Pivoting a Business Model in Real Time: Measuring and Communicating a

Transformation in Motion

Rasmus SkovDONG Energy

@raskbh

Rasmus SkovGroup Sustainability

PIVOTING A BUSINESS MODEL IN REAL TIME: MEASURING AND COMMUNICATING A TRANSFORMATION IN MOTION

3

Our business

§ Global leader in offshore wind

§ Ensure competitive offshore wind

§ Further develop financial partnership

Wind Power

§ Satisfied and loyal customers

§ Customer energy savings

§ High security of supply

Distribution & Customer Solutions

§ Adapting to the new market reality

§ Current development projects

Oil & Gas

§ Operational excellence

§ Development of the bioenergy business

Bioenergy &Thermal Power

4

16

75

60

1624

9

2007 2015

INVESTED CAPITALWind power Utility business Oil and gas

Green growth

Our main green business activities

• Building and operating offshore wind farms

• Converting our combined heat and power stations to the use of certified sustainable biomass - and operating them

• Constructing and operating full scale waste separation plant

• Climate partnerships

12

63

88

37

2007 2015

SHARE OF OPERATING PROFIT

International Denmark

5

Our heritage

6

The energy sector accounts for almost 1/3 of global CO2emissions

7

Business with benefits to society

8

We want to lead the energytransformation by deliveringgreen, independent and economicallyviable energy solutions

9

… because we want green energy to empower people, businesses and societies to unleash their potential without having to worry about harming the planet or reducing opportunities for future generations

2015 production from new renewables¹%

Strong position on green energy…

10

Source: Company reports and other publicly available information1. New renewables include onshore wind, offshore wind, solar PV and bioenergy2. Includes hydro due to lack of disclosure granularity 3. Engie estimates are based on net ownership

2% 2%5%

31%²

5% 4%6%

17%24%

5%

100%

55%

FortumEDPR RWE EDFE.On Engie3Enel CentricaSSEIberdrola Gas Natural

Total shareholder return, Nov. 29, 2013 – May 27, 2016%

… pays off

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E.ONCentrica RWE

7%

EnelSSEEDPR Gas Natural

-44%-28%

30%32%

-29%

79%

86% - 138%1

Engie

-3%

43%

1%

-50%

Fortum EDFIberdrola

1. Based on price range DKK 200 - 255 per share Source: Based on data obtained from FactSet as of 24th May 2016

Key data points tell the story

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§ Our growing offshore wind capacity§ The falling cost of building offshore

wind farms§ Our decreasing coal consumption§ Our increasing use of certified

sustainable biomass

§ The green transformation of our company

§ Our decreasing CO2 emissions§ Energy efficiency gains from climate

partnerships

But data needs support from our other good friends: conversions and graphic models

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Installed offshore wind capacity, GW How many people can that power?

3

1,7

6,7

2015 20202012

Our growing offshore wind capacity

17m

The falling cost of building offshore wind farms

14

15

Our decreasing coal consumption

Our increasing use of certified sustainable biomass

16

The green transformation of our company

17

18

CO2 emissionsfrom our power andheat generation

Our decreasing CO2 emissions…

19

… that account for more than half of Denmark’s total CO2 emissions reduction

Energy savings for customers

20

513

314360

327332

2011 2012 2013 20152014

GwH

We’re still learning

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§ From state-owned to listed company: alignment and comparability

§ We want to be a leader in green energy: New metrics!

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Green energy must be cheaper than black