho.at/corporate-governance-report. unanimous decision. A spokesman is appointed for the Executive
Board even when there are only two members, and the rules for
The ACGC rules are divided into three categories 1). The legal the direction of the meetings and representation apply to the
requirements (L-Rules) are based on binding regulations which must spokesman in this case. The Supervisory Board’s decision not to
be observed by all Austrian listed companies. The C-Rules (Comply appoint a chairman for the Executive Board applies for an indefi-
or Explain) should be observed; any deviations must be explained nite period.

Executive Board
Composition
Born in 1964, Master of Law, Master of Business Administration. Born in 1958, Master of Mechanical Engineering and Industrial
Joined EVN in 1993, appointed to the Executive Board of EVN in Management. Joined EVN in 1993, appointed to the Executive
January 2011 and designated spokesman of the Executive Board in Board of EVN in October 2017. His term of office expires on
October 2017. His term of office ends on 19 January 2021. Execu- 30 September 2022. Executive responsibility for the Generation,
tive responsibility for the Energy and South East Europe segments Networks and Environment segments as well as the following
as well as the following corporate functions: controlling, customer corporate functions: data processing, procurement and purchas-
relations, finance, accounting, general secretary and investment ing, administration and construction, and internal auditing.
management, legal and public affairs, information and communica-
tions, and human resources. In accordance with the disclosure Functions in significant
required by C-Rule 16, he holds four supervisory board mandates in subsidiaries1) Function
other companies that are not included in the consolidated financial Burgenland Holding Aktiengesellschaft Vice-Chairman of the
statements of the EVN Group1). supervisory board
1) CEESEG Aktiengesellschaft, member of the supervisory board Netz Niederösterreich GmbH Chairman of the
Wiener Börse AG, member of the supervisory board supervisory board
Österreichische Post Aktiengesellschaft, member of the supervisory board
RAG-Beteiligungs-Aktiengesellschaft Member of the supervisory board
Verbund AG, member of the supervisory board
1) In addition to the supervisory board functions, the Executive Board manages signifi-
cant subsidiaries based on quarterly reporting by segment.
Functions in significant
subsidiaries1) Function
Burgenland Holding Aktiengesellschaft Chairman of the supervisory board

EVN Macedonia AD Chairman of the supervisory board
Netz Niederösterreich GmbH Vice-Chairman of the
supervisory board
RAG-Beteiligungs-Aktiengesellschaft Chairman of the supervisory board
1) In addition to the supervisory board functions, the Executive Board manages signifi-
cant subsidiaries based on quarterly reporting by segment.
Working procedures sibility to the individual Executive Board members based on the
The Executive Board of EVN must have a minimum of two mem- given requirements. Certain transactions are reserved for joint
bers. If the Supervisory Board does not appoint a chairman or discussions and decision-making by the full Executive Board. The
spokesman for the Executive Board, the members are entitled to Executive Board is required to obtain the prior consent of the
designate their own spokesman. The Executive Board is responsible Supervisory Board for business transactions that require this
for managing the company to support its business activities and approval based on legal regulations or a previous Supervisory
continued success in the interests of shareholders, employees and Board resolution. The rules of procedure for the Executive Board
the general public. The work of the Executive Board is based on and the Supervisory Board contain a detailed list of such cases.
legal requirements, in particular stock corporation, stock exchange
and commercial laws, the by-laws and the rules of procedure for Organisational regulations require the Executive Board to report to
the Executive Board that were approved by the Supervisory Board the Supervisory Board. These reporting standards also apply to the
as well as the ACGC. Supervisory Board committees. The reporting obligations of the
Executive Board include quarterly reports on the development of
Irrespective of the Executive Board’s overall responsibility, the business in the Group and information on matters of importance
Supervisory Board establishes and assigns specific areas of respon- relating to major Group subsidiaries.
94
Corporate governance report — Executive Board, Supervisory Board
Remuneration Supervisory Board

The remuneration of the active Executive Board members totalled
TEUR 1,234.9 in 2018/19 (including compensation in kind and con- Composition
tributions to pension funds). Of this total, TEUR 651.3 are attributa- As of 30 September 2019, the Supervisory Board of EVN AG had
ble to Stefan Szyszkowitz and TEUR 583.6 to Franz Mittermayer. ten shareholder representatives elected by the Annual General
Meeting and five members delegated by the Works Council. The
Performance-based bonus programme for the Executive Supervisory Board is headed by a chairwoman and two vice-chair-
Board (C-Rules 27, 30): In 2018/19 the remuneration of the men, who are chosen by the Supervisory Board from among its
Executive Board comprised a fixed component of approximately members. The minimum number of independent members was set
74% and a variable component of approximately 26%. The vari- at 50% by the Supervisory Board in a meeting on 29 May 2006.
able component is based on the 2017/18 financial year. The per- The independence of the members of the EVN Supervisory Board,
formance-based component consists of the following: 30% based as defined by C-Rule 53, is documented on the list on page 96.
on the increase in economic value added (EVA®), 40% on the aver-
age cash flow contribution and 30% on individually agreed tar- The Supervisory Board performs its duties in accordance with legal
gets. Target corridors ranging from 0% to 200% were defined for regulations, in particular the provisions of stock corporation law
the quantitative performance criteria (the increase in EVA® and the and the company’s by-laws. Additional guidelines for its activities
cash flow contribution), whereas 0% to 100% of the individually are provided by the Supervisory Board’s rules of procedure and by
agreed targets can be achieved. Additional information on the the ACGC.
remuneration scheme for senior management staff (C-Rule 28a) is
provided in the remuneration report. One particular responsibility of the Supervisory Board is to super-
vise the work of the Executive Board, from which it may request a
Principles applicable to entitlements and claims by the report at any time concerning the development of business. Legal
Executive Board of the company on termination of their regulations allow the Supervisory Board to extend the scope of
functions (C-Rule 30): Contributions were made to the employee business transactions requiring its formal consent as defined in
pension fund on behalf of the Executive Board members. Each § 95 (5) of the Austrian Stock Corporation Act through resolutions.
Executive Board member is also entitled to a contractually agreed The rules of procedure for the Executive Board and the Supervisory
pension on retirement; payments from the Austrian pension Board contain a detailed list of such business transactions and
scheme and VBV-Pensionskasse are considered part of this amount. measures.
Directors and officers insurance (C-Rule 30): The members of The composition of the Supervisory Board changed as follows
the Executive Board are covered by an asset/liability insurance for during 2018 /19: The Works Council delegated Irene Pugl and
corporate directors (D&O insurance). The policy covers claims for Uwe Mitter to the Supervisory Board as of 14 May 2019 as
damages by the company, shareholders, creditors, competitors replacements for Manfred Weinrichter and Franz Hemm who
and customers against the Executive Board resulting from viola- resigned from this body.
tions of the legal obligation to exercise diligence in their capacity
as managing directors. The costs for this insurance are carried by
the company.
Executive Board remuneration

C-Rule 31, TEUR 2018/19
Fixed remuneration Variable remuneration Compensation in kind
Stefan Szyszkowitz1) 414.8 162.3 11.4
Franz Mittermayer 2) 387.1 124.6 13.9
1) For Stefan Szyszkowitz, the pension fund contributions equalled TEUR 62.8.
2) For Franz Mittermayer, the pension fund contributions equalled TEUR 58.0.
For more information on the remuneration of the Executive Board, see the consolidated notes on page 214

Members of the Supervisory Board
Shareholder representatives Date of initial Independence Diversity

appointment 1) Functions in listed companies and other important functions C-Rule 532) factors 3)
Bettina Glatz-Kremsner 21.01.2016 Chairwoman of the management board of Casinos Austria Aktiengesellschaft; Yes Female
President and Chairwoman managing director of Österreichische Lotterien Gesellschaft m.b.H.; chairwoman of born 1962
the supervisory board of Flughafen Wien Aktiengesellschaft; general council member Austria
of Oesterreichische Nationalbank
Norbert Griesmayr 12.01.2001 Chairman of the management board of Hutschinski Privatstiftung; member of the No Male
1st Vice-Chairman management board of Privatstiftung zur Verwaltung von Anteilsrechten; managing born 1957
director of Alma-Kano Gesellschaft m.b.H.; vice-chairman of the supervisory board Austria
of BauWelt Handels-Aktiengesellschaft and Collegialität Versicherungsverein Privat-
stiftung; member of the supervisory board of VAV Versicherungs-Aktiengesellschaft
Willi Stiowicek 15.01.2009 Head of the presidential committee of the provincial capital St. Pölten; Yes Male
2nd Vice-Chairman member of the supervisory board of NÖ Regional GmbH born 1956
Austria
Philipp Gruber 21.01.2016 Administrative lawyer; chairman of the management board of Business Messen Yes Male
Wiener Neustadt Genossenschaft für Wirtschaftsförderung registrierte Genossenschaft born 1979
mit beschränkter Haftung; chairman of Abwasserverband Wiener Neustadt-Süd; Austria
member of the Wiener Neustadt town council
Dieter Lutz 12.01.2006 Managing director of IMMRE-LUTZ GmbH; member of the supervisory board of Yes Male
NÖ Bürgschaften und Beteiligungen GmbH; vice-president of the Lower Austrian born 1954
chamber of commerce Austria
Reinhard Meißl 12.01.2006 Head of the financial group in the provincial government of Lower Austria; Yes Male
managing director of NÖ Holding GmbH and NÖ Landes-Beteiligungsholding GmbH born 1959
Austria
Susanne Scharnhorst 21.01.2016 Management consultant Yes Female

born 1961
Austria
Angela Stransky 16.01.2014 Authorised officer of Raiffeisenlandesbank Niederösterreich-Wien AG and managing Yes Female
director in numerous companies of the Raiffeisen Group born 1960
Austria
Friedrich Zibuschka 21.01.2016 Associate professor in the Institute for Transportation Studies at the University of Yes Male
Natural Resources and Life Sciences, Vienna; general partner of Zibuschka Regional born 1950
Consulting OG Austria
Johannes Zügel 19.01.2017 Head of investment management at EnBW Energie Baden-Württemberg AG Yes Male
born 1966
Germany
Employee representatives
Paul Hofer 01.04.2007 Chairman of the Central Works Council of EVN; member of the supervisory board of Male
VBV-Pensionskasse Aktiengesellschaft born 1960
Austria
Uwe Mitter 14.05.2019 Chairman of the Central Works Council of Netz Niederösterreich GmbH Male
born 1971
Austria
Irene Pugl 14.05.2019 Chairwoman of the Works Council of EVN Business Service GmbH Female
born 1975
Austria
Friedrich Bußlehner 01.01.2016 Vice-Chairman of the Central Works Council of Netz Niederösterreich GmbH Male
born 1962
Austria
Monika Fraißl 01.07.2013 Vice-Chairwoman of the Works Council of Netz Niederösterreich GmbH (headquar- Female
ters) born 1973
Austria
Franz Hemm 03.05.1994 Chairman of the Central Works Council of Netz Niederösterreich GmbH Male
(until 13.05.2019) born 1955
Austria
Manfred Weinrichter 01.01.2001 Vice-Chairman of the Central Works Council of Netz Niederösterreich GmbH Male
(until 13.05.2019) born 1961
Austria
1) The terms of office of the Supervisory Board members elected by the Annual General Meeting expire at the end of
the Annual General Meeting that will vote on their release from liability for the 2019/20 financial year.
2) Independence of the company and the Executive Board
3) Diversity factors include gender, year of birth and citizenship.
96
Corporate governance report — Supervisory Board
Independence Working procedures

A member of the Supervisory Board is considered to be independ- The Austrian Stock Corporation Act prescribes a dual manage-
ent in accordance with C-Rule 53 when he/she has no business or ment system and requires strict separation between management
personal relations with the company or its management board bodies (i. e. Executive Board) and controlling bodies (i. e. Supervi-
that could lead to a material conflict of interest and therefore influ- sory Board). Parallel membership in both bodies is not permitted.
ence the member’s behaviour. If any such conflicts of interest arise,
EVN requires multi-year transition periods in accordance with the Communications between the Executive Board and the Supervi-
ACGC. sory Board take place at the meetings of the Supervisory Board
and its committees and in writing, as required. In addition, the
The guidelines to determine the independence of the elected Executive Board and the chairwoman of the Supervisory Board
members of the Supervisory Board stipulate that these persons maintain regular contact on issues that fall under the responsibility
• may not have any business or personal relations with EVN or of the Supervisory Board. In particular, this includes the prepara-
its Executive Board that constitute a material conflict of inter- tion of meetings.
est and are therefore capable of influencing the member’s
behaviour; The Supervisory Board held four plenary meetings during the
• may not have served as a member of the Executive Board or a reporting year, at which its members fulfilled the tasks and duties
top executive of EVN or any of its subsidiaries during the past required by legal regulations and the company’s by-laws. The
five years; reports by the Executive Board and other points on the agenda for
• may not maintain, or in the previous year did not maintain, these meetings regularly covered the economic, ecological and
any business relations with EVN or a subsidiary of EVN that social aspects of the subjects under discussion. In addition, a closed
are considered material for that member. This also applies to conference provided the setting for an extensive discussion by the
business relations of EVN or a subsidiary of EVN with compa- Supervisory Board of the Austrian climate and energy strategy from
nies in which the Supervisory Board member holds a signifi- EVN’s perspective.
cant economic interest, but does not cover appointments to
corporate bodies within the EVN Group. The approval of indi- The most important decisions taken by the Supervisory Board dur-
vidual transactions by the Supervisory Board in accordance ing the reporting year included the authorisation of the 2017/18
with L-Rule 48 does not automatically lead to qualification as annual financial statements and the approval of the 2019/20
not independent; budget for the EVN Group. The resolution on the budget also cov-
• may not have acted as an auditor of EVN or owned a share in ered the approval of investments in heat and wind power plants,
or worked as an employee of the auditing company during in district and neighbourhood heating plants, in the electricity, nat-
the past three years; ural gas and heating networks and in the IT infrastructure, in par-
• may not serve on the management board of another com- ticular to protect supply security and the transport of renewable
pany in which a member of the Executive Board of EVN is a energy. In the power plant area, the Supervisory Board authorised
member of the supervisory board; the replacement of a turbine in the Theiss power plant. Other
• may not serve on the Supervisory Board for more than approvals covered the submission of a binding offer for the con-
15 years. This does not apply to Supervisory Board members struction of a sewage sludge treatment plant in Germany and the
who hold an investment in the company as shareholders or definition of an internal procedure for evaluating transactions con-
who represent the interests of such shareholders; and cluded as part of ordinary business activities and at standard mar-
• may not be closely related (i. e. direct offspring, spouse, life ket conditions in accordance with § 95a of the Austrian Stock Cor-
partner, parent, uncle, aunt, brother, sister, niece, nephew) to poration Act. The resignation of one employee representative from
a member of the Executive Board or to persons who hold one EVN’s Advisory Committee for Environmental and Social Responsi-
of the above-mentioned positions. bility was followed by the nomination of a replacement by the
Supervisory Board. The Supervisory Board also approved the desig-
Contracts requiring the approval of the Supervisory Board nation of two staff members as joint proxies, together with the
(L-Rule 48): No contractual agreements were concluded between right to conduct real estate transactions in accordance with
a member of the Supervisory Board and EVN or one of its subsidi- § 49 (2) of the Austrian Commercial Code.
aries which would entitle the member to more than an insignifi-
cant payment. All such contracts are subject to the approval of the The Supervisory Board approved the report on the current imple-
Supervisory Board. mentation of Regulation (EU) No. 596/2014 (market abuse

regulation) and the report prepared in accordance with C-Rule 18a Personnel Committee
on measures to prevent corruption in the company. In addition, Name Function
the Supervisory Board examined all potential conflicts of interest Bettina Glatz-Kremsner Chairwoman;
and did not identify any inconsistencies. remuneration expert
Norbert Griesmayr Member
The average attendance at Supervisory Board meetings equalled Willi Stiowicek Member
91.7% in 2018 /19. No member was absent from more than half
the Supervisory Board meetings during the past financial year.
The Personnel Committee serves as both the Nominating and
Evaluation of the Supervisory Board‘s activities Remuneration Committee. In its function as the Remuneration
In accordance with C-Rule 36, the Supervisory Board carried out Committee, it has one member with knowledge and experience
another self-evaluation of its activities in 2018/19. This assessment relating to remuneration policies (C-Rule 43). This committee is
was based on an extensive written questionnaire which was responsible for all matters concerning the relationships between
answered by the members of the Supervisory Board. The results of the company and the members of the Executive Board, in cases
the evaluation were discussed in a plenary meeting. where the full Supervisory Board is not responsible under law. The
related activities cover, in particular, the employment contracts
Committees with the Executive Board members, the implementation of
The Supervisory Board fulfils its responsibilities as a joint decision- C-Rules 27, 27a and 28 and a review of the remuneration policy
making body in cases where individual issues are not delegated to for the Executive Board members. As the Nominating Committee,
its committees. These committees are responsible for preparing it is responsible for nominating replacements for vacant seats on
negotiations and resolutions, monitoring the implementation of the Executive Board and making recommendations to fill vacant
the Supervisory Board’s decisions and taking decisions on issues seats on the Supervisory Board.
delegated by the Supervisory Board. The following committees
were established by the Supervisory Board of EVN, each of which The Personnel Committee held three meetings in 2018/19. The
includes at least three elected Supervisory Board members and the agendas covered the definition of targets and the verification of
legally required number of employee representatives. the target attainment for the Executive Board‘s variable remunera-
tion, a review of the variable remuneration scheme and the
Working Committee approval of a report on the remuneration policy for the Executive
Name Function Board.
Bettina Glatz-Kremsner Chairwoman
Norbert Griesmayr Member Audit Committee
Willi Stiowicek Member Name Function
Reinhard Meißl Member Norbert Griesmayr Chairman
Franz Hemm (until 13.05.2019) Employee representative Bettina Glatz-Kremsner Member
Paul Hofer Employee representative Willi Stiowicek Member
Uwe Mitter (as of 14.05.2019) Employee representative Reinhard Meißl Member; financial expert
Franz Hemm (until 13.05.2019) Employee representative
Paul Hofer Employee representative
The Working Committee is responsible for carrying out specified Uwe Mitter (as of 14.05.2019) Employee representative
tasks assigned by the full Supervisory Board. In certain urgent
cases, the Working Committee is authorised by the Supervisory
Board’s rules of procedure to approve specific business transac- The responsibilities of the Audit Committee are as follows:
tions on behalf of this body. • monitoring the accounting process and issuing recommenda-
tions or suggestions to ensure reliability;
This committee did not meet during the 2018/19 financial year. • monitoring the effectiveness of the company‘s internal con-
trol, internal audit and risk management systems;
• monitoring the audit of the annual and consolidated financial
statements, including the results and conclusions indicated in
the reports by the Auditor Oversight Commission;
98
Corporate governance report — Supervisory Board
• verifying and monitoring the independence of the auditor of and annual financial statements (based on the Austrian Commer-
the annual financial statements (and consolidated financial cial Code) as of 30 September 2018, including the notes, manage-
statements), in particular with regard to additional services ment report and consolidated non-financial report, the corporate
provided for the audited company; moreover, Art. 5 (5) of governance report and the recommendation for the use of profits
Regulation (EU) No. 537/2014 on the statutory audit of pub- as well as the half-year financial statements for 2018/19 including
lic-interest entities must be observed; expectations for the full financial year. The Audit Committee also
• reporting on the results of the audit to the Supervisory Board, dealt extensively with the internal control, audit, risk and compli-
explaining how the audit contributed to the reliability of ance management systems.
financial reporting and explaining the role of the Audit Com-
mittee in this procedure; In addition, the Audit Committee made a recommendation for
• reviewing the annual financial statements and preparing the the appointment of an auditor for the annual and consolidated
required authorisation, reviewing the proposal for the distri- financial statements for the 2018/19 financial year and distributed
bution of profits, the management report and, if applicable, a report by the auditor on the provision of non-audit services.
the corporate governance report as well as submitting a
report on the results of this review to the Supervisory Board; Remuneration
• if necessary, examining the consolidated financial statements, The Supervisory Board remuneration is set at a total amount of
the Group management report and the consolidated corpo- TEUR 118.8 per year. The president receives TEUR 18.2, the two
rate governance report and, if necessary, reporting on the vice-presidents each TEUR 13.2 and each remaining member of the
results of this examination to the Supervisory Board; Supervisory Board TEUR 10.6. The attendance fee equals TEUR 0.5
• selecting an auditor for the annual and consolidated financial per meeting of the Supervisory Board or a committee. The mem-
statements, taking the appropriateness of the fee into consid- bers of the Supervisory Board are also covered by a directors and
eration, as well as preparing a proposal for the Supervisory officers liability insurance (D&O insurance).
Board on this selection; moreover, Art. 16 of Regulation (EU)
No. 537/2014 on the statutory audit of public-interest entities Directors and officers insurance (C-Rule 30): EVN has
must be observed. arranged for D&O insurance to cover claims for damages by the
company, shareholders, creditors, competitors and customers
The Audit Committee includes a financial expert as required by law against the Executive Board resulting from violations of their
and L-Rule 40. All members of the Audit Committee are familiar legal obligation to exercise diligence in their capacity as manag-
with the sector in which the company operates. ing directors. The costs for this insurance are carried by the com-
pany. Since the premium applies to the Group and is not based
This committee met twice in 2018/19 and dealt with all its on the number of insured persons, extending this insurance cov-
assigned responsibilities, above all with preparations for the reso- erage to the members of the Supervisory Board does not increase
lution on the consolidated financial statements (based on IFRS) the premium.
Supervisory Board remuneration Supervisory Board

C-Rule 51, TEUR remuneration Attendance fees
Bettina Glatz-Kremsner 18.2 5.5

Norbert Griesmayr 13.2 5.5
Willi Stiowicek 13.2 5.0
Philipp Gruber 10.6 2.0
Dieter Lutz 10.6 3.0
Reinhard Meißl 10.6 2.5
Susanne Scharnhorst 10.6 2.5
Angela Stransky 10.6 3.0
Friedrich Zibuschka 10.6 3.0
Johannes Zügel 10.6 3.0

Annual General Meeting The Austrian Equal Opportunity Act requires companies with a
workforce above a certain threshold to submit a biannual remu-
EVN’s shareholders exercise their legal and voting rights at the neration report (§ 11a of the Equal Opportunity Act). All compa-
Annual General Meeting, whereby each share is entitled to one nies in the EVN Group with a workforce above the legally defined
vote. EVN has no preferred shares or shares with multiple voting threshold prepared the required report and submitted it to the
rights. Decisions on specific matters are reserved for the Annual Central Works Council.
General Meeting by Austrian law or the company’s by-laws.
The Annual General Meeting votes on the distribution of profits,

the release of the members of the Executive Board and Supervisory Diversity concept for appointments
Board from liability, the selection of the auditor for the annual and
to the Executive Board and
consolidated financial statements, and the election of the Super
visory Board members. Moreover, the Annual General Meeting is Supervisory Board
entitled to decide on changes in the company by-laws and (§ 243c (2) no. 3 of the Austrian Commercial Code)
planned capital measures. The results of voting and the agenda
for the 90th Annual General Meeting of EVN on 17 January 2019 The EVN Group is committed to offering equal opportunities to all
are available on the EVN website (www.evn.at/AGM.aspx). its employees. The company is convinced that diversified teams
produce better results and are more effective and innovative than
single-gender groups. This principle also applies to the company’s
management and supervisory bodies.
Measures to support women
(§ 243c (2) no. 2 of the Austrian Commercial Code) There are no women on EVN’s Executive Board at the present time,
and no new appointments were made during 2018/19. New
The percentage of women in EVN’s workforce equalled 23.0% in appointments are based on public announcements in accordance
2018 /19, and roughly 13% of the positions for managing directors with the Austrian law governing personnel appointments.
and authorised officers were filled by women. The Women@EVN
programme is designed to achieve the greatest possible diversity at Technical qualifications and personal expertise are the main criteria
the upper management level and gradually increase the percent- for the election of members to the Supervisory Board. The goal is
age of women in management positions. Numerous initiatives to ensure a balanced composition of specialised know-how and
have been implemented to create a framework that enables personal qualifications. A special focus is placed on diversity with
women to assume qualified positions in specialised areas and at regard to the representation of both genders, a balanced age
the management level in line with their inclinations and skills. structure and the international character and professional back-
ground of the members.
Group-wide, ten women currently serve as project managers (proj-
ect manager career path). The percentage of young women in the Based on its current composition, EVN‘s Supervisory Board – as a
Group’s management development programme was higher than whole and in the individual committees – has the necessary exper-
the current share of women in EVN’s workforce during the report- tise required by the company, especially in the business, legal and
ing year. technical fields.
EVN has long pursued measures to support women’s work-life EVN‘s Supervisory Board has included five women since
balance. Examples of these measures are flexible working time 14 May 2019: three shareholder representatives and, since that
models, the provision of individualised support to women return- date, two employee representatives. Bettina Glatz-Kremsner has
ing after maternity leave, day care during holidays, information served as chairwoman of the Supervisory Board since 21 Janu-
events for staff members on parental leave as well as a compre- ary 2016. The percentage of women equalled 33.3% for the
hensive programme of vocational and professional education Supervisory Board as a whole. The current composition of EVN’s
which is open to all employees on parental leave. EVN’s objective Supervisory Board meets the requirements of the Austrian Equality
for the medium term is to increase the share of women to a level Act for Men and Women on Supervisory Boards (Federal Gazette
that mirrors their current educational levels in the applicable pro- I 104/2017) with regard to the number of shareholder representa-
fessional groups. tives and the number of employee representatives. This law calls
100
Corporate governance report — Annual General Meeting, Measures to support women,
Diversity concept for appointments to the Executive Board and Supervisory Board, Remuneration report
for a ratio of 30% for both genders on the supervisory boards of • Multi-year approach: The quantitative objectives were
listed corporations with a specified minimum number of supervi- defined in advance for a three-year period up to the 2018 /19
sory board members and employees. At the present time, EVN is financial year, but the measurement period will be extended
required to meet the 30% quota for the Supervisory Board in total to four years beginning with 2019/20. The target attainment
(§ 86 (9) of the Austrian Stock Corporation Act). is based on internal data and information as well as external
sources, e. g. benchmarks, peer group comparisons, capital
The members of the Supervisory Board range in age from 40 to market and rating evaluations. In addition to the general
69 years. period, the accuracy and validity of the medium-term targets
is evaluated each year. These targets are only revised in excep-
tional cases, for example in light of unforeseeable events or
changes in the company which have a significant impact on
Remuneration report performance.
The principles underlying the remuneration policy for the members Stock options (L-Rule 29): EVN does not have a stock option
of the Executive Board and Supervisory Board are explained under programme for the members of the Executive Board.
the respective sections of this report.
Directors and officers insurance (C-Rule 30): The current D&O
Remuneration for top executives (R-Rule 28a): EVN has insurance covers claims for damages by the company, sharehold-
implemented a variable remuneration system for top executives ers, creditors, competitors and customers against the Executive
which meets the requirements of the ACGC and sets the following Board resulting from violations of their legal obligation to exercise
priorities: diligence in their capacity as managing directors. The managerial
bodies of the Group’s subsidiaries and certain affiliated companies
• Indicators to illustrate the company’s economic situa- are jointly insured under the prevailing terms and conditions at the
tion: The following quantitative parameters are used to present time. The costs for this insurance are carried by the com-
measure the further development of management indicators pany. Since the premium applies to the Group and is not based on
that demonstrate the strategic and operating priorities of the the number of insured persons, extending this insurance coverage
EVN Group: increase in economic value added (EVA®) and to the members of the corporate bodies of other Group compa-
average cash flow contribution. nies does not increase the premium.
• Sustainability: One of the primary objectives of the current Related party: EVN AG and NÖ Landes-Beteiligungsholding
version of the ACGC is to strengthen the focus of the Execu- GmbH concluded a group and tax settlement agreement in 2005.
tive Board and top managers on sustainability and a long- Additional information on related party transactions as defined in
term orientation. The solidity and stability of the variable IAS 24 is provided under the basis of preparation in note 65 to the
remuneration system was further increased by the introduc- consolidated financial statements.
tion of multi-year targets and a bonus reserve.
Auditor’s fees: The annual and consolidated financial statements
• Bonus reserve: The bonus reserve is defined as a payment for the 2018/19 financial year were audited by KPMG Austria
mechanism which is converted into an annual pro-rata bonus GmbH Wirtschaftsprüfungs- und Steuerberatungsgesellschaft,
if the quantitative targets are met during a given period. Up to Vienna. The total fees charged by KPMG in 2018/19 amounted to
one-half of the bonus reserve is distributed after the achieve- EUR 1.7m (previous year: EUR 1.6m) and were distributed as fol-
ment of objectives has been confirmed, while the remainder is lows: 33.4% for auditing services (previous year: 34.1%), 14.3%
carried forward to the next year. The introduction of a bonus for audit-related services (previous year: 17.5%), 31.0% for tax
reserve is designed to achieve two main goals. On the one consulting services (previous year: 39.8%) and 21.3% for other
hand, it is based on a multi-year approach that links consecu- consulting services (previous year: 8.6%).
tive years by carrying the unpaid bonus components from the
initial reserve forward to the next period (similar to an open-
ing account balance). On the other hand, this scheme aims to
cushion and smooth the “independent” fluctuations in the
company’s economic performance.

Internal audit, risk management and Abuse Directive. Twenty permanent and three ad-hoc areas of
compliance EVN’s business have been designated as strictly confidential, and
the involved employees take part in regular training. Compliance
and confidentiality are monitored and evaluated by a designated
Internal audit compliance officer who reports directly to the Executive Board.
EVN’s internal audit department reports directly to the Executive The regular controls carried out by the compliance officer in
Board and to the Audit Committee of the Supervisory Board. The 2018 /19 did not identify any deficiencies.
subsidiaries in Bulgaria and North Macedonia have separate inter-
nal audit departments, whereby their staffs – similar to the corpo- Directors‘ dealings (C-Rule 73): No purchases of EVN shares by
rate internal audit staff – also receive regular training. The internal members of EVN’s management or closely related persons (Art. 19
audit departments are responsible for auditing and controlling proof Regulation (EU) No. 596 /2014 (market abuse regulation)) were
cesses and business units. Their activities follow annual audit plans reported to the company or to the Austrian Financial Market
which are based on the results of risk assessments. These plans are Authority during 2018/19.
approved by the responsible corporate bodies and supplemented
by ad-hoc and special audits where required. The work of the Compliance and EVN Code of Conduct
internal audit departments is based on the International Profes- EVN places great importance on the integrity and legally compli-
sional Practices Framework (IPPF) which was issued by the Institute ant behaviour of all its employees and business partners. Through
of Internal Auditors (IIA). Any problem areas identified during the their role as an integral part of an international energy and envi-
audits are reported to the respective business units and measures ronmental services company, the managers and employees of EVN
for improvement are recommended. The implementation of the have a far-reaching responsibility and a role model function both
measures approved by EVN’s management is then evaluated in fol- in Austria and abroad.
low-up audits. The above-mentioned audits did not identify any
serious deficiencies that could endanger the strategy or goals of The Code of Conduct, which was developed in a Group-wide pro-
the EVN Group. cess, forms the basis for all compliance measures at EVN. Corpo-
rate compliance management (CCM), a staff department reporting
Risk management directly to the Executive Board, is responsible for the development,
The goal of risk management at EVN is to protect the Group’s cur- management and improvement of the compliance management
rent and future earnings potential. Risks are recorded and analysed system (CMS). The CMS defines a standardised framework for the
based on a centrally managed two-stage process that provides the entire Group which is designed to support the honest and legally
responsible employees in the EVN Group with methods and tools compliant behaviour of employees in everyday business activities.
to identify and evaluate risks. The respective business units, which
are also responsible for risk management, communicate their risk The EVN Code of Conduct can be found under www.evn.at/
exposures to the central risk management department, which clas- Code-of-conduct.aspx. Its content reflects EVN’s various stake-
sifies, analyses and evaluates risks across the entire Group. Meas- holder groups and is designed to support all employees in
ures to minimise corporate risks are also identified and their imple- integrating EVN’s values into their everyday working activities.
mentation is monitored. The two-stage risk management process
is supported by standardised guidelines and consistently carried EVN has carried out comprehensive training for its employees on
out throughout the Group. The resulting risk analyses are pre- ethical and legally compliant behaviour since 2013/14 based on a
sented to the Executive Board and the responsible managing direc- compliance box developed especially for this purpose. The training
tors at regular intervals by the Group Risk Committee. A detailed lasts a minimum of two and a half hours and is based on EVN’s
presentation of EVN’s main risks and the measures taken to control Code of Conduct. Compliance training was provided for nearly
risks can be found in the section on “risk management” in the 1,900 employees and managers in five languages and eight coun-
2018 /19 management report. tries during 2018/19. Supplementary information is also available to
employees in the EVN Intranet. All employees are required to com-
Capital market compliance plete a one-hour modular e-learning programme after their manda-
EVN has issued a comprehensive set of rules to prevent the misuse tory training course. Special training sessions on relevant topics are
of insider information, which are based on Regulation (EU) also held for areas exposed to increased risk, during which manag-
No. 596 /2014 (market abuse regulation), the Austrian Stock ers in EVN‘s international companies completed half-day workshops
Corporation Act and capital market law, and the EU’s Market which included the handling of realistic compliance scenarios. Since
102
Corporate governance report — Internal audit, risk management and compliance, External evaluation
the introduction of the CMS, more than 9,000 employees and External evaluation
managers have received training on the Code of Conduct in various
cycles with different formats on subjects that include customers, In accordance with C-Rule 62, compliance with the C-Rules of the
the capital market and investors, integrity and the prevention of ACGC must be evaluated at least every three years by an external
corruption and data protection and confidentiality. institution and the results of this evaluation must be included in the
corporate governance report.
An important element of the CMS is the whistle-blowing proce-
dure, which provides a framework to communicate possible viola- The required external evaluation was carried out in 2017/18. It con-
tions of EVN’s Code of Conduct. This system is voluntary, and cluded that EVN complied with the C-Rules of the ACGC, with only
reports can be submitted anonymously. In cases where the infor- a few exceptions, during the 2016/17 financial year to the extent
mation is submitted under a specific name, the identity of the these rules were covered by the declaration of commitment issued
reporting person is treated confidentially. by EVN. A number of rules did not apply to EVN during the evalua-
tion period.
The specific assessment of compliance risks in the individual organi-
sational units forms the basis for the development of compliance KPMG Austria GmbH Wirtschaftsprüfungs- und Steuerberatungs-
measures. In keeping with the adjusted organisational structure of gesellschaft, Vienna, evaluated the consolidated corporate gover-
the EVN Group and the ongoing changes in the business environ- nance report prepared by EVN in accordance with § 96 (2) of the
ment, a compliance risk assessment was carried out during 2018/19 Austrian Stock Corporation Act and reported on the results of their
in individual workshops with managers and technical experts in review to the Executive Board and the Supervisory Board. This
Austria based on the focal points of the Code of Conduct. report on compliance with the Austrian Corporate Governance
Code can be found under www.investor.evn.at.
As a means of strengthening and advancing compliance aware-
ness, compliance scenarios were discussed and solution
approaches were developed in workshops with managers and staff Maria Enzersdorf, 18 November 2019
in the EVN Group. Activities in Austria focused on extensive train-
ing in the areas of equal opportunity and conflicts of interest. This
content was transferred to management and integrated in the
basic training for employees. A compliance readiness check was
carried out in Bulgaria, North Macedonia and the international
project business of WTE Wassertechnik GmbH to examine the
compliance culture and review the actual implementation of the Stefan Szyszkowitz Franz Mittermayer
CMS. The awareness of compliance issues, the CMS structures and Spokesman of the Executive Board Member of the Executive Board
employees’ knowledge formed the content of the analysis.
Compliance is viewed as an internal business partner for all areas of

the business. Approaches were therefore developed with all compli-
ance officers to increase customer orientation. They will be imple-
mented to further optimise the CMS service offering and provide even
better support for business activities in all areas of the EVN Group.
The Supervisory Board received a report on the content, goals and

status of the compliance organisation in its meeting on 12 Decem-
ber 2018 in accordance with C-Rule 18a.
EVN’s data protection officer, together with the data protection

officers in the individual business units, is responsible for coordi-
nating activities to meet the requirements of the EU General Data
Protection Regulation. Their joint activities ensure the protection
of personal data in accordance with legal regulations.

Management report
Energy policy environment organisation of distribution network operators (DSO entity) is

intended to improve cooperation with the transmission network
The energy policy framework conditions for our work are deter- operators.
mined to a substantial degree by the targets defined in European
energy and climate policies as well as their implementation at the Future climate policy targets in the EU
national level. The interaction of European institutions – for exam- Even before officially taking office, the new president of the Euro-
ple, the Agency for the Cooperation of Energy Regulators (ACER) pean Union, recommended a much stronger reduction in green-
and the Energy Community – plays a key role in this respect. house gas emissions by 2030 – namely 55% below the 1990 level.
Plans call for the presentation of a strategy paper by the beginning
European energy and climate policy of 2020 as the basis for revising the current legal regulations and
The goal set by the European Council in 2011 to cut greenhouse framework conditions.
gas emissions in the European Union 80% to 95% below the 1990
level by 2050 was underscored by the signing of the Paris Agree- Austrian climate and energy strategy
ment on Climate Change. The climate and energy roadmap issued Austria – as well as all other member states of the European Union –
by the European Council includes the following interim goals for must submit a final national energy and climate plan to the EU
the years up to 2030: Commission by the end of 2019. The basis for this plan is formed
• A reduction of at least 40% in greenhouse gas emissions by #mission2030, a climate and energy strategy presented by the
below the 1990 level former Austrian federal government in June 2018. The targets
• An increase in the share of renewable energy in the total defined by #mission2030 include, among others, an exit from fossil
energy mix to at least 32% fuel-based energy by 2050 and an increase in the share of renew-
• An improvement of at least 32.5% in energy efficiency able energy to between 45% and 50% of primary energy require-
• Cross-border electricity interconnecting lines equalling at least ments by 2030. Another target calls for electricity consumption to
15% of domestic generation capacity be covered in full (national balance) by renewable energy sources
in 2030. In the area of energy efficiency, Austria has set a goal to
Clean energy package raise primary energy intensity 25% to 30% over the 2015 level
In order to meet these overriding goals, the European Union by 2030.
approved a package of measures in the reporting year under the
title “Clean Energy for all Europeans“. These measures involve Austrian green electricity regulations
the energy sector, above all in the following areas: the organisa- The Austrian Parliament passed an amendment to the Green
tion of the electricity market, supply security for electricity, the Electricity Act in September 2019. It creates a transitional solution
management of the future energy union, energy efficiency and to reduce the waiting lists for wind power projects which have
renewable energy. already received government approval through the advanced pay-
out of subsidies. This amendment also extends the operations of
One objective of this package is to create new framework condi- numerous biomass and biogas plants until the new Renewable
tions for decentralised generation structures on the European Energy Expansion Act is passed and enacted.
energy market. The European electricity market of the future will
include the possible use of capacity mechanisms through the fee- The Renewable Energy Expansion Act must be passed by the Aus-
based provision of generation capacity. These efforts are intended trian Parliament during the current legislative period. It is expected
to protect supply security and establish a permanent load balance to define new framework conditions for the further expansion of
on the future European electricity market. In addition, regional and renewable energies as a means of meeting Austrian and European
European calculations for capacity requirements are planned. Fur- climate goals, while also supporting the implementation of the
thermore, “prosumers“, i. e. active consumers, shall become mar- Clean Energy Package and new rules to guarantee supply security.
ket participants with their own decentralised generation capacity –
also as part of citizens’ energy collectives. German-Austrian electricity price zone
The possibility of unrestricted electricity trading between Germany
The creation of suitable technical solutions for the network struc- and Austria, which took effect in 2002, has been limited to the
ture against the backdrop of increasing decentralised generation management of shortages since 1 October 2018 based on a long-
will require the inclusion of all network operators in the transfor- term capacity limit of 4.9 GW between the two countries. The
mation of the electricity system. The formation of a European Austrian network transmission operator has also been required to
104
Management report — Energy policy environment
contribute up to 1.0 GW to stabilise the German transmission cannot receive electricity from their chosen supplier through no
networks since 1 October 2018, and this volume will increase to fault of their own. Energy sales to customers in the regulated mar-
1.5 GW as of 1 October 2019. Since 1 October 2018, EVN has ket segment and the procurement of the corresponding volumes
provided the Austrian distribution network operator with reserve are based on regulated prices. EVN Trading SEE will continue to
capacity for network stabilisation – namely 430 MW from the act as a supplier for the liberalised customers.
Theiss gas-fired power plant.
The Bulgarian regulatory authority set new energy tariffs for the
Regulatory environment regulated market segments as of 1 July 2019. The end customer
Austria prices for household customers in EVN’s supply area were
The operation of the distribution networks and network infrastruc- increased by 3.5% on average for electricity and by roughly 7.4%
ture for electricity and natural gas in Lower Austria is the responsi- for heat (previous year: average increase of 1.4% for electricity
bility of EVN’s subsidiary Netz Niederösterreich GmbH. All invest- and reduction of roughly 4.0% for heat as of 1 July 2018).
ments and expenditures by this company to ensure the continuous
Management report
operations of the network infrastructure are remunerated through The second year of the new three-year regulation period for the
network tariffs which are set by the E-Control Commission each electricity network in Bulgaria began on 1 July 2019. The regula-
year in accordance with the Austrian regulatory method. tory method for this network defines a revenue cap which covers
recognised operating expenses, amortisation and depreciation as
Key parameters for the determination of the network tariffs well as an adequate return on the regulatory asset base. The
include the interest-bearing capital base (regulatory asset base) of applied method also includes the projected network distribution
the network operator and the weighted average cost of capital. volumes as well as an annually defined investment factor that cov-
Also included is an incentive in the form of productivity factors, ers planned future investments. EP Yug is responsible for the oper-
which serve as individual cost reduction targets for the respective ation of the electricity distribution networks in EVN’s Bulgarian
company and also include inflationary adjustments. E-Control sets supply area.
the weighted average cost of capital and cost reduction targets
for an entire regulatory period, which equals five years in Austria. North Macedonia
In order to achieve the legally required unbundling of the individ-
The regulatory authority reduced the weighted average cost of ual fields in the energy business and meet the related require-
capital with the start of the new regulatory periods for the natural ments, EVN operates through various companies in North Mace-
gas distribution network and for the electricity distribution net- donia. Network operations in the regulated market segment are
work on 1 January 2018 and 1 January 2019, respectively, to the responsibility of EVN Elektrodistribucija DOOEL, which was
reflect the generally lower interest rate levels. However, a differen- renamed Elektrodistribucija DOOEL as of 1 January 2019. Custom-
tiation was made for the first time between the efficiency of the ers in the liberalised market segment receive deliveries from the
various network operators and between existing and new equip- sales company EVN Macedonia Elektrosnabduvanje DOOEL, while
ment in order to create incentives for further investments and effi- EVN Macedonia Elektrani DOOEL serves as a production company.
ciency improvements. This benefits network operators with higher
productivity in industry comparison as well as with the slightly EVN won the tender for the license as the “supplier of universal
higher interest rates on the capital required for new investments. service“ for North Macedonia at the end of February 2019. Through
EVN’s network company has received a very positive evaluation EVN Home DOO, a newly founded sales company, it supplies
from the regulatory authority for its productivity in peer-group electricity to all households and small businesses in the regulated
benchmarking. market segments. The related license initially covers five years.
Bulgaria The tariff decisions which took effect in North Macedonia on

The electricity market for industrial customers in Bulgaria has been 1 July 2019 did not result in any changes for electricity end custom-
completely liberalised, and commercial customers will now receive ers (previous year: average reduction of 0.2%). The second year of
gradual access to the free market. Commercial customers in the the new three-year regulation period for the electricity network also
regulated market will still be supplied by EVN Bulgaria in 2019 /20. began on 1 July 2019. Similar to the framework in Bulgaria, the
After that time, the company will only supply household custom- regulatory method for this network defines a revenue cap which
ers and serve as a “supplier of last resort” for customers in the lib- covers recognised operating expenses, amortisation and deprecia-
eralised market segment who do not select another supplier or tion as well as an adequate return on the regulatory asset base.

Croatia the economy. GDP forecasts for Austria show a reduction from
The full liberalisation of the Croatian natural gas market has been the 2.4% recorded in 2018 to 1.5% to 1.7% in 2019 and 1.3% to
postponed until 2021, but household customers have already 1.4% in 2020.
received the right to change suppliers. The market for commercial
and industrial customers has been liberalised since 2012, and this In Bulgaria, economic growth has accelerated steadily throughout
growing liberalisation has led to greater competition among the the 2019 calendar year. This trend was supported by private con-
natural gas suppliers active in Croatia. The consolidation and sumption and investments as well as a recent increase in foreign
takeover processes that have taken hold in the natural gas sector trade. Current expectations indicate that the sound demand for
lead to expectations of a further increase in competition. exports will remain a positive factor. Growth prospects were rein-
forced by a stronger competitive position and declining unemploy-
ment with an accompanying increase in wages. These develop-
ments were also responsible for an upgrade by Moody’s, which
General business environment raised the outlook for the Bulgarian state from stable to positive
and confirmed the country’s Baa2 rating. The favourable climate is
The global economy has recently shown signs of weakness, and expected to provide fertile ground for continued economic
the industrial sector, specifically, is experiencing a downturn. The growth – after 3.1% in 2018 – of 3.0% to 3.6% in 2019 and 2.5%
lingering trade conflict between the USA and China as well as the to 3.0% in 2020.
uncertainty surrounding the Brexit have slowed the demand for
investments and, in turn, triggered a reduction in industrial pro- The forecasts for economic development in Croatia are similarly
duction and trade across the globe. However, there are no signs of positive. Domestic demand remains the major driver for growth
a worldwide recession at the present time: financing conditions but, for the first time in years, investments made a stronger contri-
remain favourable due to loose monetary policies; fiscal policy has, bution than private consumption. There has been an increase,
in some cases, served as a stimulus for growth; and consumer above all, in public infrastructure investments, while tourism con-
demand is continuing to grow substantially in many countries. In tinues to show solid development. In contrast, exports recently
this environment, the European Union’s economic research insti- slowed in reaction to the increasingly challenging global environ-
tutes are expecting a decline in GDP growth from 2.1% in 2018 to ment. GDP growth is expected to range from 2.8% to 3.0%
1.4% in 2019 and 2020. in 2019 and from 2.5% to 2.7% in 2020.
The unfavourable international environment has caused the Austrian Following an agreement in the decades-long dispute with Greece,
economy to cool significantly, and the export sector, in particular, the name of the Former Yugoslav Republic of Macedonia was
has lost substantial momentum. Additional downward risks for the officially changed to the Republic of North Macedonia in Febru-
domestic economy can be found in the uncertainties connected ary 2019. This step represents an important milestone for the
with economic policy and the potential spread of the slowdown in country on its way towards EU and NATO membership. The North
growth to the service sector. Conversely, the continuation of low- Macedonian economy overcame the stagnation recorded in 2017
cost financing conditions and positive trends on the labour market with GDP growth of 2.7% in 2018. Positive impulses were created,
as well as fiscal impulses and strong consumer demand are driving above all, by the flourishing export sector and private
GDP growth % 2020f 2019e 2018 2017 2016

EU-28 1) 2) 1.4 1.4 2.1 2.7 2.0
Austria 2) 3) 1.3 – 1.4 1.5 – 1.7 2.4 2.5 2.0
Bulgaria1) 2) 4) 5) 2.5 – 3.0 3.0 – 3.6 3.1 3.8 3.9
Croatia1) 2) 4) 6) 2.5 – 2.7 2.8 – 3.0 2.6 2.9 3.5
North Macedonia5) 6) 3.2 – 3.4 2.9 – 3.2 2.7 0.2 2.8
1) Source: “European Economic Forecast, Autumn 2019“, EU-Commission, November 2019
2) Source: “Prognose der österreichischen Wirtschaft 2019 – 2020“, IHS, October 2019
3) Source: “Prognose für 2019 und 2020: Abschwächung der Konjunktur, aber keine Rezession“, WIFO, October 2019
4) Source: “Strategie Österreich & CEE 4. Quartal 2019“, Raiffeisen Research, September 2019
5) Source: “Global Economic Prospects“, World Bank, June 2019
6) Source: “World Economic Outlook“, International Monetary Fund, October 2019
106
Management report — Energy policy environment, General business environment, Energy sector environment
consumption, which benefited from measures that included an for energy during the mild winter half-year, but the heating
increase in the minimum wage and higher employment. Structural degree total – which defines the temperature-related demand for
reforms and the stable banking sector will also provide long-lasting energy – was 3.0 percentage points below the long-term aver-
incentives for investment. Investors‘ confidence has at the same age and 4.8 percentage points lower than the prior year. Bulgaria
time been substantially improved by the stabilisation of the politi- and North Macedonia also experienced another unusually mild
cal situation. The forecasts for economic growth in North Macedonia weather period, but the heating degree totals in these two coun-
range from 2.9% to 3.2% in 2019 and 3.2% to 3.4% in 2020. tries were slightly higher than the previous year with a plus of
0.6 percentage points and 1.3 percentage points, respectively.
The cooling-related demand for energy, in contrast, differed by

Energy sector environment national market: the cooling degree total was 1.2 percentage
points below the previous year in Austria, but 1.8 percentage
External factors have a significant influence on the development of points and 35.6 percentage points, respectively, higher than the
Management report
the energy business. The weather plays a key role in the demand previous year in Bulgaria und North Macedonia.
for electricity, natural gas and heat by household customers, while
the general business environment represents a main driver for the The average EEX price for natural gas declined further from a very
energy requirements of industrial customers. low level in 2018/19, falling by 20.9% year-on-year to EUR 17.1
per MWh. Well-filled storage facilities and high imports of liquid
Temperatures in EVN’s three core markets were above the long- natural gas to Europe were the main reasons for this development.
term level during the 2018 /19 financial year. In Austria, the Average hard coal prices were 19.5% lower at EUR 62.6 per
cooler weather in May 2019 partly offset the reduced demand tonne, not only as a result of the weakening economy but also
Energy sector environment –

indicators 2018/19 2017/18
Heating-related energy demand1) %
Austria 97.0 101.8

Bulgaria 93.9 93.3
North Macedonia 96.9 95.6
Cooling-related energy demand1) %
Austria 104.0 105.2

Bulgaria 105.0 103.2
Primary energy and CO2 emission certificates
Crude oil – Brent EUR /bbl 58.6 58.3
Natural gas – GIMP 2) EUR /MWh 17.1 21.6
Hard coal – API#2 3) EUR/t 62.6 77.7
CO2 emission certificates EUR/t 23.3 12.6
Electricity – EEX forward market 4)
Base load EUR /MWh 45.7 34.1
Peak load EUR /MWh 55.6 42.2
Electricity – EPEX spot market 5)
Base load EUR /MWh 45.5 39.2
Peak load EUR /MWh 52.4 47.5
1) Calculated based on the heating degree total respectively cooling degree total; The basis (100%) corresponds to the adjusted long-term average for the respective countries.
2) Net Connect Germany (NCG) – EEX (European Energy Exchange) stock exchange price for natural gas
3) ARA notation (Amsterdam, Rotterdam, Antwerp)
4) Average prices for the respective EEX quarterly forward market prices, beginning one year before the respective reporting period
5) EPEX spot – European Power Exchange

due to a particularly sharp rise of 84.5% in the price of CO2 emis- Business development
sion certificates during 2018/19. In addition to the reduction in
the supply of emission certificates caused by an artificial shortage, The scope of consolidation and changes in comparison with the
the higher price was also based on stronger demand by industrial previous year are explained in the consolidated notes.
customers. Another determining factor was the decision by the
European Parliament in February 2018 in favour of an even Also see page 151f
stronger reduction in emission certificates beginning in 2021.
The market prices for base load and peak load electricity also Statement of operations
increased during the 2018/19 financial year: average forward prices
rose by 34.1% year-on-year to EUR 45.7 per MWh for base load Highlights 2018 /19
electricity and by 31.8% to EUR 55.6 per MWh for peak load elec-
tricity. The increase in average spot market prices was more moder- • Group net result above previous year due to non-cash,
ate but still considerably higher than the prior year, with a plus of non-recurring effects
15.9% to EUR 45.5 per MWh for base load electricity and 10.2% – Lower market interest rates and higher electricity prices
to EUR 52.4 per MWh for peak load electricity. This upward trend required revaluations of previously impaired renewable
also reflected the rising price of CO2 emission certificates. In Aus- generation assets, electricity procurement rights, district
tria, the separation of the common Austrian-German price zone as heating assets and customer bases (in Bulgaria and North
of 1 October 2018 led to an increase in the electricity price com- Macedonia)
pared with Germany. A calculation by the Austrian Energy Agency • Sound earnings contribution from wind power
showed that wholesale electricity prices in Austria were EUR 3.40 • Earnings development negatively influenced, as expected,
per MWh on average higher than in Germany during the first by higher wholesale prices, loss of network stabilisation con-
twelve months after the separation. These price differences were tracts for southern Germany and price and volume effects in
characterised by strong seasonal fluctuation and were substantially the Networks Segment
higher during the winter half-year than in the summer months.
Revenue by region1) EBITDA by region

EURm EURm
721.6
175.1
671.8
109.0 631.7 South East
2,215.6 2,204.0 South East 135.8 Europe
956.3 2,078.71) 908.0 Europe
901.4 577.1 554.0
481.2 Austria
1,169.4 1,225.2 Austria

1,120.0 1)
Central Central
and Eastern and Eastern
89.9 57.3 70.7 Europe 8.8 14.6 Europe
–30.6
2016/17 2017/18 2018/19 2017/18 2018/19
2016/17
1) Previous year’s figures were adjusted – see the consolidated notes,

note 2. Reporting in accordance with IFRS, Changes in the presentation of
the consolidated financial statements and adjustment of prior year data
108
Management report — Energy sector environment, Business development
External revenue by segment EBIT by segment

EURm EURm
2017/18 2017/18
2018/19 2018/19
463.0 1) 57.4
Energy 569.4 Energy –97.2
71.4 1) 78.4
Generation 132.0 Generation 218.4
Management report
489.6 142.6
Networks 470.8 Networks 82.9
902.0 40.2
South East Europe 909.9 South East Europe 95.9
137.7 1) 9.3
Environment 104.7 Environment 15.2
15.0 39.3
All Other All Other
Segments 18.4 Segments 32.4
1) The comparative information was adjusted – see the consolidated notes,

note 2. Reporting in accordance with IFRS, Changes in the presentation of
the consolidated financial statements and adjustment of prior year data
Results of operations Positive changes in inventories – especially in the international

Revenue recorded by the EVN Group rose by 6.0% year-on-year to project business – supported an increase of 19.1% in other operat-
EUR 2.2bn in 2018/19. This increase was supported, above all, by ing income to EUR 117.8m.
the substantial growth in renewable generation, positive impulses
from heat supplies and valuation effects from hedges for electricity The cost of electricity purchases from third parties and primary
production. Positive revenue development in South East Europe was energy expenses rose by EUR 120.0m. It reflected the increased
contrasted by a changed, but earnings-neutral calculation for the expenses which resulted from the higher valuation of hedges for
so-called “green electricity mark-up” in Bulgaria (also see the com- primary energy carriers and CO2 emission certificates as well as
ments on the South East Europe Segment). Lower revenue was also higher upstream network costs. The above-mentioned change in
recorded from thermal generation and the Networks Segment. the calculation of the “green electricity mark-up” in Bulgaria,
among others, was responsible for a reduction and, consequently,
The revenue generated by EVN outside Austria amounted to a contrary effect.
EUR 978.7m (previous year: EUR 958.8m). This represents a decline
in the share of Group revenue from 46.1% in the previous year to The cost of materials and services increased by 1.9% year-on-year
44.4% in 2018 /19. to EUR 280.3m.

Condensed consolidated statement of operations 2018/19 2017/18 +/– 2016 /17
EURm EURm Nominal % EURm
Revenue1) 2,204.0 2,078.7 125.3 6.0 2,215.6

Other operating income1) 117.8 98.9 18.9 19.1 101.9
Electricity purchases and primary energy expenses –1,081.3 –961.3 –120.0 –12.5 –989.0
Cost of materials and services –280.3 –275.1 –5.2 –1.9 –313.7
Personnel expenses –338.7 –321.7 –17.0 –5.3 –316.8
Other operating expenses –120.2 –135.7 15.5 11.4 –139.0
Share of results from equity accounted
investees with operational nature 130.5 188.0 –57.6 –30.6 162.6
EBITDA 631.7 671.8 –40.2 –6.0 721.6
Depreciation and amortisation –269.8 –258.3 –11.5 –4.5 –262.3
Effects from impairment tests 41.6 –20.6 62.2 – –112.5
Results from operating activities (EBIT) 403.5 392.9 10.6 2.7 346.9
Financial results –29.9 –37.2 7.3 19.5 –21.4
Result before income tax 373.5 355.7 17.8 5.0 325.5
Income tax –46.7 –76.1 29.4 38.7 –53.9
Result for the period 326.9 279.6 47.3 16.9 271.5
thereof result attributable to EVN AG shareholders (Group net result) 302.4 254.6 47.8 18.8 251.0
thereof result attributable to non-controlling interests 24.5 25.0 –0.6 –2.3 20.5
Earnings per share in EUR 2) 1.70 1.43 0.3 18.7 1.41
2) There is no difference between basic and diluted earnings per share.
The annual salary and wage adjustments required by collective Based on these developments, EBIDTA declined by 6.0% year-on-
agreements and a higher average number of employees led to year to EUR 631.7m. Scheduled depreciation and amortisation
an increase of 5.3% in personnel expenses to EUR 338.7m. rose by 4.5% to EUR 269.8m consistent with the high level of
The EVN Group had an average workforce of 6,908 in 2018/19 investments, but impairment testing – as reported in an ad-hoc
(previous year: 6,831 employees). announcement on 21 October 2019 – led to positive revaluations
and related non-recurring effects. These revaluations reflected the
Other operating expenses were 11.4% lower at EUR 120.2m, general decline in market interest rates as well as expectations of
among other factors due to a reduction in receivables write-offs in an increase in electricity prices and were related primarily to previ-
South East Europe. ously impaired renewable generation assets, electricity procure-
ment rights and district heating assets and to customer bases (in
The share of results from equity accounted investees with opera- Bulgaria und North Macedonia). The results of impairment testing
tional nature was influenced by contrary developments and fell by were responsible for a positive effect of EUR 41.6m: included here
30.6% year-on-year to EUR 130.5m. Weaker business development are the above-mentioned revaluations as well as an impairment
at EVN KG due to higher procurement costs and negative effects loss to the proportionate investment held by EVN in the Walsum
from the valuation of hedges as of 30 September 2019 combined 10 power plant (EUR 13.0m) and to other thermal generation
with a lower earnings contribution from RAG led to a reduction. assets. EBIT for the 2018/19 financial year therefore rose by a total
Positive contrasting factors included the higher earnings contribu- of 2.7% to EUR 403.5m.
tion from Verbund Innkraftwerke GmbH, which was supported by
an improvement in the operating business, and a revaluation of Financial results improved by 19.5% to EUR –29.9m, in particular
the investment (EUR 92.2m) to reflect the decline in market interest due to an increase in the value of the R 138 fund and to improved
rates and expectations of an increase in electricity prices. results from other investments.
110
Management report — Business development
The result before income tax rose by 5.0% year-on-year to higher investments and revaluations during the reporting year.
EUR 373.5m. After the deduction of EUR 46.7m in income tax The revaluations were based on the decline in market interest rates
expense (previous year: EUR 76.1m) and the earnings attributable as well as expectations of higher electricity prices and were related
to non-controlling interests, Group net result for the 2018/19 primarily to previously impaired renewable generation assets,
financial year equalled EUR 302.4m (previous year: EUR 254.6m). electricity purchase rights and district heating assets and to the
customer bases in Bulgaria und North Macedonia.
Statement of financial position
Asset and financial position A decline was recorded in the investments in equity-accounted
EVN’s balance sheet total rose by 4.6% over the level on 30 Sep- investees because the negative earnings contribution from EVN KG
tember 2018 to EUR 8,188.6m as of 30 September 2019. and its lower distribution for 2017/18 were only offset in part by
a higher earnings contribution from Verbund Innkraftwerke GmbH.
This increase was based primarily on the development of non- Other non-current assets were also lower than on 30 Septem-
current assets, which rose by 6.5% to EUR 7,330.9m, and resulted ber 2018. This reduction was caused primarily by a lower balance
Management report
chiefly from the substantially higher price of the Verbund share on of non-current securities in the R 138 fund, a decline in receivables
the balance sheet date (EUR 50.20 as of 30 September 2019 from derivative transactions (to reflect the increase in wholesale
versus EUR 42.42 as of 30 September 2018). Intangible assets and prices and the resulting lower valuation of energy derivatives) and
property, plant and equipment also increased as the result of the reclassification of inventories to current assets.
Condensed consolidated statement of 30.09.2019 30.09.2018 +/– 30.09.2017

financial position EURm EURm Nominal % EURm
Assets
Non-current assets
Intangible assets and property, plant and equipment 3,798.0 3,620.8 177.2 4.9 3,560.6
Investments in equity accounted investees and other investments 3,297.5 2,939.9 357.6 12.2 1,873.8
Other non-current assets 235.4 321.2 –85.8 –26.7 289.5
7,330.9 6,881.9 449.0 6.5 5,723.8
Current assets 857.7 949.1 –91.5 –9.6 731.0
Non-current assets held for sale – – – – –
Total assets 8,188.6 7,831.1 357.5 4.6 6,454.9
Equity and liabilities

Equity
Issued capital and reserves attributable to shareholders of EVN AG 4,295.6 3,832.8 462.9 12.1 2,892.1
Non-controlling interests 256.5 259.9 –3.4 –1.3 258.0
4,552.1 4,092.6 459.4 11.2 3,150.1
Non-current liabilities
Non-current loans and borrowings 990.0 1,040.5 –50.4 –4.8 1,125.4
Deferred tax liabilities and non-current provisions 1,081.2 951.8 129.5 13.6 624.4
Deferred income from network subsidies and
other non-current liabilities 661.9 678.0 –16.1 –2.4 642.4
2,733.2 2,670.3 62.9 2.4 2,392.2
Current liabilities
Current loans and borrowings 68.8 89.1 –20.3 –22.8 50.5
Other current liabilities 834.6 979.1 –144.5 –14.8 862.1
903.3 1,068.1 –164.8 –15.4 912.6
Total equity and liabilities 8,188.6 7,831.1 357.5 4.6 6,454.9

Current assets declined by 9.6% to EUR 857.7m, primarily due to Balance sheet structure
the lower valuation of receivables and investments in cash funds as %
of 30 September 2019. In contrast, inventories increased as the
Current Current
result of a rise of customer contracts which were not yet invoiced assets 12.1 13.6 10.5 11.0 liabilities
and the higher balance of raw materials and supplies which fol- Non-current Non-current
lowed the above-mentioned reclassification. assets 87.9 89.5 33.4 liabilities
34.1
EVN’s equity increased by 11.2% year-on-year to EUR 4,552.1m as

of 30 September 2019. This development was supported by the
Group net result for 2018/19 and, above all, by positive effects 55.6 Equity
52.3
from valuations recorded directly in equity (especially the increase
in the Verbund share price). The equity ratio equalled 55.6% as of
30 September 2019 (30 September 2018: 52.3%).
Non-current liabilities rose by 2.4% to EUR 2,733.2m as of 30 Sep-

tember 2019, despite declines under individual components of this
position. Non-current tax liabilities were increased by the higher
market price of the Verbund share; non-current employee-related 30.09.2018 30.09.2019
provisions rose following the application of a lower discount rate;

and a higher balance of network subsidies was recorded. These
items were contrasted by a reduction which resulted from the
reclassification of financial liabilities from non-current to current Value analysis
and a decline in non-current liabilities from derivative transactions. The weighted average cost of capital (WACC) after tax – including
EVN’s specific company and country risks – was set at 6.25%
Current liabilities fell by 15.4% to EUR 903.3m, chiefly due to for the purpose of corporate management. The operating return
declines in the amounts payable to equity accounted investees, on capital employed (OpROCE) amounted to 5.2% for the
trade payables, current liabilities from derivative transactions and reporting year (previous year: 7.7%). The economic value added
current financial liabilities. Higher current tax liabilities repre- (EVA®) generated in 2018/19 totalled EUR –42.1m (previous
sented a contrary factor. year: EUR 58.9m).
Value analysis +/–

2018/19 2017/18 % 2016/17
Average equity EURm 4,322.4 3,621.4 19.4 2,960.4
WACC after income tax 1) 2) % 6.3 6.3 – 6.3
Operating ROCE (OpROCE) 1) 3) % 5.2 7.7 –2.5 10.2
Average capital employed 3) EURm 4,135.4 4,094.2 1.0 4,173.5
Net operating profit after tax (NOPAT) 3) EURm 216.3 314.8 –31.3 425.7
EVA® EURm –42.1 58.9 – 164.8
2) The WACC given (exact value: 6.25%) is used for the purpose of corporate management.
3) Adjusted for impairment losses and one-off effects; The market value of the investment in Verbund AG
is not included in capital employed in order to consistently determine the value contribution.
112
Capital structure indicators 30.09.2019 30.09.2018 +/– 30.09.2017

Non-current loans and borrowings 990.0 1,040.5 –50.4 –4.8 1,125.4

Current loans and borrowings 1) 68.4 89.1 –20.6 –23.2 49.2
Cash and cash equivalents –246.2 –214.5 –31.7 –14.8 –221.8
Non-current and current securities –187.2 –274.8 87.6 31.9 –59.0
Non-current and current loans receivable –36.8 –42.2 5.4 12.8 –43.9
Financial net debt 592.0 598.0 –5.9 –1.0 849.9
Net debt 999.5 963.7 35.8 3.7 1,213.2
Equity 4,552.1 4,092.6 459.4 11.2 3,150.1
Gearing (%) 2) 22.0 23.5 – –1.5 38.5
1) Excl. bank overdrafts contained in cash and cash equivalents
Management report
Liquidity position Net debt and gearing
EVN has steadily reduced its net debt in recent years. Net debt EURm and %
now approximates EUR 1bn – with fluctuations as of the respective

1,213.2
balance sheet dates (net debt including non-current employee-
related provisions as of 30 September 2019: EUR 999.5m). This 963.7 999.5 Net debt
basis and the renewed growth in equity, which was also supported
by the higher price of the Verbund share, led to a further decrease
38.5%
in the gearing ratio from 23.5% to 22.0%. 23.5%
22.0% Gearing
In order to safeguard its financial flexibility, the EVN Group holds a

30.09.2017 30.09.2018 30.09.2019
syndicated credit line of EUR 400.0m as well as contractually
agreed bilateral credit commitments of approximately EUR 92.0m.
These bilateral commitments were not drawn as of 30 Septem- For additional information on the composition and terms of
ber 2019 and were therefore available in full. The syndicated credit non-current financial liabilities, see page 185f
line is seen as a strategic liquidity reserve: the one-year extension
option included in the contract was exercised in May 2019, and
the contract will now end in May 2024 (instead of May 2023). The
remaining terms of the bilateral credit lines concluded with seven Cash flow from investing activities totalled EUR –207.1m (previous
banks range up to three years. These solid liquidity reserves under- year: EUR –457.1m). This change was primarily attributable to
score the EVN Group’s financial stability and flexibility. investments in cash funds and securities in the R 138 fund: an
increase in the previous year was followed by a reduction in 2018/19.
Statement of cash flows Net investments in property, plant and equipment and intangible
Gross cash flow declined by 1.8% to EUR 550.5m in 2018/19. assets – which were concentrated on the network infrastructure,
Positive factors included the result before income tax and a lower wind power and drinking water supplies – were, however, higher
balance of non-cash earnings from equity accounted investees, than the previous year.
while opposite effects resulted from impairment tests and the
related reduction of amortisation and depreciation. Cash flow from financing activities totalled EUR –191.0m (previous
year: EUR –153.5m). This amount includes the dividend payment for
Cash flow from operating activities amounted to EUR 429.7m the 2017/18 financial year to the shareholders of EVN AG and to
(previous year: EUR 603.5m) and was negatively influenced by the non-controlling interests as well as the scheduled repayment of
development of working capital as of 30 September 2019. financial liabilities.

In total, cash flow amounted to EUR 31.5m in 2018/19, and cash In the Generation Segment investments were also higher than the
and cash equivalents equalled EUR 246.2m as of 30 Septem- previous year and reflected the ongoing expansion of wind power
ber 2019. The EVN Group also had contractually agreed, undrawn capacity in Lower Austria. Five new wind parks were completed
credit lines of approximately EUR 492.0m at its disposal to service and commissioned during 2018/19: Gänserndorf West (which was
potential short-term financing requirements. fully renovated as part of a repowering and upgraded to meet the
latest technical standards), Au am Leithaberge, Obersiebenbrunn,
Investments Markgrafneusiedl and Glinzendorf. EVN’s wind power capacity
Capital expenditure was 9.8% higher year-on year at EUR 391.4m in totalled 367 MW as of 30 September 2019 (30 September 2018:
2018/19. In line with its strategy, EVN’s investments focused on the 318 MW), which means the interim goal for the targeted expan-
electricity and gas networks, renewable generation, natural heat sion to 500 MW was met ahead of schedule.
and drinking water in Lower Austria.
Investments in the network infrastructure for Lower Austria
The higher investments in the Energy Segment compared to the increased substantially during 2018/19 – they represent a central
previous year included, among others, the further expansion of the element of EVN’s corporate strategy and make an important
district heating networks in the communities surrounding Vienna contribution to ensuring reliable supply security and quality. Major
and the construction of cross-regional district heating connector projects during the reporting year included, among others, the
lines in the thermal-spring region and in the central Schwarza Valley. upgrading of the Gerstl and Wilhelmsburg transformer stations
Condensed consolidated statement of cash flows 2018/19 2017/18 +/– 2016/17


Non-cash items 176.9 204.6 –27.7 –13.5 246.8
Gross cash flow 550.5 560.3 –9.8 –1.8 572.3
Changes in current and non-current balance sheet items –114.2 45.2 –159.4 – –52.8
Income tax paid –6.6 –2.0 –4.6 – –10.5
Net cash flow from operating activities 429.7 603.5 –173.9 –28.8 508.9
Changes in intangible assets and property, plant and
equipment incl. deferred income from network subsidies –321.8 –262.3 –59.6 –22.7 –144.5
Changes in financial assets and other non-current assets 65.4 –54.3 119.7 – –1.0
Changes in current securities 49.3 –140.6 189.9 – 74.9
Net cash flow from investing activities –207.1 –457.1 250.0 54.7 –70.6
Net cash flow from financing activities –191.0 –153.5 –37.5 –24.4 –439.9
Net change in cash and cash equivalents 31.5 –7.1 38.7 – –1.6
Cash and cash equivalents at the beginning of the period 214.5 221.8 –7.3 –3.3 223.5
Currency translation differences on cash and cash equivalents 0.2 –0.1 0.3 – –0.1
Cash and cash equivalents at the end of the period 246.2 214.5 31.7 14.8 221.8
114
Investment priorities1) 2018/19 2017/18 +/– 2016/17

Energy 25.6 19.2 6.4 33.3 20.0

Generation 62.2 54.6 7.6 13.9 24.6
thereof renewable energy Lower Austria 51.7 43.3 8.4 19.3 13.7
thereof thermal power plants 10.5 11.1 –0.6 –5.1 10.3
Networks 201.7 171.6 30.1 17.6 153.3
thereof electricity networks 134.6 108.6 26.0 23.9 101.8
thereof natural gas networks 43.7 40.6 3.1 7.6 35.8
thereof cable TV and telecommunications networks 23.4 22.3 1.1 5.0 15.7
South East Europe 81.1 86.4 –5.2 –6.1 92.0
Environment 17.4 20.7 –3.3 –16.0 11.5
thereof cross-regional supply pipelines and local networks
Management report
for drinking water 14.8 17.3 –2.4 –14.1 8.3
All Other Segments 3.5 4.0 –0.5 –12.5 2.3
Total 391.4 356.4 35.1 9.8 303.8
1) After consolidation
GRI indicator: 203-1
Structure of investments and the expansion of the Bisamberg transformer station. Other
%, total in EURm
completed projects involved the replacement of a 110-kV power
line between Gresten and Pottenbrunn with a length of nearly
50 km and the construction of a new transformer station with
303.8 356.4 391.4 110-kV power line connections in Wöllersdorf.
0.7 1.1 1.0 All Other Segments
3.8 5.8 4.4 Environment
30.3 24.2 20.7 South East Europe
EVN’s investments in the South East Europe Segment were gener-
ally stable year-on-year and chiefly directed to new connections,
6.5 Energy the replacement of meters and the expansion of the distribution
6.6
5.4 51.5 Networks networks to support supply security.
48.2
50.5
In line with EVN’s strategic orientation, investments in the
Environment Segment are concentrated on improving the security
and quality of drinking water supplies in Lower Austria. Projects
focused on the construction of new transport pipelines in the
region surrounding Vienna, where the population has grown
15.3 15.9 Generation
substantially in recent years. The new natural filter plant on the
Wienerherberg well field advanced from trial to routine operations
8.1
in 2018 /19 and now supplies 18 communities with high-quality
2016/17 2017/18 2018/19 drinking water. The ground-breaking ceremony for another plant
of this type, which will reduce the hardness of the water by natu-
ral means, took place in Petronell. As of 30 September 2019,
investments in the Environment Segment were slightly lower than
the previous year.

Innovation, research and development is currently the responsibility of large power plants and must
be provided by other means in the future after these plants
The areas of activity in the EVN materiality matrix also define the are deactivated. The most important benefit for end custom-
framework for our innovation, research and development activi- ers is the technology connected with these large storage
ties. Our projects are focused primarily on safeguarding supply batteries, which can make a key contribution to stable elec-
security, protecting the environment and resources, and strength- tricity supplies in the future as the share of electricity
ening the company’s competitive position. In 2018/19 we spent generated from renewable energies rises and replaces large-
EUR 1.2m (of which 8.1% was financed through public subsidies; scale power plants.
previous year: EUR 3.4m) on innovation, research and develop-
ment projects. In addition to the operation of a blockchain proto- • Technologies to stabilise the distribution network:
type, activities were directed to the testing and implementation of The growing number of decentralised generation plants and
technological solutions to further strengthen supply security. the increasing penetration of the energy system by e-mobility
Included here, among others, are the following: and heat pumps can lead to a violation of the allowed voltage
limits in the low-voltage grid. In addition to the conventional
• Battery storage project at the Prottes wind park: The solution in the form of further grid expansion, compliance
advantage of this new battery, which has been used in test with these limits can also be achieved, in part, through the
operations, lies in its reaction capabilities in the millisecond implementation of innovative technologies. Several pilot tests
range, which allow for significantly faster reaction to grid were carried out, and the resulting grid data was recorded.
load changes. For example, this type of storage makes it pos- The analysis included testing the combination of a tap-change
sible to stabilise grid frequency and offset voltage fluctua- low voltage transformer (RONT) with the intelligent distribu-
tions. The battery’s functions were tested together with the tion network management system iNES as well as the use of a
project partners, and its basic applicability for different grid linear voltage regulator – a further technology to stabilise the
stabilisation purposes – e. g. voltage stability, blind current low-voltage grid. In particular, communications with our
compensation, phase compensation, frequency stabilisation decentralised metering points and the effects on grid stability
and virtual flywheel mass operations – were demonstrated. were examined and evaluated.
Short-circuit tests were also carried out at the 30 kV and
110 kV voltage levels and provided interesting and valuable • joulie optimisation assistant: EVN’s joulie makes it possi-
information on the reaction of grid-integrated storage facili- ble for private customers to plan and optimise their individual,
ties to such conditions. A black start and isolated operation decentralised electricity generation (photovoltaic equipment,
test was also conducted. For this purpose a blackout was battery, heat pump, warm water and e-mobility) online and
simulated, and a local grid with battery storage and wind also make money on the energy trading market. Their equip-
turbines from the neighbouring Prottes /Ollersdorf wind park ment becomes part of a virtual power plant and thereby
was configurated. The battery storage successfully supplied makes an active contribution to the energy transition. EVN’s
the electricity required to restart the wind park equipment. real-time power plant optimisation system for energy trading
The start of operations was followed by the storage of the (EZISSE) automatically creates an immediate link with the
generated electricity in the large battery. These activities con- virtual power plant through the joulie optimisation assistant
firmed the general suitability of the battery for decentralised which is installed in the customer’s equipment. Customers
grid restoration. have full control over their systems at all times via app or web
portal as well as a real-time overview of all key equipment
Continuous operation tests were carried out up to August 2019 data, components and energy flows (generation, consump-
in cooperation with TU Wien and the Austrian Institute of tion, battery charge level, grid feed-in, self-supply level).
Technology (AIT). They involved the combination of multiple
battery storage functions as a means of significantly increasing This innovative EVN development makes a valuable contribution to
operational performance capability and flexibility. This new meeting global sustainability targets:
multimodal operating procedure will also support cost savings – Affordable and clean energy: joulie gives end customers
in the future. One innovative feature is the provision of an easy access to reliable, sustainable and up-to-date energy
instantaneous reserve (virtual flywheel mass operations), which supplies.
116
Management report — Innovation, research and development
– Climate protection: joulie makes renewable energy systems work in the form of voltage fluctuations and peak loads. In
scalable and, in this way, also makes an important contribu- order to also guarantee optimal supply security for its custom-
tion to the fight against climate change. ers in the future and, at the same time, proactively support
– Sustainable cities and communities and sustainable rural the expansion of renewable generation and e-mobility, EVN
living: Support for regional added value through cooperation launched the E-Mobility Echsenbach cooperation project as a
with regional partners for installation. follow-up field trial in 2018/19. Netz Niederösterreich GmbH
and the entire EVN Group are pursuing the smooth integra-
joulie received numerous awards during the 2018/19 financial year: tion of renewable generation, e-mobility and heat pumps
– First place at the Green and Blue Building Awards with the continuous protection of supply security for custom-
– Nomination for the ICEBERG Innovation Leadership Award ers in agreement with the goals of #mission2030.
– Nominee in the State Prize for Innovation within the context
of the Lower Austrian Innovation Prize The core points of this research project involved extensive
– Top-three placement in the ranking for the VERENA Prize at measurements and analyses which covered the participating
Management report
the State Prize for Innovation customers as well as the low-voltage network in Echsenbach.
24 households in an estate composed of detached houses
• All-electricity project E-Mobility Echsenbach: EVN con- received e-cars to test a scenario in which conventional drive
ducted a first relevant field test in Seitenstetten during the mobility was replaced by e-mobility. The new “P(U)-Regelung“
past year to analyse and document the effects of the simulta- concept was also successfully tested for the first time within
neous charging of numerous e-cars or the parallel feed-in the framework of this project: it reduces the charging capacity
from multiple photovoltaic equipment on network stability. for e-cars when the voltage declines and, therefore, protects
The test demonstrated that increased individual generation the network from potential breakdowns.
with simultaneous feed-in leaves traces in the distribution net-
Work on the E-Mobility Echsenbach project was conducted
together with the contributing partners, who were involved
from the planning stage, on to implementation in the form of
Expenditures for innovation, research and field tests, up to the final phase. These activities were accom-
development projects and share of subsidies 1) panied by the technical experts at TU Wien and the Austrian
EURm and % Institute of Technology (AIT) in order to draw definite conclu-
sions from the collected data and derive suitable measures
3.4 through a dialogue that also included the participating cus-
tomers. The information gained from this project will now
flow into the further network expansion. It is intended to sup-
2.6
port the best possible integration of fluctuating renewable
generation and help to establish the wide-ranging use of
e-mobility. The findings and measurement results can also be
used to develop new regulatory standards and norms. The
E-Mobility Echsenbach project represents an important mile-
1.2 stone for further innovation projects related to electricity in
the context of the energy transformation.
8.1% People always form the focal points for the development and
5.9% 0.0%
realisation of innovation projects at EVN. Our design-thinking pro-
2016/17 2017/18 2018/19 cess therefore combines technological feasibility, economic mar-
Share of subsidies ketability and attractiveness for people and evaluates these fac-
Expenditures for innovation, research and development projects tors together. A cooperative approach is an important part of this
1) Share of subsidies in total expenditure for innovation, research and work: the Executive Board and mid-level management are key
development projects partners in the innovation process and the most important men-

tors and supporters for the implementation of innovative solu- Risk management
tions. But this process operates in two directions by unifying the
top-down inputs from the management level with the bottom- Definition of risk
up solution approaches supplied by employees. The staff depart- The EVN Group defines risk as the potential deviation from
ment for innovation, sustainability and environmental protection, planned corporate targets and objectives.
which represents the anchor for innovation management in the
EVN Group, regularly collects inputs on specific areas of action Risk management process
from the management level and, at the same time, through vari- The primary goal of risk management is to protect current and
ous innovation instruments, makes it possible for employees to future earnings and cash flows through the active identification
actively participate in the innovation process and contribute to and control of risk. As part of this process, a centrally organised
the company’s development. The so-called “innovation chal- corporate risk management department provides the decentralised
lenge”, for example, gives EVN’s trainees an opportunity to deal risk managers with effective methods and tools for identifying and
with subjects related to customer service, digitalisation and digital assessing risks. The responsible business units communicate their
media as part of their work. In small teams, each with an EVN risk exposures to corporate risk management, which defines suit-
coach, they developed exciting new concepts and solutions for able actions to minimise these risks. The necessary actions are then
the energy customers of the future. implemented by the individual business units. The corporate risk
management department is also responsible for analysing EVN’s
risk exposure. The risks related to sustainability, climate and com-
pliance issues are identified annually and managed by specialised
organisational units and/or processes in agreement with central
risk management. EVN’s risk management process includes the fol-
lowing steps:
• Identification: The survey and/or revision of risks based on

the latest risk inventory (review of risk inventory) and the
identification of new risk positions and appropriate risk man-
agement countermeasures
• Assessment and analysis: The qualitative and quantitative

evaluation of the identified risks; the aggregation of risks from
different points of view; and the modelling of earnings and
cash flow distributions
• Reporting: Discussion and evaluation of the risk profile by the

Risk Working Committee and the Group Risk Committee; the
implementation of further risk management measures where
necessary; reporting on risk issues to the Audit Committee
• Process review: Definition of the organisational units that

must submit to an explicit risk assessment; regular reviews to
determine whether the methods used to identify and assess
risks should be modified to reflect changed conditions; rou-
tine reviews by the internal audit department
118
Management report — Innovation, research and development, Risk management
Responsibilities of the Risk Working Committee Sustainability and Diversity Improvement Act to systematically
The Risk Working Committee supports the corporate risk manage- identify potential risks and effects of EVN’s business activities and
ment department in the correct implementation of the risk man- business relations on areas of environmental, social and employ-
agement process. It evaluates and approves changes in risk (assess- ee-related issues, the observance of human rights and the fight
ment) methods and defines the type and scope of risk reporting. against corruption. Their financial impact on the EVN Group was
The voting members of the committee at the corporate level then assessed. The identified risks and their impact were dealt
include the heads of the following corporate functions: controlling, with in accordance with the steps defined by the risk manage-
legal and public affairs, finance, accounting, internal audit and the ment process.
chief compliance officer (CCO) as well as an (internal) energy
industry expert. For information on the most important effects of the Sustainability
and Diversity Improvement Act, see page 21ff
Group Risk Committee and control
The results of the risk inventory and the related reports are pre- Overall risk profile
Management report
sented to and discussed by the Group Risk Committee, which con- In addition to the uncertainties connected with the areas of busi-
sists of the Executive Board of EVN AG, the heads of the organisa- ness and operations outside Austria, EVN continues to be con-
tional units and the members of the Risk Working Committee. The fronted with a challenging environment in its home market of
Group Risk Committee decides on any need for action, can estab- Lower Austria. The annual risk inventory did not identify any future
lish working groups and assign specified tasks, and is authorised to risks that could endanger EVN’s continued existence.
approve the results of the risk inventory (risk reports).
Key features of the internal control and risk management
GRI indicator: GRI 102-30 system related to accounting processes
In accordance with § 267 (3b) and in connection with § 243a (2)
Risk profile of the Austrian Commercial Code, those companies whose shares
In addition to the normal industry risks and uncertainties, EVN’s are admitted for trading on a regulated market are required to dis-
risk profile is influenced primarily by political, legal and regulatory close the key features of their internal control and risk manage-
challenges and changes in the competitive environment. EVN car- ment system for corporate accounting processes in the manage-
ries out an annual risk inventory that is updated as needed through ment report. The Executive Board is responsible for establishing a
ad-hoc risk reports. This inventory includes the following categori- suitable internal control and risk management system (ICS) for
sation of risks: market and competition risks, financial risks, operat- accounting processes as defined in § 82 of the Austrian Stock Cor-
ing risks, external risks, strategic and planning risks and other risks. poration Act. The effectiveness of the ICS must be monitored by
The high priority given to sustainability at EVN is reflected in the the Audit Committee in accordance with § 92 (4a) no. 4b of the
inclusion of sustainability risks as an interdisciplinary issue in all risk Austrian Stock Corporation Act.
categories; these risks are included in our integrated report. The
following table shows the risks classified under the above catego- EVN’s ICS for accounting processes is monitored at regular inter-
ries and the measures designated for their minimisation. vals by auditing the processes that are considered to be exposed
to risk. The results of these monitoring activities are reported to
Expansion of the risk inventory in accordance with the the Executive Board and the Audit Committee. The ICS ensures
Sustainability and Diversity Improvement Act clear lines of responsibility and eliminates unnecessary process
Prior to the enactment of the Sustainability and Diversity Improve- steps, and thereby further improves the security of processes for
ment Act, the potential effects of sustainability aspects on the the preparation of financial statements. The description of the
individual risk categories were also identified and analysed (e. g. major features of the ICS covers five interrelated components:
risks involving supply security, employees or the environment). control environment, risk assessment, control activities, informa-
The risk inventory was expanded during 2017/18 in line with the tion and communication, and monitoring.

EVN’s major risks and related risk management measures
Risk category Description Measure
Market and competition risks

Profit margin risk Energy sales and production: failure to meet profit Procurement strategy tailored to the market
(price and volume effects) margin targets environment; hedging strategies; diversification of
• Procurement and selling prices (esp. for energy customer segments and business areas;
carriers) that are volatile and/or deviate from product portfolio that reflects customer demands;
forecasts longer-term sale of power plant capacity
• Weaker demand (above all due to weather/climate

change, politics, reputation or competition)
• Decline in own generation
• Reduced project volume in the environmental
services business (in particular due to market
saturation, limited resources for infrastructure
projects, non-inclusion in or failure to win tenders)
Supplier risk Cost overruns on planned projects; incomplete Partnerships; contractual controls wherever possible;
performance of contracted services or failure to third party expert opinions
meet contract obligations
Financial risks 1)
Foreign currency risks Transaction risks (foreign exchange losses) and Monitoring; limits; hedging instruments
translation risks on the conversion of foreign currency
amounts in the consolidated financial statements;
financing for Group companies that does not reflect
the respective foreign exchange situation
Liquidity, cash flow and Failure to repay liabilities on schedule or to obtain Long-term, centrally managed financial planning;
financing risk the required liquidity/funds when needed at the safeguarding financing requirements (e. g. through
expected conditions credit lines)
Market price risks Decline in the value of investments (e. g. funds) Monitoring of loss potential via daily value-at-risk
and listed strategic holdings (e. g. Verbund AG, calculations; investment guidelines
Burgenland Holding AG)
Counterparty/credit risks Complete or partial failure of a business partner or Contractual construction; credit monitoring and
(default risks) customer to provide the agreed performance credit limit systems; regular monitoring of customer
behaviour; hedging instruments; insurance;
systematic diversification of business partners
Investment risks Failure of a core subsidiary or holding company to Representation on corporate bodies of the respective
meet profit targets company
Rating changes Higher refinancing costs due to rating downgrades Ensuring compliance with key financial indicators
Interest rate risks Changes in market rates; increase in interest expense; Use of hedging instruments; fixed interest rates in
negative effects of low interest rates on the valuation financing contracts
of assets and provisions and on future tariffs
Impairment risks Recognition of impairment losses to receivables, good- Monitoring via sensitivity analyses
will, investments, generation equipment and other
assets (profitability/value significantly dependent on
electricity and primary energy prices and energy sector
framework conditions)
Guarantee risk Financial loss due to claim of contingent liabilities Limit volume of guarantees as far as possible;
routine monitoring
1) For information on the use of financial instruments, also see page 199f and page 205ff
120
Management report — Risk management
Strategy and planning risks

Technology risk Late identification of and reaction to new technologies Active participation in external research projects;
(delayed investments) or to changes in customer needs; own demonstration facilities and pilot projects;
investments in “wrong” technologies ongoing adjustments to keep technologies at the
latest level
Planning risk Model risks; incorrect or incomplete assumptions; Feasibility studies by experienced, highly qualified
lost opportunities employees; monitoring of parameters and regular
updates; four-eyes principle
Organisational risks Inefficient or ineffective processes and interfaces; Process management; documentation;
duplication internal control system (ICS)
Management report
Operating risks
Infrastructure risks Incorrect design and use of technical facilities Elimination of technical weaknesses; regular
inspections and reviews of current and planned
infrastructure
Service disruptions/network Supply interruptions; physical danger to persons or Technical upgrading at interfaces of the different
breakdowns (own and third party), infrastructure through explosions/accidents networks; expansion and maintenance of network
accidents capacity
IT/security risks (incl. cybersecurity) System losses; data loss or unintended transfer; Strict system and risk monitoring (internal control
hacker attacks system); backup systems; technical maintenance;
external audits; occupational safety and health
measures; crisis training
Workforce risks Loss of highly qualified employees; absence due Attractive work environment; occupational health care
to work accidents; surplus or shortfall of personnel; and safety measures; flexible working time models;
communication problems; cultural barriers; fraud; training; events for employees for the exchange of
intentional or unintentional misrepresentations of information and networking purposes; internal control
transactions or items in the annual financial system (ICS)
statements
External risks
Legislative, regulatory and Change in political and legal parameters and/or the Cooperation with interest groups, associations and
political risks regulatory environment (e. g. environmental laws, government agencies on a regional, national and
changes in the legal framework, shifting subsidy international level; appropriate documentation and
scheme, market liberalisation in South East Europe); service charges
political and economic instability; network operations:
non-inclusion of actual operating costs in the
network tariffs established by regulatory authority
Legal and litigation risks Non-compliance with contracts; litigation risk from Representation in local, regional, national and
various lawsuits; regulatory and supervisory audits EU-wide interest groups; legal consulting
Social and general economic Macroeconomic developments; debt/financial crisis; Best possible utilisation of (anti-)cyclical optimisation
environment stagnating or declining purchasing power; rising potential
unemployment
Contract risks Failure to identify legal, economic or technical Extensive legal due diligence; involvement of external
problems; contract risks under financing agreements experts/legal advisors; contract database and ongoing
monitoring


Other risks
Granting of undue advantages, Distribution of confidential internal information Internal control system; uniform guidelines
non-compliance, data protection to third parties and the granting of undue and standards; Code of Conduct; compliance
incidents advantages/corruption; violation of regulations organisation
for the protection of personal data
Project risk Cost overruns on the construction of new capacity Contractual agreement on economic parameters
Co-investment risk Risks related to the implementation of major projects Contractual safeguards; efficient project
jointly with partners management
Sabotage Sabotage, e. g. to natural gas lines, wastewater Suitable security measures; regular measurement
treatment plants or waste incineration plants of water quality and emissions
Image risk Reputational damage Transparent and proactive communications;
sustainable management
Control environment transfer to the consolidated financial statements. The review of the
The Code of Conduct issued by EVN and the underlying values financial statement data includes analyses at the position, segment
apply to all Group employees. and Group levels, both before and after consolidation. The consoli-
dated financial statements are not released until these quality con-
EVN’s Code of Conduct is available under trols are complete at all levels.
www.evn.at/code-of-conduct
EVN AG and the major domestic and foreign subsidiaries use SAP
The consolidated financial statements are prepared by Group software (FI module, finance and accounting) for their accounting.
accounting. The related processes are based on an accounting The IFRS consolidated financial statements are prepared with the
guideline that defines the accounting policies to be applied as well Hyperion Financial Management software, whereby the data from
as key processes and schedules for the entire Group. Binding the individual financial statements of the consolidated companies
instructions apply to the reconciliation of intragroup accounts and are transferred by means of an interface. The accounting systems
other work required for the preparation of the consolidated finan- and all upstream systems are protected by restricted access as well
cial statements. All employees involved in the accounting process as automated and mandatory manual control steps.
have the necessary qualifications and undergo regular training.
Complex actuarial opinions and valuations are prepared by exter- The ICS for financial reporting and all accounting-related processes
nal experts or specially qualified employees. The managers respon- are reviewed by the auditor at least once each year to verify com-
sible for the specific processes – in general, the heads of the pliance with the required controls, to evaluate any risk incidents
organisational units and corporate services – are responsible for that occurred during the financial year and to determine whether
compliance with these processes and the related control measures. the controls are still suitable to deal with the existing risks. In
2018 /19, a number of process adjustments and improvements
Risk assessment and control activities were made as part of the continuous efforts to further develop
Multi-stage control measures have been implemented to prevent the ICS for financial reporting.
material misstatements in the presentation of transactions in order
to ensure that the individual financial statements of all subsidiaries Information, communication and monitoring
are recorded correctly. These measures include automated controls The Executive Board provides the Supervisory Board with quarterly
that are executed by the consolidation software as well as manual reports on EVN’s asset, financial and earnings position, together
controls by the involved corporate services. These corporate ser- with a statement of financial position and a statement of opera-
vice departments carry out extensive plausibility checks of the indi- tions. The Executive Board and the Audit Committee also receive a
vidual subsidiaries’ financial statements to ensure their correct report on the ICS for financial accounting twice each year, which
122
Management report — Risk management, Consolidated non-financial report, Disclosures (§ 243a Austrian Commercial Code)
contains basic information to evaluate the efficiency and effective- 3. Based on these constitutional requirements, the province of
ness of the ICS and is designed to support the management of the Lower Austria is the major shareholder of EVN AG with a stake
ICS by the responsible corporate bodies. The report is prepared of 51.0%. The second largest shareholder is EnBW Trust e. V.,
by ICS management in cooperation with the ICS Committee based an association headquartered in Karlsruhe, which is recorded in
on information supplied by the managers responsible for ICS, the the register of associations maintained by the district court in
persons who carried out the controls and the auditors. Mannheim under VR 3737. As of 30 September 2019 EnBW
Trust held an investment of 28.6% of the share capital in trust
This information is also distributed to management and key for EnBW Energie Baden-Württemberg AG, which is also head-
personnel in the involved companies to facilitate monitoring and quartered in Karlsruhe and recorded in the commercial register
control activities and thereby ensure the accuracy of accounting of the district court in Mannheim under HRB 107956. As of
and reporting procedures. EVN’s internal audit department carries 30 September 2019, EVN AG held treasury shares representing
out regular reviews of the ICS for financial accounting, and their 1.0% of share capital and free float equalled 19.4%.
findings are also included in the continuous improvement of this
Management report
system. 4. EVN AG has not issued any shares with special control rights.
GRI indicators: GRI 102-31, GRI 102-33 5. Employees who own shares in EVN AG may exercise their vot-
ing rights personally at the Annual General Meeting. EVN AG
does not have a stock option programme.
Consolidated non-financial report 6. The Executive Board consists of at least two members. The
Supervisory Board has a minimum of ten and a maximum of
The consolidated non-financial statement required by the Austrian 15 members. Unless another majority is required by law, the
Sustainability and Diversity Improvement Act was prepared in Annual General Meeting passes its resolutions with a simple
accordance with § 267a of the Austrian Commercial Code and is majority of the votes cast or with a majority of the capital rep-
presented as an independent non-financial report. resented in cases requiring a majority of capital.
See page 1ff 7. There were no authorisations as defined by § 243a (1) no. 7
of the Austrian Commercial Code in effect during the
2018 /19 financial year which entitled the Executive Board, in
particular, to issue or repurchase the company’s shares. How-
Disclosures required by § 243a of the ever, it should be noted that an earlier authorisation issued by
Austrian Commercial Code the Annual General Meeting expired in 2017/18: this authori-
sation entitled the Executive Board to repurchase the compa-
ny‘s bearer shares (i) for distribution to employees of the
1. The share capital of EVN AG totalled EUR 330,000,000 as of company or its subsidiaries and (ii) in accordance with § 65 (1)
30 September 2019 and was divided into 179,878,402 zero par no. 8 of the Austrian Stock Corporation Act (acquisition with
value bearer shares, each of which represents an equal stake no specific purpose) at an amount equalling up to 10% of
in share capital. Shareholders are not entitled to the issue of EVN’s share capital. The possibility of issuing previously repur-
individual share certificates. There is only one class of shares, chased treasury shares to employees remains unaffected by
and all shares carry the same rights and responsibilities. EVN AG this expiration.
shares are traded in the Prime Market segment of the Vienna
Stock Exchange. 8. A change of control in EVN AG in the sense of § 243a (1) no. 8
of the Austrian Commercial Code is currently not possible
2. There are no restrictions on voting rights or agreements limit- because of the legal regulations described above under points
ing the transfer of shares which exceed the general require- 2. and 3. Therefore, there are no possible consequences of a
ments of the Austrian Stock Corporation Act. However, it should change of control.
be noted that the transferability of the investment owned by
the province of Lower Austria, which holds its shares through 9. There are no agreements to provide compensation to the mem-
NÖ Landes-Beteiligungsholding GmbH, St. Pölten, is limited by bers of corporate bodies or employees in the event of a public
Austrian federal and provincial constitutional law. takeover.

Outlook for the 2019/20 financial year which are no longer under contract as reserve capacity, only
430 MW in Theiss serve as reserve capacity for the Austrian
EVN has followed two central strategic focal points for a number transmission network operator. The underlying contract initially
of years to make an active contribution to the transformation of runs to September 2021.
the energy system: on the one hand, a substantial investment in
renewable generation capacity and, on the other hand, massive Plans also call for the continuation of EVN’s investments in the
investments in its network infrastructure to integrate the increasing electricity networks. The roll-out of smart meters in Lower Austria
volume of decentralised generation, especially in Lower Austria. marks the start of an additional investment cycle and, conse-
quently, the already very high level of investments will increase
The interim goal to reach roughly 370 MW of installed wind in 2019/20. However, these investments reflect the goal to
power capacity was met as of 30 September 2019 – one year generate high earnings contributions from regulated and stable
earlier than planned – and EVN is now working towards the business areas in the Lower Austrian home market. The ongoing
targeted 500 MW. It should be possible to meet this goal by the investment initiative to further improve drinking water supply
end of 2023 subject to appropriate framework conditions. This security and quality also contributes to meet this goal.
growth target is supported by a pipeline of previously developed,
and in part already approved, projects at attractive wind locations In the international project business, EVN will concentrate on
in Lower Austria. EVN is also evaluating the feasibility of large- existing contracts and, above all, on the expected major project in
scale photovoltaic systems in its supply areas. Kuwait. Projects and tenders for thermal sewage sludge utilisation
plants also represent an attractive future issue in this area.
Business activities in 2019/20 will continue to include the further
expansion of renewable generation capacity, while activities Assuming average conditions in the energy business environment,
at the thermal power plants in Lower Austria will reflect the Group net result for 2019/20 is expected to range from EUR 200m
decisions taken in 2018 /19. Based on the earlier-than-planned to EUR 230m. The year-on-year decline is attributable to the
termination of hard coal-fired production at the Dürnrohr positive valuation effects of approximately EUR 110m after tax
power plant as well as the deactivation and conservation of in 2018 /19. The result from operating activities is therefore
the thermal power plant capacities in Theiss and Korneuburg expected to remain constant.

124
Segment reporting
Overview
EVN’s corporate structure comprises six reportable segments. In tional and reporting structure. Business activities which cannot
accordance with IFRS 8 “Operating Segments”, they are differen- be reported separately because they are below the quantitative
tiated and defined solely on the basis of the internal organisa- thresholds are aggregated under “All Other Segments“.
Business areas Segments Major activities

Energy business Energy • Marketing of electricity produced in the Generation Segment
• Procurement of electricity, natural gas and primary energy carriers
• Trading with and sale of electricity and natural gas to
end customers and on wholesale markets
• Production and sale of heat
• 45.0% investment in ENERGIEALLIANZ Austria GmbH 1)
• Investment as sole limited partner in
EVN Energievertrieb GmbH & Co KG (EVN KG) 1
Generation • Generation of electricity from thermal production capacities and

renewable energy sources at Austrian and international locations
• Operation of a thermal waste utilisation plant in Lower Austria2)
• 13.0% investment in Verbund Innkraftwerke GmbH (Germany) 1)
• 49.0% investment in Walsum 10 hard coal-fired power plant
(Germany)3)
• 49.99% investment in Ashta run-of-river power plant (Albania) 1)
Networks • Operation of distribution networks and network infrastructure for
Segment reporting
electricity and natural gas in Lower Austria
• Cable TV and telecommunication services in Lower Austria and
Burgenland
South East Europe • Operation of distribution networks and network infrastructure

for electricity in Bulgaria and North Macedonia
• Sale of electricity to end customers in Bulgaria and North Macedonia
• Generation of electricity from hydropower in North Macedonia
• Generation, distribution and sale of heat in Bulgaria
• Construction and operation of natural gas networks in Croatia
• Energy trading for the entire region
Environmental services Environment • Water supply and wastewater disposal in Lower Austria
business • International project business: planning, construction, financing
and/or operation (depending on the project) of plants for
drinking water supplies, wastewater treatment and thermal
waste utilisation
Other business activities All Other Segments • 50.03% investment in RAG-Beteiligungs-Aktiengesellschaft,

which holds 100% of the shares in RAG Austria AG (RAG) 1)
• 73.63% investment in Burgenland Holding AG, which holds
a stake of 49.0% in Energie Burgenland AG 1)
• 12.63% investment in Verbund AG4)
• Corporate services
1) The earnings contribution represents the share of results from equity accounted investees with operational nature and is included in EBITDA.
2) The thermal waste utilisation plant in Zwentendorf/Dürnrohr that was previously held in the Environment Segment was assigned to the Generation Segment beginning
with the fourth quarter of 2017/18.
3) The investment in Steag-EVN Walsum 10 Kraftwerksgesellschaft is accounted for as a joint operation.
4) Dividends are included under financial results.

Key energy business indicators +/–
GWh 2018/19 2017/18 Nominal % 2016 /17
Electricity generation volumes 5,594 5,526 68 1.2 6,059
thereof renewable energy sources 2,315 2,213 102 4.6 2,093
thereof thermal energy sources 3,279 3,313 –34 –1.0 3,966
Network distribution volumes
Electricity 22,734 22,520 214 1.0 22,622
Natural gas 1) 16,080 17,126 –1,046 –6.1 18,777
Energy sales volumes to end customers
Electricity 19,924 18,413 1,511 8.2 18,544
thereof Central and Western Europe 2) 7,941 7,080 861 12.2 6,493
thereof South East Europe 11,983 11,333 650 5.7 12,051
Natural gas 5,083 5,178 –95 –1.8 5,744
Heat 2,196 2,219 –23 –1.0 2,293
thereof Central and Western Europe 2) 1,987 2,011 –24 –1.2 2,062
thereof South East Europe 209 208 2 0.8 231
1) Incl. network distribution volumes to EVN power plants
2) Central and Western Europe covers Austria and Germany.
Energy EVN’s thermal power plants that is reported in this segment.

These generation volumes were substantially lower in 2018 /19
as a result of factors related to the Theiss and Korneuburg ther-
Highlights 2018/19 mal power plants. The capacity in these plants which was no
longer under contract to serve as reserve capacity was deacti-
• Higher electricity sales volumes; lower natural gas and vated as of 1 October 2018, and the remaining operational
heat sales volumes due to milder temperatures capacity of 430 MW in Theiss was used solely to manage short-
• Valuation effects from hedges ages for the Austrian transmission network operator. However,
• Positive non-recurring effect from revaluation of the resulting decline in revenue was offset by positive effects
district heating assets from the valuation of hedges as of 30 September 2019 as well
• EBITDA, EBIT and result before income tax below as an increase in heat supplies and natural gas trading. Segment
previous year revenue, in total, therefore rose by 18.9% to EUR 573.5m.
Operating expenses
Development of energy sales volumes Operating expenses increased by 20.7% to EUR 625.8m
EVN’s energy sales volumes to end customers followed different in 2018 /19. These higher costs resulted chiefly from the valuation
trends in 2018 /19. Electricity sales volumes rose by 12.2% to of hedges for primary energy carriers and CO2 emission certificates
7,941 GWh based on higher demand by industrial customers, as of 30 September 2019.
while natural gas sales volumes declined by 2.1% to 4,974 GWh
and heat sales volumes by 1.2% to 1,987 GWh due to milder Results from equity accounted investees
temperatures in long-term comparison. The share of results from equity accounted investees with opera-
tional nature totalled EUR –32.7m in 2018 /19 (previous year:
Revenue development EUR 117.0m). This decline was caused primarily by higher energy
The development of revenue in the Energy Segment is depen- procurement prices and negative effects from the valuation of
dent primarily on the marketing of the electricity generated in hedges held by EVN KG as of 30 September 2019.
126
Segment reporting — Overview, Energy
Key indicators – +/–

Energy 2018/19 2017/18 Nominal % 2016 /17
Key energy business indicators GWh
Electricity sales volumes 7,941 7,080 861 12.2 6,493

Natural gas sales volumes 4,974 5,083 –109 –2.2 5,660
Heat sales volumes 1,987 2,011 –24 –1.2 2,062
Key financial indicators EURm
External revenue1) 569.4 463.0 106.4 23.0 512.0

Internal revenue 4.1 19.4 –15.3 –78.7 8.4
Total revenue1) 573.5 482.4 91.1 18.9 520.5
Operating expenses 1) –625.8 –518.5 –107.3 –20.7 –518.1
investees with operational nature –32.7 117.0 –149.7 – 99.4
EBITDA –85.0 80.8 –165.8 – 101.8
Depreciation and amortisation including
effects from impairment tests –12.2 –23.4 11.2 47.7 –27.9
Results from operating activities (EBIT) –97.2 57.4 –154.7 – 73.9
Financial results –2.2 –3.3 1.1 33.6 –2.7
Result before income tax –99.4 54.2 –153.6 – 71.2
Total assets 827.6 862.7 –35.1 –4.1 696.3
Total liabilities 696.5 764.6 –68.1 –8.9 599.2
Investments 2) 26.4 19.5 6.9 35.3 20.0
Segment reporting
Operating results Investments

EBITDA in this segment amounted to EUR –85.0m (previous year: Investments in this segment rose by 35.3% year-on-year to
EUR 80.8m). Depreciation and amortisation, including the effects EUR 26.4m and were related entirely to the expansion of the
of impairment testing, fell by 47.7% to EUR 12.2m. Scheduled heating plants and networks.
depreciation and amortisation remained nearly stable, while the
decline in market interest rates led to the revaluation of district Outlook
heating assets which had been impaired in previous years. In addi- Sales results in 2018 /19 were negatively affected, above all, by
tion to this positive non-recurring effect, EBITDA in the previous the sharp rise in wholesale prices during the past one and a half
year was influenced by impairment losses recognised to district years. This upward trend was responsible for higher procurement
heating assets. EBIT in the Energy Segment equalled EUR –97.2m costs and negative effects from the valuation of hedges held by
in 2018 /19 (previous year: EUR 57.4m). EVN KG as of 30 September 2019. Positive earnings in this
segment are again expected in 2019/20 based on lower effects
Financial results and result before income tax from the valuation of hedges and normalisation in the operating
Financial results improved by 33.6% to EUR –2.2m. The result business.
before income tax for 2018 /19 totalled EUR –99.4m (previous
year: EUR 54.2m).

Generation Water flows were above the long-term average, similar to the
previous year. EVN accelerated the expansion of its wind power
capacity during the reporting year with the commissioning of five
Highlights 2018/19 projects and, in doing so, met its medium-term goal one year ear-
lier than planned: as of 30 September 2019, the installed wind
• Increase in renewable electricity generation power capacity totalled 367 MW (30 September 2018: 318 MW).
– Expansion of wind power capacity Plans call for this capacity to reach roughly 500 MW by the end
– High wind flows of 2023 if the framework conditions are right. EVN’s growth target
• Provision of 430 MW as reserve capacity to for wind power is supported by a pipeline of previously developed,
prevent shortages in the electricity network and in part already approved, projects at attractive wind locations
• Early termination of electricity generation from in Lower Austria.
hard coal in Dürnrohr
• EBITDA, EBIT and result before income tax above The 2018/19 financial year brought significant changes for EVN’s
previous year thermal power plants. The separation of the German-Austrian elec-
tricity price zone as of 1 October 2018 ended the use of the ther-
mal power plants for network stabilisation in southern Germany
Development of power generation and led to a substantial reduction in EVN’s reserve capacity under
EVN recorded a sound increase of 9.6% in renewable electricity contract to prevent shortages: in 2018/19 only 430 MW were
generation to 1,941 GWh in 2018 /19. This positive development under contract as reserve capacity for the Austrian transmission
was supported by a substantial year-on-year improvement in wind network operator, initially for three years (previous year: 1,090 MW
flows and by the ongoing expansion of EVN’s wind power capacity. in total for southern Germany). In view of the current market

Generation 2018/19 2017/18 Nominal % 2016 /17
Electricity generation volumes 4,850 4,794 57 1.2 5,280

thereof renewable energy sources 1,941 1,771 170 9.6 1,695
thereof thermal energy sources 2,909 3,023 –114 –3.8 3,585
External revenue1) 132.0 71.4 60.6 84.9 53.7

Internal revenue 204.7 200.8 3.9 2.0 186.3
Total revenue1) 336.7 272.1 64.5 23.7 240.0
Operating expenses1) –178.2 –155.1 –23.1 –14.9 –125.1
investees with operational nature 102.1 6.6 95.5 – –11.1
EBITDA 260.6 123.7 136.9 – 103.7
Results from operating activities (EBIT) 218.4 78.4 140.0 – –7.0
Financial results –15.4 –14.0 –1.4 –9.8 –10.0
Result before income tax 203.0 64.4 138.6 – –17.0
Total assets 1,169.7 1,056.8 112.9 10.7 923.4
Investments 2) 67.8 58.9 8.9 15.2 26.3
128
Segment reporting — Generation
environment, EVN therefore deactivated and conserved the ther- reflected the decline in market interest rates and expectations of
mal power plant capacity in Theiss und Korneuburg which is cur- higher electricity prices. In contrast, the impairment tests of thermal
rently not under contract to prevent shortages at the beginning of generation equipment led to the recognition of impairment losses.
October 2018. Electricity production at the hard coal-fired power In total, EBIT equalled EUR 218.4m (previous year: EUR 78.4m).
plant in Dürnrohr was also terminated earlier than planned at the
beginning of August 2019 in the wake of a threefold increase in Financial results and result before income tax
the price of CO2 emission certificates over the past one and a half Financial results in the Generation Segment were generally stable
years. at EUR –15.4m (previous year: EUR –14.0m), and the result before
income tax amounted to EUR 203.0m (previous year: EUR 64.4m).
These developments led to a decline of 3.8% in EVN’s thermal
generation to 2,909 GWh in 2018 /19. Operations at the Investments
Walsum 10 power plant increased during 2018/19 after scheduled Investments in this segment rose by 15.2% year-on-year to
and special inspections in the previous year. EUR 67.8m and reflect the previously mentioned acceleration in
the expansion of EVN’s wind power capacity during 2018 /19.
Revenue development
Revenue in the Generation Segment rose by 23.7% year-on-year Outlook
to EUR 336.7m in 2018 /19. This increase reflected the above- The impairment testing of previously impaired renewable genera-
mentioned energy sector developments as well as the inclusion of tion assets and electricity procurement rights in the Generation
revenue from the thermal waste utilisation plant in Zwentendorf / Segment led to positive non-recurring effects of approximately
Dürnrohr beginning with the fourth quarter of 2017/18. EUR 110m in 2018 /19, which resulted from the decline in market
interest rates and expectations of higher electricity prices. These
Operating expenses non-recurring effects significantly increased segment earnings dur-
Operating expenses increased by 14.9% to EUR 178.2m, also ing the reporting year.
due to the transfer of the thermal waste utilisation plant to this
Segment reporting
segment. EVN increased its wind power capacity by 49 MW to 367 MW
in 2018 /19 in 2019/20. The initial inclusion of this additional
Results from equity accounted investees equipment for a full year should have a positive influence on the
The share of results from equity accounted investees with opera- production of wind electricity. However, the earnings contribu-
tional nature rose to EUR 102.1m in 2018 /19 (previous year: tion from renewable generation is not only dependent on the
EUR 6.6m). This increase was based largely on a substantially installed capacity and – for the plants that no longer produce at
higher earnings contribution from Verbund Innkraftwerke GmbH subsidised tariffs (capacity as of 30 September 2019: roughly
following an improvement in the company’s operating business 127 MW) – on electricity prices, but also to a significant extent
and on a revaluation to reflect the decline in market interest rates on water and wind flows. These earnings are, consequently, dif-
and expectations of higher electricity prices. ficult to forecast.
Operating results The earnings contribution from thermal generation will be lower
EBITDA in the Generation Segment totalled EUR 260.6m (previous in 2019/20 because the remaining thermal capacity – with the
year: EUR 123.7m). Depreciation and amortisation, including the exception of 430 MW at the gas-fired power plant in Theiss which
effects of impairment testing, declined by 6.7% to EUR 42.3m. are under contract as reserve capacity for the Austrian transmis-
Scheduled depreciation and amortisation were increased by the sion network operator – was deactivated and conserved because
inclusion of the thermal waste utilisation plant in this segment, of the current market environment and coal-fired operations in
while impairment tests and the resulting revaluations led to posi- Dürnrohr were terminated earlier than originally scheduled.
tive non-recurring effects. These non-recurring effects were
related, above all, to previously impaired renewable generation In view of the above aspects, earnings in this segment are
assets and to electricity procurement rights; the revaluations expected to decline in 2019/20.

Networks 2018/19 2017/18 Nominal % 2016 /17
Network distribution volumes

Electricity 8,511 8,565 –54 –0.6 8,452
Natural gas 15,838 16,927 –1,090 –6.4 18,642
External revenue 470.8 489.6 –18.8 –3.8 497.9

Total revenue 534.0 554.4 –20.4 –3.7 566.7
Operating expenses –325.8 –301.0 –24.8 –8.2 –273.8
investees with operational nature – – – – –
EBITDA 208.2 253.4 –45.2 –17.8 292.9
effects from impairment tests –125.3 –110.8 –14.5 –13.1 –115.2
Results from operating activities (EBIT) 82.9 142.6 –59.7 –41.9 177.6
Financial results –17.1 –17.1 – 0.2 –16.6
Result before income tax 65.8 125.4 –59.6 –47.5 161.0
Total assets 2,010.5 1,944.7 65.8 3.4 1,921.3
Total liabilities 1,410.9 1,332.1 78.7 5.9 1,317.2
Investments 1) 202.1 173.0 29.1 16.8 153.3
Networks Natural gas network distribution volumes fell by 6.4% to

15,838 GWh, above all due to the reduced use of gas-fired
power plants supplied by EVN for network stabilisation.
Highlights 2018/19
Revenue development
• Revenue negatively influenced by price and volume effects The E-Control Commission approved an average reduction of
– Tariff reductions due to lower cost of capital rates 5.7% in electricity network tariffs and 9.3% in natural gas
(new regulatory periods) network tariffs for household customers as of 1 January 2019.
– Decline in electricity and natural gas network sales volumes These tariffs reflected the application of changed parameters
as a result of the weather; further decline in natural gas (in particular, a lower weighted average cost of capital) for the
following reduced use of power plants new regulatory periods. The tariff reductions also included an
• EBITDA, EBIT and result before income tax below offset for positive volume effects caused by the cold winter
previous year weather in previous periods.
For information on the regulatory environment,

Development of network distribution volumes see page 105
EVN recorded a reduction in network distribution volumes
during 2018 /19. Electricity distribution volumes declined by a These volume and price effects were responsible for a 3.7%
moderate 0.6% to 8,511 GWh as a result of the warm weather. year-on-year decline in segment revenue to EUR 534.0m.
130
Segment reporting — Networks, South East Europe
Operating expenses and operating results South East Europe

Operating expenses rose by 8.2% to EUR 325.8m, above all due
to higher upstream network costs and increased costs for third
party services. These developments were responsible for a 17.8% Highlights 2018 /19
drop in EBITDA to EUR 208.2m. Scheduled depreciation and
amortisation increased by 13.1% to EUR 125.3m as the result of • Increase in network and energy sales volumes
investments, and EBIT therefore fell by 41.9% to EUR 82.9m. • Positive non-recurring effect from interest rate-related
revaluation of customer bases
Financial results and result before income tax • EBITDA, EBIT and result before income tax above
Financial results were nearly stable at the prior year level and previous year
amounted to EUR –17.1m in 2018 /19. The Networks Segment
generated result before income tax of EUR 65.8m for the report-
ing year (previous year: EUR 125.4m). Energy sector and regulatory development
In the South East Europe Segment, the heating-related demand for
Investments energy remained below the long-term average but was slightly
Investments in the Networks Segment rose by 16.8% to higher than the previous year. Electricity network sales volumes in
EUR 202.1m in 2018 /19. This high level underscores EVN’s strate- this segment rose by 1.9% to 14,223 GWh and energy sales vol-
gic focus on massive investments in the expansion and strength- umes to end customers by 5.7% to 12,302 GWh. Electricity sales
ening of the networks and in the construction of new transformer in Bulgaria were also positively influenced by the reacquisition of
stations and substations in order to protect supply security and commercial customers. Heat sales volumes in Bulgaria were nearly
quality. EVN is also committed to the expansion of the network stable at 209 GWh.
infrastructure in its Lower Austrian supply area to effectively inte-
grate the growing volume of decentralised renewable generation. Electricity generation in South East Europe was characterised by
different developments during the reporting year. The unusually
Segment reporting
Outlook high water flows in North Macedonia during the previous year
The new five-year regulatory period that began on 1 January 2019 were followed by hydrological conditions in 2018 /19 that were
includes the initial application of a lower weighted average below the long-term average. As a result, renewable generation in
cost of capital for the electricity distribution network for the full this segment fell by 27.6% to 125 GWh. Thermal generation rose
twelve months of the 2019/20 financial year. The lower cost of by 41.0% to 300 GWh, but the comparable prior year value was
capital rates and the subsequent volume correction for prior influenced by an unscheduled standstill at the co-generation plant
periods required by the calculation methodology will influence in Plovdiv.
network tariffs in 2020. Moreover, the wide-ranging network
investments will lead to an increase in scheduled depreciation The so-called “green electricity mark-up” in Bulgaria is no longer
and amortisation. Segment results are therefore expected to be included in the energy price following a change in the calculation
lower than the previous year in 2019/20. method which took effect on 1 July 2018. It is now reported and
charged to customers separately. This change has no effect in total
because revenue and procurement costs are reduced by the same
amount.
For information on the regulatory environment, see page 105f
Revenue development
Despite the above-mentioned, earnings-neutral change in the
calculation method for the “green electricity mark-up” in Bulgaria,
revenue in this segment rose slightly by 0.9% year-on-year to
EUR 910.7m as a result of the generally favourable energy sector
developments.

South East Europe 2018/19 2017/18 Nominal % 2016 /17
Electricity generation volumes 425 385 40 10.3 436

thereof renewable energy 125 172 –47 –27.6 129
thereof thermal power plants 300 213 87 41.0 306
Network distribution volumes 14,223 13,955 268 1.9 14,170
Sales volumes to end customers 12,302 11,636 666 5.7 12,366
thereof electricity 11,983 11,333 650 5.7 12,051
thereof natural gas 109 95 14 15.2 84
thereof heat 209 208 2 0.8 231
External revenue 909.9 902.0 7.9 0.9 957.5

Internal revenue 0.8 0.8 – –0.4 0.5
Total revenue 910.7 902.8 7.9 0.9 958.0
Operating expenses –779.6 –798.2 18.6 2.3 –790.6
investees with operational nature – – – – –
EBITDA 131.1 104.6 26.5 25.3 167.3
Results from operating activities (EBIT) 95.9 40.2 55.7 – 81.0
Financial results –20.6 –20.6 – –0.2 –23.0
Result before income tax 75.3 19.6 55.7 – 58.0
Total assets 1,211.6 1,207.7 3.9 0.3 1,161.1
Investments 1) 81.1 86.4 –5.2 –6.1 92.0
Operating expenses und operating results interest rates, while the revaluation in Croatia reflected improved
Operating expenses declined by 2.3% to EUR 779.6m due to a economic conditions. The operating environment in Croatia was
reduction in receivables write-offs and the changed calculation improved by a decision in April 2019 to extend the concessions for
method for the “green electricity mark-up”. EBITDA in the the natural gas distribution networks in the Split-Dalmatia and
South East Europe Segment increased by 25.3% to EUR 131.1m Šibenik-Knin counties from 30 to 50 years – i. e. to 2060. Deprecia-
in 2018 /19. tion and amortisation, including the effects of impairment testing,
fell by 45.4% to EUR 35.2m. EBIT in the South East Europe Seg-
As reported in an ad-hoc announcement on 21 October 2019, ment totalled EUR 95.9m in 2018 /19 (previous year: EUR 40.2m).
impairment testing based on the lower market interest rates led to
an increase in the value of customer bases in Bulgaria and North Financial results and result before income tax
Macedonia which were written down through impairment losses Financial results were nearly constant at EUR –20.6m, and the
in 2013/14. These revaluations reduced depreciation and amortisa- result before income tax amounted to EUR 75.3m (previous year:
tion, including the results of impairment testing, by EUR 23.0m EUR 19.6m).
in 2018 /19. Additional reductions resulted from a revaluation
recorded by the Bulgarian district heating company TEZ Plovdiv Investments
and from natural gas activities in Croatia. The revaluation recorded EVN’s investments in South East Europe declined year-on-year to
by the district heating company was also related to the decline in EUR 81.1m in 2018 /19 and chiefly involved new connections, the
132
Segment reporting — South East Europe, Environment
exchange of meters and investments in the distribution networks sioned two wastewater treatment plants, one in Vodice, Croatia,
to protect supply security. and another in Kočani, North Macedonia, on schedule and
transferred them to the customers in 2018 /19. The company also
Decision in the arbitration proceedings against the received six general contractor assignments from Lithuania,
Republic of Bulgaria Poland, Romania and Croatia during the reporting year, which
The World Bank’s International Centre for the Settlement of have a combined value of approximately EUR 86m. As of 30 Sep-
Investment Disputes issued its decision in the arbitration proceed- tember 2019, WTE Wassertechnik was working on eight general
ings initiated by EVN AG against the Republic of Bulgaria during contractor assignments in the wastewater sector in Lithuania,
April 2019. This decision did not award EVN AG any additional Poland, Romania, Croatia and Bahrain.
compensation for its claims, which means there were no further
effects on EVN’s profit or loss or balance sheet. The part of the Progress was made during the past financial year on the prepara-
claims in the arbitration proceedings which involved compensa- tions and exclusive negotiations – also covering the envisaged
tion for obligations related to renewable energy was settled in project financing – for an extensive wastewater treatment project
February 2017 through an offset between a Bulgarian subsidiary in Kuwait. The required project company has already been
of EVN and the state-owned Bulgarian electricity company NEK. founded and will be under the majority ownership of state-owned
The arbitration proceedings against the Republic of Bulgaria are Kuwaiti institutions with WTE Wassertechnik as a minority share-
now closed. holder. At the beginning of April 2019, WTE Wassertechnik also
received a contract to operate an existing wastewater treatment
Outlook plant. However, the final awarding of the contract for the Umm
Impairment testing in the South East Europe Segment led to Al Hayman wastewater treatment project is still outstanding.
positive, non-cash, non-recurring effects in 2018 /19. The contin-
uous liberalisation of the energy markets represents a major A new field – the planning and construction of plants for the
future challenge for the development of revenue and earnings in thermal utilisation of sewage sludge – is becoming increasingly
this segment. Results in this segment can also be influenced by important for the international project business. WTE Wasser-
Segment reporting
changes in the regulatory environment as well as weather- technik is currently working on such projects in Lithuania and
related effects on network and energy sales volumes. Under the Bahrain. Another plant is currently under construction in the
assumption of stable regulatory and energy sector framework German city of Halle-Lochau by sludge2energy, a joint venture
conditions, EBIT is expected to range from EUR 40m to EUR 60m established with the German partner company Huber SE.
in 2019 /20.
WTE Wassertechnik continued its discussions with the munici-
pality of Budva and the Republic of Montenegro during the
reporting year over the early termination of the wastewater
Environment treatment plant project in Budva, Montenegro. The claims by
WTE Wassertechnik are covered in part by a guarantee issued
by the Republic of Montenegro and in full by further guarantees
Highlights 2018/19 issued by the municipality of Budva and the Federal Republic
of Germany.
• EBIT and result before income tax above previous year
despite decline in EBITDA Revenue development
• Achievements in the international project business Revenue in the Environment Segment fell by 30.3% year-on-year
– Commissioning of one wastewater treatment plant to EUR 105.1m in 2018 /19, despite an increase in revenue from
each in Croatia and North Macedonia drinking water supplies in Lower Austria. This decline is primarily
– Receipt of six new general contractor assignments attributable to the transfer of the thermal waste utilisation plant in
Zwentendorf/Dürnrohr to the Generation Segment during the
fourth quarter of 2017/18.
International project business Operating expenses

WTE Wassertechnik – EVN’s German subsidiary which is responsi- Operating expenses in this segment also declined by 29.2% to
ble for the international project business in the Group – commis- EUR 94.6m as a result of the above-mentioned transfer.

Key financial indicators – +/–
Environment EURm 2018/19 2017/18 Nominal % 2016 /17
External revenue1) 104.7 137.7 –33.0 –24.0 180.9
Total revenue1) 105.1 150.8 –45.6 –30.3 197.5
Operating expenses 1) –94.6 –133.7 39.1 29.2 –207.7
investees with operational nature 16.2 13.0 3.2 24.8 13.9
EBITDA 26.8 30.1 –3.3 –11.0 3.7
Results from operating activities (EBIT) 15.2 9.3 5.9 63.8 –21.2
Financial results –11.7 –10.4 –1.3 –12.9 –1.6
Result before income tax 3.5 –1.1 4.6 – –22.8
Total assets 682.0 644.1 38.0 5.9 816.4
Total liabilities 530.1 498.4 31.7 6.4 637.1
Investments 2) 17.4 20.7 –3.3 –16.0 11.6
Results from equity accounted investees Investments

The results from equity accounted investees with operational Investments in the Environment Segment were 16.0% lower year-
nature rose by 24.8% year-on-year to EUR 16.2m. This increase on-year at EUR 17.4m in 2018 /19 and continued to focus on
was supported, above all, by the earnings contribution from the drinking water supplies. Further massive investments were made in
wastewater treatment project in Zagreb. Results for 2018 /19 also the pipeline networks and, consequently, also in cross-regional
include the final earnings contribution from the wastewater treat- supply security during the reporting year. The fourth natural filter
ment project in Prague. This plant was commissioned in Septem- plant in EVN’s supply area was commissioned in the south of
ber 2018, and WTE Wassertechnik was in charge of the opera- Vienna during spring 2019. Investments in further plants to reduce
tional management for the first twelve months. the hardness of the water by natural means will also continue in
the future. The ground-breaking ceremony for the next project of
Operating results this type already took place in Petronell during September 2019.
EBITDA in the Environment Segment declined by 11.0% to Approximately EUR 9.4m will be invested here up to the planned
EUR 26.8m in 2018 /19. The transfer of the thermal waste utilisa- commissioning at the end of 2021 in order to supply soft drinking
tion plant in Zwentendorf/Dürnrohr and the absence of scheduled water to the 50,000 residents of ten communities in the region
depreciation and amortisation for these assets led to an increase east of Vienna International Airport.
of 63.8% in EBIT to EUR 15.2m.
Outlook
Financial results and result before income tax The development of earnings in the Environment Segment is
Financial results amounted to EUR –11.7m, compared with significantly influenced by the further acquisition and realisation of
EUR –10.4m in the previous year. In total, this segment reported assignments in the international project business. Assuming the
result before income tax of EUR 3.5m in 2018/19 (previous year: order is received for the major project in Kuwait, segment earnings
EUR –1.1m). in 2019/20 are expected to exceed the previous year.
134
Segment reporting — Environment, All Other Segments
Key financial indicators – +/–

All Other Segments EURm 2018/19 2017/18 Nominal % 2016 /17
External revenue 18.4 15.0 3.4 22.7 13.4
Internal revenue 64.3 61.0 3.3 5.4 59.5
Total revenue 82.7 76.0 6.7 8.8 73.0
Operating expenses –93.2 –87.2 –6.0 –6.9 –80.7
investees with operational nature 44.8 51.4 –6.6 –12.9 60.4
EBITDA 34.2 40.2 –6.0 –14.9 52.7
effects from impairment tests –1.8 –0.9 –0.9 – –1.4
Results from operating activities (EBIT) 32.4 39.3 –6.9 –17.6 51.2
Financial results 52.2 43.8 8.4 19.3 45.6
Total assets 4,586.5 4,374.4 212.1 4.8 3,040.0
Total liabilities 1,674.4 1,670.8 3.6 0.2 1,265.8
Investments 1) 3.5 4.0 –0.5 –12.5 2.3
All Other Segments These developments were also responsible for a decline of 14.9%
Segment reporting
in EBITDA to EUR 34.2m. Depreciation and amortisation, including
the effects of impairment testing, were 0.9% higher at EUR 1.8m.
Highlights 2018/19 EBIT amounted to EUR 32.4m, which represents a year-on-year
decrease of 17.6%.
• Different development of earnings contributions
– Increase from Energie Burgenland Financial results and result before income tax
– Decline from RAG Financial results – which include the dividend of EUR 0.42 per share
• Result before income tax above previous year, despite distributed by Verbund AG on 20 May 2019 for the 2018 financial
reduction in EBITDA and EBIT year (previous year: EUR 0.42 per share) – were 19.3% higher than
the previous year at EUR 52.2m. Also included here are a perfor-
mance increase from the R 138 fund and a reduction in interest
expense based on the decline in EVN’s financial debt.
Revenue, EBITDA and EBIT development
Revenue in this segment rose by 8.8% to EUR 82.7m in 2018 /19, The result before income tax in this segment was 1.8% lower than
while operating expenses increased by 6.9% to EUR 93.2m. the previous year at EUR 84.6m in 2018/19.
In contrast, the share of results from equity accounted investees Outlook

with operational nature declined by 12.9% to EUR 44.8m. A Results in this segment are influenced primarily by the earnings
higher earnings contribution from Energie Burgenland only partly contributions from RAG, Energie Burgenland and Verbund AG.
offset the lower earnings contribution from RAG. These contributions are expected to be slightly higher than the
previous year in 2019/20.

136
Consolidated financial statements
for 2018/19
According to International Financial Reporting Standards
Consolidated statement of operations 138

Consolidated statement of comprehensive income 139
Consolidated statement of financial position 140
Consolidated statement of changes in equity 141
Consolidated statement of cash flows 142
Consolidated notes 143 Basis of preparation
150 Basis of consolidation
154 Accounting policies
166 Notes to the consolidated statement of operations
173 Notes to the consolidated statement of financial position
194 Segment reporting
199 Other information
EVN’s investments 217
Auditors’ report 222
Financial statements

Consolidated statement of operations
EURm Note 2018/19 2017/18

Revenue 24 2,204.0 2,078.71)
Other operating income 25 117.8 98.9 1)
Cost of materials and services 26 –1,361.6 –1,236.4
Personnel expenses 27 –338.7 –321.7
Other operating expenses 28 –120.2 –135.7
Share of results from equity accounted investees with operational nature 29 130.5 188.0
EBITDA 631.7 671.8
Depreciation and amortisation 30 –269.8 –258.3
Effects from impairment tests 30 41.6 –20.6
Results from operating activities (EBIT) 403.5 392.9
Share of results from equity accounted investees with financial nature – 0.1
Results from other investments 23.2 20.1
Interest income 8.1 10.7
Interest expense –51.5 –54.0
Other financial results –9.8 –14.0
Financial results 31 –29.9 –37.2
Result before income tax 373.5 355.7
Income tax 32 –46.7 –76.1
Result for the period 326.9 279.6
thereof result attributable to EVN AG shareholders (Group net result) 302.4 254.6
thereof result attributable to non-controlling interests 24.5 25.0
Earnings per share in EUR 2) 33 1.70 1.43
Dividend per share in EUR 0.50 3) 0.47
1) The comparative information was adjusted – see note 2. Reporting in accordance with IFRS, Changes in the presentation of the
consolidated financial statements and adjustment of prior year data
2) There is no difference between basic and diluted earnings per share.
3) Proposal to the Annual General Meeting: dividend of EUR 0.47 per share + one-time bonus dividend of EUR 0.03 per share
138
Consolidated financial statements 2018/19 — Consolidated statement of operations,
Consolidated statement of comprehensive income
Consolidated statement of comprehensive income
EURm Note 2018/19 2017/18

Other comprehensive income from
Items that will not be reclassified to profit or loss 233.5 –8.5
Remeasurements IAS 19 45 –55.4 –14.3
Investments in equity accounted investees 45 –10.7 2.3
Shares and other equity instruments measured at fair value and reported in
other comprehensive income 1) 381.6 –
Thereon apportionable income tax expense 45 –82.0 3.5
Items that may be reclassified to profit or loss 5.1 777.9
Currency translation differences 5 10.8 2.1
Available for sale financial instruments1) 45 – 1,025.4
Cash flow hedges 45 –0.1 7.4
Investments in equity accounted investees 45 –7.3 0.8
Thereon apportionable income tax expense 45 1.8 –257.8
Total other comprehensive income after tax 238.6 769.4
Comprehensive income for the period 565.5 1,049.0
thereof income attributable to EVN AG shareholders 546.0 1,023.4
thereof income attributable to non-controlling interests 19.5 25.6
1) See note 2. Reporting in accordance with IFRS, IFRS 9 Financial Instruments

Consolidated statement of financial position
EURm Note 30.09.2019 30.09.2018

Assets
Non-current assets
Intangible assets 34 218.5 182.1
Property, plant and equipment 35 3,579.6 3,438.7
Investments in equity accounted investees 36 972.1 995.7
Other investments 37 2,325.4 1,944.2
Deferred tax assets 49 72.1 68.8
Other non-current assets 38 163.3 252.4
7,330.9 6,881.9
Current assets
Inventories 39 104.1 94.6
Trade and other receivables 40 417.4 500.3
Securities 41 89.7 139.8
Cash and cash equivalents 59 246.6 214.5
857.7 949.1
Total assets 8,188.6 7,831.1

Equity
Issued capital and reserves attributable to shareholders of EVN AG 42– 46 4,295.6 3,832.8
Non-controlling interests 47 256.5 259.9
4,552.1 4,092.6
Non-current loans and borrowings 48 990.0 1,040.5
Deferred tax liabilities 49 543.8 471.0
Non-current provisions 50 537.5 480.8
Deferred income from network subsidies 51 615.7 602.6
Other non-current liabilities 52 46.2 75.4
2,733.2 2,670.3
Current liabilities
Current loans and borrowings 53 68.8 89.1
Taxes payable and levies 54 138.3 85.6
Trade payables 55 301.0 337.1
Current provisions 56 90.4 91.4
Other current liabilities 57 304.9 464.9
903.3 1,068.1
Total equity and liabilities 8,188.6 7,831.1
140
Consolidated financial statements 2018/19 — Consolidated statement of financial position,
Consolidated statement of changes in equity
Consolidated statement of changes in equity
Share
premium Issued capital
and Currency and reserves Non-
Share capital Retained Valuation translation Treasury of EVN AG controlling
EURm capital reserves earnings reserve reserve shares shareholders interests Total
Balance on 01.10.2017 330.0 253.0 2,126.2 226.2 –22.1 –21.2 2,892.1 258.0 3,150.1
Comprehensive income – – 254.6 766.7 2.1 – 1,023.3 25.6 1,048.9
Dividends 2016 /17 – – –83.6 – – – –83.6 –23.7 –107.3
Change in treasury shares – 0.4 – – – 0.7 1.1 – 1.1
Other changes – – –0.0*) 0.0*) 0.0*) – 0.0*) –0.1 –0.0*)
Change in the scope of
consolidation – – –0.2 – 0.0*) – –0.2 0.1 –0.1
Balance on 30.09.2018 330.0 253.4 2,297.0 992.9 –20.0 –20.5 3,832.8 259.9 4,092.6
Change in accounting
method (IFRS 9 Group)1) – – –2.4 1.1 – – –1.3 –0.5 –1.8
method (IFRS 9 at equity) 1) – – 0.7 – – – 0.7 – 0.7
method (IFRS 15 Group) 2) – – –0.1 – – – –0.1 – –0.1
method (IFRS 15 at equity) 2) – – 0.2 – – – 0.2 – 0.2
Balance on 01.10.2018 330.0 253.4 2,295.5 994.0 –20.0 –20.5 3,832.4 259.4 4,091.8
Comprehensive income – – 302.4 232.8 10.7 – 546.0 19.5 565.5
Dividends 2017/18 – – –83.7 – – – –83.7 –22.5 –106.1
Change in treasury shares – 0.2 – – – 0.8 1.0 – 1.0
Other changes – – – – – – – – –
Change in the scope of
consolidation – – – – – – – – –
Balance on 30.09.2019 330.0 253.6 2,514.2 1,226.8 –9.3 –19.7 4,295.6 256.5 4,552.1
Note 42 43 44 45 5 46 47
1) See note 2. Reporting in accordance with IFRS, Significant changes based on the initial application of IFRS 9 and IFRS 15
2) See note 2. Reporting in accordance with IFRS, Significant changes based on the initial application of IFRS 9 and IFRS 15
*) Small amount

Consolidated statement of cash flows
EURm Note 2018/19 2017/18

+ Depreciation, amortisation/ – revaluation of intangible assets and property, plant and equipment 30 228.2 278.9
– Results of equity accounted investees and other investments 36, 37 –153.7 –208.2
+ Dividends from equity accounted investees and other investments 161.1 163.3
+ Interest expense 51.5 54.0
– Interest paid –41.4 –42.9
– Interest income -8.1 –10.7
+ Interest received 7.4 8.4
+ Losses/– gains from foreign exchange translations 9.9 10.5
+ /– Other non-cash financial results –1.6 3.4
– Release of deferred income from network subsidies 59 –50.6 –47.9
– Gains/+ losses on the disposal of intangible assets and property, plant and equipment –3.1 –0.7
– Decrease/+ increase in non-current provisions 50 –22.6 –3.6
Gross cash flow 550.5 560.3
+ Decrease/– increase in inventories and receivables 109.7 –69.8
+ Increase/– decrease in current provisions –1.0 –0.1
+ Increase/– decrease in trade payables and other liabilities –222.8 115.2
– Income tax paid –6.6 –2.0
Net cash flow from operating activities 429.7 603.5
+ Proceeds from the disposal of intangible assets and property, plant and equipment 5.7 20.9
+ Proceeds from network subsidies 64.4 68.2
+ Proceeds from the disposal of financial assets and other non-current assets 72.4 25.1
+ Proceeds from the disposal of current securities 49.3 –
– Acquisition of intangible assets and property, plant and equipment –391.9 –351.3
– Acquisition of financial assets and other non-current assets –7.0 –79.3
– Acquisition of current securities – –140.6
Net cash flow from investing activities –207.1 –457.1
– Dividends paid to EVN AG shareholders 44 –83.7 –83.6
– Dividends paid to non-controlling interests –22.5 –23.7
– Increase in interest in fully consolidated companies – –0.1
+ Sales of treasury shares 1.0 1.1
+ Increase in financial liabilities 59 3.2 2.0
– Decrease in financial liabilities 59 –89.1 –49.2
Net cash flow from financing activities –191.0 –153.5
Net change in cash and cash equivalents 1) 31.5 –7.1
Net change in cash and cash equivalents

Cash and cash equivalents at the beginning of the period 1) 59 214.5 221.8
Currency translation differences on cash and cash equivalents 0.2 –0.1
Cash and cash equivalents at the end of the period 1) 246.2 214.5
Net change in cash and cash equivalents 2) 31.5 –7.1
1) The addition of bank overdrafts results in cash and cash equivalents as reported on the consolidated statement of financial position.
2) Additional information on the consolidated statement of cash flows can be found in note 59. Consolidated statement of cash flows.
142
Consolidated notes
Basis of preparation
1. General
EVN AG, as the parent company of the EVN Group (EVN), is a leading listed Austrian energy and environmental services provider. Its head-
quarters are located in A-2344 Maria Enzersdorf, Austria. In addition to serving its domestic market in the province of Lower Austria,
EVN operates in the Bulgarian, North Macedonian, Croatian, German and Albanian energy industry. EVN is also active in the area of envi-
ronmental services through subsidiaries that provide customers in 13 countries with water supply, wastewater treatment and thermal
waste utilisation services.
The consolidated financial statements are prepared as of the balance sheet date of EVN AG. The financial year of EVN AG covers the
period from 1 October to 30 September.
The consolidated financial statements are prepared on the basis of uniform accounting policies. In cases where the balance sheet date of
a consolidated company differs from the balance sheet date of EVN AG, interim financial statements are prepared as of 30 September.
The consolidated financial statements are prepared on the basis of historical acquisition and production costs, unless indicated otherwise.
Certain items on the consolidated statement of financial position and the consolidated statement of operations are summarised to
achieve a more understandable and clearly structured presentation. These positions are presented individually in the consolidated notes
and explained according to the principle of materiality. In order to improve clarity and comparability, the amounts in the consolidated
financial statements are generally shown in millions of euros (EURm), unless otherwise noted. Immaterial mathematical differences may
arise from the rounding of individual items or percentage rates.
The consolidated statement of operations is prepared in accordance with the nature of expense method.
2. Reporting in accordance with IFRS

Pursuant to § 245a of the Austrian Commercial Code, the consolidated financial statements were prepared in accordance with the cur-
rent guidelines set forth in the IFRSs issued by the International Accounting Standards Board (IASB) as well as the interpretations issued
by the International Financial Reporting Interpretations Committee (IFRIC) that were applicable as of the balance sheet date and had
been adopted by the European Union (EU).
Standards and interpretations applied for the first time and changes in accounting policies
The following standards and interpretations were applied for the first time in the 2018/19 financial year:
Standards and interpretations applied for the first time Expected material effects
on EVN’s consolidated
Effective 1)
financial statements
New standards and interpretations

IFRS 9 Financial Instruments 01.01.2018 See below
IFRS 15 Revenue from Contracts with Customers 01.01.2018 See below
IFRIC 22 Foreign Currency Transactions and Advance Consideration 01.01.2018 See below
Revised standards and interpretations

Several Annual Improvements 2014 – 2016 01.01.2018 None
IFRS 2 Classification and Measurement of Share-based Payment Transactions 01.01.2018 None
IFRS 4 Applying IFRS 9, Financial Instruments with IFRS 4, Insurance Contracts 01.01.2018 None
IFRS 15 IFRS 15 Revenue from Contracts with Customers – Clarifications 01.01.2018 See below
IAS 40 Transfers of Investment Property 01.01.2018 None
1) In accordance with the Official Journal of the EU, these standards are applicable to financial years beginning on or after the effective date.

IFRS 9 Financial Instruments
IFRS 9 replaces the existing rules for the recognition and measurement of financial instruments under IAS 39. In comparison with IAS 39,
IFRS 9 includes new rules for the classification and measurement of financial assets and expanded rules for the recognition of impairment
losses to financial assets. It also defines new rules for hedge accounting.
Classification and measurement

IFRS 9 provides for a new classification of financial assets which, in contrast to IAS 39, is based on the respective business model and the
characteristics of the contractual payment flows for the individual financial instruments. In the future, financial assets must be allocated to
one of the following three categories: “at amortised cost (AC)“, “at fair value through profit or loss (FVTPL)“ or “at fair value through
other comprehensive income (FVOCI)“. An evaluation by the EVN Group showed that most of the financial assets – in particular loans
receivable, other non-current assets, trade and other receivables as well as cash on hand and at banks – will continue to meet the criteria
for classification at amortised cost. Investments in equity instruments are generally classified as FVTPL; investments in equity instruments
which were previously classified as available for sale (AFS) and are held over the long term will be assigned to the category FVOCI under
the application of IFRS 9.5.7.5. Related valuation adjustments to these instruments will no longer be reclassified to the consolidated state-
ment of operations in the future. The investments in equity instruments which were previously measured at amortised cost based on the
exemption provided by IAS 39.46(c) do not lead to a material increase in the carrying amount. The securities recorded under non-current
and current assets at EVN represent shares in funds, they are measured at FVTPL.
IFRS 9 Financial Instruments
Classification and measurement Previous measurement New measurement Carrying amount Carrying amount
category in accordance with category in accord- IFRS 9 as of IAS 39 as of
EURm IAS 39 ance with IFRS 9 01.10.2018 30.09.2018
Measurement at fair value

Other investments AFS FVOCI 1) 1,939.6 1,939.6
Securities (non-current) FVTPL FVTPL 135.1 135.1
Securities (current) AFS FVTPL 139.8 139.8
Receivables arising from derivative transactions2) FVTPL FVTPL 83.2 83.2
Liabilities arising from derivative transactions2) FVTPL FVTPL 122.3 122.3
Measurement at amortised cost

Loans reveivable LAR AC 38.3 38.3
Lease receivables LAR AC 28.7 28.7
Remaining other non-current assets LAR AC 0.6 3) 0.2
Trade and other receivables LAR AC 418.5 4) 419.5
Cash on hand and at banks LAR AC 214.5 214.5
Bonds FLAC AC 504.5 504.5
Bank loans FLAC AC 536.0 536.0
Other liabilities FLAC AC 20.3 20.3
Current loans and borrowings FLAC AC 89.1 89.1
Trade payables FLAC AC 337.1 337.1
Other financial liabilities FLAC AC 292.7 292.7
1) The option provided by IFRS 9.5.7.5, which permits the assignment of other investments to the category FVOCI, was applied to all investments.
2) Including hedging instruments
3) Valuation adjustments in accordance with IFRS 15 (incremental costs for obtaining a contract)
4) Valuation adjustments in accordance with IFRS 9 (impairments)
144
Consolidated notes — Basis of preparation
Impairments
With regard to the recognition of impairment losses on financial assets, IFRS 9 replaces the “incurred loss model“ with the “expected loss
model“. Financial assets carried at amortised cost, contractual assets as defined in IFRS 15 and debt instruments measured at FVOCI are
now subject to the provisions of the expected loss model on initial recognition and are tested for impairment. Impairment losses must be
recognised in one of two forms: on the basis of a twelve-month model at the amount of the credit losses expected within the next
twelve-months or on the basis of a lifetime loss model at the amount of the credit losses expected over the lifetime of the asset. The latter
alternative must be applied to trade receivables without material financing components and to assets whose credit risk has increased sig-
nificantly since initial recognition. The standard offers a practical expedient for lease receivables, which also permits the application of the
lifetime model. EVN decided not to apply this option and assesses the probability of default based on the twelve-month model. In the
EVN Group, the twelve month model will be applied, in particular, to loans receivable, lease receivables and bank deposits, when the
requirements of IFRS 9.7.2.19a are met. The preparation of the consolidated financial statements as of 30 September 2018 included
impairment testing at the Group level in accordance with IFRS 9 for the following balance sheet positions: loans receivables, lease receiva-
bles and cash at banks. These impairment tests would have led, in total, to the recognition of an immaterial impairment loss of EUR 0.1m.
EVN did not recognise this impairment because the amount is immaterial.
The application of the lifetime loss model is mandatory for trade receivables without material financing components. EVN applies the
rules provided by IFRS 9B5.5.35, which provide for the use of an impairment matrix as a practical expedient to determine the amount of
an impairment loss. The default incidents in recent years were analysed by region and core market, and an impairment matrix was then
developed for the EVN Group based on time intervals. The calculations as of 30 September 2018 resulted in an additional need for the
recognition of impairment losses totalling EUR 1.0m at the Group level as well as the reversal of impairment losses totalling EUR 0.9m for
equity accounted investees.
Impairment – receivables Other receivables

EURm Trade receivables (general approach)1) Total
30.09.2018 (IAS 39) 301.3 399.9 701.2

Impairment losses – adjustment –1.0 – –1.0
01.10.2018 (IFRS 9) 300.3 399.9 700.2
1) The general approach covers the following balance sheet positions: loans receivables, lease receivables, remaining other non-current assets
and other receivables as well as cash on hand and at banks.
Hedge accounting
The new model for hedge accounting is intended to create a better connection between the company‘s risk management strategy, the
reasons for the conclusion of hedges and the recognition and measurement of these hedges. In addition to convergence with the goals
and strategies of corporate risk management, IFRS 9 expands the range of acceptable underlying transactions and requires a rather
qualitative and future-oriented approach for evaluating the effectiveness of the hedge relationship.
The hedges held by the EVN Group on the transition date for the hedging of foreign exchange and interest rate risks meet the require-
ments of IFRS 9. They are in agreement with the strategies and goals of risk management in the EVN Group and can therefore also be
continued under the provisions of IFRS 9.
Transition
In principle, IFRS 9 is to be applied retrospectively. EVN, however, has decided to utilise the exception rule and will not adjust the compar-
ative information for classification and measurement (including impairment) in previous accounting periods as of the initial application
date. Differences between the carrying amounts which result from the application of IFRS 9 will generally be recorded under retained
earnings without recognition through profit or loss as of 1 October 2018. In contrast, the new rules for hedge accounting will principally
be applied prospectively.

IFRS 15 Revenue from Contracts with Customers
IFRS 15 defines a five-step model for the recognition of revenue from contracts with customers and replaces all previously applicable
standards and related interpretations. Under this model, a company recognises revenue at an amount equal to the consideration
expected in exchange for the accepted performance obligations, i. e. the transfer of goods or the provision of services. A determination
must therefore be made when a contract is concluded as to whether the resulting revenue should be recognised at a point in time or
over time. Revenue is recognised when the customer obtains control over the goods or services. This standard also includes extensive
requirements for qualitative and quantitative disclosures on the assets resulting from the capitalised costs for the acquisition and fulfil-
ment of contracts with customers.
EVN’s customer contracts were analysed as part of a Group-wide project to identify the contracts that could lead to a potential change in
the previous method used to realise revenue. The application of IFRS 15 is not expected to result in any material effects on the scope or
timing of revenue recognition, especially in EVN’s core energy supply business. The rules defined by IFRS 15.25a, in particular, are relevant
for EVN’s core business – the supply and delivery of energy. Revenue is recognised over time in this business because the customer
receives continuous service and consumes the energy immediately, and another company would not be required to repeat the previously
provided performance if it took over the contract and fulfilled the remaining performance obligations. The EVN Group will, as soon as the
corresponding prerequisites are met, utilise the practical expedient provided by IFRS 15.B16, which permits the recognition of revenue at
the amount the company is entitled to invoice.
The contract analyses also identified the following issues for the EVN Group:
The costs to acquire a contract with a customer represent additional costs. When the company assumes it will be able to reclaim these
costs, the related amounts must generally be capitalised and amortised over the period in which the goods or services are transferred to
the customer. If the expected amortisation period does not exceed one year, the practical expedient permits the expensing of these costs.
In 2017/18, this would have led to the capitalisation of EUR 0.4m for contract acquisition costs.
Payments to customers for sales purposes, e. g. free months, are generally recognised as revenue deductions. A payment made when
the contract is concluded leads to the recognition of an asset which must be released over the minimum contract term. In 2017/18,
this would have led to the capitalisation of an asset amounting to EUR 0.2m.
The arbitration decision issued in November 2016 led to a contract modification as defined in IFRS 15.21b for the project company
STEAG-EVN Walsum 10 Kraftwerksgesellschaft mbH (“SEK“) in connection with granted network subsidies. This modification must be
treated as if it was always part of the existing contract, which means revenues must be adjusted on a cumulative basis starting with
the initial recognition of a network subsidy. This led to an increase of EUR 0.7m and will subsequently result in an annual increase of
EUR 0.1m in the revenue recognised until the end of the contract term.
The initial application of IFRS 15 will be made retrospectively, whereby the cumulative adjustment amounts from the initial application
will be recorded under retained earnings as of 1 October 2018.
Significant changes based on the initial application of IFRS 9 and IFRS 15

EVN initially applied IFRS 9 and IFRS 15 as of 1 October 2018. As explained in the preceding sections, the comparative information for
prior accounting periods was not adjusted. The effects on profit or loss from the application of the new standards were recorded under
retained earnings as of 1 October 2018.
The following section shows the effects on EVN’s consolidated financial statements from the initial application of IFRS 9 and IFRS 15, in
particular on the consolidated statement of financial position and on equity. The additional disclosures required by IFRS 15.C8 are not pro-
vided because the information is immaterial.
146
Adjustments to the consolidated statement of

financial position Adjustment Adjustment
EURm 01.10.2018 IFRS 9 IFRS 15 30.09.2018
Assets
Non-current assets
Intangible assets 182.1 – – 182.1
Property, plant and equipment 3,438.7 – – 3,438.7
Investments in equity accounted investees 996.9 0.9 0.3 995.7
Other investments 1,944.2 – – 1,944.2
Deferred tax assets 69.0 – 0.2 68.8
Other non-current assets 253.0 – 0.6 252.4
6,884.0 0.9 1.1 6,881.9
Current assets
Inventories 94.6 – – 94.6
Trade and other receivables 499.3 –1.0 – 500.3
Securities 139.8 – – 139.8
Cash and cash equivalents 214.5 – – 214.5
948.2 –1.0 – 949.1
Total assets 7,832.1 – 1.1 7,831.1

Equity
Share capital 330.0 – – 330.0
Share premium and capital reserves 253.4 – – 253.4
Retained earnings 2,295.5 –1.7 0.2 2,297.0
Valuation reserve 994.0 1.1 – 992.9
Currency translation reserve –20.0 – – –20.0
Treasury shares –20.5 – – –20.5
Issued capital and reserves attributable to shareholders of EVN AG 3,832.3 –0.6 0.2 3,832.8
Non-controlling interests 259.4 –0.5 – 259.9
4,091.8 –1.1 0.2 4,092.6
Non-current loans and borrowings 1,040.5 – – 1,040.5
Deferred tax liabilities 472.2 1.0 0.2 471.0
Non-current provisions 480.8 – – 480.8
Deferred income from network subsidies 603.3 – 0.7 602.6
Other non-current liabilities 75.4 – – 75.4
2,672.2 1.0 0.9 2,670.3
Current liabilities
Current loans and borrowings 89.1 – – 89.1
Taxes payable and levies 85.6 – – 85.6
Trade payables 337.1 – – 337.1
Current provisions 91.4 – – 91.4
Other current liabilities 464.9 – – 464.9
1,068.1 – – 1,068.1
Total equity and liabilities 7,832.1 – 1.1 7,831.1

Adjustments to equity Retained Valuation reserves Valuation reserves Non-controlling
EURm earnings (only AFS) (only FVOCI) interests Equity total
Balance on 30.09.2018 2,297.0 1,108.5 – 259.9 4,092.6
Classification IFRS 9
Reclassification of current securities from AFS
to FVTPL –1.1 1.1 – – –
Reclassification of equity instruments from AFS
to FVOCI – –1,109.5 1,109.5 – –
–1.1 –1,108.5 1,109.5 – –
Impairment IFRS 9
Impairments trade receivables (Group) –0.5 – – –0.5 –1.0
Deferred taxes on initial application effects
(Group) –0.8 – – – –0.8
Reversal of impairment trade receivables
(at equity) 0.9 – – – 0.9
Deferred taxes on initial application effects
(at equity) –0.2 – – – –0.2
–0.6 – – –0.5 –1.1
Adjustments IFRS 15
Incremental costs for obtaining a contract
(Group) 0.4 – – – 0.4
Incremental costs for obtaining a contract
(at equity) 0.3 – – – 0.3
Contract assets 0.2 – – – 0.2
Contract modification Walsum 10 –0.7 – – – –0.7
Deferred taxes on initial application effects –0.1 – – – –0.1
0.2 – – – 0.2
Balance on 01.10.2018 2,295.5 – 1,109.5 259.4 4,091.8
IFRIC 22 Foreign Currency Transactions and Advance Consideration

IFRIC 22 regulates the accounting treatment of transactions which include the receipt or payment of consideration in a foreign currency.
The interpretation clarifies that the date on which an asset arising from advance consideration is recognised represents the relevant date
for determining the exchange rate applicable to a non-monetary asset. EVN applies this interpretation in connection with advance pay-
ments made or received in a foreign currency in the international project business.
148
Standards and interpretations already adopted by the EU, but not yet compulsory Expected material effects on
EVN’s consolidated financial
Effective 1) statements

IFRS 16 Leases 01.01.2019 See below
IFRIC 23 Uncertainty over Income Tax Treatments 01.01.2019 None
IAS 19 Plan Amendment, Curtailment or Settlement 01.01.2019 None
IAS 28 Long-term Interests in Associates and Joint Ventures 01.01.2019 None
IFRS 9 Prepayment Features with Negative Compensation 01.01.2019 None
Several Annual Improvements 2015 –2017 01.01.2019 None
1) In accordance with IASB, these standards are applicable to financial years beginning on or after the effective date.
IFRS 16 Leases
The IASB published IFRS 16 in January 2016 as a replacement for the previous standard on leases (IAS 17) and related interpretations.
IFRS 16 requires mandatory application for financial years beginning on or after 1 January 2019. It includes a new definition of the term
“lease“ and introduces major changes in the accounting rules for lessees. The goal of the new standard is the balance sheet recognition
of nearly all leases and the related contractual rights and obligations for the lessee as rights of use or lease liabilities, which means the
former differentiation between finance and operating leases is no longer applicable. The accounting rules for the lessor do not change
materially in comparison with the previously applied IAS 17. The business transactions in which EVN serves as the lessor are immaterial.
The accounting model for IFRS 16 does not significantly differ from that for IAS 17.
EVN selected the modified retrospective approach for the conversion to IFRS 16, which means the prior year data were not adjusted. The
lease liability represents the discounted present value of the remaining lease payments based on the application of an incremental bor-
rowing rate as of the initial application date. An option provided by IFRS 16 was applied, which permits the recognition of a right of use
at an amount equal to the lease liability less any advance lease payments. EVN differentiates between non-lease and lease components
and waives the application of the practical expedient defined by IFRS 16.15. Moreover, EVN did not reassess whether a contract includes
a lease in the sense of IFRS 16, provided the contract was previously identified as a lease as of the initial application date. Conversely,
IFRS 16 is not applied to agreements which were classified as agreements without leases under IAS 17 in connection with IFRIC 4. The
practical expedients provided by IFRS 16 were applied to low-value leases, short-term leases (< 12 months) and leases with a remaining
term of twelve months or less as of the initial appliaction date. These payments are still recorded under other expenses. In line with the
transitional relief, the option to waive impairment testing was applied. The identified leases were instead reviewed as of the initial applica-
tion date to determine whether they represent onerous contracts. In the event a lease was identified as onerous, the capitalised right of
use was reduced by an existing provision.
EVN carried out a Group-wide project to implement IFRS 16. The analysis of the existing contracts, the recognition of these contracts and
the analysis of the effects were, for the most part, completed by the end of the reporting year on 30 September 2019. The effects of the
changeover to IFRS 16 on the individual components of the consolidated financial statements and the presentation of the EVN Group’s
asset, financial and earnings position can be described as follows from the current point of view: on the balance sheet, the introduction of
this standard and the required recognition of rights of use resulted in an increase of approximately EUR 70.0m in non-current assets and
corresponding lease liabilities as of the initial application date. Net debt also rose by the same amount. In addition, the initial application of
IFRS 16 will increase EBITDA for the 2019/20 financial year by roughly EUR 5.8m. Material effects on Group earnings are not expected.
The most important application scenarios for the EVN Group from the lessee’s point of view are leases and easement agreements related
to the expansion of wind parks, leased commercial space and warehouse areas which are assumed to be based on long-term leases.

Standards and interpretations not yet effective
The following standards and interpretations had been issued by the IASB as of 30 September 2019, but have not yet been adopted by the EU.
Standards and interpretations not yet applicable and not yet adopted by the EU Expected material effects
on EVN’s consolidated
Effective 1)
financial statements

IFRS 17 Insurance Contracts 01.01.2021 None
IAS 1 & IAS 8 Definition of Material 01.01.2020 None
IFRS 3 Business Combinations – Definition of a Business 01.01.2020 None
Several Amendments to References to the Conceptual Framework in IFRS Standards 01.01.2020 None
1) In accordance with IASB, these standards are applicable to financial years beginning on or after the effective date.
EVN regularly monitors and analyses the effects of the application of revised standards and interpretations on the future presentation of
the consolidated financial statements and the future disclosures in the consolidated notes.
The presentation of income from the reversal of deferred income from network subsidies was adjusted in 2018/19. In connection with the
Group-wide IFRS 15 project, EVN redefined the presentation method for the reversal of deferred income from network subsidies through
profit or loss. Network subsidies in the regulated electricity and natural gas sector, where the regulator determines the amount and under-
lying reason, are recognised as liabilities in accordance with IAS 20 and reported, as in the past, under other operating income as income
from the reversal of deffered income from network subsidies. The network subsidies for all other areas are recorded as non-refundable
advance payments (liabilities) in accordance with IFRS 15 and released to profit or loss under revenue (see the following table).
Consolidated statement of operations 2018/19 2017/18 2017/18

EURm (New presentation) (New presentation) Adjustment (Previous presentation)
Revenue 2,204.0 2,078.7 6.1 2,072.6

Other operating income 117.8 98.9 –6.1 105.0
Basis of consolidation
3. Consolidation methods
Consolidation is carried out by offsetting the consideration transferred against the fair value of the acquired assets and assumed liabilities.
All significant companies whose financial and operating activities are directly or indirectly controlled by EVN AG (i. e. subsidiaries) are fully
consolidated. EVN is considered to have a controlling interest over a company in which it holds an investment when it has a right to
variable returns from the investee and can influence the amount of these returns through its control.
This is usually the case when EVN’s voting rights exceed 50.0%, but may also apply if EVN has the power of disposition over and is the
primary beneficiary of any economic benefits arising from the business operations of these companies or if EVN is required to carry most
of the risks. Companies are initially consolidated on the acquisition date or at the time EVN gains control and are deconsolidated when
control ends.
In accordance with IFRS 3, assets and liabilities (including contingent liabilities) obtained through business combinations are recognised at
their full fair value, irrespective of any existing non-controlling interests. Non-controlling interests in subsidiaries are carried at the propor-
tional share of net assets (excluding the proportional share of goodwill). Intangible assets are recognised separately from goodwill if they
can be separated from the acquired company or arise from statutory, contractual or other legal rights. Any remaining positive differences
150
Consolidated notes — Basis of preparation, Basis of consolidation
which represent compensation to the seller for market opportunities or developmental potential that cannot be individually identified are
recognised in local currency as goodwill and allocated to cash-generating units (CGUs) in the relevant segment (for information on the
treatment and recoverability of goodwill, see notes 34. Intangible assets and 21. Procedures and effects of impairment tests).
Negative differences are recognised in profit or loss after a repeated measurement of the acquired company’s identifiable assets and liabili-
ties (including contingent liabilities) and measurement of the acquisition cost. The differences between fair value and the carrying amount
are carried forward in accordance with the related assets and liabilities during the subsequent consolidation. A change in the investment
in a fully consolidated company is accounted for directly in equity without recognition through profit or loss. As in the previous financial
year, there were no acquisitions of companies as defined in IFRS 3 during the reporting period.
Joint arrangements are included in the consolidated financial statements of EVN depending on the rights and obligations attributed to the
controlling parties by the respective agreement. If only rights to the net assets are involved, the joint arrangement is classified as a joint ven-
ture according to IFRS 11 and included at equity. If rights to the assets and obligations for the liabilities are involved, the joint arrangement
is classified as a joint operation according to IFRS 11 and included in the consolidated financial statements through line-by-line consolidation.
Associates – i. e. companies in which EVN AG can directly or indirectly exercise significant influence – are included at equity.
Subsidiaries, joint ventures and associates are not consolidated if their influence on EVN’s asset, financial and earnings position is consid-
ered to be immaterial, either individually or in total. These companies are reported at cost less any necessary impairment losses. The mate-
riality of an investment is assessed on the basis of the balance sheet total, the proportional share of equity, external revenue and annual
profit or loss as reported in the last available financial statements in relation to the respective Group totals.
Intragroup receivables, liabilities, income and expenses as well as interim profits and losses are eliminated unless they are immaterial. The
consolidation procedure for profit or loss includes the effects of income taxes as well as the recognition of deferred taxes.
4. Scope of consolidation
The scope of consolidation is determined in accordance with the requirements of IFRS 10. Accordingly, 29 domestic and 32 foreign subsidi-
aries (including the parent company EVN AG) were fully consolidated in the consolidated financial statements as of 30 September 2019
(previous year: 31 domestic and 32 foreign subsidiaries). A total of 19 subsidiaries (previous year: 21) were not consolidated due to their
immaterial influence on EVN’s asset, financial and earnings position, either individually or in total.
EVN AG is the sole limited partner of EVN KG and, as such, participates to 100.0% in the profit or loss of EVN KG. EnergieAllianz serves as
the general partner of EVN KG, but does not hold an investment in this company. The agreements concluded between the EnergieAllianz
shareholders for the management of EVN KG result in joint control. EVN KG is therefore classified as a joint venture in the sense of IFRS 11
and consolidated at equity. Contractual agreements also lead to the classification of the EnergieAllianz Group (EnergieAllianz and its sub-
sidiaries) as a joint venture in the sense of IFRS 11; the group is therefore included in the consolidated financial statements at equity.
RBG, a fully consolidated company in which EVN AG has an unchanged interest of 50.03%, holds a 100.0% stake in RAG. RAG is conso-
lidated at equity because contractual agreements prevent EVN from exercising control.
Bioenergie Steyr, in which EVN Wärme holds a stake of 51.0%, is included in EVN’s consolidated financial statements at equity because
contractual agreements exclude any possibility of control.
Verbund Innkraftwerke, Germany, in which EVN AG has an unchanged interest of 13.0%, is included at equity due to special contractual
arrangements that allow for the exercise of significant influence.
The criteria for control defined by IFRS 10 are not considered to be met in companies with an investment of 50.00%. These companies
are classified as joint ventures in the sense of IFRS 11 based on the respective contractual agreements and are therefore included in the
consolidated financial statements at equity.

An overview of the companies included in the consolidated financial statements is provided under EVN’s investments, starting on
page 217. Notes 47. Non-controlling interests and 63. Disclosures of interests in other entities provide detailed information on
the subsidiaries with major non-controlling interests as well as joint ventures and associates that are included in the consolidated financial
statements.
The scope of consolidation (including EVN AG as the parent company) developed as follows during the reporting year:
Changes in the scope of consolidation Full consolidation Line-by-line (joint operation) Equity Total
30.09.2017 63 1 17 81
Initial consolidation – – 1 1
Deconsolidation – – –2 –2
30.09.2018 63 1 16 80
Initial consolidation 1 – – 1
Deconsolidation –2 – – –2
Reorganisation1) –1 – – –1
30.09.2019 61 1 16 78
thereof foreign companies 32 1 5 38
1) Internal reorganisation
EVN Home DOO, Skopje, North Macedonia was initially included through full consolidation as of 1 July 2019. This newly founded sales
company took over deliveries to household customers and small business customers in the regulated sector of North Macedonia at the
beginning of July 2019.
The following companies were previously included through full consolidation, but were deconsolidated during the first quarter of 2018/19
because they are immaterial: EVN Umwelt Finanz- und Service GmbH, Maria Enzersdorf, and WTE Projektgesellschaft Natriumhypochlorit mbH,
Essen, Germany.
5. Foreign currency translation

All Group companies record their foreign currency business transactions at the average exchange rate in effect on the date of the relevant
transaction. Monetary assets and liabilities denominated in a foreign currency are translated at the average exchange rate on the balance
sheet date. Any resulting foreign currency gains or losses are recognised in profit or loss. The exchange rate applied to the initial recogni-
tion of an asset, expense or income is derived from the date on which a company initially recognises the related non-monetary asset or
non-monetary liability.
In accordance with IAS 21, the annual financial statements of Group companies that are prepared in a foreign currency are translated into
euros for inclusion in the consolidated financial statements. This translation is based on the functional currency method, under which the
assets and liabilities of companies not reporting in euros are converted at the average exchange rate on the balance sheet date and any
income and expenses are converted at the average annual rate. Unrealised currency translation differences from long-term Group loans
are recorded under the currency translation reserve in equity without recognition in profit or loss. Currency translation differences directly
recognised in equity resulted in an increase of EUR 10.8m in 2018/19 (previous year: EUR 2.1m) and include EUR –8.7m which were
reclassified from other comprehensive income to the consolidated statement of operations.
Additions and disposals are reported at the applicable average exchange rates in all tables. Changes in the average exchange rates
between the balance sheet date for the reporting year and the previous year as well as differences arising from the use of average
exchange rates to translate changes during the financial year are reported separately under currency translation differences in all tables.
152
Consolidated notes — Basis of consolidation
Goodwill resulting from the acquisition of foreign subsidiaries is recorded at the exchange rate in effect on the acquisition date. This
goodwill is subsequently allocated to the acquired company and translated at the exchange rate in effect on the balance sheet date.
When a foreign company is deconsolidated, any related currency differences are recognised in profit or loss.
The following key exchange rates were used for foreign currency translation:
Foreign currency translation 2018/19 2017/18

Exchange rate on the Exchange rate on the
Currency balance sheet date Average
1)
balance sheet date Average1)
Albanian lek 122.11000 123.80077 126.29000 129.88692

Bulgarian lev 2) 1.95583 1.95583 1.95583 1.95583
Croatian kuna 7.41100 7.41497 7.43460 7.44503
Hungarian forint 334.83000 323.84923 324.37000 316.56769
North Macedonian denar 61.49500 61.51280 61.49380 61.51948
Polish zloty 4.37820 4.30480 4.27740 4.24698
Russian rouble 70.75570 73.92941 76.14220 71.88993
Serbian denar 117.52830 118.05547 118.41790 118.53138
Czech koruna 25.81300 25.75438 25.73100 25.63185
1) Average on the last day of each month
2) The exchange rate was determined by Bulgarian law.

Accounting policies
6. Intangible assets
Acquired intangible assets are recognised at acquisition cost less straight-line amortisation and any impairment losses, unless their useful
life is classified as indefinite. Assets with a determinable limited useful life are amortised on the basis of that expected useful life, which
equals three to eight years for software and three to 40 years for rights. Customer relationships capitalised in connection with a business
acquisition, which have a determinable useful life because of potential market liberalisation, are amortised on a straight-line basis over
five to 15 years. The expected useful lives and amortisation curves are determined by estimating the timing and distribution of cash
inflows from the corresponding intangible assets over time. Intangible assets with an indefinite useful life are measured at cost and tested
annually for impairment (see note 21. Procedures and effects of impairment tests).
Internally generated intangible assets must meet the requirements of IAS 38 in order to be capitalised. This standard distinguishes
between research and development expenses.
Service concessions that meet the requirements of IFRIC 12 are classified as intangible assets. Expenses and income are recognised
according to the percentage of completion-method at the fair value of the compensation received. The percentage of completion is
assessed according to the cost-to-cost method. The requirements defined in IFRIC 12 are in particular currently met by the Ashta hydro-
power plant as well as the sewage treatment plant project in Zagreb, both of which are included at equity.
7. Property, plant and equipment

Property, plant and equipment are carried at acquisition or production cost less scheduled straight-line depreciation and any necessary
impairment losses. The acquisition or production cost also includes the estimated expenses for demolition and disposal if there is an obli-
gation to decommission or demolish the plant and equipment or to restore property at the end of the asset’s useful life. The present value
of the estimated demolition and/or disposal costs is capitalised along with the acquisition or production cost and also recognised as a lia-
bility (provision). Production costs for internally generated fixed assets include appropriate material and manufacturing overheads in addi-
tion to direct material and labour costs.
Ongoing maintenance and repairs to property, plant and equipment are recognised in profit or loss, provided this work does not change
the nature of the asset or lead to additional future benefits. If these measures enhance the value of the respective asset, the related
expenses must be capitalised retroactively as part of the acquisition or production cost.
If the construction of property, plant and equipment continues over an extended period of time, these items are classified as “qualifying
assets”. The borrowing costs incurred during the construction period are then capitalised as a part of the production cost in accordance
with IAS 23. In keeping with EVN’s accounting policies, a project gives rise to a qualifying asset only if construction takes at least
twelve months.
Property, plant and equipment are depreciated from the time they are available for use. Depreciation for property, plant and equipment
subject to wear and tear is calculated on a straight-line basis over the expected useful life of the relevant asset or its components. The
expected economic and technical life is evaluated at each balance sheet date and adjusted if necessary.
154
Consolidated notes — Accounting policies
Straight-line depreciation is based on the following useful lives, which are uniform throughout the Group:
Expected useful life of property, plant and equipment Years

Buildings 10 – 50
Transmission lines and pipelines 15 – 50
Machinery 10 – 50
Meters 5 – 40
Tools and equipment 3 – 25
When property, plant and equipment are sold, the acquisition or production cost and accumulated depreciation are reported as a disposal.
The difference between the net proceeds from the sale and the carrying amount are recognised in other operating income or expenses.
8. Investments in equity accounted investees

Investments in equity accounted investees are initially recognised at cost. In subsequent periods, the carrying amounts of these invest-
ments are adjusted by the share of profit or loss attributable to EVN, less any dividends received, and by EVN’s share of other comprehen-
sive income and any other changes in equity. Investments accounted for according to the equity method are tested for impairment in
accordance with IAS 36 if there are any indications of a loss in value (see note 21. Procedures and effects of impairment tests).
The share of results from equity accounted investees with operational nature is reported as part of results from operating activities (EBIT).
The share of results from equity accounted investees with financial nature is reported as part of financial results (see notes 29. Share of
results from equity accounted investees with operational nature, 31. Financial results and 63. Disclosures of interests in
other entities).
9. Financial instruments
A financial instrument is a contract that gives rise to a financial asset in one company and a financial liability or an equity instrument in
another company.
Primary financial instruments

Primary financial instruments are measured in accordance with the rules defined by IFRS 9. Initial recognition is based on fair value as of
the settlement date, including transaction costs, unless the financial instruments are recognised at fair value through profit or loss. Primary
financial instruments are recognised in the consolidated statement of financial position when EVN is contractually entitled to receive pay-
ment or other financial assets from another party.
Following the initial application of IFRS 9, EVN has classified its financial assets under the following measurement categories since
1 October 2018:
• Fair value through other comprehensive income (FVOCI)
• Fair value through profit or loss (FVTPL)
• At amortised cost (AC)
The classification of financial assets on initial recognition is based on the business model and the characteristics of the contractual cash flows.
A financial asset is classified at amortised cost (AC) when it is held to collect contractual cash flows and these cash flows consist entirely
of interest and principal payments on the outstanding amount. EVN holds loans receivable, trade receivables, remaining other non-current
assets, cash on hand and cash at banks within the framework of a business model whose objective is to collect contractual cash flows.
Consequently, the cash flow criterion is also met and the financial assets are classified at amortised cost (AC).

The non-current and current securities held by EVN are held within a business model whose objective is neither to collect contractual
cash flows nor to collect contractual cash flows and to sell financial assets. These securities are classified at fair value through profit
or loss (FVTPL). Derivative financial assets (outside hedge accounting) must be classified at fair value through profit or loss (FVTPL)
(see Derivative financial instruments).
Investments in equity instruments are generally measured at fair value through profit or loss (FVTPL). However, EVN decided, at the time
IFRS 9 was initially applied, to exercise the “FVOCI option” provided by IFRS 9.5.7.5 and classify all its equity instruments irrevocably at
fair value through other comprehensive income (FVOCI).
Financial liabilities are still classified under the following measurement categories:
• Fair value through profit or loss (FVTPL)
• At amortised cost (AC)
Subsequent measurement is based on the classification to the measurement categories listed above and the rules applicable to the
individual categories. These rules are described in the notes to the individual items on the consolidated statement of financial position.
The introduction of IFRS 9 led to the application at the time of initial recognition of the expected credit loss model (ECL) to debt instruments
carried at amortised cost, debt instruments measured at FVOCI, lease receivables and contractual assets as defined in IFRS 15. Under the
ECL model, impairment losses are not only recognised for losses which have already occurred but also for expected future credit losses.
The related classification is based on a three-stage impairment model. When a financial asset is initially recognised, a loss allowance must
be determined for the credit losses expected to occur within one year (risk category 1). Any significant deterioration in the debtor’s credit
standing leads to the extension of this timeframe to the full term of the financial asset (risk category 2). An impaired credit standing or
actual default by the debtor results in reclassification to risk category 3. The criteria for the transfer between risk categories are based on
EVN’s internal rating system.
EVN determines the expected future credit loss by multiplying the “probability of default (PoD)” with the carrying amount of the financial
asset “exposure at default (EAD)“ and the actual loss resulting from customer default “loss given default (LGD)“.
In contrast to the above-mentioned ECL model, the simplified approach does not include the measurement of the twelve-month expected
credit loss but only the lifetime expected credit loss. A simplified approach must be applied to trade receivables and IFRS 15 contractual
assets without a significant financing component. An option is also available to apply the simplified approach to trade receivables and
IFRS 15 contractual assets with a significant financing component. EVN uses this option. The option to apply the simplified approach to
IAS 17 and IFRS 16 lease receivables is not applied.
EVN uses the practical expedient defined by IFRS 9B5.5.35 for trade receivables and measures the expected credit loss with a provision
matrix (also see note 13. Trade and other receivables).
Derivative financial instruments

The main instruments used by EVN to manage and limit existing exchange rate and interest rate risks in the financial sector are foreign
currency and interest rate swaps. EVN uses swaps, futures and forwards to limit energy sector risks arising from changes in commodity
and product prices as well as changes related to electricity transactions.
The forward and futures contracts concluded by EVN for the purchase or sale of electricity, natural gas and CO2 emission certificates serve
to hedge the purchase prices for expected electricity and natural gas deliveries or CO2 emission certificates as well as the selling prices for
planned electricity production. If physical delivery is based on the expected procurement, sale or usage requirements, the criteria for the
so-called “own use exemption” under IFRS 9 are met. The contracts are then not considered derivative financial instruments in terms of
156
IFRS 9, but represent pending purchase and sale transactions, which must be assessed for possible impending losses from pending
transactions in accordance with IAS 37. If the requirements for the own use exemption are not met – for example, by transactions for
shortterm optimisation – the contracts are recorded as derivatives in accordance with IFRS 9. Corresponding expenses and income
from such derivative financial instruments are reported under results from operating activities.
Derivative financial instruments are recognised at fair value, which generally reflects the acquisition cost, when the respective contract is
concluded and measured at fair value in subsequent periods. The fair value of derivative financial instruments is determined on the basis
of quoted market prices, information provided by banks or discounting-based valuation methods whereby the counterparty risk is also
included. Derivative financial instruments are reported as other (current or non-current) assets or other (current or non-current) liabilities.
EVN has designated part of the listed derivatives as hedges within the framework of hedge accounting. The requirements defined by
IFRS 9 for this designation include, among others, an approved underlying transaction or hedging instrument, the formal designation and
documentation of the hedge relationship, an economic relationship between the underlying transaction and the hedge as well as an
appropriately documented hedging strategy.
The accounting treatment of the changes in the fair value of derivatives used for hedging purposes depends on the type of the hedging
transaction.
Cash flow hedges are used to hedge interest rate risks arising from financial liabilities.
The effective portions of the gains and losses arising from the fair value measurement of derivative financial instruments classified as cash
flow hedges according to IFRS 9 are recorded as part of the valuation reserve under other comprehensive income without recognition
in profit or loss, taking into account deferred tax liabilities/assets. The ineffective portion is immediately recognised in profit or loss. The
cumulative amount recognised in equity remains in other comprehensive income and is transferred as a reclassification adjustment from
equity to profit or loss in the same period or periods in which the hedged transaction actually affects profit or loss, or is no longer
expected to occur. The maturity of the hedging instrument is coordinated with the occurrence of the future transaction.
Fair value hedges are used to hedge currency risks.
Derivative financial instruments classified as fair value hedges under IFRS 9 serve to hedge recognised assets or liabilities against the risk of
a change in fair value. For fair value hedges, the recognition in profit or loss includes the change in the fair value of the derivative as well
as the contrasting change in the fair value of the underlying transaction, as far as it reflects the hedged risk. The related earnings are gen-
erally reported under the same position in the consolidated statement of operations as the underlying transaction. Changes in the value
of the hedges are essentially offset by the changes in the value of the hedged transactions.
The derivatives used by EVN for hedging purposes constitute effective protection. The changes in the fair value of these derivatives are
generally offset by compensating changes in the underlying transactions.
10. Other investments

Other investments include, among others, shares in associated companies which are not included in the consolidated financial statements
due to immateriality. These shares are recorded at cost less any necessary impairment losses. The remaining other investments were classi-
fied irrevocably at fair value through other comprehensive income (“FVOCI option”) in accordance with IFRS 9.5.7.5 following the intro-
duction of IFRS 9. The fair value of these investments is based on available information and derived from market quotations, discounted
cash flow calculations or the multiplier method. The measurement and deconsolidation results from these equity instruments are recorded
under other comprehensive income. Dividends received are still reported on the consolidated statement of operations under income from
investments, despite the use of this option (also see note 31. Financial results).

11. Other non-current assets
Securities recorded under other non-current assets are initially recognised as FVTPL. These assets are recorded at fair value as of the acqui-
sition date and subsequently measured at fair value as of the balance sheet date. Changes in fair value are recognised in the consolidated
statement of operations.
Loans receivable are classified as AC, whereby the carrying amount on the acquisition date corresponds to the fair value. These loans are
subsequently measured at amortised cost in keeping with the effective interest rate method and also reflect any necessary impairment
losses.
Lease receivables arise from the international project business in the Environment Segment. They are classified as finance leases according
to IAS 17 in conjunction with IFRIC 4.
Receivables arising from derivative transactions are recognised at their fair values. Gains and losses arising from changes in the fair value
of derivative financial instruments are either recognised in profit or loss in the consolidated statement of operations or in other compre-
hensive income (see note 9. Financial instruments).
The measurement of the remaining non-current assets is based on acquisition or production cost or the lower net realisable value on the
balance sheet date.
12. Inventories
The measurement of inventories is based on acquisition or production cost or the lower net realisable value as of the balance sheet date.
For marketable inventories, these values are derived from the current market price. For other inventories, these figures are based on the
expected proceeds less future production costs. Risks arising from the length of storage or reduced marketability are reflected in experi-
ence-based reductions. The moving average price method is used to determine the consumption of primary energy inventories as well as
raw materials, auxiliary materials and fuels.
13. Trade and other receivables

Current receivables are generally recorded at amortised cost, which equals the acquisition cost less impairment losses for the components
of the receivables that are expected to be uncollectible. EVN applies the practical expedient provided by IFRS 9B5.5.35 to trade receiv-
ables and determines the expected credit loss with a provision matrix. The input factors for the matrix include analyses of default incidents
in previous financial years based on different regional characteristics for the core markets. The expected credit losses determined by the
matrix are ranked by the time (over)due based on historical default rates and subsequently written off through profit or loss. The compiled
information is reviewed annually, and the default rates are adjusted if necessary. All other receivables are accounted for in accordance
with the ECL model (also see note 9. Financial instruments).
Amortised costs, less any applicable impairment losses, can be considered appropriate estimates of the current value because the remain-
ing term to maturity is generally less than one year.
Exceptions to the above procedure are receivables arising from derivative transactions which are recognised at fair value, and foreign cur-
rency items, which are measured at the exchange rates in effect on the balance sheet date.
14. Securities
Current securities are classified as FVTPL and measured at their fair value. Changes in fair value are recognised in the consolidated state-
ment of operations.
15. Cash and cash equivalents

Cash and cash equivalents include cash on hand and demand deposits. Cash balances in foreign currencies are translated at the exchange
rate in effect on the balance sheet date.
158
16. Equity
In contrast to borrowings, equity is defined by the IFRS framework as the “residual interest in the assets of an entity after deducting all of
its liabilities”. Equity is thus the residual value of a company’s assets and liabilities.
Treasury shares held by EVN are not recognised as securities pursuant to IAS 32, but are instead reported at their (repurchase) acquisition
cost and offset against equity. Any profit or loss resulting from the resale of treasury shares relative to the acquisition cost increases or
decreases capital reserves.
The items recorded under other comprehensive income include certain changes in equity that are not recognised through profit or loss as
well as the related deferred taxes. For example, this position contains the currency translation reserve, valuation results from equity instru-
ments (FVOCI), the effective portion of changes in the fair value of cash flow hedges as well as all remeasurements according to IAS 19.
This item also includes the proportional share of gains and losses recognised directly in equity accounted investees.
17. Provisions
Personnel provisions
The projected unit credit method is used to determine the provisions for pensions and similar obligations as well as severance payments.
The expected pension payments are distributed according to the number of years of service by employees until retirement, taking
expected future increases in salaries and pensions into account.
The amounts of the provisions are determined by an actuary as of each balance sheet date based on an expert opinion. The measurement
principles are described in note 50. Non-current provisions. All remeasurements – at EVN, only gains and losses from changes in actuarial
assumptions – are recognised under other comprehensive income in accordance with IAS 19.
The calculation of the provisions for pensions, as in the previous year, was based on the Austrian mortality tables “AVÖ 2018-P –
Rechnungsgrundlagen für die Pensionsversicherung”, which were issued by the Actuarial Association Austria (AVÖ) on 15 August 2018.
The applied interest rate is based on the market yields for first-class, fixed-interest industrial bonds as of the balance sheet date, whereby
the maturities of the benefits was taken into account.
The service cost added to the provision is reported under personnel expenses, while the interest component of the addition is included
under financial results.
Provisions for pensions and pension-related obligations

Under the terms of a company agreement, EVN AG is required to pay a supplementary pension on retirement to employees who joined
the company prior to 31 December 1989. This commitment also applies to employees who, within the context of the legal unbundling
agreement for the spin-off of the electricity and natural gas networks, are now employed by Netz NÖ. The amount of this supplementary
pension is based on performance as well as on the length of service and the amount of remuneration at retirement. EVN, in any case, and
the employees, as a rule, also make contributions to the umbrella pension fund VBV Pensionskasse AG (VBV) and the resulting claims are
fully credited toward pension payments. Therefore, EVN’s obligations toward both retired employees and prospective beneficiaries are
covered in part by provisions for pensions as well as by defined contribution payments on the part of VBV.
For employees who joined the company after 1 January 1990, the supplementary company pension was replaced by a defined contribu-
tion plan that is financed through VBV. VBV is responsible for the investment of the pension plan assets. Pension commitments were also
made to certain employees, which require EVN to pay retirement benefits under certain conditions.
Provisions for pension-related obligations were recognised for liabilities arising from the vested claims of current employees and the
current claims of retired personnel and their dependents to receive benefits in kind in the form of electricity and natural gas.

Provision for severance payments
Austrian corporations are required by law to make one-off severance payments to employees whose employment began before 1 Janu-
ary 2003 if they are dismissed, in case of dissolution of the employment relationship by mutual consent or when they reach the legal
retirement age. The amount of such payments is based on the number of years of service and the amount of the respective employee’s
remuneration at the time the severance payment is made.
Employees in Bulgaria and North Macedonia are entitled to severance payments on retirement, which are based on the number of years
of service. With regard to severance compensation entitlements, the other EVN employees are covered by similar social protection meas-
ures contingent on the legal, economic and tax framework of the country in which they work.
The obligation to make one-off severance payments to employees of Austrian companies whose employment commenced after
31 December 2002 has been transferred to a defined contribution plan. The payments to this external employee fund are reported under
personnel expenses.
Other provisions
The other provisions reflect all recognisable legal or factual commitments to third parties based on past events, where the amount of the
commitments and/or the precise starting point was still uncertain. In these cases, a reliable estimate of the amount of the obligation is
required. If a reliable estimate is not possible, a provision is not recognised. These provisions are recognised at the discounted settlement
amount. They are measured based on the expected value or the amount most likely to be incurred.
Risk-free, pre-tax interest rates are used for the discount rates. The risks and uncertainties related to the expected expenditures are
included in the estimates for the future cash flows.
The provisions for service anniversary bonuses required by collective wage and company agreements are measured using the same para-
meters as the provisions for pensions and similar obligations. A new regulation in the collective agreement for salaried employees of Aus-
trian utility companies entitles salaried employees whose employment relationship began after 31 December 2009 to a service anniversary
bonus equalling one month’s salary after 15, 20, 25, 30 and 35 years and to one-half month’s salary after 40 years. All remeasurements –
at EVN, only gains and losses from changes in actuarial assumptions – involving service anniversary bonuses are recognised through profit
or loss in accordance with IAS 19. The service cost added to the provision is reported under personnel expenses, while the interest compo-
nent of the addition is included under financial results.
Waste disposal and land restoration requirements resulting from legal and perceived commitments are recorded at the present value of
the expected future costs. Changes in the estimated costs or the interest rate are offset against the carrying amount of the underlying
asset. If the decrease in a provision exceeds the carrying amount of the asset, the difference is recognised through profit or loss. The
related depreciation is corrected in accordance with the residual carrying amount and depreciated over the remaining useful life. If the
asset has reached the end of its useful life, all subsequent changes to the provisions are recognised in profit or loss.
Provisions for onerous contracts are recognised at the amount of the unavoidable outflow of resources. This represents the lower of
the amount that would result from performance of the contract and any compensatory payments to be made in the event of non-
performance.
18. Liabilities
Liabilities are reported at amortised cost, with the exception of liabilities arising from derivative financial instruments or liabilities arising
from hedge accounting (see note 9. Financial instruments). Costs for the procurement of funds are considered part of amortised cost.
Non-current liabilities are discounted by applying the effective interest method.
160
With respect to financial liabilities, bullet loans and borrowings with a remaining term to maturity of over one year are classified as non-
current and items with a remaining term to maturity of less than one year are reported under current loans and borrowings (for informa-
tion on maturities see note 48. Non-current loans and borrowings).
If the fulfilment of a liability is expected within twelve months after balance sheet date, the liability is classified as current.
Network subsidies – which constitute payments made by customers to cover previous investments by EVN in the upstream network –
represent an offset to the acquisition cost of these assets. In the electricity and natural gas network business, they are related to supply
obligations by EVN. The granting of investment subsidies generally requires an operational management structure that complies with
legal requirements and has been approved by the authorities.
Network and investment subsidies represent an offset to the acquisition or production cost of the related asset and, in accordance with
the application of IAS 20 and IFRS 15, are recognised as liabilities. Network and investment subsidies are released on a straight-line basis
over the average useful life of the respective assets. The release of network subsidies from the regulated business is reported under other
operating income, while comparable items from the non-regulated business are reported under revenue (also see notes 2. Reporting in
accordance with IFRS and 19. Revenue recognition).
19. Revenue recognition

IFRS 15 provides a five-step model for the recognition and measurement of revenue from contracts with customers. Under this model, revenue
from contracts with customers is recognised when control over a good or service is transferred to the customer. A determination must
therefore be made when a contract is concluded as to whether the resulting revenue should be recognised at a specific point in time or
over time.
Revenue in the EVN Group results primarily from the sale (energy deliveries) and distribution (network utilisation/network services) of
electricity, natural gas, heat and water to industrial, household and commercial customers. The EVN Group also generates revenue from
waste utilisation, telecommunications and the international project business. The provision of goods and services by the EVN Group
generally takes place over a specific time period, and revenue is therefore recognised over time.
The major services are described below:
Energy deliveries
Revenue results primarily from the transfer of electricity, natural gas, heat and water. Since the customer uses these services as they are
provided, revenue is recognised over time. Revenue is recognised at an amount that reflects the services provided and entitled to be
invoiced by EVN. In particular for household customers who only receive one invoice per year, the variable consideration is determined
by extrapolating the energy consumption based on usage profiles and current temperature trends. The payment terms for energy deliver-
ies generally represent 14 days. There is no significant financing component.
Network utilisation and services

EVN supplies electricity, natural gas, heat and water to its customers within the framework of network usage. The related performance
obligation lies, above all, in the continuous provision and availability of energy through the network infrastructure. Revenue from these
services is also recognised over time and when the services are provided, as described above. The payment terms for network usage gen-
erally represent 14 days. There is no significant financing component.

Network subsidies constitute payments made by customers to cover previous investments by EVN in the upstream network, to the extent
they represent compensation for granting usage or purchase rights. Network subsidies in the regulated electricity and natural gas business,
where the regulator determines the amount and underlying reason, are recognised as liabilities in accordance with IAS 20 and reported,
as in the past, under other operating income as income from the reversal of deferred income from network subsidies. The network subsi-
dies for all other areas are recorded as non-refundable advance payments (liabilities) in accordance with IFRS 15 and have been released
to profit or loss under other revenue since 2018 /19 (also see note 2. Reporting in accordance with IFRS).
International project business

Revenue from the international project business is also recognised in accordance with the percentage of completion as defined by
IFRS 15. Projects are characterised by individual contract conditions with fixed prices and payments which follow a fixed schedule. If the
construction services provided exceed the amount of the payment, a contract asset is recognised. If the payments are higher than the
construction services provided, a contract liability is recorded. The percentage of completion is determined by the cost-to-cost method,
which calls for the recognition of revenue and contract results in relation to actually incurred production costs as a per cent of the
expected total costs. Reliable estimates of the total costs for the contracts, selling prices and incurred costs are available. Any changes in
the estimated total contract costs and possible resulting losses are recognised in profit or loss in the period incurred. The technological
and financial risks which could occur during the remaining term of a project are included through individual estimates and an appropriate
amount is added to the expected total costs. Impending losses from the valuation of projects not yet invoiced are expensed immediately.
These losses are realised when it is probable that the total contract costs will exceed the contract revenue.
Other
EVN also generates revenue from telecommunications, waste utilisation and energy services. Most of the related contracts include services
which are consumed by the customer as they are provided, and this revenue is also recognised over time. Revenue from waste utilisation
is recognised at a point in time.
Interest income is recorded pro rata temporis using the effective interest rate applicable to the particular asset. Dividends are recognised
when a legal entitlement to payment arises.
The costs for obtaining contract are expensed as incurred if the amortisation period for the related asset equals one year or loss. Signifi-
cant financing components are not included when the period between the transfer to the customer of the promised good or service and
payment by the customer is less than one year.
Significant judgments related to revenue recognition

Consumption-based fees for energy deliveries and network utilisation represent variable consideration, which is determined according
to the expected value method defined by IFRS 15.53a. Meter-reading dates are spread over the entire year, especially for household
customers with rolling invoices. The volumes of energy consumed during the period between the last meter-reading and the balance
sheet date must be extrapolated with statistical methods and therefore estimated. The procedure used by EVN assigns each customer to
a standard consumption profile in the form of an annual consumption curve for electricity and/or natural gas and extrapolates each cus-
tomer individually.
In the international project business, the percentage of completion is decisive for the recognition of revenue. Progress on the respective
projects is determined by an input-based method (cost-to-cost method). This method requires numerous estimates and judgmental deci-
sions, above all for the identification of incurred costs, total contract costs and realisable contract revenue as well as the related contract
risks (technical, political and financial risks). These estimates are reviewed regularly and adjusted if necessary.
20. Income taxes and deferred taxes

The income tax expense reported in the consolidated statement of operations comprises the current income tax expense for fully conso-
lidated companies, which is based on their taxable income and the applicable income tax rate, as well as the change in deferred tax assets
and deferred tax liabilities.
162
The following income tax rates were applied in calculating current income taxes:
Corporate income tax rates

% 2018/19 2017/18
Country of residence
Austria 25.0 25.0
Albania 15.0 15.0
Bulgaria 10.0 10.0
Germany – Environment 30.3 30.3
Germany – Generation 34.0 34.0
Estonia1) 20.0 20.0
Croatia 18.0 18.0
Kuwait 15.0 15.0
Lithuania 15.0 15.0
Montenegro 9.0 9.0
Poland 19.0 19.0
Romania 16.0 16.0
Russia 20.0 20.0
Serbia 15.0 15.0
Slovenia 19.0 19.0
Czech Republic 19.0 19.0
Cyprus 12.5 12.5
1) Taxes on corporate profits are levied when dividends are paid to the shareholders. Retained earnings are not taxed.
EVN utilised the corporate tax group option through the formation of one such tax group as of 30 September 2019 (previous year: one).
NÖ Landes-Beteiligungsholding GmbH, St. Pölten, serves as the head of this group, which includes EVN AG as a member. A group and tax
settlement contract was concluded for this purpose. EVN also has the right to designate other corporate entities as members of this tax
group.
The taxable profit of the companies belonging to this group is attributable to EVN AG, which calculates combined results based on the
attributed taxable profit. The contract calls for the payment of a positive tax charge, which is based on the stand-alone method, when the
aggregated results are positive. If the aggregated results are negative, the tax losses are kept on record and offset against future positive
results. The related disclosures are reported under income taxes. The transfer of losses from foreign subsidiaries within group taxation
leads to the recognition of a liability equal to the nominal amount of the future corporate income tax obligation.
As an offset for the transferred taxable results, the tax group contracts include a tax charge that is based on the stand-alone method.
Transferred tax losses are kept on record as internal loss carryforwards for the respective tax group members and offset against future
positive earnings. Exceptions to this procedure are the contracts concluded with the group members WEEV Beteiligungs GmbH in liquida-
tion and Burgenland Holding, which call for a negative tax charge for these two companies if their taxable results are negative and the
group’s total results are positive. In other cases, the loss is recorded as an internal loss carryforward and refunded in later years in the
form of a negative tax charge as soon as it is covered by positive earnings.
Future changes in the tax rate are taken into account if the relevant law has been enacted by the time the consolidated financial state-
ments are prepared.

Deferred taxes are calculated according to the liability method at the tax rate expected when short-term differences are reversed.
Deferred tax assets and deferred tax liabilities are calculated and recognised for all temporary differences (i. e. the differences between the
carrying amounts in the consolidated financial statements and the annual financial statements prepared for tax purposes that will balance
out in the future).
Deferred tax assets are recognised only if it is probable that there will be sufficient taxable income or taxable temporary differences to
utilise these items. Tax loss carryforwards are recognised as deferred tax assets. Deferred tax assets and deferred tax liabilities are pre-
sented as a net amount in the consolidated financial statements if there is a legal right and intention to offset these items.
An audit of the entire tax group by the fiscal authorities is currently in progress and should be concluded in the coming weeks. Appropriate
provisions have been recognised for the resulting risks.
21. Procedures and effects of impairment tests

EVN carries out its impairment tests in accordance with the rules defined by IAS 36. Property, plant and equipment and intangible assets,
including goodwill, are tested for impairment when there are internal or external indications of a loss in value. Intangible assets with an
indefinite useful life and goodwill are tested at least once each year for signs of impairment.
The impairment testing of goodwill and assets for which no expected future cash flows can be identified is based on an assessment of the
respective cash-generating unit (CGU). The decisive criterion used by EVN to classify a generation unit as a CGU is the technical and com-
mercial ability to generate independent revenue. In the EVN Group, this definition applies to the electricity and heat generation plants, elec-
tricity, natural gas and water distribution systems, wind parks, electricity procurement rights, telecommunications networks and facilities in
the environmental services business.
The value in use is calculated in accordance with the rules defined by IAS 36. Due to the long-term nature of investments in generation
equipment, EVN uses cash flow forecasts that reflect the economic useful life of the equipment. The impairment testing of hydropower
plants generally assumes the renewal of the concession and, consequently, perpetual operation at the respective location. For generation
equipment, the detailed planning period of four years is followed by a general planning period up to the end of the asset’s economic
useful life. However, this general planning period is limited to the availability of external forecasts for electricity prices (currently 2040).
The fair value less costs of disposal is basically calculated in accordance with the fair value measurement hierarchy defined in IFRS 13.
Since it is generally not possible to derive market values for the CGUs and assets of EVN under evaluation, the fair value is estimated in
accordance with level 3 in the fair value hierarchy. The fair value less costs of disposal for a CGU is calculated with a WACC-based dis-
counted cash flow method, which is conceptually similar to the value in use procedure, but includes adjustments to the parameters in the
DCF model to reflect a market participant’s viewpoint.
The calculation of the fair value less disposal costs and the value in use is based on the future cash inflows and outflows which are basically
derived from internal medium-term forecasts. The cash flow forecasts are based on the latest financial plans approved by management.
The assumptions for the future development of electricity prices are derived from the quotations on the futures market of the European
Energy Exchange AG, Leipzig, Germany. For the period extending beyond this time, an average is developed (50:50) from the forecasts
issued by two well-known information service providers in the energy sector. This average is intended to present a balanced picture of the
future development of electricity prices. Valuation is based on the most realistic price forecasts by the two information service providers,
and therefore fully reflects the risks that could influence electricity prices in the future.
A weighted average cost of capital which includes the deduction of income tax (WACC) is used as the discount rate. The equity compo-
nent of the WACC reflects the risk-free interest rate, a country-specific premium plus a risk premium that incorporates the market risk
and an appropriate beta coefficient based on peer group capital market indicators. The debt component of the WACC equals the basis
interest rate plus a country-specific premium and a risk premium that reflects EVN’s rating. The equity and debt components are weighted
according to a capital structure that is appropriate for the CGU based on peer group data at market values. The resulting WACC is used to
discount the cash flows in the respective CGU.
164
For the purpose of estimating the recoverable amount, EVN initially assesses the value in use. In cases where this amount is lower than
the carrying amount of the asset, or the CGU, the fair value less costs of disposal is calculated if necessary.
22. Accounting estimates and forward-looking statements

The preparation of the consolidated financial statements in accordance with generally accepted IFRS accounting methods requires esti-
mates and assumptions that have an effect on the assets, liabilities, income and expenses reported in the consolidated financial state-
ments and on the amounts shown in the notes. The actual values may differ from these estimates. The assumptions and estimates are
reviewed on a regular basis.
In particular, the following assumptions and estimates can lead to significant adjustments in the carrying amounts of individual assets and
liabilities in future reporting periods.
Impairment tests require estimates, especially for future cash surpluses. A change in the general economic, industry or company environ-
ment may reduce cash surpluses and therefore lead to signs of impairment. The weighted average cost of capital (WACC) is used to deter-
mine the recoverable amounts based on capital market methods. The WACC represents the weighted average interest paid by a company
for equity and debt. The weighting applied to the interest on the equity and debt components – which reflects a capital structure at
market values – was derived from an appropriate peer group. Given the current volatility on the financial markets, the development of the
cost of capital (and above all the country risk premiums) is monitored on a regular basis (see note 21. Procedures and effects of
impairment tests).
For the valuation of the generation portfolio, the price structure beginning with the fifth year (when predictable market prices are no
longer available on the electricity exchanges) was based on average forecasts from two well-known market research institutes and infor-
mation service providers in the energy sector. The most recent studies, which are updated annually due to the current volatility on the
electricity markets, were used in each case. The following notes show the sensitivity of these assumptions for the largest CGUs, based on
the carrying amount, where a triggering event was identified and for which an impairment loss or reversal was recognised in the financial
statements: 34. Intangible assets, 35. Property, plant and equipment and 36. Investments in equity accounted investees.
The most important premises and judgmental decisions used to determine the scope of consolidation are described under note 4. Scope
of consolidation.
The World Bank’s International Centre for the Settlement of Investment Disputes issued its decision in the arbitration proceedings initiated
by EVN AG against the Republic of Bulgaria on 10 April 2019. The part of the claims in the arbitration proceedings which involved com-
pensation for obligations related to renewable energy was already settled in February 2017 through an offset between a Bulgarian subsid-
iary of EVN and the state-owned Bulgarian electricity company NEK. The arbitration decision issued in April 2019 did not award EVN AG
any additional compensation for its claims. EVN AG decided, after an appropriate legal analysis, not to pursue the very limited possibilities
for an appeal of the arbitration court’s decision and has closed the issue of legal proceedings against the Republic of Bulgaria. Therefore,
the arbitration proceedings have no further effect on EVN’s profit or loss or statement of financial position in 2018 /19.
EVN holds rights for Wien Energie to purchase electricity from Steag-EVN Walsum 10 Kraftwerksgesellschaft (SEK) through a contract
concluded in 2007 and charges fees for the delivery of this electricity. The end price includes a so-called “performance price 1“, which is
based primarily on the (not yet finally determined) investment costs for the Walsum 10 power plant. Wien Energie filed an arbitration
action suit against EVN on 24 May 2017 with the permanent arbitration court of the Vienna Chamber of Commerce to obtain a detailed
breakdown of this performance price 1. Wien Energie has also issued numerous instructions to EVN concerning the procedures related to
SEK, in particular regarding the enforcement of a financial clause. On 25 September 2017 EVN filed a counterclaim with the permanent
arbitration court of the Vienna Chamber of Commerce, requesting a decision that Wien Energie is not entitled to issue these types of
instructions. The action suit filed by Wien Energie as well as EVN’s counterclaim were upheld, and EVN has turned over the related docu-
ments to Wien Energie.

The valuation of the provisions for pensions, pension-related obligations and severance payments are based on assumptions for the dis-
count rate, retirement age and life expectancy as well as pension and salary increases. The adjustment of these parameters in future
periods can lead to valuation adjustments. Moreover, future changes in electricity and natural gas tariffs can lead to valuation adjustments
in the pension- related obligations (see note 50. Non-current provisions).
Assumptions and estimates are also required to determine the useful life of non-current assets (see notes 6. Intangible assets and
7. Property, plant and equipment) and the provisions for legal proceedings and environmental protection (see note 17. Provisions)
as well as estimates for other obligations and risks (see note 64. Other obligations and risks). In addition, it is necessary to make
assumptions and estimates for the valuation of receivables and inventories (see notes 12. Inventories and 13. Trade and other receiv-
ables) and for the recognition of revenue (see note 19. Revenue recognition). These estimates are based on historical data and other
assumptions considered appropriate under the given circumstances.
23. Principles of segment reporting

The identification of operating segments is based on the internal organisational and reporting structure and information prepared for
internal management decisions (the “management approach”). The Executive Board of the EVN Group (the chief operating decision-maker
as defined in IFRS 8) reviews internal management reports on each operating segment at least once each quarter. EVN has defined the
following operating segments: Generation, Energy, Networks, South East Europe, Environment and All Other Segments. This conforms in
full to the internal reporting structure. The assessment of all segment information is consistent with IFRS. EBITDA is used as an indicator
to measure the earning power of the individual segments. For each segment, EBITDA represents the total net operating profit or loss
before interest, taxes, amortisation of intangible assets and depreciation of property, plant and equipment for the companies included in
the segment, taking intragroup income and expenses into account (see note 58. Notes to segment reporting).
Notes to the consolidated statement of operations

24. Revenue
IFRS 15 was applied for the first time in 2018/19. Accordingly, revenue from contracts with customers is recognised when control over a
good or service is transferred to the customer. Consideration is recorded at the amount the company expects to receive for these goods
or services. From the current point of view, the application of IFRS 15 will have no material effects on the scope or timing of revenue
recognition for EVN’s core energy supply business (also see note 2. Reporting in accordance with IFRS).
The presentation of the income from the reversal of deferred income from network subsidies was adjusted in 2018 /19 (also see note
2. Reporting in accordance with IFRS).
In addition to revenue from contracts with customers, EVN generates other revenue from its ordinary business activities. This revenue is
presented separately in the following table:
Revenue
EURm 2018/19 2017/18
Revenue from contracts with customers 2,123.9 2,142.6
Other revenue 80.0 –63.9
Total 2,204.0 2,078.7
166
Consolidated notes — Accounting policies, Notes to the consolidated statement of operations
Other revenue consists primarily of revenue from the valuation of electricity derivatives.
The following tables show the revenue from contracts with customers classified by segment and product:
Revenue from contracts with customers by segment

EURm 2018/19 2017/18
Generation1) 131.8 71.4
Energy1) 489.3 526.9
Networks 469.8 489.6
South East Europe 909.9 902.0
Environment 1) 104.7 137.7
All Other Segments 18.4 15.0
Total 2,123.9 2,142.6
1) The comparative information was adjusted.
Revenue from contracts with customers by product

EURm 2018/19 2017/18
Electricity 1,504.4 1,523.0
Natural gas 181.5 190.4
Heat 146.0 136.1
Environmental services 104.7 136.9
Other1) 187.5 156.2
Total 2,123.9 2,142.6
EVN generally recognises revenue over time in its core business of energy supplies and deliveries as well as in the international project
business. An exception to this practice is the recognition of revenue by EVN Wärmekraftwerke GmbH in connection with the thermal
waste utilisation plant in Dürnrohr, where revenue is recognised at a specific point in time. The related revenue amounted to EUR 54.8m
in 2018 /19 (previous year: EUR 59.0m).
The following table shows the revenue which is expected to result from future performance obligations which had not been fulfilled, or
only fulfilled in part, by 30 September 2019.
Transaction prices allocated to remaining performance obligations

EURm
< 1 year 1 – 5 years > 5 years
Network subsidies 6.5 26.8 42.7

International project business 49.0 267.0 –
Total 55.2 291.5 55.0
EVN applies the practical expedient provided by IFRS 15.B16 when the respective requirements are met and recognises revenue at the
amount it is entitled to invoice. Moreover, contracts for electricity and natural gas deliveries as well as contracts for network utilisation in
the household customer business are concluded for an indefinite period. The customer has a unilateral right to terminate the contracts at
any time. As a result, EVN does not have a contractual right to transfer the related performance obligations or to receive consideration.
EVN therefore uses the practical expedients provided by IFRS 15.121 and does not disclose any information on the remaining performance
obligations.

25. Other operating income
Other operating income

EURm 2018/19 2017/18
Income from the reversal of deferred income from network subsidies1) 44.5 41.8
Own work capitalised 24.5 20.8
Change in work in progress 15.0 8.5
Insurance compensation 7.9 3.2
Rental income 3.1 3.4
Income from the disposal of intangible assets and property, plant and equipment 3.1 0.7
Miscellaneous other operating income 19.6 20.6
Total 117.8 98.9
Miscellaneous other operating income consists, above all, of bonuses, subsidies and services that are not related to business activities.
26. Cost of materials and services
Cost of materials and services

EURm 2018/19 2017/18
Electricity purchases from third parties and primary energy expenses 1,081.3 961.3
Third-party services and other materials and services 280.3 275.1
Total 1,361.6 1,236.4
The expenses for electricity purchases from third parties and primary energy carriers consist primarily of the costs for electricity, natural
gas, hard coal and biomass. Also included here are costs of EUR 17.9m (previous year: EUR 20.5m) for the purchase of additional CO2
emission certificates during the reporting period due to the insufficient allocation of free certificates.
Third-party services and other materials and services were related primarily to the project business in the Environment Segment as well
as services for the operation and maintenance of plants. This position also includes costs directly attributable to the required services.
27. Personnel expenses
Personnel expenses
EURm 2018/19 2017/18
Salaries and wages 261.4 250.0
Severance payments 4.3 4.5
Pension costs 10.0 6.7
Compulsory social security contributions and
payroll-related taxes 55.6 53.3
Other employee-related expenses 7.5 7.2
Total 338.7 321.7
Personnel expenses included contributions of EUR 6.8m (previous year: EUR 6.6m) to VBV Pensionskasse as well as contributions of
EUR 1.3m (previous year: EUR 1.1m) to employee pension funds.
168
Consolidated notes — Notes to the consolidated statement of operations
The average number of employees was as follows:
Employees by segment 1) 2018/19 2017/18

Generation 252 250
Networks 1,255 1,232
Energy 304 307
South East Europe 4,126 4,121
Environment 432 384
All Other Segments 539 536
Total 6,908 6,831
1) Average for the year
The average number of employees comprised 97.5% salaried and 2.5% wage employees (previous year: 97.3% salaried and 2.7% wage
employees), whereby no distinction is made between salaried and wage employees in Bulgaria and North Macedonia. Wage employees
are therefore counted together with salaried employees in these countries.
28. Other operating expenses
Other operating expenses

EURm 2018/19 2017/18
Business operation taxes and duties 18.9 18.1
Legal and consulting fees, expenses related to process risks 15.9 13.3
Transportation and travelling expenses, automobile expenses 12.6 12.2
Advertising expenses 11.9 13.0
Maintenance 10.5 9.2
Insurance 10.1 9.9
Telecommunications and postage 9.5 9.0
Rents 8.0 7.3
Employee training 2.5 2.3
Write-up/write-off of receivables –1.3 17.6
Miscellaneous other operating expenses 21.6 23.8
Total 120.2 135.7
The position legal and consulting fees, expenses related to process risks also contains changes in the provision for process costs and risks.
Rents also include the changes in the provisions for network access fees in Bulgaria.
The change in the write-up and write-off of receivables resulted, on the one hand, from the absence of individual bad debt allowances
recorded in the previous year and, on the other hand, from the payment of previously written off receivables totalling EUR 4.3m in the
South East Europe Segment.
Miscellaneous other operating expenses include environmental protection expenses, fees for monetary transactions, licenses, membership
fees and administrative and office expenses.

29. Share of results from equity accounted investees with operational nature
Share of results from equity accounted investees with operational nature

EURm 2018/19 2017/18
EVN KG –36.2 114.3
RAG 32.6 39.8
Energie Burgenland 12.2 11.6
ZOV; ZOV UIP 13.9 10.1
Verbund Innkraftwerke 96.3 6.3
Other companies 11.5 5.8
Total 130.5 188.0
The share of results from equity accounted investees with operational nature (see note 63. Disclosures of interests in other entities)
is reported as part of the results from operating activities (EBIT).
The share of results from equity accounted investees with operational nature consists primarily of earnings contributions, impairment
losses recognised to assets capitalised in connection with acquisitions and other necessary impairment losses and write-ups (see note
36. Investments in equity accounted investees).
The share of results from equity accounted investees with operational nature fell to EUR 130.5m in 2018 /19 (previous year: EUR 188.0m).
This decline was based on a lower earnings contribution from RAG and, above all, on the development of business at EVN KG. Sales
activities at EVN KG were negatively influenced by higher wholesale prices and the resulting increase in procurement costs as well as the
negative valuation of hedges as of the balance sheet date.
The positive earnings contribution from Verbund Innkraftwerke resulted primarily from a write-up of EUR 92.2m which followed an
improvement in forward electricity quotations and a reduction in the WACC (also see note 36. Investments in equity accounted
investees).
30. Depreciation and amortisation and effects from impairment tests

The procedure used for impairment testing is described as part of the disclosures on accounting policies under note 21. Procedures and
effects of impairment tests.
Depreciation and amortisation and effects from impairment tests by items of

the consolidated statement of financial position
EURm 2018/19 2017/18
Intangible assets 14.9 13.3
Property, plant and equipment 275.5 291.8
Write-up of intangible assets –42.1 –10.3
Write-up of property, plant and equipment –20.2 –16.0
Total 228.2 278.9
Depreciation and amortisation and effects from impairment tests

EURm 2018/19 2017/18
Scheduled depreciation and amortisation 269.8 258.3
Effects from impairment tests (impairment)1) 20.6 46.9
Effects from impairment tests (reversal of impairment)1) –62.3 –26.3
Total 228.2 278.9
1) For details, see notes 34. Intangible assets and 35. Property, plant and equipment
170
Consolidated notes — Notes to the consolidated statement of operations
31. Financial results
Financial results
EURm 2018/19 2017/18
Income from investments
e&i EDV Dienstleistungsgesellschaft m.b.H. – 0.1
Share of results from equity accounted investees with financial nature – 0.1
Dividend payments 23.0 21.1
thereof CEESEG AG 0.9 1.2
thereof Verbund AG 18.4 18.4
thereof Verbund Hydro Power GmbH 1.0 1.0
thereof other companies 2.6 0.4
Write-down/Disposals 0.2 –1.0
Results from other investments 23.2 20.1
Total income from investments 23.3 20.2
Interest results
Interest income on financial assets 5.0 6.5
Other interest income 3.1 4.2
Total interest income 8.1 10.7
Interest expense on financial liabilities –41.3 –43.8
Interest expense personnel provisions –7.3 –7.2
Other interest expense –2.9 –3.0
Total interest expense –51.5 –54.0
Total interest results –43.4 –43.3
Other financial results

Results from changes in exchange rates and the disposal of non-current financial assets 2.2 –1.8
Results from changes in exchange rates and the disposal of current financial assets –1.4 –0.0*)
Currency gains/losses –7.9 –10.5
Other financial results –2.8 –1.8
Total other financial results –9.8 –14.0
Financial results –29.9 –37.2
*) Small amount
The share of results from equity accounted investees with financial nature (see note 63. Disclosures of interests in other entities) is
reported as part of financial results.
Interest income on financial assets includes interest from investment funds that focus chiefly on fixed-interest securities as well as the
interest component from the lease business. Other interest income generally relates to income from cash and cash equivalents and from
securities recorded under current financial assets. The interest income on assets, which was calculated according to the effective interest
method, totalled EUR 5.8m (previous year: EUR 8.7m).
Interest expense on financial liabilities represents regular interest payments on issued bonds and bank loans. Other interest expense
includes the accrued interest expense on non-current provisions, expenses for current loans as well as lease costs for biomass equipment,
distribution and heating networks. The interest expense on liabilities not designated at fair value through profit or loss totalled
EUR 44.2m (previous year: EUR 46.8m).

32. Income tax expense
Income tax expense

EURm 2018/19 2017/18
Current income tax income and expense 57.5 20.7
thereof Austrian companies 44.7 4.8
thereof foreign companies 12.8 15.9
Deferred tax income and expense –10.9 55.4
thereof Austrian companies –23.1 55.3
thereof foreign companies 12.3 0.1
Total 46.7 76.1
The following table explains the reasons for the difference between the Austrian corporate income tax rate of 25.0% that applied in 2019
(previous year: 25.0%) and the tax expense based on the Group net result reported on the consolidated statement of operations for the
2018 /19 financial year:
Calculation of the effective tax rate 2018/19 2017/18

% EURm % EURm

Income tax rate/income tax expense at nominal tax rate 25.0 93.4 25.0 88.9
– Different corporate income tax rates in other countries –2.7 –10.2 –0.1 –0.2
– Effect of tax rate change – – –0.2 –0.7
– Tax-free income from investments –12.8 –48.0 –6.3 –22.6
+ Revaluation of deferred taxes –1.6 –5.9 1.1 3.8
+ /– Tax share valuations and impairment on Group receivables 3.1 11.5 0.8 2.8
+ Non-deductible expenses 0.9 3.4 0.7 2.6
– Other tax free income –0.5 –1.9 –0.1 –0.4
+ Aperiodic tax increases 1.2 4.4 0.7 2.5
–/+ Other items – –0.1 –0.2 –0.7
Effective tax rate/effective income tax expense 12.5 46.7 21.4 76.1
The tax share valuations are related primarily to the investment revaluation on the investments in EVN UBS, OOO EVN Umwelt Service,
EVN Bulgaria and BG FW Holding (previous year: investment revaluation on the investments in EVN Nk BuB and OOO EVN Umwelt Service).
EVN’s effective tax rate for the reporting year equalled 12.5% of the result before income tax (previous year: 21.4%). The effective tax rate
represents the weighted average of the effective local corporate tax rates of all consolidated subsidiaries (see note 49. Deferred taxes).
33. Earnings per share

Earnings per share were calculated by dividing Group net result (= proportional share of net result attributable to EVN AG shareholders) by
the weighted average number of ordinary shares outstanding in 2018 /19, i. e. 178,006,833 (previous year: 177,938,720). This amount may
be diluted by so-called potential shares arising from stock options or convertible bonds. Since EVN does not have any such shares, there is
no difference between basic and diluted earnings per share. Based on the Group net result of EUR 302.4m for the 2018 /19 financial year
(previous year: EUR 254.6m), earnings per share equalled EUR 1.70 (previous year: EUR 1.43).
172
Consolidated notes — Notes to the consolidated statement of operations, Notes to the consolidated statement of financial position
Notes to the consolidated statement of financial position
Assets
34. Intangible assets
Goodwill is allocated to the CGUs “international project business“ and “other CGUs“. Rights include electricity procurement rights,
transportation rights for natural gas pipelines and other rights (primarily software licenses). Other intangible assets primarily include the
customer bases of the Bulgarian and North Macedonian electricity supply companies.
Reconciliation of intangible assets

EURm Goodwill Rights Other intangible assets Total
Gross value 30.09.2018 216.7 413.1 76.0 705.8

Additions – 9.0 – 9.0
Disposals – –6.4 –3.5 –9.8
Transfers – 0.3 – 0.3
Gross value 30.09.2019 216.7 416.0 72.5 705.2
Accumulated amortisation 30.09.2018 –160.9 –288.4 –74.4 –523.7

Scheduled amortisation – –14.3 –0.6 –14.9
Impairment losses – – – –
Additions – 19.1 23.0 42.1
Disposals – 6.3 3.5 9.8
Transfers – – – –
Net value 30.09.2018 55.8 124.7 1.5 182.1
Net value 30.09.2019 55.8 138.7 24.0 218.5

EURm Goodwill Rights Other intangible assets Total
Gross value 30.09.2017 216.7 381.2 102.4 700.3

Additions – 11.9 0.3 12.2
Disposals – –2.0 – –2.0
Transfers – 22.0 –26.7 –4.7
Gross value 30.09.2018 216.7 413.1 76.0 705.8

Scheduled amortisation – –12.7 –0.6 –13.3
Impairment losses – –0.0*) – –0.0*)
Additions – 10.3 – 10.3
Disposals – 2.1 – 2.1
Transfers – –15.4 16.0 0.5
Net value 30.09.2017 55.8 108.6 12.6 177.1
Net value 30.09.2018 55.8 124.7 1.5 182.1
*) Small amount

The carrying amount of goodwill is allocated as follows: EUR 52.9m to the CGU “international project business“ and EUR 2.9m to the
CGU “other CGUs“.
The carrying amount of the net assets in the CGU “international project business“ totalled EUR 264.9m. The recoverable amount was
determined on the basis of the value in use and equalled EUR 460.6m. A WACC after tax of 4.17% (previous year: 5.80%) was used as
the discount rate, which represents an iteratively derived pre-tax WACC of 4.59% (previous year: 6.33%). The recoverable amount of the
CGU was 73.9% higher than the carrying amount. An increase (decrease) of 0.5% in the WACC in 2018/19, ceteris paribus, would have
led to a surplus cover of EUR 156.2m in the net assets of the CGU (surplus cover of EUR 245.4m). The recoverable amount would equal
the carrying amount based on a WACC after tax of 8.54%.
In the South East Europe Segment, a reduction in the WACC led to a write-up of EUR 7.5m to the customer base of the CGU “electricity
distribution Bulgaria“ and EUR 15.5m to the customer base of the CGU “electricity distribution North Macedonia“. The recoverable
amount of the CGU “electricity distribution Bulgaria“ was determined on the basis of the value in use and equalled EUR 442.5m. A WACC
after tax of 5.51% was used as the discount rate, which represents an iteratively derived pre-tax WACC of 6.10%. The recoverable
amount of the CGU “electricity distribution North Macedonia“ was determined on the basis of the value in use and equalled EUR 416.4m.
A WACC after tax of 7.04% was used as the discount rate, which corresponds to an iteratively derived pre-tax WACC of 8.17%.
In the Generation Segment, the increase in forward electricity prices and a reduction in the WACC led to a write-up of EUR 18.9m to elec-
tricity purchasing rights from the Freudenau hydropower plant. EVN holds procurement rights of 12.5% to the electricity generated by the
Donaukraftwerk Freudenau during its operating life. The recoverable amount was determined on the basis of the value in use and equalled
EUR 66.4m. A WACC after tax of 3.78% (previous year: 5.72%) was used as the discount rate, which represents an iteratively derived pre-
tax WACC of 4.67% (previous year: 7.17%). An increase (decrease) of 0.5% in the WACC and/or an increase/decrease of 5% in the under-
lying assumptions for the electricity price would each have resulted in a write-up of EUR 18.9m.
In 2018 /19, a total of EUR 1.2m (previous year: EUR 3.4m) was invested in research and development; EUR 0.4m thereof were capitalised
(previous year: EUR 2.0m).
174
Consolidated notes — Notes to the consolidated statement of financial position
35. Property, plant and equipment
Reconciliation of property, plant and equipment

Other plants, Equipment
2018/19 financial year Land and Technical tools and under
EURm buildings Lines equipment Meters equipment construction Total
Gross value 30.09.2018 849.6 4,259.7 3,013.6 264.7 195.1 196.2 8,778.9
Currency translation differences – – 5.0 – – 0.1 5.1
Additions 19.9 127.8 83.0 20.3 30.5 116.6 398.2
Disposals –6.7 –27.7 –14.8 –16.0 –19.9 –1.3 –86.5
Transfers 10.3 57.6 32.6 – 5.0 –105.5 0.1
Gross value 30.09.2019 873.1 4,417.5 3,119.4 269.0 210.8 206.0 9,095.7
Accumulated amortisation 30.09.2018 –509.3 –2,342.5 –2,178.9 –157.8 –142.7 –9.0 –5,340.2
Currency translation differences – – –4.1 – – – –4.1
Scheduled depreciation –21.5 –111.1 –87.1 –15.7 –19.5 – –254.9
Impairment losses –3.7 –0.5 –14.0 – –1.0 –1.3 –20.6
Revaluation 6.0 7.5 6.6 – – – 20.2
Disposals 5.8 27.4 14.3 15.6 19.5 0.9 83.4
Net value 30.09.2018 340.3 1,917.2 834.7 106.9 52.4 187.2 3,438.7
Net value 30.09.2019 350.3 1,998.3 856.3 111.1 67.0 196.6 3,579.6
Other plants, Equipment

2017/18 financial year Land and Technical tools and under
EURm buildings Lines equipment Meters equipment construction Total
Gross value 30.09.2017 818.4 4,111.6 2,966.1 255.3 184.7 168.8 8,504.9
Currency translation differences –0.0*) –0.0*) –7.5 –0.0*) –0.0*) 0.0*) –7.5
Additions 20.5 110.5 66.8 24.1 22.8 109.0 353.7
Disposals –2.2 –10.0 –33.0 –15.5 –13.4 –0.8 –74.9
Transfers 13.1 47.5 21.1 0.8 1.2 –80.9 2.8
Gross value 30.09.2018 849.6 4,259.7 3,013.6 264.7 195.1 196.2 8,778.9
Currency translation differences 0.0*) 0.0*) 5.9 0.0*) 0.0*) – 6.0
Changes in the scope of consolidation – – 0.0*) – 0.0*) – 0.0*)
Scheduled depreciation –20.4 –107.7 –84.0 –16.4 –16.5 – –245.0
Impairment losses –10.1 –4.0 –32.0 –0.1 –0.0*) –0.6 –46.9 Financial statements
Revaluation 2.4 6.3 7.0 – 0.3 – 16.0
Disposals 2.0 9.8 15.6 14.4 13.0 – 54.9
Transfers –4.1 0.0*) 0.1 0.0*) 0.0*) – –3.9
Net value 30.09.2017 339.3 1,864.6 874.6 99.5 45.2 160.4 3,383.6
Net value 30.09.2018 340.3 1,917.2 834.7 106.9 52.4 187.2 3,438.7
*) Small amount

Land and buildings included land with a value of EUR 61.0m (previous year: EUR 58.9m). EVN held a mortgage with a maximum value of
EUR 1.8m as of 30 September 2019, unchanged from the previous year.
Additions to property, plant and equipment included capitalised borrowing costs of EUR 1.3m (previous year: EUR 1.4m). The interest rate
used for capitalisation ranged from 1.4% to 3.8% (previous year: 2.0% – 3.8%).
For leased and rented equipment, the present value of payment obligations for the use of heating networks and heat generation plants is
reported on the consolidated statement of financial position. The net value of these assets totalled EUR 2.4m as of the balance sheet date
(previous year: EUR 3.0m). The related lease and rental liabilities were recognised under other non-current liabilities (see note 52. Other
non-current liabilities).
As in the previous year, no property, plant and equipment or intangible assets were pledged as collateral as of 30 September 2019.
The impairment testing of assets in accordance with IAS 36 led to the recognition of the following impairment losses and write-ups
in 2018/19:
Current market analyses and the related less favourable estimates for the development, in combination, of long-term electricity prices,
primary energy prices and the prices for emission certificates (clean dark spread) led to the recognition of an impairment loss of
EUR 13.0m to EVN’s proportional interest in the jointly operated Walsum 10 power plant.1) The recoverable amount was determined on
the basis of the value in use and amounted to EUR 89.1m. The applied discount rate equalled an after-tax WACC of 3.27% (previous
year: 4.94%) and represents an iteratively derived pre-tax WACC of 5.27% (previous year: 6.63%). An increase (decrease) of 0.5% in the
WACC in 2018 /19, ceteris paribus, would have resulted in an impairment loss of EUR 15.8m (impairment loss of EUR 10.0m). An increase
(decrease) of 5% in the underlying assumptions for the electricity price in 2018/19, ceteris paribus, would have resulted in a recovery
in value of EUR 12.8m (impairment loss of EUR 39.1m).
1) The impairment testing of the power plant component took place solely at the Group level. At the segment level, a provision was recognised for the marketing of EVN’s own
electricity production. The impairment loss is therefore reported in the transition column “consolidation”.
The impairment test of the CGU “thermal-spring region“ (formerly Baden-Mödling) led to a write-up of EUR 3.3m in the Energy Seg-
ment due to the approval of a subsidised follow-up tariff and a reduction of the WACC. The recoverable amount was determined on
the basis of the value in use and equalled EUR 50.7m. The applied discount rate equalled an after-tax WACC of 3.28% (previous year:
5.24%) and represents an iteratively derived pre-tax WACC of 5.24% (previous year: 6.96%). Similarly, an improvement in the economic
framework conditions and a reduction in the WACC for six EVN Wärme heating plants led to a write-up of EUR 5.1m. The recoverable
amount was determined on the basis of the value in use and totalled EUR 15.0m. The applied discount rate equalled an after-tax WACC
ranging from 3.28% to 3.59%, which represents an iteratively derived pre-tax WACC of 4.97% to 6.57%.
Other impairment tests by EVN Wärme resulted in the recognition of impairment losses totalling EUR 0.9m in the Energy Segment due to
a deterioration in the economic framework conditions for four heating plants. The recoverable amount was determined on the basis of
the value in use and totalled EUR 3.4m. The applied discount rate equalled an after-tax WACC of 3.12% to 3.50%, which represents an
iteratively derived pre-tax WACC of 3.32% to 4.08%.
As a result of the improvement in the forward quotations for electricity and a reduction in the WACC, EVN Naturkraft carried out impair-
ment tests for various wind parks and small hydropower plants. These tests resulted in a write-up of EUR 4.6m in the Generation Segment
for two wind parks and six small hydropower plants. The recoverable amount was determined on the basis of the value in use and
totalled EUR 16.7m. The applied discount rate equalled an after-tax WACC of 3.09% to 3.78%, which represents an iteratively derived
pre-tax WACC of 3.72% to 5.95%.
In Bulgaria, a reduction in the WACC led to a write-up of EUR 2.9m to the TEZ Plovdiv co-generation plant in the South East Europe Seg-
ment. The recoverable amount was determined on the basis of fair value less costs to sell (Level 3 as defined by IFRS 13) and equalled
EUR 45.1m. The applied discount rate equalled an after-tax WACC of 5.83%. The present value model underlying the valuation includes a
detailed planning period of four years, a general planning phase through 2029 and a perpetual yield.
176
A reduction in the WACC also led to a write-up of EUR 2.4m to EVN’s Kavarna wind park in the Generation Segment. The recoverable
amount was determined on the basis of the value in use and equalled EUR 11.2m. The applied discount rate equalled an after-tax WACC
of 5.46% for the subsidised feed-in tariff phase and 5.5% for the free market phase, which represent iteratively derived pre-tax WACCs
of 6.06% and 6.11%, respectively.
Other impairment losses of EUR 5.2m were related to the thermal power plants in Korneuburg and Dürnrohr, which were deactivated and
conserved in 2018 /19.
36. Investments in equity accounted investees

The companies included in the consolidated financial statements at equity are listed in the notes under EVN’s investments starting on
page 217. Note 63. Disclosures of interests in other entities contains financial information on joint ventures and associates that are
included at equity in EVN’s consolidated financial statements.
All investments in equity accounted investees were recognised at their proportional share of IFRS income or loss based on an interim or
annual report with a balance sheet date that does not precede the balance sheet date of EVN by more than three months. There were
no listed market prices for the investments in equity accounted investees.

Reconciliation of investments in equity accounted investees
EURm
Gross value 30.09.2018 911.2

Additions 0.5
Disposals –22.2
Gross value 30.09.2019 889.5
Accumulated amortisation 30.09.2018 84.4

Currency translation differences 0.5
Disposals 21.8
Revaluation 93.1
Proportional share of results 37.4
Dividends –137.9
Transfers 1.3
Changes recognised in other comprehensive income –18.0
Net value 30.09.2018 995.7
Net value 30.09.2019 972.1

EURm
Gross value 30.09.2017 911.0

Additions 0.4
Disposals –0.2
Gross value 30.09.2018 911.2

Currency translation differences –6.0
Disposals –
Revaluation 2.5
Proportional share of results 185.7
Dividends –144.4
Changes recognised in other comprehensive income 3.0
Net value 30.09.2017 954.8
Net value 30.09.2018 995.7
A write-up of EUR 92.2m was recorded to Verbund Innkraftwerke in 2018/19 to reflect the improvement in the forward quotations for
electricity and a reduction in the WACC. The recoverable amount of EVN’s participation interest in Verbund Innkraftwerke was determined
on the basis of the value in use and amounted to EUR 163.9m. The applied discount rate equalled an after-tax WACC of 3.39% (previous
year: 5.20%) and represents an iteratively derived pre-tax WACC of 4.41% (previous year: 6.52%) (also see note 29. Share of results
from equity accounted investees with operational nature). An increase (decrease) of 0.5% in the WACC in 2018 /19, ceteris
paribus, would have resulted in a write-up of EUR 66.4m (write-up of EUR 106.1m) to the equity accounted Verbund Innkraftwerke. An
increase (decrease) of 5% in the underlying assumptions for the electricity price in 2018/19, ceteris paribus, would have resulted in a
write-up of EUR 106.1m (write-up of EUR 75.5m).
178
A write-up of EUR 0.9m was recorded to the Ashta hydropower plant owned by Ashta Beteiligungsverwaltung GmbH. The recoverable
amount of EVN’s participation interest in Ashta Beteiligungsverwaltung GmbH was determined on the basis of the value in use and
equalled EUR 4.4m. The applied discount rate equalled an after-tax WACC of 8.64% and represents an iteratively derived pre-tax WACC
of 9.52% (also see note 29. Share of results from equity accounted investees with operational nature).
The shares in ZOV were assigned to the financing banks as collateral for loans. EVN’s proportional share of equity in this company
totalled EUR 113.9m as of 30 September 2019 (previous year: EUR 112.0m).
37. Other investments

The item other investments includes holdings in affiliates and associates, which are not consolidated due to immateriality, as well as mis-
cellaneous stakes of less than 20.0% that were not included at equity.
The shares in affiliates and associates which are not consolidated due to immateriality are measured at cost less any necessary impairment
losses and totalled EUR 4.5m in 2018/19 (previous year: EUR 4.6m). The other investments classified as FVOCI consist primarily of shares
in Verbund AG with a value of EUR 2,202.9m (previous year: EUR 1,861.5m) and miscellaneous other investments of EUR 118.0m (previ-
ous year: EUR 78.2m). The valuation adjustments were recorded under other comprehensive income, the dividends were recorded in the
consolidated statement of operations (also see note 31. Financial results).
EVN AG and Wiener Stadtwerke Holding AG (WSTW) entered into an agreement on 22 September 2010 for the syndication of their
directly and indirectly held shareholdings in Verbund AG. This agreement gives the two companies joint control over approximately 26%
of the voting shares in Verbund AG. In spite of the syndicate agreement, the scope of possible influence over the financial and business
policies of Verbund AG is very limited. The requirements for classification as a controlling influence (IAS 28) are therefore not met and the
shares in Verbund AG were therefore accounted for by applying IFRS 9.
In 2018 /19, the valuation of the investment in CEESEG AG based on the discounted cash flow method resulted in a write-up of EUR 1.7m.
The recoverable amount was determined on the basis of fair value less costs to sell (Level 3 according to IFRS 13) and amounted to
EUR 18.7m. An after-tax WACC of 7.35% was used as the discount rate. The present value model underlying the valuation includes fore-
casted distributions for the coming year as well as a perpetual yield without a growth rate.
The valuation of the investment in Verbund Hydro Power AG in 2018/19 based on the discounted cash flow method resulted in a write-up
of EUR 37.0m. The recoverable amount was determined on the basis of fair value less costs to sell (Level 3 according to IFRS 13) and
amounted to EUR 96.7m. An after-tax WACC of 3.78% was used as the discount rate. The present value model underlying the valuation
assumes publicly available information on the annual financial statements and forecasts the next four years as well as a perpetual yield
(without a growth rate), based on available data for electricity prices.
The valuation of the investment in AGGM Austrian Gas Grid Management AG in 2018/19 based on the discounted cash flow method
resulted in a write-up of EUR 1.1m. The recoverable amount was determined on the basis of fair value less costs to sell (Level 3 according
to IFRS 13) and amounted to EUR 2.5m. An after-tax WACC of 3.18% was used as the discount rate. The present value model underlying
the valuation is based on a perpetual yield without a growth rate which, in turn, was developed from the average trend of data from
publicly available financial statements for 2015 –2018 and a forecast for the 2019 financial year.

38. Other non-current assets
Other non-current assets

EURm 30.09.2019 30.09.2018
Non-current financial assets
Securities 97.6 135.1
Loans receivable 33.0 38.3
Lease receivables 18.3 28.7
Receivables arising from derivative transactions 12.0 35.7
Non-current other assets

Primary energy reserves 0.7 14.5
Contract assets 0.6 –
Remaining other non-current assets 1.1 0.2
Total 163.3 252.4
Securities reported under other non-current assets consist mainly of shares in investment funds and serve as coverage for the provisions
for pensions and similar obligations as required by Austrian tax law. The carrying amounts correspond to the fair value as of the balance
sheet date.
Lease receivables result from the project business within the context of PPP projects. The decline in 2018/19 is primarily attributable to
contractually agreed principal payments.
The receivables arising from derivative transactions include the positive market values of derivatives in the energy business as well as
cross-currency swaps.
Primary energy reserves were, for the most part, reclassified from non-current to current in 2018/19 because they will be sold within
twelve months.
The reconciliation of the future minimum lease payments to their present value is as follows:
Terms to maturity of non-current lease receivables

EURm
Remaining term to maturity as of 30.09.2019 Remaining term to maturity as of 30.09.2018
Principal Interest Principal Interest

components components Total components components Total
< 5 years 5.8 1.4 7.2 15.2 2.1 17.3

> 5 years 12.4 1.4 13.9 13.4 1.4 14.8
Total 18.3 2.8 21.1 28.6 3.5 32.0
The total of the principal components corresponds to the capitalised value of the lease receivables. The interest components correspond
to the proportionate share of the interest component of the total lease payment and do not represent discounted amounts. The interest
components of the lease payments in 2018/19 were reported as interest income on non-current assets.
180
Current assets
39. Inventories
Inventories
EURm 30.09.2019 30.09.2018
Primary energy inventories 36.6 49.6
CO2 emission certificates 4.7 3.1
Raw materials, supplies, consumables and other inventories 34.2 29.0
Customer orders not yet invoiced 28.6 13.0
Total 104.1 94.6
Primary energy inventories consist primarily of natural gas and oil supplies.
The CO2 emission certificates relate exclusively to certificates purchased to fulfil the requirements of the Austrian Emission Certificate Act,
which have not yet been used. The corresponding obligation for any shortfall in the certificates is reported under current provisions
(see note 56. Current provisions).
The inventory risk arising from low turnover and declining market prices for raw materials, supplies, consumables and other inventories
was reflected in an increase of EUR 9.2m in the valuation allowance (previous year: EUR 1.5m). This was contrasted by write-ups of
EUR 0.3m (previous year: EUR 0.2m). The inventories are not subject to any restrictions on disposal or other encumbrances.
EVN assumes that capitalised contracts costs, which arise especially in the international project business, will be recoverable. These costs
totalled EUR 25.1m as of 30 September 2019 and are presented under customer orders not yet invoiced. In 2018/19, EUR 14.4m were
capitalised and EUR 1.2m realised in line with the progress on the respective projects. No impairment losses were recognised to the capi-
talised contract costs.
40. Trade and other receivables
Trade and other receivables

EURm 30.09.2019 30.09.2018
Financial assets
Trade accounts receivable 259.3 301.3
Receivables from investments in equity accounted investees 24.1 64.1
Receivables from non-consolidated subsidiaries 6.7 7.9
Receivables from employees 0.1 0.3
Receivables arising from derivative transactions 33.6 47.5
Lease receivables 12.5 18.3
Other receivables and assets 24.4 27.8
360.8 467.0
Other receivables
Taxes and levies receivable 38.1 31.8
Prepayments 18.5 1.4
56.6 33.2
Total 417.4 500.3

Trade accounts receivable relate mainly to electricity, natural gas and heating customers. This position also includes the receivable
from the Budva wastewater treatment project. Notes to impairment losses and default risks for trade receivables can be found
in note 60. Risk management.
Receivables from investments in equity accounted investees and receivables from non-consolidated subsidiaries arise primarily from
intragroup transactions related to energy supplies as well as Group financing and services provided to those companies.
The receivables from derivative transactions consist chiefly of the positive market values of derivatives in the financial area and energy
business.
Other receivables and assets include, among others, receivables from insurances and short-term loans receivable.
As of 30 September 2019, as in the previous year, no receivables were pledged as collateral for EVN’s own liabilities.
41. Securities
Composition of securities
EURm 30.09.2019 30.09.2018
Funds 89.7 139.8
thereof cash funds 89.4 139.4
thereof other fund products 0.3 0.4
Shares – 0.0*)
Total 89.7 139.8
*) Small amount
A write-down of EUR –0.8m through profit or loss was recorded in 2018/19 to reflect the decline in market prices (previous year:
write-down of EUR –1.4m without recognition through profit or loss).
182
Liabilities
Equity
The development of equity in 2018/19 and 2017/18 is shown on page 141.
42. Share capital

The share capital of EVN AG totals EUR 330.0m (previous year: EUR 330.0m) and is divided into 179,878,402 (previous year: 179,878,402)
zero par value bearer shares.
43. Share premium and capital reserves

The share premium and capital reserves comprise appropriated capital reserves of EUR 204.4m (previous year: EUR 204.4m) from capital
increases and unappropriated capital reserves of EUR 58.3m (previous year: EUR 58.3m), both in accordance with Austrian stock
corporation law.
44. Retained earnings

Retained earnings of EUR 2,514.2m (previous year: EUR 2,297.0m) comprise the proportional share of retained earnings attributable to
EVN AG and all other consolidated companies from the date of initial consolidation as well as the proportional share of retained earnings
from business combinations achieved in stages.
Dividends are based on the result of EVN AG as reported in the annual financial statements and developed as follows:
Reconciliation of EVN AG’s result for the period

EURm
Reported result for the period 2018/19 154.1

Retained earnings from the 2017/18 financial year 0.1
Less additions to voluntary reserves –65.1
Distributable result for the period 89.1
Proposed dividend –89.0
Retained earnings for the 2019/20 financial year 0.1
Liabilities do not include the dividend of EUR 0.47 per share plus a one-time bonus dividend of EUR 0.03 per share for the 2018/19 finan-
cial year which will be proposed to the Annual General Meeting.
The 90 th Annual General Meeting on 17 January 2019 approved a proposal by the Executive Board and the Supervisory Board to distribute
a dividend of EUR 83.7m, or EUR 0.47 per share including a one-time bonus dividend of EUR 0.03, to the shareholders of EVN AG for the
2017/18 financial year. The dividend payment to shareholders was made on 25 January 2019.
45. Valuation reserves

The valuation reserve contains changes in the market value of cash flow hedges and financial assets classified at fair value through other
comprehensive income (FVOCI) as well as IAS 19 remeasurements and the proportional share of changes in the equity of investments in
equity accounted investees.
In addition, the statement of comprehensive income includes EUR –5.0m (previous year: EUR 0.5m) for the share of changes in the
valuation reserves that are attributable to non-controlling interests (see Consolidated statement of comprehensive income,
page 139).
The part of the valuation reserve attributable to equity accounted investees consists primarily of components from cash flow hedges
that were recorded under equity as well as remeasurements in accordance with IAS 19 and the valuation of FVOCI instruments.

Valuation reserves 30.09.2019 30.09.2018
EURm Before tax Tax After tax Before tax Tax After tax
Items recognised under other comprehensive

income from
Available for sale financial instruments – – – 1,477.9 –369.4 1,108.5
Financial assets classified at fair value through
other comprehensive income 1,860.5 –465.1 1,395.4 – – –
Cash flow hedges –24.7 8.2 –16.5 –24.6 8.1 –16.5
Remeasurements IAS 19 –173.7 43.1 –130.7 –118.2 29.4 –88.9
Investments in equity accounted investees –22.7 1.3 –21.4 –9.8 –0.4 –10.2
Total 1,639.3 –412.5 1,226.8 1,325.3 –332.4 992.9
In 2018 /19, cash flow hedges totalling EUR 1.9m (previous year: EUR 1.8m) were transferred from other comprehensive income to the
consolidated statement of operations. Due to the ineffectiveness of the hedges an amount of EUR –1.3m was recognised in profit or loss.
46. Treasury shares

A total of 73,528 treasury shares were sold during the reporting year to permit their issue as a special payment in accordance with a
company agreement (previous year: 67,030 shares). EVN AG is not entitled to any rights arising from treasury shares. In particular, these
shares are not entitled to dividends.
The number of shares outstanding developed as follows:
Reconciliation of the number of

outstanding shares Zero par value shares Treasury shares Outstanding shares
30.09.2017 179,878,402 –1,950,854 177,927,548

Purchase of treasury shares – – –
Disposal of treasury shares – 67,030 67,030
30.09.2018 179,878,402 –1,883,824 177,994,578
Purchase of treasury shares – – –
Disposal of treasury shares – 73,528 73,528
30.09.2019 179,878,402 –1,810,296 178,068,106
The weighted average number of shares outstanding, which is used as the basis for calculating earnings per share, equals 178,006,833
shares (previous year: 177,938,720 shares).
184
47. Non-controlling interests

The item non-controlling interests comprises the non-controlling interests in the equity of fully consolidated subsidiaries.
The following table provides information on each fully consolidated subsidiary of EVN with material non-controlling interests before
intragroup eliminations:
Financial information of subsidiaries with

material non-controlling interests
EURm 30.09.2019 30.09.2018
Subsidiaries RBG BUHO EVN Macedonia RBG BUHO EVN Macedonia
Non-controlling interests (%) 49.97 26.37 10.00 49.97 26.37 10.00

Carrying amount of non-controlling interests 190.4 39.1 25.9 198.5 38.9 22.0
Result attributable to non-controlling interests 16.3 3.2 4.3 19.9 3.1 2.1
Dividends attributable to non-controlling interests 20.0 2.5 – 21.0 2.7 –
Non-current assets 380.6 185.8 338.2 396.8 185.5 301.0
Current assets 0.2 8.8 50.1 0.2 8.5 102.4
Non-current liabilities – 0.5 105.2 – 0.5 101.2
Current liabilities – – 22.7 0.0*) 0.0*) 82.9
2018/19 2017/18
Statement of operations
Revenue – – 237.3 – 0.0*) 308.6
Result after income tax 32.6 12.2 45.8 39.8 11.7 21.1
Net cash flows
Net cash flow from operating activities 40.0 9.9 34.4 41.9 9.3 34.0
Net cash flow from investing activities – – –44.9 – – –22.2
Net cash flow from financing activities –40.0 –9.5 –0.2 –42.0 –10.4 –8.2
*) Small amount
48. Non-current loans and borrowings
Breakdown of non-current Carrying Carrying
amount amount Fair value
loans and borrowings Nominal 30.09.2019 30.09.2018 30.09.2019
interest rate (%) Term Nominal amount EURm EURm EURm
Bonds 519.3 504.5 615.8

EUR bond 4.250 2011 – 2022 EUR 293.0m 289.2 287.7 325.2
JPY bond 3.130 2009 – 2024 JPY 12.0bn 107.3 94.2 114.0
EUR bond 4.125 2012 – 2032 EUR 100.0m 98.2 98.0 141.3
EUR bond 4.125 2012 – 2032 EUR 25.0m 24.6 24.6 35.3
Bank loans (incl. promissory note loans) –0.033 – 4.99 until 2068 – 470.7 536.0 559.9
Total 990.0 1,040.5 1,175.7

The maturity structure of the non-current loans and borrowings is as follows:
Maturity of non-current loans

and borrowings Remaining term to maturity as of 30.09.2019 Remaining term to maturity as of 30.09.2018
EURm < 5 years > 5 years Total < 5 years > 5 years Total
Bonds 396.5 122.8 519.3 287.7 216.8 504.5

thereof fixed interest 289.2 122.8 412.0 287.7 122.6 410.3
thereof variable interest 107.3 – 107.3 – 94.2 94.2
Bank loans 155.5 315.2 470.7 189.3 346.6 536.0
thereof fixed interest 145.4 314.3 459.7 180.4 346.0 526.4
thereof variable interest 10.1 0.9 11.0 8.9 0.7 9.6
Total 552.0 438.0 990.0 477.0 563.5 1,040.5
Bonds
All bonds involve bullet repayment on maturity. The foreign currency bond is hedged against interest and foreign exchange risk by means
of cross-currency swaps.
The bonds are carried at amortised cost. Foreign currency liabilities are translated at the exchange rate in effect on the balance sheet date.
In accordance with IFRS 9, hedged liabilities are adjusted to reflect the corresponding change in the fair value of the hedged risk in cases
where hedge accounting is applied (see note 62. Reporting on financial instruments).
Bank loans
The loans consist of general borrowings from banks and loans, which are subsidised in part by interest and redemption grants from the
Austrian Environment and Water Industry Fund. This position also includes the EUR 121.5m promissory note loans that were issued in
October 2012.
Accrued interest expense is included under other current liabilities.
186
49. Deferred taxes
Deferred taxes
EURm 30.09.2019 30.09.2018
Deferred tax assets
Employee-related provisions –58.6 –48.2
Tax loss carryforwards –22.4 –14.8
Investment depreciation –19.6 –38.6
Property, plant and equipment –47.4 –38.2
Financial instruments –11.4 –17.1
Provisions –11.1 –4.5
Other deferred tax assets – –9.3
Deferred tax liabilities
Property, plant and equipment 49.5 56.9
Intangible assets 2.9 0.7
Financial instruments 481.6 379.5
Provisions 96.7 106.9
Other deferred tax liabilities 11.4 28.7
Total 471.6 402.1
thereof deferred tax assets –72.1 –68.8
thereof deferred tax liabilities 543.8 471.0
Deferred taxes developed as follows:
Changes in deferred taxes

EURm 2018/19 2017/18
Deferred taxes on 01.10. 402.1 92.2
– Changes resulting from currency translation differences and other changes 0.2 0.3
– Changes in deferred taxes recognised through profit and loss –10.9 55.4
– Changes in deferred taxes recognised directly in equity from the valuation reserve 80.2 254.2
Deferred taxes on 30.09. 471.6 402.1
Projected tax results will permit the utilisation over the coming years of losses for which deferred tax assets were previously recorded.
Deferred tax assets of EUR 88.9m (previous year: EUR 95.4m) related to loss carryforwards were not recognised because they are not
expected to be used within the foreseeable future. Of this total, EUR 76.0m (previous year: EUR 76.0m) are attributable to EVN MVA 1.
Of this total, EUR 2.6m will expire during the next five years (previous year: EUR 3.0m). The remaining loss carryforwards that were not
capitalised can be carried forward for an indefinite period of time.
Deferred tax liabilities of EUR 92.3m (previous year: EUR 92.0m) on temporary differences of EUR 383.9m (previous year: EUR 373.6m)
were not recognised because these differences will remain tax-free in the foreseeable future. These temporary differences arise from
differences between the tax base of the participation interest and the proportional share of equity owned, respectively between the tax
base of the participation interest and the carrying amount of the equity accounted investees (outside basis differences).
The changes recorded under other comprehensive income are primarily attributable to financial instruments (EUR 95.6m; previous year:
EUR 258.8m) and employee-related provisions (EUR –13.8m; previous year: EUR –3.5m).

50. Non-current provisions
Non-current provisions
EURm 30.09.2019 30.09.2018
Provisions for pensions 283.1 253.7
Provisions for pension-related obligations 29.3 23.6
Provisions for severance payments 95.0 88.4
Other non-current provisions 130.0 115.1
Total 537.5 480.8
The amounts reported for the provisions for pensions, similar obligations and severance payments were generally calculated on the basis
of the following parameters:
• Interest rate 0.70% p. a. (previous year: 1.85% p. a.)
• Remuneration increases 2.00% p. a.; in subsequent years 2.00% p. a. (previous year: remuneration increases 2.00% p. a., in subse-
quent years 2.00% p. a.)
• Pension increases 2.00% p. a.; in subsequent years 2.00% p. a. (previous year: pension increases 2.00% p. a., in subsequent years
2.00% p. a.)
• Austrian mortality tables AVÖ 2018-P – Rechnungsgrundlagen für die Pensionsversicherung
Reconciliation of provisions for pensions

EURm 2018/19 2017/18
Present value of pension obligations (DBO) as of 01.10. 253.7 250.4
+ Service costs 1.9 –1.0
+ Interest costs 4.7 4.7
– Pension payments –16.8 –14.5
+ /– Actuarial loss/gain 39.6 14.1
thereof
demographic assumptions – 9.0
financial assumptions 42.5 –0.0*)
assumptions based on experience –2.9 5.2
Present value of pension obligations (DBO) as of 30.09. 283.1 253.7
*) Small amount
As of 30 September 2019, the weighted average remaining term equalled 14.7 years for the pension obligations (previous year: 13.3 years).
Pension payments are expected to total EUR 14.4m in 2019 /20 (previous year: EUR 14.9m).
Reconciliation of the provisions for pension-related obligations

EURm 2018/19 2017/18
Present value of the provisions for pension-related obligations (DBO) as of 01.10. 23.6 22.8
+ Service costs 0.4 0.5
– Payments –0.9 –0.9
+ /– Actuarial loss/gain 5.7 0.8
thereof
demographic assumptions – 0.6
financial assumptions 5.7 –
assumptions based on experience – 0.2
Present value of the provisions for pension-related obligations (DBO) as of 30.09. 29.3 23.6
188
As of 30 September 2019, the weighted average remaining term equalled 19.1 years for the pension-related obligations (previous
year: 17.5 years). The payments for pension-related obligations are expected to total EUR 0.9m in 2019/20 (previous year: EUR 0.9m).
Reconciliation of the provision for severance payments

EURm 2018/19 2017/18
Present value of severance payment obligations (DBO) as of 01.10. 88.4 90.1
– Currency translation differences – –0.0*)
+ Service costs 3.0 3.4
– Severance payments –8.3 –6.2
+ /– Actuarial loss/gain 10.3 –0.6
thereof
demographic assumptions – –1.3
financial assumptions 9.6 0.1
assumptions based on experience 0.7 0.6
Present value of severance payment obligations (DBO) as of 30.09. 95.0 88.4
*) Small amount
As of 30 September 2019, the weighted average remaining term of the severance payment obligations equalled 9.4 years (previous year:
9.5 years). Severance payments are expected to total EUR 7.2m in 2019/20 (previous year: EUR 7.0m).
A change in the actuarial parameters (ceteris paribus) would have the following effect on the provisions for pensions, pension-related
obligations and severance payments:
Sensitivity analysis for provision for pensions

% 30.09.2019 30.09.2018
Decrease in Increase in Decrease in Increase in
Change in assumption/ assumption/ assumption/ assumption/
assumption change in DBO change in DBO change in DBO change in DBO
Interest rate 0.50 7.99 –7.03 7.13 –6.34

Remuneration increases 1.00 –3.01 3.24 –2.62 2.80
Pension increases 1.00 –11.37 14.05 –10.38 12.65
Remaining life expectancy 1 year –5.03 5.16 –4.63 4.71
Sensitivity analysis for provision for

pension-related obligations Financial statements
% 30.09.2019 30.09.2018
Interest rate 0.50 10.47 –9.05 9.48 –8.26

Remuneration increases 1.00 – – – –
Pension increases 1.00 –13.98 17.80 –12.70 15.91
Remaining life expectancy 1 year –4.32 4.39 –3.88 3.91

Sensitivity analysis for provision for
severance payments
% 30.09.2019 30.09.2018
Interest rate 0.50 4.91 –4.58 4.89 –4.56

Remuneration increases 1.00 –8.98 10.13 –9.44 10.24
The sensitivity analysis was carried out separately for each key actuarial parameter. Only one parameter was changed at a time during the
examination, while the other variables remained constant (ceteris paribus). The method used to calculate the changed obligation reflected
the calculation of the actual obligation. The analytical capacity of this method is limited because the interdependencies between the
individual actuarial parameters are not taken into account. With respect to the severance compensation obligations, a sensitivity analysis
was not carried out for the remaining life expectancy because this parameter has only an immaterial effect on the liability.
Reconciliation of other non-current provisions

EURm
Service Environmental Other

anniversary Rents for Process costs and disposal non-current
bonuses network access and risks risks provisions Total
Carrying amount 01.10.2018 24.3 6.6 8.6 68.3 7.2 115.1

Currency translation differences – – – – – –
Interest expense 0.5 – – 0.7 – 1.2
Use –2.1 – – – –3.7 –5.8
Release – –0.3 –1.8 –0.8 –1.3 –4.3
Additions 3.4 0.3 2.2 17.0 1.2 24.3
Transfers 0.1 – – – – 0.1
Reclassification – – –1.0 – 0.5 –0.5
Carrying amount 30.09.2019 26.2 6.6 8.1 85.2 3.9 130.0
Rents for network access involve provisions for rents to gain access to third-party facilities in Bulgaria. Various legal proceedings and
lawsuits, which for the most part arise from operating activities and are currently pending, are reported under process costs and risks.
Environmental and disposal risks primarily encompass the estimated costs for demolition or disposal as well as provisions for environmen-
tal risks and risks related to contaminated sites. At the present time, the use of the provisions for environmental and disposal risks is
expected within a timeframe of two to 27 years.
51. Deferred income from network subsidies

The investment subsidies are related primarily to heating plants, facilities operated by evn wasser, small hydropower plants and wind
power plants operated by EVN Naturkraft and facilities operated by Netz NÖ.
Deferred income from network subsidies Network subsidies Network subsidies Investment
EURm (IFRS 15) (IAS 20) subsidies Total
Carrying amount 01.10.2018 66.2 471.3 65.0 602.6

Additions 7.7 53.0 5.4 66.2
Reclassification –6.4 –40.9 –5.9 –53.1
Carrying amount 30.09.2019 67.6 483.5 64.6 615.7
190
52. Other non-current liabilities
Other non-current liabilities

EURm 30.09.2019 30.09.2018
Leases 3.9 4.8
Accruals from financial transactions 0.2 0.6
Liabilities from derivative transactions 20.2 49.7
Remaining other non-current liabilities 22.0 20.3
Total 46.2 75.4
Leases are related mainly to the long-term utilisation of heating networks and heat generation plants. The accruals from financial transac-
tions involve present value advantages from lease and leaseback transactions in connection with electricity procurement rights from the
Danube power plants.
The liabilities from derivative transactions include the negative fair values from hedges concluded for bonds, which are contrasted in part
by the development of the bond liability, and for project financing related to the Walsum 10 power plant.
The remaining other non-current liabilities include, among others, accrued tax liabilities related to the tax group in Austria, accrued long-
term electricity delivery obligations and long-term compensation payments received.
Term to maturity of other non-current liabilities

EURm
Remaining term to maturity as of 30.09.2019 Remaining term to maturity as of 30.09.2018

< 5 years > 5 years Total < 5 years > 5 years Total
Leases 3.3 0.6 3.9 3.4 1.4 4.8

Accruals from financial transactions 0.1 – 0.2 0.6 – 0.6
Liabilities from derivative transactions 17.3 2.9 20.2 41.7 8.0 49.7
Remaining other non-current liabilities 18.0 3.9 22.0 9.0 11.2 20.3
Total 38.8 7.4 46.2 54.8 20.6 75.4
Current liabilities
53. Current loans and borrowings

Bank overdrafts are included under cash and cash equivalents in the consolidated statement of cash flows.
Current loans and borrowings
EURm 30.09.2019 30.09.2018
Bank loans 68.4 59.1
Bond liabilities – 30.0
Bank overdrafts and other current loans 0.3 0.0*)
Total 68.8 89.1
*) Small amount
Loans of EUR 68.4m were reclassified to current financial liabilities because they are now due within one year (previous year: EUR 59.1m).

54. Taxes payable and levies
Taxes payable and levies as of the balance sheet date comprise the following:
Taxes payable and levies

EURm 30.09.2019 30.09.2018
Energy taxes 29.7 28.2
Value added tax 21.4 14.1
Corporate income tax 71.7 33.6
Other taxes and duties 15.4 9.7
Total 138.3 85.6
55. Trade payables

Trade payables include obligations resulting from outstanding invoices amounting to EUR 115.2m (previous year: EUR 98.3m).
56. Current provisions
Reconciliation of current provisions

EURm
Personnel Rents for Other current

entitlements network access Process risks provisions Total
Carrying amount 01.10.2018 74.2 2.8 1.7 12.7 91.4

Use –9.7 – –0.7 –3.5 –13.8
Release – – – –0.1 –0.1
Additions 10.9 – 0.3 0.7 11.9
Transfers – – – 0.5 0.5
Reclassification – – 1.0 –0.6 0.4
Carrying amount 30.09.2019 75.5 2.8 2.4 9.7 90.4
The provisions for personnel entitlements comprise special payments not yet due, outstanding leave and liabilities resulting from a
voluntary early retirement programme for employees. The provisions for legally binding agreements totalled EUR 5.6m as of the balance
sheet date (previous year: EUR 6.0m).
192
57. Other current liabilities
Other current liabilities

EURm 30.09.2019 30.09.2018
Financial liabilities
Liabilities to investments in equity accounted investees 112.4 225.4
Liabilities to non-consolidated subsidiaries 0.6 1.8
Deferred interest expenses 14.6 15.5
Liabilities arising from derivative transactions 21.5 72.6
Other financial liabilities 35.8 50.0
185.0 365.3
Other liabilities
Prepayments received 51.9 35.4
Deferred income from network subsidies 52.3 49.5
Liabilities relating to social security 15.6 14.8
119.9 99.7
Total 304.9 464.9
The liabilities to investments in equity accounted investees consist primarily of cash pooling balances between EVN AG and these
companies as well as amounts due to EAA for the distribution and procurement of electricity.
The liabilities from derivative transactions include, in particular, the negative market values of derivatives in the energy business.
The other financial liabilities include a liability of EUR 17.0m (previous year: EUR 26.5m) related to a tariff decision in Bulgaria on
1 July 2014, which requires the repayment of revenue from previous periods. The other components of this position include employee-
related liabilities and deposits received.
The prepayments included under other liabilities consist chiefly of advance payments from the international project business. In accord-
ance with the recognition of revenue over time, any surplus of these prepayments over the progress of performance is accounted for as a
contract liability under IFRS 15. Prepayments from the international project business totalled EUR 16.7m as of 30 September 2019,
whereby payments of EUR 18.6m were received and EUR 1.9m recognised as revenue in 2018/19.

Segment reporting
Segment reporting
EURm Energy Generation Networks South East Europe
2018/19 2017/18 2018/19 2017/18 2018/19 2017/18 2018/19 2017/18

External revenue 569.3 463.0 1) 131.8 71.4 1) 469.8 489.6 909.9 902.0
Internal revenue (between segments) 4.2 19.4 204.8 200.8 64.1 64.7 0.8 0.8
Total revenue 573.5 482.4 336.7 272.1 534.0 554.4 910.7 902.8
Operating expenses –625.8 –518.51) –178.2 –155.11) –325.8 –301.0 –779.6 –798.2
Share of results from equity
accounted investees operational –32.7 117.0 102.1 6.6 – – – –
EBITDA –85.0 80.8 260.6 123.7 208.2 253.4 131.1 104.6
Depreciation and amortisation –12.2 –23.4 –42.3 –45.3 –125.3 –110.8 –35.2 –64.4
thereof impairment losses –1.4 –3.8 –6.3 –14.8 – – – –2.1
thereof revaluation 8.4 0.1 25.9 18.2 – 7.3 28.0 –
Results from operating activities
(EBIT) –97.2 57.4 218.4 78.4 82.9 142.6 95.9 40.2
EBIT margin (%) –17.0 12.0 64.9 29.0 15.5 25.7 10.5 4.5
accounted investees financial – – – – – – – –
Interest income 0.1 0.2 0.9 0.8 0.2 0.2 0.1 0.0*)
Interest expense –2.3 –2.5 –15.4 –14.3 –17.3 –17.4 –20.7 –20.7
Financial results –2.2 –3.3 –15.4 –14.0 –17.1 –17.1 –20.6 –20.6
Result before income tax –99.4 54.2 203.0 64.4 65.8 125.4 75.3 19.6
Goodwill – – 1.2 1.2 1.8 1.8 – –
Carrying value of investments in
equity accounted investees 109.6 218.9 175.6 75.1 – – – –
Total assets 827.6 862.7 1,169.7 1,056.8 2,010.5 1,944.7 1,211.6 1,207.7
Total liabilities 696.5 764.6 781.9 804.5 1,410.9 1,332.1 913.1 956.5
Investments 2) 26.4 19.5 67.8 58.9 202.1 173.0 81.1 86.4
*) Small amount
194
Consolidated notes — Segment reporting
Segment reporting
EURm Environment All Other Segments Consolidation 3) Total
2018/19 2017/18 2018/19 2017/18 2018/19 2017/18 2018/19 2017/18

External revenue 104.7 137.71) 18.4 15.0 – – 2,204.0 2,078.7
Internal revenue (between segments) 0.5 13.1 64.3 61.0 –338.7 –359.9 – –
Total revenue 105.1 150.8 82.7 76.0 –338.7 –359.9 2,204.0 2,078.7
Operating expenses –94.6 –133.71) –93.2 –87.2 394.4 398.8 –1,702.8 –1,594.9
accounted investees operational 16.2 13.0 44.8 51.4 – – 130.5 188.0
EBITDA 26.8 30.1 34.2 40.2 55.7 39.0 631.7 671.8
Depreciation and amortisation –11.6 –20.8 –1.8 –0.9 0.2 –13.2 –228.2 –278.9
thereof impairment losses – –0.8 – – –13.0 –25.4 –20.6 –46.9
thereof revaluation – – – 0.7 – – 62.3 26.3
Results from operating activities
(EBIT) 15.2 9.3 32.4 39.3 55.9 25.7 403.5 392.9
EBIT margin (%) 14.5 6.2 39.2 51.8 – –0.0*) 18.3 19.0
accounted investees financial – – – 0.1 – – – 0.1
Interest income 3.0 5.5 28.8 27.8 –24.8 –23.9 8.1 10.7
Interest expense –5.8 –5.5 –14.9 –17.5 24.9 23.9 –51.5 –54.0
Financial results –11.7 –10.4 52.2 43.8 –15.2 –15.7 –29.9 –37.2
Result before income tax 3.5 –1.1 84.6 83.1 40.7 10.1 373.5 355.7
Goodwill 52.9 52.9 – – – – 55.8 55.8
Carrying value of investments in
equity accounted investees 116.0 114.5 570.9 587.1 – – 972.1 995.7
Total assets 682.0 644.1 4,586.5 4,374.4 –2,299.3 –2,259.3 8,188.6 7,831.1
Total liabilities 530.1 498.4 1,674.4 1,670.8 –2,370.3 –2,288.5 3,636.5 3,738.4
Investments2) 17.4 20.7 3.5 4.0 –6.8 –6.0 391.4 356.4
3) Explained below in the notes to segment reporting
*) Small amount

Segment information by product – revenue
EURm 2018/19 2017/18
Electricity 1,584.4 1,459.1
Natural gas 181.5 190.4
Heat 146.0 136.1
Environmental services 104.7 136.9
Others1) 187.5 156.2
Total 2,204.0 2,078.7
Segment information by country – revenue1)

EURm 2018/19 2017/18
Austria2) 1,225.2 1,120.0
Germany2) 41.4 38.8
Bulgaria 529.6 535.6
Others 29.3 18.5
Total 2,204.0 2,078.7
1) The allocation of segment information by countries is based on the location of the companies.
Segment information by country –

non-current assets1)
EURm 30.09.2019 30.09.2018
Property, plant Property, plant
Intangible assets and equipment Intangible assets and equipment
Austria 126.2 2,600.6 111.6 2,469.5

Germany 44.8 132.9 45.1 147.6
Bulgaria 27.7 499.8 20.8 486.2
North Macedonia 19.7 304.4 4.6 296.9
Others – 41.9 0.0*) 38.5
Total 218.5 3,579.6 182.1 3,438.7
1) The allocation of segment information by countries is based on the location of the companies.
*) Small amount
196
Consolidated notes — Segment reporting
58. Notes to segment reporting

The segments of business cover the following activities:
Business areas Segments Major activities

Energy business Energy • Marketing of electricity produced in the Generation Segment
• Procurement of electricity, natural gas and primary energy carriers
• Trading with and sale of electricity and natural gas to
end customers and on wholesale markets
• Production and sale of heat
• 45.0% investment in ENERGIEALLIANZ Austria GmbH 1)
• Investment as sole limited partner in
EVN Energievertrieb GmbH & Co KG (EVN KG) 1)
Generation • Generation of electricity from thermal production capacities and

renewable energy sources at Austrian and international locations
• Operation of a thermal waste utilisation plant in Lower Austria 2)
• 13.0% investment in Verbund Innkraftwerke GmbH (Germany) 1)
• 49.0% investment in Walsum 10 hard coal-fired power plant
(Germany) 3)
• 49.99% investment in Ashta run-of-river power plant (Albania) 1)
Networks • Operation of distribution networks and network infrastructure for

electricity and natural gas in Lower Austria
• Cable TV and telecommunication services in Lower Austria and
Burgenland
South East Europe • Operation of distribution networks and network infrastructure

for electricity in Bulgaria and North Macedonia
• Sale of electricity to end customers in Bulgaria and North Macedonia
• Generation of electricity from hydropower in North Macedonia
• Generation, distribution and sale of heat in Bulgaria
• Construction and operation of natural gas networks in Croatia
• Energy trading for the entire region
Environmental services Environment • Water supply and wastewater disposal in Lower Austria
business • International project business: planning, construction, financing
and/or operation (depending on the project) of plants for
drinking water supplies, wastewater treatment and thermal
waste utilisation
Other business activities All Other Segments • 50.03% investment in RAG-Beteiligungs-Aktiengesellschaft,

which holds 100% of the shares in RAG Austria AG (RAG) 1)
• 73.63% investment in Burgenland Holding AG, which holds
a stake of 49.0% in Energie Burgenland AG 1)
• 12.63% investment in Verbund AG4)
• Corporate services
1) The earnings contribution represents the share of results from equity accounted investees with operational nature and is included in EBITDA.
2) The components of the thermal power plants in Dürnrohr and Korneuburg, which were previously held by EVN AG and operated together with Verbund Thermal Power, as well as
the thermal power plant in Theiss were transferred to EVN Abfallverwertung NÖ GmbH and are now managed as EVN Wärmekraftwerke GmbH. This company (including the
thermal waste utilisation plant in Zwentendorf/Dürnrohr that was previously held in the Environment Segment) was assigned to the Generation Segment beginning with the fourth
quarter of 2017/18.
3) The investment in Steag-EVN Walsum 10 Kraftwerksgesellschaft is accounted for as a joint operation.
4) Dividends are included under financial results.

Principle of segment allocation and transfer pricing
Subsidiaries are allocated directly to their respective segments. EVN AG is allocated to the segments on the basis of data from the cost
accounting system.
The transfer prices for energy between the individual segments are based on comparable prices for special contract customers, and thus
represent applicable market prices. For the remaining items, pricing is based on cost plus an appropriate mark-up.
Reconciliation of segment results at the Group level

Services performed between segments are eliminated in the consolidation column. The results in the total column reflect the amounts
shown in the consolidated statement of operations. Also included are transition amounts, which result from the difference between the
viewpoints of the Generation and Energy segments and the Group with respect to the inclusion of Steag-EVN Walsum as a joint opera-
tion. The Generation Segment has not identified any signs of impairment to its proportional investment in the power plant resulting from
the inclusion of Steag-EVN Walsum as a joint operation, and the Energy Segment has already recognised provisions for onerous contracts
connected with the marketing of its electricity production. In contrast, an impairment charge for the Walsum 10 power plant is required
from the Group‘s point of view. These circumstances led to a transition of EUR 55.9m (previous year: EUR 25.7m) from the segment total
to Group EBIT.
Group disclosures
IFRS 8 requires additional segment information classified by products (external revenues from customers broken down by products and
services) and countries (external revenues from customers and non-current assets broken down by countries) if this information is not
provided as part of the segment reporting.
Information on transactions with major external customers is required only if these transactions amount to 10.0% or more of a company’s
external revenues. EVN has no transactions with customers that meet this criterion because of its large number of customers and diverse
business activities.
198
Consolidated notes — Segment reporting, Other information
Other information
59. Consolidated statement of cash flows
The consolidated statement of cash flows shows the changes in cash and cash equivalents during the reporting year as a result of cash
inflows and outflows. The consolidated statement of cash flows is presented in accordance with the indirect method. Non-cash expenses
were added to and non-cash income was subtracted from profit before income tax.
Cash and cash equivalents

EURm 30.09.2019 30.09.2018
Cash 246.6 214.5
thereof cash on hand 0.2 0.4
thereof cash at banks 246.4 214.1
Bank overdrafts –0.3 0.0*)
Total 246.2 214.5
*) Small amount
Of the total cash at banks, EUR 0.4m (previous year: EUR 1.8m) represent pledges.
The reversal of deferred income from network subsidies from the regulated business is recorded under other operating income (also see
note 25. Other operating income), while the comparable items from the non-regulated business are recorded under revenue.
Reversal of network and investment subsidies

EURm 2018/19 2017/18
Income from the reversal of network and investment subsidies (regulated business) 44.5 41.8
Revenue from the reversal of network and investment subsidies (non-regulated business) 6.2 6.1
Total 50.6 47.9
The change in financial liabilities, which is primarily attributable to cash flow from financing activities, is shown in the following table:
Cash flow from financing activities Non-current financial

EURm Current financial liabilities liabilities Total
Balance on 01.10.2018 89.1 1,040.5 1,129.5

Payments received – 3.2 3.2
Payments made –89.2 – –89.2
Reclassification of liquid funds 0.3 – 0.3
Currency translation – 0.9 0.9
Change in fair value – 12.1 12.1
Change in costs for the procurement of funds – 2.1 2.1
Reclassification 68.8 –68.8 –
Balance on 30.09.2019 68.8 990.0 1,058.8
60. Risk management

Market risk represents the risk that the fair value or future cash flows of a financial instrument fluctuate as the result of market risk factors.
Market risk is classified in the following three components: interest rate, foreign exchange and other market risks. The goal of risk manage-
ment in the EVN Group is to reduce the market-based volatility of earnings on the consolidated statement of operations. Other relevant
risks include credit or default risk and liquidity risk.

Interest rate risk
EVN defines interest rate risk as the risk that fluctuations in the fair value or future cash flows of a financial instrument due to changes in
the market interest rate could adversely affect interest income and expense as well as equity. This risk is minimised through the regular
monitoring of interest rate risk and compliance with limits as well as hedging strategies that include the use of derivative financial instru-
ments (also see notes 9. Financial instruments and 62. Reporting on financial instruments).
EVN monitors interest rate risk through sensitivity analyses and, among others, with a daily value-at-risk (VaR) calculation. This procedure
calculates the VaR with a confidence level of 99.0% for one day according to the variance-covariance method (delta-gamma approach).
The interest VaR, including the hedging instruments used by EVN, equalled EUR 3.5m as of 30 September 2019 (previous year: EUR 2.7m).
The lower volatility of interest rates during the reporting year was reflected in a year-on-year decline in the value at risk for interest rates.
Foreign exchange risk

For EVN, the risk to profit or loss arising from fluctuations in foreign exchange rates arises from transactions carried out in currencies other
than the euro. EVN is exposed to foreign exchange risk on receivables, liabilities, and cash and cash equivalents that are not held in the
Group’s functional currency (i. e. BGN, BHD, CZK, HRK, JPY, KWD, MKD, PLN, RUB). The major driver of foreign exchange risk for EVN is
a bond issued in Japanese yen (JPY). Foreign exchange risk is managed by way of the central compilation, analysis and management of
risk positions, and by hedging the bonds denominated in foreign currency (Yen 12bn) through cross-currency swaps (for a nominal value
of Yen 10bn). Cross-currency swaps for a nominal value of Yen 2bn were terminated on 15 January 2019 based on the related settlement
agreement concluded with a bank. This agreement gave both parties the right to early termination of the cross-currency swap in Janu-
ary 2019. Deposits totalling Yen 2bn were held with financial institutions as of 30 September 2019 (see notes 9. Financial instruments
and 48. Non-current financial liabilities).
The foreign exchange VaR, based on the major foreign currency risk drivers in the financial area, remains immaterial and amounted to
TEUR 148.7 (previous year: TEUR 75.6) after the inclusion of hedging instruments.
Other market risks

EVN defines other market risks as the risk of price changes resulting from market fluctuations in primary energy, CO2 emission certificates,
electricity and securities.
In EVN’s energy trading activities, energy trading contracts are entered into for the purpose of managing price risk. Price risks result from
the procurement and sale of electricity, natural gas, hard coal, and CO2 emission certificates.
EVN uses futures, forwards and swaps to hedge the prices of electricity, natural gas, coal and CO2 in the energy business. These swaps
are generally fulfilled. The contracts which cover expected procurement, sale or usage requirements are evaluated as own-use trans
actions. The table on page 207 shows the outstanding contracts as of 30 September 2019 (also see note 62. Reporting on financial
instruments). An increase or decrease of 5% in the price would have resulted in an aggregated commodity price risk of EUR 1.4m for
EVN as of 30 September 2019 (previous year: EUR 3.5m).
The price risk for securities results from fluctuations on the capital markets. The most significant securities position held by EVN is its invest-
ment in Verbund AG. The price risk VaR for the Verbund AG shares held by EVN as of the balance sheet date was EUR 105.1m (previous
year: EUR 69.8m), whereby the price would be influenced by the sale of a large block of Verbund shares by EVN. The year-on-year increase
in the VaR resulted essentially from the position’s higher share price/market value.
Liquidity risk
Liquidity risk represents the risk of not being able to raise the required financial resources to settle liabilities on their due date as well as
the inability to raise the necessary liquidity at the expected terms and conditions. EVN minimises this risk by means of short-term and
medium-term financial and liquidity planning. In concluding financing agreements, special attention is paid to managing the terms to
maturity in order to achieve a balanced maturity profile and thus avoid the bundling of repayment dates. The EVN Group uses cash pool-
ing to equalise liquidity balances.
200
Consolidated notes — Other information
The liquidity reserve as of 30 September 2019 comprised cash and cash equivalents of EUR 246.2m (previous year: EUR 214.5m) and
current securities of EUR 89.7m (previous year: EUR 139.8m) which can be sold at any time. Moreover, EVN had EUR 400.0m of
contractually agreed and unused syndicated lines of credit (previous year: unused lines of credit totalling EUR 400.0m) and EUR 92.0m
of contractually agreed and unused bilateral lines of credit (previous year: EUR 92.0m) as of the balance sheet date. The liquidity risk
was therefore extremely low. The gearing ratio equalled 22.0% as of the balance sheet date (previous year: 23.5%) and underscores
EVN’s sound capital structure.
Expected occurrence of cash flows of loans and borrowings

and other liabilities
30.09.2019 Carrying Total
Contractually stipulated payment flows
EURm amount payment flows < 1 year 1– 5 years > 5 years
Bonds 519.3 638.9 21.1 453.8 164.1
Bank loans 539.1 644.1 80.3 193.5 370.3
Lease liabilities 4.7 5.3 1.0 3.8 0.5
Liabilities arising from derivative transactions 41.7 35.9 20.3 12.6 3.0
Total 1,104.9 1,324.2 122.7 663.6 537.9
30.09.2018 Carrying Total

Contractually stipulated payment flows
EURm amount payment flows < 1 year 1– 5 years > 5 years
Bonds 534.5 674.9 52.3 357.9 264.6
Bank loans 595.1 718.9 71.8 234.6 412.5
Lease liabilities 6.4 8.4 2.8 4.3 1.3
Liabilities arising from derivative transactions 122.3 126.2 72.3 42.6 11.4
Total 1,258.2 1,528.4 199.1 639.4 689.8
Credit and default risk

Credit and default risk represents the risk of a loss when business partners fail to meet their contractual obligations. This risk is inherent to
all agreements with delayed payment terms or fulfilment at a later date. Default risk generally arises in connection with trade receivables
and the debt instruments held as financial assets by the Group. The carrying amount of the financial assets and contractual assets repre-
sents the maximum default risk.
To limit default risk, the company evaluates the credit standing of its business partners. External ratings (including Standard & Poor’s,
Moody’s, Fitch and KSV 1870) are used for this purpose, and the business volume is limited in accordance with the rating and the proba-
bility of default. Sufficient collateral is required before a transaction is entered into if the partner’s credit rating is inadequate.
EVN monitors credit risk and limits default risk for financial receivables and for derivatives and forward transactions which are concluded
to hedge the risks connected with EVN’s energy business or are related to end customers and other debtors.
In order to reduce credit risk, hedging transactions are entered into only with well-known banks that have good credit ratings. EVN also
ensures that funds are deposited at banks with the best possible credit standing based on international ratings.
The default risk for customers is monitored separately at EVN and supported primarily by ratings and experience-based values. Default risk
is also minimised with efficient receivables management and the continuous monitoring of customer payment behaviour.
The recognition of impairment losses to financial assets carried at amortised cost and to contractual assets in accordance with IFRS 15 has
been based on the ECL model for expected credit losses since 1 October 2018.

EVN measures the impairment losses for trade receivables without a significant financing component and for contractual assets at an
amount equal to the expected lifetime credit losses. In contrast, the impairment losses
• for financial assets with a low default risk as of the balance sheet date and
• for bank deposits without a significant increase in the default risk since initial recognition
are based on the expected 12-month credit loss.
From the viewpoint of the EVN Group, a financial asset has a low default risk when its credit rating meets the “investment grade“
definition. The Group sees this condition as met with an internal rating of 5a or higher or with an equivalent rating of BB– or higher from
Standard and Poor‘s (S&P).
EVN uses appropriate and reliable information which is relevant and available without undue expenditure of time and expense to
determine whether the default risk of a financial asset has increased significantly since initial recognition and to estimate the expected
credit losses. The default risk of a financial asset is assumed to have increased significantly when the related credit rating has declined
to 5b on EVN’s internal rating scale, which represents the S&P equivalent of B+.
The EVN Group considers a financial asset to be in default when:

• the debtor is unlikely to meet his/her credit obligations in full without measures by the Group to realise collateral (if available), or
• the financial asset declines to 5c on EVN’s internal rating scale, which represents the S&P equivalent of CCC+, or
• payment on trade receivables has not been received after a second reminder or insolvency proceedings are opened over a company
or private person.
Default probabilities and collection rates based on the applicable rating category are used to calculate the required impairment loss. The
amount of the impairment loss equals the present value of the expected credit loss.
The following table includes information on the default risk and expected credit losses for financial instruments carried at amortised cost.
It does not cover trade receivables, receivables from equity accounted investees, receivables from unconsolidated investments or amounts
due from employees. The risk allowance for all financial instruments represents the expected twelve-month credit loss because the default
risk is low. The amounts shown in the table include both current and non-current components.
Major financial instruments Default Loans Lease Calculated

covered by the ECL model Equivalent S&P probability (%) 1) receivable receivables Bank deposits 2) impairment 3)
EVN rating class 1 AAA 0.00 – – 246.4 –

EVN rating class 2 Up to AA– 0.03 19.6 7.1 – –
EVN rating class 3 Up to A– 0.06 16.3 – – –
EVN rating class 4 Up to BBB– 0.24 – 15.9 – –
EVN rating class 5a Up to BB– 0.95 – 3.1 – –
EVN rating class 5b Up to B– 6.75 – – – –
EVN rating class 5c Up to D 26.89 – – – –
No rating – – 0.9 4.7 – –
Total – – 36.8 30.8 264.4 –
1) Assumed loss rate (for banks 60%, for corporates 80%)
2) Since the bank deposits are due on demand, the default probability was set at one day.
3) The impairment losses were not recorded because the related amounts are immaterial.
EVN uses the practical expedient provided by IFRS 9B5.5.35 for trade receivables and calculates the expected credit losses with a provision
matrix. The input factors include analyses of default incidents in previous financial years based on different regional characteristics for the
core markets. These factors form the basis for the development of a provision matrix with different time ranges.
202
The following tables include information on the default risk and expected credit losses for trade receivables, which were determined on
the basis of a provision matrix for EVN’s core markets:
Expected credit losses in Austria 2018/19

EURm
Default probability Default probability Cumulative

range (%) average (%) Gross amount Net amount impairment loss
Not overdue 0.0 – 1.1 0.1 21.7 21.7 –

Up to 89 days overdue 0.1 – 1.4 0.7 2.1 2.1 –
Up to 179 days overdue 3.3 – 34.9 20.3 0.4 0.3 0.1
> 360 days overdue 8.5 – 53.2 41.5 4.0 2.3 1.7
Remainder not included – – 13.9 13.9 –
Total – – 42.7 40.7 2.0
The remaining amount which was not included represents business relations with government-related entities and debtors with exceptionally
good credit ratings. The probability of default was identified individually for each debtor. No credit losses occurred during 2018/19.
Expected credit losses in Bulgaria 2018/19

EURm

Not overdue 0.0 – 0.2 0.2 57.9 57.8 0.1

> 360 days overdue 36.4 – 100.0 100.0 14.5 – 14.5
Remainder not included – – 0.3 0.3 –
Total – – 78.8 62.9 16.0
Expected credit losses in North Macedonia 2018/19

EURm

Not overdue 0.3 – 5.5 5.2 59.5 56.4 3.1
Up to 359 days overdue 52.8 –82.1 80.0 10.2 2.1 8.2
> 360 days overdue 100.0 100.0 210.5 – 210.5
Total – – 301.4 74.3 227.1
The remaining gross trade receivables of EUR 81.5m are related primarily to the international project business. Since the customers are
government-related entities, the probability of default was calculated on the basis of external ratings. An impairment loss of EUR 10.0m
(previous year: EUR 10.0m) was recognised for a receivable with a gross carrying amount of EUR 54.0m (previous year: EUR 56.6m) which
is classified under level 3.

The following table shows the development of impairment losses to trade receivables in 2018/19:
Impairment losses – trade receivables Impairment loss
Balance on 30.09.2018 255.4

Adjustments in accordance with IFRS 9 1.0
Balance on 01.10.2018 256.4
Additions 3.5
Disposals –4.8
Balance on 30.09.2019 255.1
Impairment losses were recognised to the income statement as follows in 2018/19:
Impairment losses by class

EURm 30.09.2019 30.09.2018
Write-offs/value adjustments
Non-current assets
Non-financial assets – 1.0
– 1.0
Current assets
Trade and other receivables –1.3 17.6
Total –1.3 17.6
The Group’s maximum default risk for the items reported on the consolidated statement of financial position as of 30 September 2019
and 30 September 2018 reflect the carrying amounts shown in notes 38. Other non-current assets, 40. Trade and other receivables
and 41. Securities, excluding financial guarantees.
The maximum default risk for derivative financial instruments equals the positive fair value (see note 62. Reporting on financial
instruments).
The maximum risk from financial guarantees is described in note 64. Other obligations and risks.
61. Capital management

EVN’s goal in the area of capital management is to maintain a solid capital structure in order to use the resulting financial strength for
value-creating investments and an attractive dividend policy. EVN has defined an equity ratio of more than 40% and net debt coverage of
more than 30% as its targets. As of 30 September 2019, the equity ratio equalled 55.6% (previous year: 52.3%). Net debt coverage,
which represents the ratio of funds from operations to net debt, equalled 50.9% (previous year: 69.0%). Net debt is calculated as the
total of current and non-current financial liabilities minus cash and cash equivalents, current and non-current securities and loans receiv-
able and plus non-current personnel provisions.
204
Capital management
EURm 30.09.2019 30.09.2018
Non-current loans and borrowings and leases 993.9 1,040.5
Current loans and borrowings1) 68.4 89.1
Cash and cash equivalents –246.2 –214.5
Non-current and current securities –187.2 –274.8
Non-current and current loans receivable –36.8 –42.2
Net financial debt 592.0 598.0
Non-current personnel provisions 2) 407.5 365.8
Net debt 999.5 963.7
Funds from operations 508.3 665.1
Equity 4,552.1 4,092.6
Gearing (%) 22.0 23.5
Net debt coverage (%) 50.9 69.0
1) Excluding bank overdrafts contained in cash and cash equivalents
2) Excluding provisions for service anniversary bonuses
The EVN Group uses cash pooling to manage liquidity and optimise interest rates. EVN AG and each of the participating Group subsidiaries
have concluded a corresponding contract that defines the modalities for cash pooling.
62. Reporting on financial instruments

Fair value generally reflects the listed price on the balance sheet date. If this price is not available, fair value is calculated in accordance
with financial methods, e. g. by discounting the expected cash flows at the prevailing market interest rate. The input factors required for
the calculations are explained below.
The fair value of shares in unlisted subsidiaries and other investments is based on discounted expected cash flows or comparable trans-
actions. For financial instruments listed on an active market, the trading price as of the balance sheet date represents fair value. Most
of the receivables, cash and cash equivalents, and current financial liabilities have short terms to maturity. Therefore, the carrying value
of these instruments as of the balance sheet date approximately corresponds to fair value. The fair value of bonds is calculated as the
present value of the discounted future cash flows based on prevailing market interest rates.
The following table shows the financial instruments carried at fair value and their classification in the fair value hierarchy according to
IFRS 13.
Level 1 input factors are observable parameters such as quoted prices for identical assets or liabilities. These prices are used for valuation
purposes without modification. Level 2 input factors represent other observable parameters which must be adjusted to reflect the specific
characteristics of the valuation object. Examples of the parameters used to measure the financial instruments classified under Level 2 are
forward price curves derived from market prices, exchange rates, interest structure curves and the counterparty credit risk. Level 3 input
factors are non-observable factors which reflect the assumptions that would be used by a market participant to determine an appropriate
price. There were no reclassifications between the various levels during the reporting period.

Information on classes and categories of financial instruments
EURm
30.09.2019 30.09.2018
Fair value
hierarchy
Measurement (according Carrying Carrying
Classes category to IFRS 13) amount Fair value amount Fair value
Non-current assets
Other investments
Investments FVOCI Level 3 118.0 118.0 78.2 78.2
Miscellaneous investments FVOCI Level 1 2,202.9 2,202.9 1,861.5 1,861.5
Other non-current assets
Securities FVTPL Level 1 97.6 97.6 135.1 135.1
Loans reveivable AC Level 2 33.0 40.4 38.3 44.7
Lease receivables AC Level 2 18.3 19.8 28.7 31.8
Receivables arising from derivative transactions FVTPL Level 2 5.4 5.4 35.1 35.1
Receivables arising from derivative transactions Hedging Level 2 6.5 6.5 0.6 0.6
Current assets
Current receivables and other current assets
Trade and other receivables AC 327.2 327.2 419.5 419.5
Receivables arising from derivative transactions FVTPL Level 2 33.6 33.6 47.5 47.5
Securities FVTPL Level 1 89.7 89.7 139.8 139.8
Cash and cash equivalents
Cash on hand and cash at banks AC 246.6 246.6 214.5 214.5
Non-current loans and borrowings
Bonds AC Level 2 519.3 615.8 504.5 591.9
Bank loans AC Level 2 470.7 559.9 536.0 593.7
Other non-current liabilities
Leases AC Level 2 3.9 4.2 4.8 5.6
Accruals of financial transactions AC 0.2 0.2 0.6 0.6
Other liabilities AC 22.0 22.0 20.3 20.3
Liabilities arising from derivative transactions FVTPL Level 2 4.6 4.6 29.9 29.9
Liabilities arising from derivative transactions Hedging Level 2 15.7 15.7 19.9 19.9
Current liabilities
Current loans and borrowings AC 68.8 68.8 89.1 89.1
Trade payables AC 301.0 301.0 337.1 337.1
Other current liabilities
Other financial liabilities AC 163.5 163.5 292.7 292.7
Liabilities arising from derivative transactions FVTPL Level 2 16.3 16.3 67.4 67.4
Liabilities arising from derivative transactions Hedging Level 2 5.2 5.2 5.1 5.1
thereof aggregated to measurement categories
Fair value through other comprehensive income FVOCI 2,320.8 1,939.6
Financial assets designated at fair value through profit or loss FVTPL 226.2 357.4
Financial assets and liabilities at amortised cost AC 2,188.1 2,486.2
Financial liabilities designated at fair value through profit or loss FVTPL 20.8 97.3
206
Net results by measurement category1)

EURm 2018/19 2017/18
Of which Of which
Classes Net result impairment losses Net result impairment losses
Fair value through other comprehensive income (FVOCI) – – –0.0*) –0.0*)

Financial assets at amortised cost (AC) 2.1 1.3 –29.8 –17.6
Financial assets and liabilities at fair value through profit or
loss (FVTPL) 33.5 – –6.9 –
Financial assets and liabilities (hedging) 10.5 – 0.2 –
Financial liabilities at amortised cost (AC) –13.0 – –0.4 –
Total 33.1 1.3 –36.9 –17.6
1) The net results only involve changes to the consolidated statement of operations; interest expense/income and dividends are not included.
*) Small amount
Derivative financial instruments and hedging transactions

Derivative financial instruments are used primarily to hedge the company’s liquidity, exchange rate, price and interest rate risks. The opera-
tive goal is to ensure the long-term continuity of the Group’s earnings. All derivative financial instruments are integrated in a risk manage-
ment system as soon as the respective contracts are concluded. This allows for the preparation of a daily overview of all main risk indicators.
The nominal values represent the separate totals of the items classified as financial derivatives on the balance sheet date. These are
reference values which do not provide a measure of the risk incurred by the company through the use of these financial instruments.
In particular, potential risk factors include fluctuations in the underlying market parameters and the credit risk of the contracting parties.
Derivative financial instruments are recognised at their fair value.
Derivative financial instruments comprise the following:
Derivative 30.09.2019 30.09.2018

financial instruments Nominal value1) Fair values 2) Nominal value1) Fair values 2)
Purchases Disposals Positive Negative Net Purchases Disposals Positive Negative Net
Currency swaps
JPYm (> 5 years) 3) 10,000.0 – 6.5 – 6.5 – 12,000.0 – –4.7 –4.7
Interest rate swaps
EURm (< 5 years) 3) 15.6 – – –1.2 –1.2 18.0 – – –1.7 –1.7
EURm (> 5 years) 3) 137.5 – – –19.7 –19.7 153.4 – 0.6 –18.54) –17.94)
Derivatives energy
Swaps 28.4 – 0.4 –2.0 –1.6 59.6 –0.9 23.0 –0.1 22.9
Futures 22.5 –16.0 33.6 –3.3 30.3 30.9 –37.8 46.8 –24.9 21.9
Forwards 11.7 –93.2 4.9 –15.4 –10.5 30.9 –137.3 12.8 –72.3 –59.5
1) In m nominal currency
2) In EURm
3) Used as a hedging instrument in accordance with IFRS 9
Positive fair values are recognised as receivables from derivative transactions under other non-current assets or other current assets,
depending on their remaining term to maturity. Negative fair values are recognised as liabilities from derivative transactions under other
non-current liabilities or other current liabilities, depending on their remaining term to maturity. A maturity analysis of the derivative
financial liabilities is provided in the table on liquidity risk (see note 60. Risk management).
EVN uses hedges to manage earnings volatility. The underlying transaction and the hedge are designed to ensure a match between the
parameters relevant for measurement (critical terms match). In order to gauge the effectiveness, the underlying transactions are recorded
in the treasury management system and evaluated to determine whether the relationship with the respective hedges was or will be

effective. Possible sources of ineffectiveness are, for example, timing shifts or a change in the volume of an existing underlying transaction
as well as adjustments for the credit risk of hedges and underlying transactions. All measures are based on internal guidelines.
The EVN Group applied the accounting rules for hedges defined by IFRS 9 to the following items as of 30 September 2019: the hedge of
a bond issued in JPY (also see note 48. Non-current loans and borrowings), the hedge of future payments of variable interest finan-
cial liabilities related to Walsum 10 and the hedge of a loan held by evn naturkraft.
The hedge of the JPY bond primarily involves EUR/JPY cross-currency swaps. These cross-currency swaps (for a nominal value of JPY 12bn
up to 15 January 2019 and for a nominal value of JPY 10bn since that date) represent a fair value hedge and are recorded and measured
in the treasury management system, designated as a hedge and documented. The corresponding change in the bond liability from the
hedge represents a contrary movement to the market value of the swaps. The results from the hedge of the JPY bond with cross-currency
swaps totalled EUR –0.3m in 2018/19 (measurement of the bond EUR –12.1m and measurement of the swaps EUR 11.8m; previous year:
earnings effect EUR –0.2m, including measurement of the bond EUR –0.4m and measurement of the swaps EUR 0.2m) and were
recorded under other financial results. The market value was derived from the information available on the balance sheet date and based
on the applicable bond price and exchange rate. A cross-currency swap for a nominal value of JPY 2bn was concluded to hedge the
JPY bond through a settlement agreement with a bank. The related agreement entitled both parties to early termination in January 2019,
and the cross-currency swap was terminated by the bank as of 15 January 2019. In connection with this termination, EVN dissolved
the fair value hedge relationship and collected a settlement payment of EUR 0.6m. The interest rate-based fair value adjustment of the
JPY bond related to the terminated EUR 1.2m swap will be released to profit or loss until the bond matures on 9 January 2024.
EVN’s objective is to achieve a balanced mix of fixed and variable interest financial liabilities which is based on operating circumstances.
Both fixed-interest and variable rate financing is used because of the different payment characteristics of investments. In order to hedge
the above-mentioned risks (Walsum 10 and evn naturkraft loans), interest rate swaps are used to exchange variable for fixed interest. All
transactions are recorded and measured in the treasury management system, designated as a hedge and documented. All hedges con-
nected with financial liabilities were classified as effective as of 30 September 2019.
Fair value hedging instruments –

30.09.2019 Carrying Nominal Change in
EURm amount Balance sheet position amount fair value
Cross-currency swaps 6.5 Other non-current assets 10.01) 11.8
Fair value hedge –

underlying transaction 30.09.2019 Carrying Fair value Nominal Change in
EURm amount adjustment Balance sheet position amount fair value
JPY bond –90.5 –5.7 Non-current financial liabilities 10.01) –12.1

1) JPY bn
Cash flow hedging instruments –

30.09.2019 Carrying Nominal Change in
EURm amount Balance sheet position amount fair value
Interest rate swaps Steag-EVN-Walsum 10 Other current/non-current liabilities

Kraftwerksgesellschaft –19.7 137.5 –1.21)
Interest rate swaps ENK (French lease) –1.2 Other current/non-current liabilities 15.6 0.5
1) The difference to the change in the carrying amount of the interest rate swaps is attributable to the accrued interest which is included in the carrying amount.
208
Cash flow hedges – underlying transactions 30.09.2019 Reserve for measurement

EURm Change in fair value of cash flow hedges
Debt financing Steag-EVN-Walsum 10 Kraftwerksgesellschaft 2.5 17.6 1)

ENK (French lease) –0.5 1.2
1) Other comprehensive income included EUR 5.9m as of 30 September 2019 (previous year: EUR 7.8m) for the remaining balance of the cash flow hedges
for which hedge accounting is no longer applied.
Effects on the statement of

comprehensive income, Hedge gains/
statement of financial position and losses recognised Reclassification
in other Ineffectiveness Positions for which from OCI to Positions for which
statement of operations 30.09.2019 comprehensive recognised to ineffectiveness was statement of reclassification was
EURm income profit or loss recognised operations recognised
Debt financing Steag-EVN-Walsum 10

Kraftwerksgesellschaft 2.5 –1.3 Other financial results –1.9 Interest expense
ENK (French Lease) –0.5 – – – –
Nominal amount and average interest rate

EURm 30.09.2020 30.09.2021 30.09.2022
Interest rate swaps
Nominal amount 134.8 116.4 88.9
Fixed interest rate (%) 3.114 3.110 3.036
The following table shows the maturity of the interest rate swaps which are designated as cash flow hedges. The terms of the hedges
correspond to the occurrence of the future transactions. The periods in which the cash flows occur represent the periods in which they
are expected to have an effect on results.
Expected occurrence of cash flows from cash flow hedges

30.09.2019 Total Contractually stipulated payment flows
EURm payment flows < 1 year 1– 5 years > 5 years
Cash flows of hedged items –154.2 –18.7 –81.9 –53.7

Cash flows from hedging instruments –22.0 –5.1 –13.9 –3.0
30.09.2018 Total Contractually stipulated payment flows

EURm payment flows < 1 year 1– 5 years > 5 years
Cash flows of hedged items –179.2 –18.7 –86.2 –74.2
Cash flows from hedging instruments –21.3 –5.6 –13.1 –2.7
63. Disclosures of interests in other entities

An overview of the companies included in the consolidated financial statements is provided beginning on page 217 under EVN’s
investments.
Information on the joint ventures and associates that were included in EVN’s consolidated financial statements at equity in 2018/19 is
provided below.
The share of results from equity accounted investees with operational nature is reported as part of the results from operating activities (EBIT).

The following table shows the classification of the equity accounted investees based on operating and financial criteria:
Joint ventures that were included at equity in the consolidated Operational Financial
financial statements as of 30.09.2019 in accordance with IFRS 11 nature nature
Company
Bioenergie Steyr GmbH
Degremont WTE Wassertechnik Praha v.o.s.
e&i EDV Dienstleistungsgesellschaft m.b.H.
EnergieAllianz
EVN KG
EVN-WE Wind KG
Fernwärme St. Pölten GmbH
Fernwärme Steyr GmbH
RAG
Ashta
sludge2energy GmbH
ZOV
Associates that were included at equity in the consolidated Operational Financial

financial statements as of 30.09.2019 in accordance with IAS 28 nature nature
Company
Energie Burgenland
Verbund Innkraftwerke
ZOV UIP
210
The following table provides summarised financial information on each individually material joint venture included in the consolidated
financial statements:
Financial information of material

joint ventures
EURm 30.09.2019 30.09.2018
Joint venture EVN KG RAG ZOV EVN KG RAG ZOV

Non-current assets 4.7 651.3 219.4 17.4 551.5 235.5
Current assets 166.9 94.8 60.3 364.7 184.7 62.3
Non-current liabilities – 281.4 22.8 0.0*) 317.3 40.7
Current liabilities 110.6 227.6 22.0 208.9 170.8 34.6
Reconciliation of the carrying amount of
the share of EVN in the joint venture
Net assets 60.9 237.1 234.9 173.2 248.2 222.6
Share of EVN in net assets in per cent 100.0 100.0 48.50 100.0 100.0 48.50
Share of EVN in net assets 60.9 237.1 113.9 173.2 248.2 112.0
+ /– Revaluations – 151.1 – – 156.2 0.0*)
Carrying amount of the share of EVN in the
joint venture 60.9 388.2 113.9 173.2 404.4 112.0
2018/19 2017/18
Revenue 517.1 436.7 19.3 450.5 470.5 16.1
Scheduled depreciation and amortisation –0.1 –60.9 – –0.0*) –37.2 –0.0 *)
Interest income – 1.2 0.3 0.0 *) 0.3 0.1
Interest expense – –4.6 –4.0 –0.4 –3.8 –4.9
Income tax – –14.7 –5.8 – –5.4 –4.1
Result for the period –36.2 36.2 26.3 114.3 45.1 18.8
Other comprehensive income –6.7 –8.8 1.1 –4.6 2.8 0.7
Comprehensive income –42.9 27.5 27.4 109.7 47.9 19.4
Dividends received by EVN 70.4 40.0 11.4 83.3 42.0 1.3

*) Small amount
The following table provides summarised financial information on the individually immaterial joint ventures included in the consolidated
Financial information of individually immaterial joint ventures

(EVN share)
EURm 2018/19 2017/18
Carrying value of the joint ventures as of the balance sheet date 60.9 53.4
Other comprehensive income –0.2 0.8
Comprehensive income 10.2 6.6

The following table provides summarised financial information on each individually material associate included in the consolidated
Financial information of
material associates
EURm 30.09.2019 30.09.2018
Verbund Energie Verbund Energie
Associate IKW ZOV UIP Burgenland IKW ZOV UIP Burgenland

Non-current assets 1,080.9 0.3 708.9 1,053.2 0.2 695.7
Current assets 46.9 4.3 165.1 45.1 3.0 172.4
Non-current liabilities 40.4 – 170.7 27.0 – 172.0
Current liabilities 11.4 1.0 371.4 6.8 0.6 371.6
Reconciliation of the carrying amount of the
share of EVN in the associate
Net assets 1,076.1 3.5 331.9 1,064.4 2.6 324.6
Share of EVN in net assets in per cent 13.00 31.00 36.08 13.00 31.00 36.08
Share of EVN in net assets 139.9 1.1 119.8 138.4 0.8 117.1
+/– Revaluations 24.0 –0.1 62.8 –69.5 – 65.5
Carrying amount of the share of EVN
in the associate 163.9 1.0 182.5 68.8 0.8 182.6
2018/19 2017/18
Revenue 87.0 12.5 342.0 75.6 13.2 318.5
Result for the period 24.0 4.1 24.8 –102.6 3.4 19.8
Other comprehensive income – – –5.0 – – –6.4
Comprehensive income 24.0 4.1 19.8 –102.6 3.4 13.4
Dividends received by EVN 1.3 1.0 9.8 1.3 1.0 9.3
The consolidated financial statements include no associates that are individually immaterial.
64. Other obligations and risks

The commitments entered into by EVN and the related risks are as follows:
Other obligations and risks

EURm 30.09.2019 30.09.2018
Guarantees in connection with energy transactions 98.1 50.9
Guarantees in connection with projects in the Environment Segment 77.0 53.6
Guarantees related to the construction and operation of
energy networks 2.8 3.0
power plants 101.0 104.5
Order obligations for investments in intangible assets and property, plant and equipment 89.6 112.8
Further obligations arising from guarantees or other contractual contingent liabilities 0.1 0.1
Total 368.6 324.9
thereof in connection with equity accounted investees 75.1 74.0
Neither provisions nor liabilities were recognised for the above-mentioned items because claims to the fulfilment of obligations or the
actual occurrence of specific risks were not expected at the time these consolidated financial statements were prepared. The above-
mentioned obligations were contrasted by corresponding recourse claims of EUR 49.7m (previous year: EUR 32.8m).
212
Contingent liabilities related to guarantees for subsidiaries in connection with energy transactions are recognised on the basis of the
guarantees issued by EAA at an amount equalling the risk exposure of EVN AG. This risk is measured by the changes between the
stipulated price and the actual market price, whereby EVN is only exposed to procurement risks when market prices decline and to
selling risks when market prices increase.
Accordingly, fluctuations in market prices may lead to a change in the risk exposure after the balance sheet date. The risk assessment
resulted in a contingent liability of EUR 11.4m as of 30 September 2019. The nominal volume of the guarantees underlying this assessment
was EUR 289.0m. As of 31 October 2019, the market price risk was EUR 13.9m based on an underlying nominal volume of EUR 289.0m.
Various legal proceedings and lawsuits related to operating activities are pending or claims may be filed against EVN in the future. The
attendant risks were analysed in relation to their probability of occurrence. The evaluation of possible claims showed that the legal pro-
ceedings and lawsuits, individually and as a whole, would not have a material negative effect on EVN’s business, liquidity, profit or loss or
financial position.
Additional obligations arising from guarantees and other contractual contingent liabilities consisted chiefly of outstanding capital contribu-
tions to affiliates as well as liabilities for affiliates’ loans.
65. Information on transactions with related parties

In accordance with IAS 24, transactions with related parties arise through direct or indirect control, significant influence or joint manage-
ment. Related parties further include close family members of the respective natural persons. Key management personnel and their close
family members are also considered to be related parties.
EVN’s related parties include all companies in the scope of consolidation, other subsidiaries, joint ventures and associates that are not
included in the consolidated financial statements, as well as people who are responsible for the planning, management and supervision of
the Group’s activities. In particular, related parties also include the members of the Executive Board and the Supervisory Board as well as
their family members. A list of the Group companies can be found starting on page 217 under EVN’s investments.
The province of Lower Austria holds 51.0% of the shares of EVN AG through NÖ Landes-Beteiligungsholding GmbH, St. Pölten. Therefore,
the province of Lower Austria and companies under its control or significant influence are classified as related parties of the EVN Group.
Since the province of Lower Austria is a government-related entity which has control over EVN AG due to its majority shareholding, EVN
has elected to apply the exemption provided by IAS 24.25. This exemption releases EVN from the requirement to disclose business trans-
actions and outstanding balances with related parties when the related party is a government-related entity. The business transactions
with companies under the control or significant influence of NÖ Landes-Beteiligungsholding GmbH are related mainly to the provision of
electricity, natural gas, network and telecommunications services.
On 20 December 2013, EnBW Energie Baden-Württemberg AG, Karlsruhe, Germany, concluded a trust agreement with EnBW Trust within
the framework of a so-called contractual trust arrangement model. This agreement led to the transfer by EnBW of its 32.5% investment in
EVN AG in trust to EnBW Trust. As of 30 September 2019, EnBW Trust held an investment of 28.6% in EVN AG.
Transactions with related parties

Main shareholder
A group and tax settlement agreement was concluded with NÖ Landes-Beteiligungsholding GmbH, St. Pölten, in connection with the
inclusion of EVN AG in a corporate tax group as defined in § 9 of the Austrian Corporate Tax Act. EVN AG has since added further subsidi-
aries to the tax group based on this agreement. This resulted in a current liability of EUR 54.5m to NÖ Landes-Beteiligungsholding GmbH,
St. Pölten, as of 30 September 2019 (previous year: EUR 16.2m). All other business relationships with the main shareholder or companies
attributable to the main shareholder are carried out at arm’s length.
EnBW Trust e.V.

There were no material business relations with EnBW Energie Baden-Württemberg AG or EnBW Trust e.V. in 2018/19, with the exception
of the dividend payment.

Investments in equity accounted investees
Within the context of its ordinary business operations, EVN has concluded supply and service contracts with numerous companies
included at equity in its consolidated financial statements. Long-term agreements were concluded with EAA for the sale and procurement
of electricity and natural gas, and long-term procurement contracts were concluded with Verbund Innkraftwerke for electricity.
The value of services provided to investments in equity accounted investees is as follows:
Transactions with joint ventures included at equity

EURm 2018/19 2017/18
Revenue 307.2 335.0
Cost of services received –88.4 –100.7
Trade accounts receivable 12.2 23.6
Other receivables 11.9 40.5
Trade accounts payable 16.6 24.9
Other liabilities 33.2 116.7
Loans 16.3 19.9
Liabilities from cash pooling 61.8 83.1
Interest income from loans 0.7 0.9
Transactions with associates included at equity

EURm 2018/19 2017/18
Revenue – –
Cost of services received –9.3 –7.3
Trade accounts receivable – –
Trade accounts payable 0.9 0.6
Transactions with related individuals

Executive Board and Supervisory Board
The payments to members of the Executive Board and the Supervisory Board consist primarily of salaries, severance payments, pensions
and Supervisory Board remuneration.
The remuneration paid to the active members of the Executive Board in 2018/19 totalled TEUR 1,234.9 (including compensation in kind
and contributions to pension funds; previous year: TEUR 1,160.3).
Remuneration of the active Executive Board

TEUR 2018/19 2017/18
Fixed Variable Compensation Fixed Variable Compensation
remuneration remuneration in kind remuneration remuneration in kind
Stefan Szyszkowitz 414.8 162.3 11.4 401.7 184.4 14.3

Franz Mittermayer 387.1 124.6 13.9 346.2 83.1 13.8
The pension fund contributions in 2018/19 equalled TEUR 62.8 for Stefan Szyszkowitz (previous year: TEUR 60.7) and TEUR 58.0 for Franz
Mittermayer (previous year: TEUR 56.1).
An addition of TEUR 1,894.0 (thereof TEUR 88.5 of interest expense and TEUR 1,621.5 of actuarial gains/losses) was made to the provision
for pension obligations on behalf of Stefan Szyszkowitz in 2018/19. In the previous year, a change of TEUR 823.2 was recorded (thereof
TEUR 72.8 of interest expense and TEUR 593.1 of actuarial gains/losses). The addition to the provision for pension obligations on behalf of
Franz Mittermayer amounted to TEUR 1,911.3 (thereof TEUR 114.8 of interest expense and TEUR 1,566.7 of actuarial gains/losses). In the
previous year, a change of TEUR 4,223.1 was recorded (thereof TEUR 33.7 of interest expense and TEUR 4,119.3 of actuarial gains/losses).
214
In 2018 /19 contributions of TEUR 9.0 (previous year: TEUR 9.2) were made to an external employee fund on behalf of Stefan Szyszkowitz
and TEUR 8.0 (previous year: TEUR 6.8) on behalf of Franz Mittermayer.
The year-on-year change in the remuneration of the active members of the Executive Board is attributable primarily to the change in per-
formance-based components and the annual wage and salary increases mandated by collective bargaining agreements. Franz Mittermayer
has been a member of the Executive Board since 1 October 2017. His variable remuneration of the previous year therefore only includes
preliminary payments on account for the 2017/18 financial year and no remuneration for the previous 2016/17 financial year. The special
payments for Franz Mittermayer in 2017/18 also only involved proportional payments for the period beginning on 1 October 2017.
The members of the Executive Board are also entitled to a contractually agreed pension at retirement, whereby pension payments under
the Austrian social security scheme and any payments from the VBV-Pensionskasse are credited against this amount.
The payments to former members of the Executive Board or their surviving dependents amounted to TEUR 4,019.2 in 2018/19 (previous
year: TEUR 1,972.0).
Expenses for severance payments and pensions for active members of senior management totalled TEUR 1,198.7 in 2018/19 (thereof
TEUR 41.7 of interest expense and TEUR 846.2 of actuarial gains/losses) and TEUR 533.3 in the previous year (thereof TEUR 94.3 of
interest expense and TEUR 603.2 of actuarial gains/losses).
The above amounts include expenses recognised in accordance with national law, as required by the Austrian Corporate Governance
Code. In accordance with IFRS, actuarial gains and losses are recorded under other comprehensive income in keeping with IAS 19.
The Supervisory Board remuneration totalled EUR 0.1m in 2018/19 (previous year: EUR 0.1m). The members of the Advisory Committee
for Environmental and Social Responsibility received remuneration of EUR 0.1m during the reporting year (previous year: EUR 0.1m).
The basic principles underlying the remuneration system are presented in the remuneration report, which is part of the corporate
governance report.
Transactions with other related companies

The disclosure requirements for the notes do not cover information on intragroup transactions. Therefore, business transactions between
EVN and its subsidiaries are not reported. Business transactions with non-consolidated subsidiaries and companies not included at equity
are generally not reported because they are immaterial.
Related parties can also be direct customers of a company within the EVN Group, whereby these business relationships reflect prevailing
market rates and conditions and are immaterial in relation to the total income recorded by the EVN Group in 2018 /19. The resulting items
outstanding as of 30 September 2019 are reported under trade accounts receivable.
66. Significant events after the balance sheet date

No material events occurred between the balance sheet date on 30 September 2019 and the editorial deadline for the consolidated
financial statements on 18 November 2019.
67. Information on management and staff

The corporate bodies of EVN AG are:
Executive Board
Stefan Szyszkowitz – Spokesman of the Executive Board
Franz Mittermayer – Member of the Executive Board

Supervisory Board
Chairwoman
Bettina Glatz-Kremsner
Vice-Chairmen
Norbert Griesmayr
Willi Stiowicek
Members
Dieter Lutz Reinhard Meißl
Angela Stransky Susanne Scharnhorst
Friedrich Zibuschka Johannes Zügel
Philipp Gruber
Employee representatives
Paul Hofer Monika Fraißl
Uwe Mitter (as of 14.05.2019) Friedrich Bußlehner
Franz Hemm (until 13.05.2019) Manfred Weinrichter (until 13.05.2019)
Irene Pugl (as of 14.05.2019)
68. Approval of the 2018/19 consolidated financial statements for publication

These consolidated financial statements were prepared by the Executive Board as of the date indicated below. The individual financial
statements, which were also included in the consolidated financial statements after their adjustment to reflect International Financial
Reporting Standards, and the consolidated financial statements of EVN AG will be submitted to the Supervisory Board on 11 Decem-
ber 2019 for examination, and the Supervisory Board will also be asked to approve the individual financial statements.
69. Auditing fees

EVN’s consolidated financial statements and annual financial statements for the 2018/19 financial year were audited by KPMG Austria GmbH
Wirtschaftsprüfungs- und Steuerberatungsgesellschaft, Vienna. The costs for KPMG Austria GmbH Wirtschaftsprüfungs- und Steuer-
beratungsgesellschaft, Vienna, totalled EUR 0.5m (previous year: EUR 0.5m) and were distributed as follows: 46.8% for auditing services,
40.0% for audit-related services and 13.2% for other consulting services. Auditing and consulting fees for the Group amounted to
EUR 1.7m for the reporting year (previous year: EUR 1.6m), whereby 33.4% are attributable to auditing, 14.3% to audit-related services,
31.0% to tax advising and 21.3% to other consulting services. All companies in the scope of consolidation were included.
EVN AG
The Executive Board

216
EVN‘s investments
EVN’s investments according to § 245a (1) in connection with § 265 (2) UGB
The following table lists EVN’s investments classified by segment of business. The list of companies not included in the consolidated finan-
cial statements of EVN AG for materiality reasons is based on the companies’ last available local annual financial statements as of the
respective balance sheet date. The data from companies that report in a foreign currency is translated into euros at the exchange rate on
the balance sheet date of EVN AG.
1. EVN’s investments in the energy business ≥ 20.0%

as of 30 September 2019
Method of
1.1. Included in the consolidated financial statements of EVN Interest Balance consolidation
Company, registered office Shareholder % sheet date 2018/19
Ashta Beteiligungsverwaltung GmbH, Vienna EVN 49.99 31.12.2018 E
Bioenergie Steyr GmbH, Behamberg EVN Wärme 51.00 30.09.2019 E
Biowärme Amstetten-West GmbH, Amstetten EVN Wärme 49.00 31.12.2018 E
Elektrorazpredelenie Yug EAD (“EP Yug“), Plovdiv, Bulgaria BG SN Holding 100.00 31.12.2018 V
ENERGIEALLIANZ Austria GmbH (“EnergieAllianz“), Vienna EVN 45.00 30.09.2019 E
EVN Bulgaria Elektrosnabdiavane EAD (“EVN Bulgaria EC“), Plovdiv, Bulgaria BG SV Holding 100.00 31.12.2018 V
EVN Bulgaria EAD (“EVN Bulgaria“), Sofia, Bulgaria EVN 100.00 31.12.2018 V
EVN Bulgaria Fernwärme Holding GmbH (“BG FW Holding“), Maria Enzersdorf EVN 100.00 30.09.2019 V
EVN Bulgaria RES Holding GmbH (“EVN Bulgaria RES“), Maria Enzersdorf EVN Naturkraft 100.00 30.09.2019 V
EVN Bulgaria Stromerzeugung Holding GmbH (“BG SE Holding“), Maria Enzersdorf EVN Naturkraft 100.00 30.09.2019 V
EVN Bulgaria Stromnetz Holding GmbH (“BG SN Holding“), Maria Enzersdorf EVN 100.00 30.09.2019 V
EVN Bulgaria Stromvertrieb Holding GmbH (“BG SV Holding“), Maria Enzersdorf EVN 100.00 30.09.2019 V
EVN Bulgaria Toplofikatsia EAD (“TEZ Plovdiv“), Plovdiv, Bulgaria BG FW Holding 100.00 31.12.2018 V
EVN Croatia Plin d.o.o, Zagreb, Croatia Kroatien Holding 100.00 31.12.2018 V
ELEKTRODISTRIBUCIJA DOOEL, Skopje, North Macedonia EVN Macedonia 100.00 31.12.2018 V
EVN Energievertrieb GmbH & Co KG (“EVN EV“), Maria Enzersdorf EVN 100.00 30.09.2019 E
EVN Geoinfo GmbH (“EVN Geoinfo“), Maria Enzersdorf Utilitas 100.00 30.09.2019 V
EVN Home DOO, Skopje, North Macedonia EVN Macedonia/ 100.00 – V
EVN Supply
EVN Kavarna EOOD (“EVN Kavarna“), Plovdiv, Bulgaria EVN Bulgaria RES 100.00 31.12.2018 V
EVN Kraftwerks- und Beteiligungsgesellschaft mbH (“EVN Kraftwerk“), Maria Enzersdorf EVN 100.00 30.09.2019 V
EVN Kroatien Holding GmbH (“Kroatien Holding“), Maria Enzersdorf EVN 100.00 30.09.2019 V
EVN Liegenschaftsverwaltung Gesellschaft m.b.H. (“EVN LV“), Maria Enzersdorf EVN/Utilitas 100.00 30.09.2019 V
EVN Macedonia AD (“EVN Macedonia“), Skopje, North Macedonia EVN Mazedonien 90.00 31.12.2018 V
EVN Macedonia Elektrani DOOEL, Skopje, North Macedonia EVN Macedonia 100.00 31.12.2018 V
EVN Macedonia Elektrosnabduvanje DOOEL (“EVN Supply“), Skopje, North Macedonia EVN Macedonia 100.00 31.12.2018 V
EVN Macedonia Holding DOOEL, Skopje, North Macedonia EVN 100.00 31.12.2018 V
EVN Mazedonien GmbH (“EVN Mazedonien“), Maria Enzersdorf EVN 100.00 30.09.2019 V
evn naturkraft Erzeugungsgesellschaft m.b.H. (“EVN Naturkraft“), Maria Enzersdorf EVN 100.00 30.09.2019 V
EVN Service Centre EOOD, Plovdiv, Bulgaria EVN Bulgaria 100.00 31.12.2018 V
EVN Trading d.o.o. Beograd, Belgrade, Serbia EVN Trading SEE 100.00 31.12.2018 V
EVN Trading DOOEL, Skopje, North Macedonia EVN Trading SEE 100.00 31.12.2018 V
EVN Trading South East Europe EAD (“EVN Trading SEE“), Sofia, Bulgaria EVN Bulgaria 100.00 31.12.2018 V
EVN Wärme GmbH (“EVN Wärme“), Maria Enzersdorf EVN 100.00 30.09.2019 V
Method of consolidation:
V: Fully consolidated company (subsidiary) JO: Company included as joint operation E: Company included at equity
NV: Non-consolidated subsidiary NJO: Company not included as a joint operation NE: Company not included at equity

Method of
1.1. Included in the consolidated financial statements of EVN Interest Balance consolidation
Company, registered office Shareholder % sheet date 2018/19
EVN-WIEN ENERGIE Windparkentwicklungs- und Betriebs GmbH & Co KG EVN Naturkraft 50.00 30.09.2019 E
(“EVN-WE Wind KG“), Vienna
Fernwärme St. Pölten GmbH, St. Pölten EVN 49.00 31.12.2018 E
Fernwärme Steyr GmbH, Steyr EVN Wärme 49.00 30.09.2019 E
Hydro Power Company Gorna Arda AD, Sofia, Bulgaria BG SE Holding 76.00 31.12.2018 V
kabelplus GmbH, (“kabelplus“), Maria Enzersdorf Utilitas 100.00 30.09.2019 V
Netz Niederösterreich GmbH (“Netz NÖ“), Maria Enzersdorf EVN 100.00 30.09.2019 V
Steag-EVN Walsum 10 Kraftwerksgesellschaft mbH (“SEK“), Essen, Germany EVN Kraftwerk 49.00 31.12.2018 JO
Verbund Innkraftwerke GmbH (“Verbund Innkraftwerke“), Töging, Germany1) EVN Naturkraft 13.00 31.12.2018 E
Wasserkraftwerke Trieb und Krieglach GmbH (“WTK“), Maria Enzersdorf EVN Naturkraft 70.00 30.09.2019 V
1) This company is included in the consolidated financial statements at equity and presented in the above table despite a participation interest ≤ 20.0% because of special contractual
arrangements that allow for the exercise of significant influence.
1.2. Not included in the consolidated financial Method of

Shareholders’ Last year’s consoli-
statements of EVN due to immateriality Interest equity profit/loss Balance sheet dation
Company, registered office Shareholder % TEUR TEUR date 2018/19
ARGE Coop Telekom, Maria Enzersdorf EVN Geoinfo 50.00 82 21 31.12.2018 NE

(110) (49) (31.12.2017)
ARGE Digitaler Leitungskataster NÖ, Maria Enzersdorf EVN Geoinfo 30.00 382 107 31.12.2018 NE
(276) (68) (31.12.2017)
Bioenergie Wiener Neustadt GmbH, Wiener Neustadt EVN Wärme 90.00 477 3 31.12.2018 NV
(474) (–27) (31.12.2017)
Energiespeicher Sulzberg GmbH, Maria Enzersdorf EVN Sulzberg 51.00 10 –32 30.09.2019 NV
(43) (–36) (30.09.2018)
EVN Asset Management EOOD, Plovdiv, Bulgaria EVN Bulgaria 100.00 6 0 31.12.2017 NV
(6) (0) (31.12.2016)
EVN Energiespeicher Sulzberg Beteiligungs GmbH EVN Naturkraft 100.00 25 –34 30.09.2019 NV
(“EVN Sulzberg“), Maria Enzersdorf (58) (–37) (30.09.2018)
EVN Gorna Arda Development EOOD, Sofia, Bulgaria EVN Bulgaria 100.00 78 2 31.12.2018 NV
(77) (–89) (31.12.2017)
EVN-WIEN ENERGIE Windparkentwicklungs- und EVN Naturkraft 50.00 44 1 30.09.2018 NE
Betriebs GmbH (“EVN-WE Wind GmbH“), Vienna (43) (0) (30.09.2017)
Fernwärme Mariazellerland GmbH, Mariazell EVN Wärme 48.86 –76 –66 31.12.2018 NE
(–10) (–76) (31.12.2017)
FWG-Fernwärmeversorgung Amstetten registrierte EVN Wärme 100.00 184 –9 30.06.2018 NE
Genossenschaft mit beschränkter Haftung in Liquidation, (743) (88) (30.06.2017)
Amstetten
Kraftwerk Nußdorf Errichtungs- und Betriebs GmbH, Vienna EVN Naturkraft 33.33 41 3 31.12.2018 NE
(39) (3) (31.12.2017)
Kraftwerk Nußdorf Errichtungs- und Betriebs GmbH & Co KG, EVN Naturkraft 33.33 7,937 391 31.12.2018 NE
Vienna (7,547) (304) (31.12.2017)
218
EVN‘s investments

EVN Beteiligung 60 GmbH Utilitas 100.00 1,783 –1 30.09.2019 NV

(“EVN Bet. 60“), Maria Enzersdorf (1,784) (–2) (30.09.2018)
EVN Grundstücksverwaltung EVN Bet. 60 100.00 1,789 2 30.09.2019 NV
Bergern GmbH, Maria Enzersdorf (1,789) (6) (30.09.2018)
Netz Niederösterreich Beteiligung 31 GmbH Netz NÖ 100.00 1,997 –1 30.09.2019 NV
(“Netz Bet. 31“), Maria Enzersdorf (1,999) (–3) (30.09.2018)
Netz Niederösterreich Liegenschaftsbesitz 31 GmbH, Netz Bet. 31 100.00 1,963 –6 30.09.2019 NV
Maria Enzersdorf (1,954) (–29) (30.09.2018)
2. EVN’s investments in the environmental services business ≥ 20.0%

Method of
2.1. Included in the consolidated financial statements of EVN Interest Balance sheet consolidation
Company, registered office Shareholder % date 2018/19
Cista Dolina – SHW Komunalno podjetje d.o.o., Kranjska Gora, Slovenia WTE Betrieb 100.00 30.09.2019 V
Degremont WTE Wassertechnik Praha v.o.s., Prague, Czech Republic WTE Wassertechnik 35.00 31.12.2018 E
EVN Wärmekraftwerke GmbH (“EVN Wärmekraftwerke“), Maria Enzersdorf EVN / EVN Bet. 52 100.00 30.09.2019 V
EVN Beteiligung 52 GmbH (“EVN Bet. 52“), Maria Enzersdorf EVN 100.00 30.09.2019 V
EVN Projektgesellschaft Müllverbrennungsanlage Nr. 1 mbH (“EVN MVA1“), WTE Wassertechnik 100.00 30.09.2019 V
Essen, Germany
EVN Projektgesellschaft Müllverbrennungsanlage Nr. 3 mbH (“EVN MVA3“), EVN Umwelt /Utilitas 100.00 30.09.2019 V
Maria Enzersdorf
EVN Umwelt Beteiligungs und Service GmbH (“EVN UBS“), Maria Enzersdorf EVN Umwelt 100.00 30.09.2019 V
EVN Umweltholding und Betriebs-GmbH (“EVN Umwelt“), Maria Enzersdorf EVN 100.00 30.09.2019 V
evn wasser Gesellschaft m.b.H. (“evn wasser“), Maria Enzersdorf EVN/Utilitas 100.00 30.09.2019 V
AO Budapro-zavod No. 1, Moscow, Russia EVN MVA1 100.00 31.12.2018 V
AO EVN MSZ 3 (“AO MVA3“), Moscow, Russia EVN MVA3 100.00 31.12.2018 V
OOO EVN Umwelt Service, Moscow, Russia EVN UBS 100.00 31.12.2018 V
OOO EVN Umwelt, Moscow, Russia EVN UBS 100.00 31.12.2018 V
sludge2energy GmbH, Berching, Germany WTE Wassertechnik 50.00 31.12.2018 E
Storitveno podjetje Lasko d.o.o., Lasko, Slovenia WTE Wassertechnik 100.00 30.09.2019 V
WTE Abwicklungsgesellschaft Russland mbH, Essen, Germany International 100.00 30.09.2019 V
WTE Betriebsgesellschaft mbH (“WTE Betrieb“), Hecklingen, Germany WTE Wassertechnik 100.00 30.09.2019 V
WTE desalinizacija morske vode d.o.o., Budva, Montenegro WTE Betrieb 100.00 31.12.2018 V

Method of
WTE International GmbH (“International“), Essen, Germany WTE Wassertechnik 100.00 30.09.2019 V
WTE otpadne vode Budva DOO, Podgorica, Montenegro WTE Wassertechnik 100.00 31.12.2018 V
WTE Projektna druzba Bled d.o.o., Bled, Slovenia WTE Wassertechnik 100.00 30.09.2019 V
WTE Wassertechnik GmbH (“WTE Wassertechnik“), Essen, Germany EVN Bet. 52 100.00 30.09.2019 V
WTE Wassertechnik (Polska) Sp.z.o.o., Warsaw, Poland WTE Wassertechnik 100.00 30.09.2019 V
Zagrebacke otpadne vode d.o.o. (“ZOV“), Zagreb, Croatia WTE Wassertechnik 48.50 31.12.2018 E
Zagrebacke otpadne vode – upravljanje i pogon d.o.o. (“ZOV UIP“), Zagreb, Croatia WTE Wassertechnik 33.00 31.12.2018 E

Abwasserbeseitigung Kötschach-Mauthen Errichtungs- und EVN Wärme- 26.00 37 0 31.12.2018 NE

Betriebsgesellschaft mbH, Kötschach-Mauthen kraftwerke (37) (0) (31.12.2017)
EVN Umwelt Finanz- und Service-GmbH (“EVN UFS“), EVN Umwelt 100.00 43 –6 30.09.2019 NV
Maria Enzersdorf (–) (–) (–)
JV WTE Tecton Azmeel W.L.L, Al Seef (Manama), Bahrain WTE 50.00 – – – NE
Wassertechnik (–) (–) (–)
OOO EVN-Ekotechprom MSZ3, Moscow, Russia AO MVA3 70.00 –9,917 –335 31.12.2018 NV
(–8,904) (–2,124) (31.12.2017)
Saarberg Hölter Projektgesellschaft Süd Butowo mbH WTE 100.00 25 –1 30.09.2019 NV
(“Süd Butowo“), Essen, Germany Wassertechnik (26) (–1) (30.09.2018)
SHW Hölter Projektgesellschaft Zelenograd mbH, Essen, WTE 100.00 16 – 30.09.2019 NV
Germany Wassertechnik (16) (–1) (30.09.2018)
SHW/RWE Umwelt Aqua Vodogradnja d.o.o., Zagreb, Croatia WTE 50.00 566 –12 31.12.2018 NE
Wassertechnik (566) (156) (31.12.2017)
Umm Al Hayman Holding Company W.L.L, Kuwait City, Kuwait WTE 50.00 – – – NE
Wassertechnik (–) (–) (–)
Wasserver- und Abwasserentsorgungsgesellschaft WTE 49.00 553 3 31.12.2018 NE
Märkische Schweiz mbh, Buckow, Germany Wassertechnik (550) (3) (31.12.2017)
Wiental-Sammelkanal Gesellschaft m.b.H, Untertullnerbach evn wasser 50.00 866 0 31.12.2018 NE
(866) (0) (31.12.2017)
WTE Abwicklungsgesellschaft Kuwait mbH, Essen, Germany International 100.00 23 0 30.09.2019 NV
(23) (0) (30.09.2018)
WTE Baltic UAB, Kaunas, Lithuania WTE 100.00 153 12 30.09.2019 NV
Wassertechnik (141) (32) (30.09.2018)
WTE Projektgesellschaft Kurjanovo mbH (“Kurjanovo“), Essen, WTE 100.00 18 –1 30.09.2019 NV
Germany Wassertechnik (19) (–1) (30.09.2018)
WTE Projektgesellschaft Natriumhypochlorit mbH, Essen, EVN UFS / WTE 100.00 25 0 30.09.2019 NV
Germany Wassertechnik (–) (–) (–)
220
EVN‘s investments
3. EVN’s investments in other business activities ≥ 20.0%

Method of
Burgenland Holding Aktiengesellschaft (“Burgenland Holding“ or “BUHO“), Eisenstadt EVN 73.63 30.09.2019 V
Energie Burgenland AG, Eisenstadt BUHO 49.00 30.09.2019 E
EVN Business Service GmbH (“EVN Business“), Maria Enzersdorf Utilitas 100.00 30.09.2019 V
EVN Finanzservice GmbH, Maria Enzersdorf EVN 100.00 30.09.2019 V
EVN WEEV Beteiligungs GmbH (“EVN WEEV“), Maria Enzersdorf EVN 100.00 31.08.2019 V
e&i EDV Dienstleistungsgesellschaft m.b.H., Vienna EVN 50.00 30.09.2019 E
R 138-Fonds, Vienna EVN/Netz NÖ/ 100.00 30.09.2019 V
evn wasser
RAG-Beteiligungs-Aktiengesellschaft (“RBG“), Maria Enzersdorf EVN 50.03 31.03.2019 V
RAG Austria AG (“RAG“), Vienna RBG 100.00 31.12.2018 E
UTILITAS Dienstleistungs- und Beteiligungs-Gesellschaft m.b.H (“Utilitas“), EVN 100.00 30.09.2019 V
Maria Enzersdorf

Sharehold- Last year’s consoli-
statements of EVN due to immateriality Interest ers’ equity profit/loss Balance sheet dation
EVN Beteiligung 40 GmbH, Maria Enzersdorf EVN 100.00 20 –2 30.09.2019 NV

(22) (–2) (30.09.2018)
WEEV Beteiligungs GmbH in Liquidation, Maria Enzersdorf EVN/EVN WEEV 100.00 4,095 –0 30.06.2019 NV
(5,036) (4,059) (30.06.2018)

Auditors‘ report
Report on the Consolidated Financial Statements

Audit Opinion
We have audited the consolidated financial statements of
EVN AG,
Maria Enzersdorf, Austria
and its subsidiaries (“the Group”), which comprise the consolidated statement of financial position as at 30 September 2019, the
consolidated statement of operations and consolidated statement of comprehensive income, consolidated statement of cash flows and
consolidated statement of changes in equity for the year then ended, and the notes to the consolidated financial statements.
In our opinion, the consolidated financial statements present fairly, in all material respects, the consolidated financial position of the
Group as of 30 September 2019, and its consolidated financial performance and consolidated cash flows for the year then ended in
accordance with International Financial Reporting Standards (IFRSs) as adopted by the EU, and the additional requirements pursuant to
Section 245a UGB (Austrian Commercial Code).
Basis for our Opinion

We conducted our audit in accordance with the EU Regulation 537/2014 (“AP Regulation“) and Austrian Standards on Auditing. These
standards require the audit to be conducted in accordance with International Standards on Auditing (ISA). Our responsibilities under those
standards are further described in the “Auditors’ Responsibility“ section of our report. We are independent of the audited Group in accordance
with Austrian company law and professional regulations, and have fulfilled our other responsibilities under those relevant ethical require-
ments. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated finan-
cial statements. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, however,
we do not provide a separate opinion thereon.
Impairment of intangible assets, property, plant and equipment and investments in equity accounted investees
Refer to notes 21, 29, 30, 34, 35 and 36 to the consolidated financial statements and the chapter Business development in the Group
management report.
Risk for the Financial Statements

Intangible assets, property, plant and equipment (PPE) and investments in equity accounted investees with a total carrying amount of
EUR 4,770.2m account for 58.3% of total assets of the Group as of the balance sheet date.
At each reporting date, the Company assesses whether there is any indication that the recoverable amount has decreased significantly
and that therefore, intangible assets, property, plant and equipment and equity accounted investees are impaired. For those items of
intangible assets, PPE and equity accounted investees, for which impairment losses were recognised in prior periods, the Company
assesses whether the impairment loss no longer exists and therefore needs to be reversed.
Impairment testing for items of intangible assets and PPE for which separate future cash inflows cannot be determined is performed at
the level of the cash-generating unit (CGU). In testing impairment, the Company in general first determines the value in use and if neces-
sary, the fair value less costs of disposal. The value in use as well as fair value less costs of disposal are calculated as the present value of
the future cash flows using a discounted cash flow method.
222
Auditors’ report
The result of this measurement depends to a high degree on management’s planning assumptions and estimates of future cash flows as
well as on the discount rates used in the calculations. As such, these assumptions and estimations are subject to significant estimation
uncertainties and therefore, impairment of intangible assets, property, plant and equipment and equity accounted investees was classified
as a key audit matter.
Our response
We analysed the documentation of the impairment processes of intangible assets, property, plant and equipment and equity accounted
investees and critically questioned wether these processes are suitable for the appropriate measurement of intangible assets, property,
plant and equipment and equity accounted investees. Moreover, we collected information about the significant internal controls and eval-
uated the key controls in respect of their design, implementation and operating effectiveness.
We critically questioned the Company’s assessment of whether there is any indication that intangible assets, property, plant and equipment
and equity accounted investees may be impaired or whether an impairment loss recognised in prior periods may need to be reversed, and
compared the assessment with our understanding gained during the audit of the consolidated financial statements.
In consultation with our valuation specialists, we assessed the measurement technique model, planning assumptions and measurement
parameter for selected issues. The assumptions used for determining the interest rates were assessed for appropriateness by comparing
them to industry- and market-specific reference values. We reconciled planning data used in the measurement to medium-term planning
approved by management. We assessed the appropriateness of planning estimates by comparing – on a sample basis – actual cash flows
with prior period estimated cash flows and discussing deviations with management. We agreed the respective carrying amounts to the
fixed assets sub ledger.
Revenue recognition from end customer business

Refer to notes 19 and 24 and the chapter Business development in the Group management report.
Risk for the Financial Statements

The consolidated statement of operations report total revenue of EUR 2,204.m.
A significant portion of consolidated revenue relates to revenue generated from end customer business in Austria which is subject to
specific risks due to the complexity of the systems required for the appropriate recognition and deferral of revenue and the effect of con-
tinuous changes on the business, pricing and tariff models. Revenue is derived from the billings systems based on statistical methods and
deferred based on the power volumes supplied. Revenue is recognised if a billable service has been provided to the customer.
Recognition and measurement of this specific and significant portion of revenue is subject to management’s estimate and assumptions to
a high degree and requires application of complex calculation techniques. Therefore, revenue generated from end customer business was
classified as a key audit matter.
Our response
Taking into consideration the fact that there is an increased risk related to the appropriate recognition of revenue due to the complexity
as well as underlying estimates and assumptions, we assessed the relevant processes and controls implemented by the Group in respect
of recognition of revenue from end customer business including the respective IT systems in cooperation with our specialists from Infor-
mation Risk Management (IRM). We evaluated key controls in respect of their operating effectiveness.
In addition, we performed adequate analyses as well as tests of detail on the appropriate recognition of revenue and critically assessed
the appropriateness of management’s estimates and assumptions.

Responsibilities of Management and Audit Committee for the Consolidated Financial Statements
Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with
International Financial Reporting Standards (IFRSs) as adopted by the EU, the additional requirements pursuant to Section 245a UGB
(Austrian Commercial Code) and for such internal controls as management determines are necessary to enable the preparation of
consolidated financial statements that are free from material misstatement, whether due to fraud or error.
Management is also responsible for assessing the Group’s ability to continue as a going concern, disclosing, as applicable, matters related
to going concern and using the going concern basis of accounting, unless management either intends to liquidate the Group or to cease
operations, or has no realistic alternative but to do so.
The Audit Committee is responsible for overseeing the Group’s financial reporting process.
Auditors’ Responsibility
Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from mate-
rial misstatements – whether due to fraud or error – and to issue an auditors’ report that includes our audit opinion. Reasonable assur-
ance represents a high level of assurance, but provides no guarantee that an audit conducted in accordance with the AP Regulation and
Austrian Standards on Auditing (and therefore ISAs), will always detect a material misstatement, if any. Misstatements may result from
fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of these consolidated financial statements.
As part of an audit in accordance with the AP Regulation and Austrian Standards on Auditing (and therefore ISAs), we exercise profes-
sional judgment and maintain professional skepticism throughout the audit.
Moreover:
• We identify and assess the risks of material misstatement in the consolidated financial statements, whether due to fraud or error, we
design and perform audit procedures responsive to those risks and obtain sufficient and appropriate audit evidence to serve as a
basis for our audit opinion. The risk of not detecting material misstatements resulting from fraud is higher than for one resulting from
error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations or override of internal control.
• We obtain an understanding of the internal control system relevant to the audit in order to design audit procedures that are appro-
priate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group‘s internal control
system.
• We evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures
made by management.
• We conclude on the appropriateness of management’s use of the going concern basis of accounting and, based on the audit evi-
dence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group’s
ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our
audit report to the respective notes in the consolidated financial statements. If such disclosures are not appropriate, we will modify
our audit opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors’ report. However, future
events or conditions may cause the Group to cease to continue as a going concern.
224
Auditors’ report
• We evaluate the overall presentation, structure and content of the consolidated financial statements, including the notes, and whether
the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
• We obtain sufficient appropriate audit evidence regarding the financial information of the entities and business activities within the
Group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and perfor-
mance of the group audit. We remain solely responsible for our audit opinion.
• We communicate with the Audit Committee regarding, amongst other matters, the planned scope and timing of our audit as well as
significant findings, including any significant deficiencies in the internal control system that we identify during our audit.
• We communicate to the Audit Committee that we have complied with the relevant professional requirements in respect of our inde-
pendence, that we will report any relationships and other events that could reasonably affect our independence and, where appro-
priate, the related safeguards.
• From the matters communicated with the Audit Committee, we determine those matters that were of most significance in the
audit i. e. key audit matters. We describe these key audit matters in our auditors’ report unless laws or other legal regulations pre-
clude public disclosure about the matter or when in very rare cases, we determine that a matter should not be included in our
auditors’ report because the negative consequences of doing so would reasonably be expected to outweigh the public benefits of
such communication.
Report on Other Legal Requirements

Group Management Report
In accordance with Austrian company law, the group management report is to be audited as to whether it is consistent with the consoli-
dated financial statements and prepared in accordance with legal requirements.
Management is responsible for the preparation of the group management report in accordance with Austrian company law.
We have conducted our audit in accordance with generally accepted standards on the audit of group management reports as applied in
Austria.
Opinion
In our opinion, the group management report is consistent with the consolidated financial statements and has been prepared in
accordance with legal requirements. The disclosures pursuant to Section 243a UGB (Austrian Commercial Code) are appropriate.
Statement
Based on our knowledge gained in the course of the audit of the consolidated financial statements and our understanding of the Group
and its environment, we did not note any material misstatements in the group management report.

Other Information
Management is responsible for other information. Other information is all information provided in the annual report, other than the
consolidated financial statements, the group management report, and the auditors’ report.
Our opinion on the consolidated financial statements does not cover other information and we do not provide any assurance thereon.
In conjunction with our audit, it is our responsibility to read this other information and to assess whether, based on knowledge gained
during our audit, it contains any material inconsistencies with the consolidated financial statements or any apparent material misstatement
of fact. If we conclude that there is a material misstatement of fact in other information, we must report that fact. We have nothing to
report in this regard.
Additional Information in accordance with Article 10 AP Regulation

At the Annual General Meeting dated 17 January 2019, we were elected as group auditors. We were appointed by the Supervisory Board
on 22 March 2019. We have been the Group’s auditors for more than 20 years without interruption.
We declare that our opinion expressed in the “Report on the Consolidated Financial Statements“ section of our report is consistent with
our additional report to the Audit Committee, in accordance with Article 11 AP Regulation.
We declare that we have not provided any prohibited non-audit services (Article 5 Paragraph 1 AP Regulation) and that we have ensured
our independence, throughout the course of the audit, from the audited Group.
Engagement Partner
The engagement partner is Mr. Rainer Hassler.
Vienna, 18 November 2019
KPMG Austria GmbH

Wirtschaftsprüfungs- und Steuerberatungsgesellschaft
signed by:
Rainer Hassler
Wirtschaftsprüfer
(Austrian Chartered Accountant)
This report is a translation of the original report in German, which is solely valid.
226
Glossary
To improve readability in this CIP (Continuous Improve- Combined cycle heat and Earnings per share
report, Group companies ment Process) power/co-generation Group net result divided by the
are partly referred to using The CIP is designed to support Simultaneous generation of average number of shares out-
abbreviated names. The full a steady improvement in the electricity and heat in a single standing for the period.
company names are given quality of products, processes facility. Combined production
in EVN’s investments starting and service through independ- allows the plant to reach a high EBIT (Earnings before
on page 217. ent efforts by employees in level of efficiency and, in this Interest and Taxes)
their departments and teams way, optimally use the primary Also referred to as results from
Austrian Sustainability and to realise continuous improve- energy. operating activities; an indicator
Diversity Improvement Act ments in their areas of respon- of a company’s ability to gener-
An Austrian law enacted in 2017 sibility and working environ- Control area ate earnings from its business
which implements EU Directive ments. The focus here is on all A control area represents a operations.
2014/95/EU to create European types of small improvements. geographically distinct group
minimum standards for greater of high voltage and extra-high EBITDA (Earnings before
transparency and better com- CO2 (carbon dioxide) voltage networks, whose sta- Interest, Taxes, Depreciation
parability in the non-financial Chemical compound consisting bility is guaranteed by a and Amortisation)
reporting. of carbon and oxygen which is responsible transmission net- Earnings before interest, taxes,
largely created by the combus- work operator. depreciation and amortisation
Biogas tion of fossil fuels. of property, plant and equip-
A mixture comprised largely of Corporate governance code ment and intangible assets, or
methane and carbon dioxide CO2e Behavioural code for companies operating results before depre-
which is created during the oxy- The unit CO2e or CO2-equivalent which defines the principles of ciation and amortisation of
gen-free digestion of organic indicates the relative green- good management and control; property, plant and equipment
renewable raw materials, slurry house gas potential. 1 t CO2e this is not a set of legal regula- and intangible assets; is also
or organic residues from the equals the quantity of a mate- tions, but a guideline that used as a simple cash flow
foodstuffs industry. rial with the same mean heat- invites voluntary compliance. parameter.
ing effect on the atmosphere
Biomass as one tonne of CO2. Coverage ratio Economic Value Added
Organic material (dead organ- Ratio of the volume of electric- (EVA®)
isms, organic metabolic prod- CO2 emission certificate ity produced in EVN’s own Difference between the yield
ucts and residual materials); CO2 emission certificates were power generating facilities and spread (ROCE less WACC)
certain parts can be used as fuel introduced in the European the Group’s total sales volume multiplied by average capital
in combined heat and power Union as of 1 January 2005 as of electricity. employed; benchmark for the
plants to generate electricity part of the drive to implement shareholder value created in
and heat or cooling. the Kyoto Accords and allow the Degree of efficiency a company.
emission of a certain amount of The efficiency of a plant
Capital employed greenhouse gas emissions. The represents the ratio of input E-Control
Equity plus interest-bearing certificates are allocated within to output (i. e. the quantity (Energie-Control Austria)
loans or assets minus non- the framework of the “National of electrical energy generated The regulatory authority
interest-bearing liabilities. Allotment Plan“, depending on in relation to the primary established by Austrian law-
the level of a company’s previ- energy employed). makers on the basis of the
Cash-generating Unit (CGU) ous emissions. Energy Liberalisation Act to
The smallest identifiable group Dividend yield monitor the implementation of
of assets that generates cash CO2 emission certificate Ratio of the distributed divi- the liberalisation process for
inflows that are largely inde- trading/EU emission trading dend to the share price. the Austrian electricity and nat-
pendent of the cash inflows As part of the EU’s emission ural gas markets and to inter-
from other assets or groups of certificate trading system, the Due diligence audit vene in the marketplace if
assets. The present value of member states distribute CO2 This type of audit is designed to necessary.
future cash flows can be used emission rights to companies. analyse the strengths and weak-
to value a CGU. Firms whose actual CO2 emis- nesses as well as the related
sions exceed the volume of the risks of a project, property or
allocated certificates must pur- company, and thereby plays an
Service
chase additional emission rights. important role in its valuation.

EEX (European Energy Forward market International Financial Net Operating Profit after
Exchange) In contrast to the spot market, Reporting Interpretation Tax (NOPAT)
The largest energy marketplace the forward or futures market is Committee/Standard Taxable profit before the
in continental Europe, head- characterised by a contractually Interpretation Committee deduction of financing costs.
quartered in Leipzig. stipulated time lag between the (IFRIC, formerly SIC)
conclusion of a transaction and This committee is responsible Network loss
Energy units actual delivery. At the time a for interpreting and providing The difference between the
Energy (Wh) = output × time contract is concluded, the buyer more precise information on electrical current fed into an
Kilowatt hour kWh: is not required to have the nec- the IFRSs issued by the Interna- electricity network and the
1 Watt hour (Wh) × 10³ essary liquid funds, nor is the tional Accounting Standards electrical energy that is actually
Megawatt hour MWh: seller required to have the pur- Board (IASB). delivered. Network losses gen-
1 Wh × 10 6 chased goods. The price of the erally arise due to the physical
Gigawatt hour GWh: goods is determined at the time International Financial characteristics of the transmis-
1 Wh × 10 9 the contract is concluded. Reporting Standards/ sion lines.
Natural gas energy content: International Accounting
1 Nm³ Funds from Operations (FFO) Standards (IFRS, formerly IAS) Other comprehensive income
1 m³ natural gas = 11.07 kWh Net cash flow from operating The designation IAS was The total of all income not rec-
activities minus interest expense. changed to IFRS in 2001; the ognised through profit or loss
EMAS IASs issued prior to that year minus expenses for the report-
European Union directive Gearing are still published under the ing period that are not recog-
for environmental management Ratio of net debt to equity. earlier designation. IFRSs/IASs nised through profit or loss.
systems. are issued by the International
Global Reporting Initiative Accounting Standards Board PPP project
Equity ratio (GRI) (IASB). (Public Private Partnership)
Equity as a per cent of total Initiative aimed at developing PPP projects involve the con-
capital. globally applicable guidelines ISO 14001 struction and financing of
for sustainability reporting to International environmental plants for public customers;
Ex-dividend day ensure the standardised pres- management standard that after a predefined period of
The day on which shares are entation of companies from an defines the globally recognised time, the plant becomes the
traded without an entitlement economic, ecological and social requirements for related sys- property of the customer.
to dividends. On this day the point of view. tems. These projects were previously
dividend is deducted from the designated as BOOT projects.
price of the respective share. Heating degree total Management approach
Parameter showing the temper- Presentation of the manage- Primary energy
Fair value ature-related energy requirement and controlling aspects of Energy obtained from natural
The price based on all relevant ments for heating purposes. a company. sources. In addition to fossil
factors in an efficient market; it fuels such as natural gas, petro-
forms the basis for transactions Hedge Net debt leum, hard and brown coal,
between willing and independ- An instrument used to manage Net total of interest-bearing primary energy sources also
ent partners. or limit financial risk or to avoid assets and liabilities (issued include nuclear fuels like ura-
or limit losses resulting from bonds, liabilities to credit nium and renewable energy
negative changes in the market institutes and non-current sources like water, sun and
value of interest-, currency- or employee-related provisions wind.
share-related transactions. A less loans, securities and
company aiming to “hedge“ a liquid funds). REALIT
particular transaction concludes A by-product from flue gas
another transaction linked to Net debt coverage cleaning which is 100% recy-
the underlying business. Ratio of FFO (funds from cled by EVN.
operations) to interest-bearing
Interest cover net debt.
Ratio of FFO (funds from opera-
tions) to interest expense.
228
Service — Glossary
Regulatory Asset Base (RAB) Sector contractor UN Global Compact

The interest-bearing capital The Austrian Federal Procure- An initiative launched by the
base equals intangible assets ment Act of 1 February 2006 United Nations to support eco-
plus property, plant and equip- defines sector contractors as logical and economic interests
ment minus recognised fees for companies which provide in the areas of human rights,
network access and opera- supplies to the general public in work, the environment and
tional readiness (construction the areas of natural gas, heat, corruption.
subsidies) and any goodwill water, transportation, postal
arising from balance sheet services and power generation. Value at Risk (VaR)
items. Adjustments are made Process to calculate the poten-
to account for the standardisa- Smart meter/metering tial loss arising from changes
tion of depreciation periods An electricity meter with an in the price of a specific trading
and the release of construction additional function that allows position based on a certain
subsidies. the utility company to read the assumed level of probability.
meter offsite with an online
Renewable electricity system. Weighted Average Cost of
Electricity that is generated Capital (WACC)
solely from renewable sources Spot market/spot trading This indicator has two compo-
like water, wind, biogas, General designation for nents – the cost of debt and
biomass, photovoltaic, markets in which delivery, the cost of equity – which are
geothermal, landfill gas acceptance of the goods and weighted according to their
and sewage gas. payment (clearing) are carried share in total capital. The cost
out immediately after the of debt equals the actual, aver-
Results from operating conclusion of the business age credit interest adjusted for
activities transaction. tax effects, while the cost of
See EBIT. equity equals the return on a
Syndicated credit line risk-free investment plus a risk
Return on Equity (ROE) A binding commitment by a mark-up that is calculated indi-
Return on equity is used to banking consortium to provide vidually for every company.
evaluate the creation of value a line of credit which a com-
by a company on the basis of pany can draw upon in varying Wind-to-hydrogen
equity. For calculation pur- amounts, terms and currencies. Electricity that is generated in
poses, net profit for the period wind power plants is converted
is compared with average Thermal waste utilisation into hydrogen and then fed
equity. The controlled industrial burn- into the natural gas network.
ing of waste at temperatures
ROCE (Return on Capital exceeding 1,000 °Celsius,
Employed) which leads to the destruction
This ratio shows the return on or reduction of harmful sub-
the capital used in a company. stances. At the same time, the
For the calculation, net profit energy contained in the waste
for the period and interest materials is released and used
expense less tax effects are for electricity generation or
compared with average capital district heating.
employed. In order to consist-
ently show the development of Total shareholder return
the value contribution, operat- Benchmark for measuring the
ing ROCE (OpROCE) is adjusted value development of a stock
for impairment losses, one-off over a certain period of time;
effects and the market value of includes dividends and the
the investment in Verbund AG. increase in the share price.
Service

GRI Content Index
The GRI Content Index forms the underlying structure for EVN’s Full Report 2018 /19. It shows – according to the requirements of the
Global Reporting Initiative (option “core”) – where in this report general disclosures and topic-specific disclosures are reported based
on materiality criteria. The GRI Content Index also includes additional company-specific indicators which were labelled accordingly.
For the GRI Content Index, also see www.evn.at /GRI-Content-Index

Reference to report page and

GRI standard Disclosure online information or omission
General disclosures
GRI 102: General disclosures 2016
Organisational profile
102-1 Name of the organisation EVN AG as the parent company of the
EVN Group (EVN)
102-2 Activities, brands, products, and services 6f. No products are offered that are prohibited
in EVN’s main markets.
102-3 Location of headquarters 2344 Maria Enzersdorf, Austria
102-4 Location of operations 7. The company’s main operating locations are
Austria, Bulgaria, North Macedonia and Germany.
102-5 Ownership and legal form 25. Legal form: listed stock corporation
102-6 Markets served 7
102-7 Scale of the organisation Cover, 8 f. As of 30 September 2019, EVN AG,
as the parent company, and 61 subsidiaries
were included through full consolidation in the
consolidated financial statements.
102-8 Information on employees and other workers 63, 68.
d. Not applicable: The number of leased personnel
represents 2.2% of the total workforce, whereby
their representation in our overall business
activities is immaterial in relation
to EVN’s employees.
e. No significant seasonal changes in the number
of employees.
f. Employee-related data represent actual amounts
(no underlying assumptions) and are taken from
the human resources department’s IT system.
102-9 Supply chain 74
102-10 Significant changes to the organisation and its supply chain No material changes in the organisation or
supply chain.
102-11 Precautionary principle or approach 41
102-12 External initiatives 79
102-13 Membership of associations 79
230
Service — GRI Content Index

Strategy
102-14 Statement from senior decision-maker Editorial, 15ff
102-151) Key impacts, risks, and opportunities 21ff, 48f
Ethics and integrity

102-16 Values, principles, standards, and norms of behaviour 60f
102-171) Mechanisms for advice and concerns about ethics 61f
Governance
102-18 Governance structure 20
102-191) Delegating authority 20
102-201) Executive-level responsibility for economic, environmental, and social topics 20
102-211) Consulting stakeholders on economic, environmental, and social topics 16f, 20, 78f
102-221) Composition of the highest governance body and its committees 93ff (Corporate governance report)
102-231) Chair of the highest governance body 93ff (Corporate governance report)
102-241) Nominating and selecting the highest governance body 93ff (Corporate governance report)
102-251) Conflicts of interest 93ff (Corporate governance report)
102-261) Role of highest governance body in setting purpose, values, and strategy 20
102-271) Collective knowledge of highest governance body 20. The report by the Executive Board and the dis-
cussions of the other points on the agenda at the
Supervisory Board meetings also regularly covered
the economic, ecological and social aspects of the
respective issues. In addition, a closed conference
by the Supervisory Board provided the framework
for extensive discussions on the Austrian climate
and energy strategy from EVN’s perspective.
102-291) Identifying and managing economic, environmental, and social impacts 16f
102-301) Effectiveness of risk management processes 118ff (Risk management report)
102-311) Review of economic, environmental, and social topics 15ff, 46, 91f (Report of the Supervisory Board).
Annual review of the non-financial report by the
Supervisory Board in accordance with the Austrian
Sustainability and Diversity Improvement Act.
102-321) Highest governance body’s role in sustainability reporting Members of the Executive Board
102-331) Communicating critical concerns 118ff (Risk management report)
102-341) Nature and total number of critical concerns No critical concerns
102-361) Process for determining remuneration 95 (Corporate governance report)
102-371) Stakeholders’ involvement in remuneration In the 2018/19 financial year, there was
no involvement of stakeholders in EVN’s
remuneration policy.
Stakeholder engagement
102-40 List of stakeholder groups 16
102-41 Collective bargaining agreements 68ff
102-42 Identifying and selecting stakeholders 16
102-43 Approach to stakeholder engagement 16f, 78
102-44 Key topics and concerns raised 16f
Service

Reporting practice
102-45 Entities included in the consolidated financial statements 151f (Notes). The non-financial report covers the
fully consolidated companies included in EVN’s
scope of consolidation, which required reporting
as of 30.09.2019 based on the consolidation prin-
ciples. Calculations on the material topic of the
”environment and climate“ additionally include, in
particular, the Walsum 10 hard coal-fired power
plant. The prior year data on the ”environment
and climate“ were adjusted to reflect the inclusion
of the thermal waste treatment plant in Moscow.
102-46 Defining report content and topic boundaries 4f
102-47 List of material topics 16f
102-48 Restatements of information There were no major changes in the scope of
the report compared with the previous year
(EVN Full Report 2017/18). The prior year data on
GHG emissions, work accidents and compliance
training were adjusted retroactively due to
a change in the respective calculation method.
102-49 Changes in reporting About this report. No major changes.
102-50 Reporting period The reporting period covers the financial year
from 01.10.2018 to 30.09.2019.
102-51 Date of most recent report EVN Full Report 2017/18, published on
12.12.2018.
102-52 Reporting cycle Annual reporting
102-53 Contact point for questions regarding the report Imprint.
Investor relations: investor.relations@evn.at
Sustainability: nachhaltigkeit@evn.at
102-54 Claims of reporting in accordance with the GRI standards About this report. This report was prepared in
agreement with the GRI standards, option “core“.
102-55 GRI Content Index 230
102-56 External assurance 88 f. External review of the non-financial report
by KPMG Austria GmbH Wirtschaftsprüfungs- und
Steuerberatungsgesellschaft
232

Material topics
Supply security
GRI 103: Management approach 2016
103-1 Explanation of the material topic and its boundary 28ff
103-2 The management approach and its components 28ff
103-3 Evaluation of the management approach 28ff
Company-specific supplementary indicators

EU21) Energy generation by primary energy source 35
EU121) Efficiency of long-distance lines and distribution networks 34
EU261) Population in sales area without electricity supply Full coverage of basic energy supply for the
populations can be assumed in all countries
where EVN is the electricity supplier.
EU28, EU291) Frequency and duration of a power failure 35
EU301) Average availability of power plants 35
Customer satisfaction
GRI 203: Indirect economic impacts 2016

203-1 Infrastructure investments and services supported 114f (Management report). All infrastructure
investments are commercial in nature.
203-21) Significant indirect economic impacts 40
GRI 416: Customer health and safety 2016

416-1 Assessment of the health and safety impacts of product and service categories 41
416-21) Incidents of non-compliance concerning the health and safety impacts of products No relevant incidents
and services
GRI 417: Marketing and labelling 2016

417-1 Requirements for product and service information and labelling 41
417-21) Incidents of non-compliance concerning product and service information and labelling No relevant incidents
417-31) Incidents of non-compliance concerning marketing communications No relevant incidents
GRI 418: Customer privacy 2016

418-1 Substantiated complaints concerning breaches of customer privacy and losses of 43
customer data
Service

Sustainable increase in corporate value

103-1 Explanation of the material topic and its boundary 12ff, 25ff
103-2 The management approach and its components 12ff, 25ff
103-3 Evaluation of the management approach 12ff, 25ff
GRI 201: Economic performance 2016

201-1 Direct economic value generated and distributed 81
201-31) Defined benefit plan obligations and other retirement plans 72. b., i., ii., iii. Not applicable: As a supplement
to entitlements arising from statutory pension
insurance, EVN employees can participate in an
umbrella pension fund which is independent
of the EVN Group.
GRI 202: Market presence 2016

202-1 Ratios of standard entry level wage by gender compared to local minimum wage 63. Not applicable: The salary/wage structure of
more than 90% of our employees is based on
the collective agreements applicable to the main
business locations (Austria, Bulgaria, North
Macedonia and Germany).
202-21) Proportion of senior management hired from the local community 63. Austria, Bulgaria and North Macedonia are
the main locations of the EVN Group. Employees
from these countries are designated as “local“.
Management: All members of the management
of fully consolidated companies (Executive Board,
managing directors, authorised officers etc.),
including investments which are immaterial but
controlled.
GRI 205: Anti-corruption 2016

205-1 Operations assessed for risks related to corruption 60f. 100% of the business locations were evalu-
ated as part of the Group-wide risk inventory.
205-21) Communication and training about anti-corruption policies and procedures 62. Not applicable: There is no further breakdown
of salaried employees by category because this
information is not relevant for EVN’s management
and human resources development policies.
205-31) Confirmed incidents of corruption and actions taken 61
234

GRI 206: Anti-competitive behaviour 2016

206-1 Legal actions for anti-competitive behaviour, anti-trust, and monopoly practices Four lawsuits concerning anti-competitive
behaviour which identified the company as a
participant were pending during 2018/19.
In Bulgaria, the appeal filed by EP Yug and
EVN Bulgaria EC with the administrative supreme
court concerning a EUR 1.9m fine is still open.
This fine was levied by the Bulgarian competition
commission (CPC) in December 2017, based on
allegations from 2013 that these two companies
had provided inadequate support or hindered
the registration process on the free market and
customers’ efforts to change suppliers. The
proceedings opened by CPC in 2016 over similar
allegations against EP Yug and EVN Bulgaria EC
are also still pending.
GRI 401: Employment 2016

401-11) New employee hires and employee turnover 63, 65
401-2 Benefits provided to full-time employees that are not provided to temporary or 72
part-time employees
401-31) Parental leave 66
GRI 402: Labour/Management relations 2016

402-1 Minimum notice periods regarding operational changes There are no minimum notice periods under
Austrian law or company agreements.
GRI 403: Occupational health and safety 2018

403-1 Occupational health and safety management system 66f
403-2 Hazard identification, risk assessment, and incident investigation 66f, 68
403-3 Occupational health services 68
403-4 Worker participation, consultation, and communication on occupational health 66f
and safety
403-5 Worker training on occupational health and safety 66f
403-6 Promotion of worker health 66f, 68
403-7 Prevention and mitigation of occupational health and safety impacts directly linked Not applicable: No safety or health risks are
by business relationships directly linked to business relationships with EVN.
403-9 Work-related injuries 67. b. Not applicable: Leased personnel are
included in the statistics on occupational safety
and health protection, but they do not represent
a significant part of the total workforce (2.2%);
a separate analysis is therefore not provided.
See GRI 102-8.
f. The data collection covers all subsidiaries with
a total workforce of more than 10 employees
(incl. leased personnel).
GRI 404: Training and education 2016

404-2 Programmes for upgrading employee skills and transition assistance programmes 71
404-31) Percentage of employees receiving regular performance and career development 64. Not applicable: There is no further breakdown
reviews of salaried employees by category because this
information is not relevant for EVN’s manage-
ment and human resources development policies.
Service

GRI 405: Diversity and equal opportunity 2016

405-1 Diversity of governance bodies and employees 63ff, 68.
a., ii.: Age distribution of the Executive and
Supervisory Boards:
< 30 years: 0%
30 – 50 years: 23.5%
> 50 years: 76.5%
a. and b., iii.: Not applicable: No further diversity
characteristics.
b.: Not applicable: There is no further breakdown
of salaried employees by category because this
information is not relevant for EVN’s manage-
ment and human resources development policies.
GRI 406: Non-discrimination 2016

406-1 Incidents of discrimination and corrective actions taken 62
GRI 407: Freedom of association and collective bargaining 2016

407-1 Operations and suppliers in which the right to freedom of association and For EVN and its subsidiaries at all locations, the
collective bargaining may be at risk right to the freedom of association and collective
bargaining represents a central aspect in the
implementation of the Universal Declaration of
Human Rights and the core labour standards of
the International Labour Organisation (ILO).
GRI 410: Security practices 2016

410-1 Security personnel trained in human rights policies or procedures Not applicable: Security personnel are generally
employed by third-party firms. These firms are
required by contract to comply with the integrity
clause and, in particular, with human rights poli-
cies. Internal security personnel receive training
(including the observance of human rights) as
part of their introduction to compliance issues.
GRI 412: Human rights assessment 2016

412-3 Significant investment agreements and contracts that include human rights clauses EVN defines significant investment agreements
or that underwent human rights screening as individual new projects with a total invest-
ment amount > EUR 50m which are realised in
countries with a less developed understanding of
human rights issues. There were no such cases
during the reporting period.
GRI 415: Public policy 2016

415-1 Political contributions Internal guidelines prohibit contributions to
political parties and related organisations.
GRI 419: Socioeconomic compliance 2016

419-1 Non-compliance with laws and regulations in the social and economic area No relevant incidents
236

Environmental and climate protection

GRI 301: Materials 2016

301-1 Materials used by weight or volume 53
301-21) Recycled input materials used Not applicable: EVN generally does not use
recycled input materials. However, the company
supports, for example, the use of recycled
building materials.
301-31) Reclaimed products and their packaging materials Not applicable due to the company’s business
activities.
GRI 302: Energy 2016

302-11) Energy consumption within the organisation 52. b. iv.: Not applicable: No steam purchases.
d.: See GRI EU2, page 35.
g.: Not applicable: The emission factors and
heating values from the national greenhouse gas
inventory are used for natural gas and heating oil.
No further conversion factors. Data on energy
consumption is provided in MWh.
302-21) Energy consumption outside of the organisation 52. b. Calculation method: Network sales volumes
(adjusted for own generation) + natural gas sales
c. Not applicable: No conversion factors were
used. Data on energy consumption is provided
in MWh.
302-31) Energy intensity 52
302-41) Reduction of energy consumption 52
302-5 Reductions in energy requirements of products and services 52. Calculation method: 0.6% of the respective
previous year’s energy sales volume
GRI 303: Water and effluents 2018

303-1 Interactions with water as a shared resource 54
303-2 Management of water discharge-related impacts 54f

303-31) Water withdrawal 55
303-41) Water discharge No water discharge limits were exceeded. Limits,
analysis requirements and the type of priority
substances as defined in the Emission Register-
Directive for Surface Water, the Wastewater
Emission Directive and the Contaminant Release
and Transfer Register. Water discharge consists
primarily of cooling water which includes no
priority substances.
303-51) Water consumption 55
Service

GRI 304: Biodiversity 2016

304-4 IUCN Red List species and national conservation list species with habitats in areas 57
affected by operations
GRI 305: Emissions 2016

305-1 Direct (Scope 1) GHG emissions 51. Global Warming Potential (GWP) for CO 2 = 1;
GWP for methane = 28.
Source of emission factors: Coal – emission and
oxidation factor from analysis by external,
accredited testing institute based on EU-ETS;
natural gas – current national greenhouse gas
inventory by the respective country with primary
energy consumption (Austria, Bulgaria, Germany)
and oxidation factor based on EU-ETS;
fuel (diesel, gasoline, natural gas) – Federal
Environmental Agency
305-21) Energy indirect (Scope 2) GHG emissions 51. Global Warming Potential (GWP) for CO 2 = 1.
Source of emission factors: EVN’s supply mix –
annual calculation and review of previous calendar
year; residual mix (Bulgaria, North Macedonia) –
data from “Reliable Disclosure Systems for
Europe” (Re-DISS); ENTSO-E – factors as defined
by ENTSO-E “European Network of Transmission
System Operators for Electricity”; own genera-
tion factor
305-31) Other indirect (Scope 3) GHG emissions 51. Global Warming Potential (GWP) for CO 2 = 1.
Source of emission factors: EVN’s supply mix –
annual calculation and review of previous calendar
year; residual mix (Bulgaria, North Macedonia) –
data from “Reliable Disclosure Systems for
Europe” (Re-DISS); ENTSO-E – factors as defined
by ENTSO-E “European Network of Transmission
System Operators for Electricity”; natural gas –
emission factors from the current national
greenhouse gas inventory
305-41) GHG emissions intensity 51
305-51) Reduction of GHG emissions 50. Calculation method: CO2 savings [t CO2e p. a.] =
assumed annual generation volume [GWh] x CO2
emission factor per GWh of fossil primary energy
carrier (country-specific)
305-61) Emissions of ozone-depleting substances (ODS) Not applicable: All EVN plants are closed units.
305-71) Nitrogen oxides (NOx ), sulfur oxides (SO x ), and other significant air emissions 50. No relevant emissions of persistent organic
pollutants (POP), volatile organic compounds
(VOC), hazardous air pollutants (HAP); no other
relevant categories;
b. Not applicable: No emission factors included:
emission volumes as recorded in EVN’s plant
measurement systems; continuous measurement
of freight in accordance with emission measure-
ment directive and regular individual measure-
ments based on applicable laws and directives,
freight calculations via flue gas volumes
238

GRI 306: Effluents and waste 2016

306-1 Water discharge by quality and destination This indicator is covered by GRI 303-4
(GRI 303: Water and effluents 2018).
306-31) Significant spills 56
306-41) Transport of hazardous waste 56
306-51) Water bodies affected by water discharges and/or runoff 55
GRI 307: Environmental compliance 2016

307-1 Non-compliance with environmental laws and regulations No incidents
Company-specific supplementary indicators

EU51) CO 2 emission certificates 49
103-1 Explanation of the material topic and its boundary 15ff, 78ff
103-2 The management approach and its components 15ff, 78ff
103-3 Evaluation of the management approach 15ff, 78ff
GRI 413: Local communities 2016

413-1 Operations with local community engagement, impact assessments and 16f, 46, 70f, 79.
development programmes a., i.: There are no formal social impact assess-
ments. Social aspects are regularly included in
project development as part of our project-related
stakeholder dialogue.
a., iv.: There is no formal programme to support
community development.
a., vi.: 100% of projects with relevance for the
general public or neighbouring residents are
covered by a project-related stakeholder dialogue.
a., viii.: There is no formal grievance process for
local communities. Direct contact with the respon-
sible project manager or over the EVN service
telephone or via email (info@evn.at) is possible
for all projects.
Service

Supply chain responsibility

103-1 Explanation of the material topic and its boundary 74f
103-2 The management approach and its components 74f
103-3 Evaluation of the management approach 74f
GRI 204: Procurement practices 2016

204-1 Proportion of spending on local suppliers 75. Austria, Bulgaria and North Macedonia are
the main locations of the EVN Group. Suppliers
from these countries are designated as “local“.
GRI 308: Supplier environmental assessment 2016

308-1 New suppliers that were screened using environmental criteria No information available: This information does
not have the necessary quality for disclosure.
Appropriate data collection is planned for the
report which will cover the 2020/21 financial year.
GRI 414: Supplier social assessment 2016

414-1 New suppliers that were screened using social criteria No information available: This information does
not have the necessary quality for disclosure.
Appropriate data collection is planned for the
report which will cover the 2020/21 financial year.
1) Performance indicator reported in addition to the “core” option
240
Contact
Contact partners regarding investor relations

Gerald Reidinger, phone +43 2236 200-12698
Matthias Neumüller, phone +43 2236 200-12128
Doris Lohwasser, phone +43 2236 200-12473
E-mail: investor.relations@evn.at
Contact partners regarding sustainability

Andrea Edelmann (Group representative for innovation, environmental protection and sustainability)
Doris Lohwasser (Deputy Group representative for sustainability)
E-mail: nachhaltigkeit@evn.at
Service telephone for customers: 0800 800 100, for investors: 0800 800 200
Information on the internet Online report

www.evn.at EVN online Full Report 2018/19
www.investor.evn.at www.investor.evn.at /gb/gb2019
www.responsibility.evn.at
Financial calendar 2019/201)

Record date Annual General Meeting 06.01.2020 Results Q. 1 2019/20 27.02.2020
91st Annual General Meeting 16.01.2020 Results HY. 1 2019/20 28.05.2020
Ex-dividend day 22.01.2020 Results Q. 1– 3 2019/20 27.08.2020
Record date 23.01.2020 Annual results 2019/20 16.12.2020
Dividend payment day 24.01.2020
1) Preliminary
Basic information1)
Share capital EUR 330,000,000.00
Denomination 179,878,402 shares
Identification Number (ISIN) AT0000741053
Tickers EVNV.VI (Reuters); EVN AV (Bloomberg); AT; EVN (Dow Jones); EVNVY (ADR)
Stock exchange listing Vienna
ADR programme; depositary Sponsored Level I ADR programme (5 ADR = 1 share); The Bank of New York Mellon
Ratings A1, stable (Moody’s); A, stable (Standard & Poor’s)
1) As of 30 September 2019
Imprint
Published by:
EVN AG, EVN Platz, 2344 Maria Enzersdorf, Austria
T +43 2236 200-0
F +43 2236 200-2030
Announcement pursuant to § 25 Austrian Media Act: www.evn.at/offenlegung

This full report is also available in German. In case of doubt, the definitive version is the German one.
Print: Only pollutant-free and recyclable materials were used in the printing process for this full report.
This includes the paper used for the report as well as the printing ink, which is made with purely plant-based ingredients.
Editorial deadline: 18 November 2019

Publishing date: 12 December 2019
We would like to thank all EVN employees who made themselves available for a photo shooting in connection with this report.
Photos: Dieter Steinbach, Severin Wurnig (page 2, 30, 33, 34, 69), Raimo Rudi Rumpler (page 3, 48, 49, 57)
Lithography: Martina Hejduk
Illustrations: Artur Bodenstein
Concept and consulting: be.public Corporate & Financial Communications GmbH
Editors: Georg Male, Konstantin Huber (be.public), EVN Investor Relations
English translation: Donna Schiller-Margolis
Art direction: Nadja Lessing (EVN Information und Kommunikation)
Composition & fine-drawing: gugler* brand & digital, 3100 St. Pölten, www.gugler-brand-digital.at
Print: Print Alliance HAV Produktions GmbH, 2540 Bad Vöslau

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Energy. Water. Life.

Stefan Szyszkowitz Franz Mittermayer

Standard & Poor‘s A, stable A–, stable A–, stable

Equity, net debt and gearing Cash flow and investments

508.9 Net cash flow from

30.09.2017 30.09.2018 30.09.2019 2016/17 2017/18 2018/19

Revenue 1), EBITDA and EBITDA margin1) Employees by region

2,215.6 2,204.0 Revenue 6,840 6,831 6,908

28.7% EBITDA margin

2016/17 2017/18 2018/19 2016/17 2017/18 2018/19

Group net result

EVN – energy company 06

EVN – the reliable 28

Interview with the 10

Our core strategies 18

Efficient CSR organisation 20

Impact of our business 21 Always there. 36

Emissions 49 Report of the Supervisory Board 91

Responsible use of energy 52 Consolidated corporate 93

Sustainable water management 54 Management report 104

Business development 108

Committed to 58 Innovation, research and 116

Human rights, ethics and 60 Consolidated 123

Our employees – 63 Disclosures (§ 243a Austrian 123

Suppliers 74 Outlook for the 124

Proactive interaction 78 Consolidated 137

GRI Content Index 230

About this report

EVN – energy company and

Markets1) and business areas BG

Bulgaria North Macedonia Germany

• Generation: electricity, heat • Generation: electricity • Generation: electricity

Croatia Albania Other countries

• Network operations: natural gas • Generation: electricity • International project business:

1) Map outlines markets in the energy business

EVN Executive Board

Our shareholders can depend

and to help us find the

” Supply security means that

Our path to the future follows clearly defined principles:

Our values We meet our responsibility The EVN Code of Conduct:

EVN's major stakeholders

EVN materiality matrix

Responsible Supply security

3.0 3.5 4.0 4.5 5.0 5.5 6.0

Our core strategies

Sector environment Sector environment Sector environment Sector environment

Our strategy Our strategy Our strategy Our strategy

This strategy element applies to

Sector environment Sector environment Sector environment Sector environment

Our strategy Our strategy Our strategy Our strategy

Efficient CSR organisation

• Implementation of different areas social-fund

Impact of our business activities on society,

The following table, which is structured according to

Sustainability risks by presenting and discussing Executive Board and

Sustainably attractive for investors

The importance we place on the economic interests

GRI indicator: GRI 102-5