ENDESA is organised by business line, providing it with flexibility in its markets of operations and enabling it to react rapidly to the needs of its customers in the different areas and businesses in which it is present. There are three main Directorates-General (DGs): Directorate-General for Spain and Portugal; Directorate-General for Latin America and Directorate-General for Europe. The different companies set up for each area report to these DGs.
DIRECTORATE-GENERAL FOR SPAIN AND PORTUGAL
Pursuant to prevailing legislation ENDESA Spain and Portugal comprises a number of legally independent companies.
- ENDESA GENERACIÓN
This company was set up on 22 September 1999 to oversee ENDESA's generation and mining assets in Spain. In June 2000, ENDESA Generación integrated mainland subsidiaries in which it already owned 100%: Sevillana II, Fecsa-Enher II, Erz II and Viesgo II.
This operation did not include the merger of the 100%-owned companies Gesa II and Unelco II. The decision to do so will be taken in the future if deemed appropriate, bearing in mind the situation of the generation business in isolated systems.
In line with the reorganisation carried out in the summer of 2004, ENDESA Generación also took over Endesa Cogeneración y Renovables (ECYR), which is in charge of operating the renewable and co-generation power plants.
- ENDESA RED
Created on 22 September 1999 upon completion of the merger of ENDESA's regional distribution companies in Spain, ENDESA Red comprises two companies: ENDESA Distribución Eléctrica, S.L. and ENDESA Operaciones y Servicios Comerciales, S.L.
ENDESA Distribución Eléctrica, S.L. oversees electricity transmission and distribution in the regulated market, as well as power supply at the tariff. ENDESA Operaciones y Servicios Comerciales, S.L. provides commercial support to ENDESA's energy companies.
Towards the end of 2002, ENDESA decided to merge ENDESA Gas and ENDESA Red.
- ENDESA ENERGÍA
ENDESA Energía began operating on 3 February 1998. It was set up to oversee the supply business in the deregulated market.
ENDESA Energía was the first utility in Spain to supply power to customers eligible to choose their own supplier.
ENDESA Energía's core business is the supply of energy and value-added services to customers eligible to choose their own supplier and receive service in the deregulated market.
ENDESA Energía is also active in the supply business in Portugal, France, Italy, Germany and Belgium.
- ENDESA SERVICIOS
ENDESA Servicios was incorporated on 18 February 1999 to pool together all the support services provided by ENDESA subsidiaries under a single company.
Its mission is to provide assistance to ENDESA companies and outside customers in the areas of IT, telecommunications and control systems, supplies and general services, asset management, and environmental and sustainable development management.
DIRECTORATE-GENERAL FOR LATIN AMERICA
This division was created on 26 January 1998 under the name ENDESA Internacional to manage ENDESA's operations in the Latin American market. Its current structure and name were acquired in August 2004. The acquisitions of controlling interests in Enersis and Endesa Chile in 1999 not only made ENDESA much bigger, but they also enabled the company to secure management control of a large number of Latin American companies.
- ENERSIS
Enersis is Latin America's largest private electricity group. ENDESA is its controlling shareholder, with a 60.62% stake. 44% of ENDESA's assets in Latin America are in Chile.
Through Enersis, ENDESA has a controlling 59.98% interest in ENDESA Chile, Chile's largest power generator, along with stakes in other Chilean generators: San Isidro, Pangue, Celta and Pehuenche. Both directly and through subsidiaries, Enersis has total installed capacity of 4,300 MW.
Also through Enersis, ENDESA controls Chilean distributor Chilectra, which has 1.3 million customers. Enersis has operations elsewhere in Latin America:
Argentina: Edesur (distribution), Costanera and El Chocón (generation)
Brazil: Cachoeira Dourada, Endesa Fortaleza (generation); Ampla, Coelce (distribution) and Cien (transmission)
Peru: Edegel (generation) and Edelnor (distribution).
Colombia: Emgesa, Betania (generation) and Codensa (distribution)
Additionally, ENDESA is present in Latin American through direct shareholdings in other companies, such as Argentine generator Dock Sud and Peruvian generators Etevensa and Pyura. ENDESA also has joint interests with Enersis in companies such as Fortaleza, Cien, Coelce, Ampla, Codensa and Edesur.
DIRECTORATE-GENERAL FOR EUROPE
ENDESA Europa, registered with the Mercantile Registry on 7 November 2001, was set up with the aim of centralising the administration and management of ENDESA's stakes in electricity companies in Europe and North Africa: Endesa Italia (Italy), Snet, Soprolif and Powernext (France), Tejo Energia (Portugal), Endex (the Netherlands), Gielda Energii (Poland) and Lydec (Morocco).
- ENDESA ITALIA
The consortium that owns ENDESA Italia is composed of: ENDESA (85.3%) and the municipal-owned Italian company ASM Brescia (14.7%).
ENDESA Italia is Italy's third largest electricity generator, with 5,860 MW of installed capacity, of which 4,846 MW correspond to thermoelectric and 1,014 MW to hydroelectric plants.
Endesa Italia is currently carrying out a repowering program for four of its conventional power plants to make them more efficient and to boost their installed capacity to 6,200 MW. This mainly entails their conversion to CCGTs and, in one instance, to coal. According to the program, the output recorded in 2002 should double by 2007.
- SNET
ENDESA owns 65% of the French generator Snet. The remaining shares are held by Charbonnages de France (CdF) and Electricité de France (EdF).
Snet is France's second largest electricity producer and supplier after EDF and has strategic assets within the load curve of the French system. It has total installed capacity of 2,934 MW and in 2003 its plants produced 11,100 GWh.
In France Snet owns four coal plants totalling 2,604 MW, representing around 2.5% of the French system: the Emile Huchet plant with 1,213 MW and Hornaing with 253 MW, located in northern France, the Lucy plant in central France with 270 MW and one in Provence with 868 MW. In 2003, these plants generated 9,300 GWh.
Snet is also present in Poland through its stake in Byalistok, a 330 MW cogeneration thermal power plant in which it owns 61%, and in Turkey through its 50% share in the Altek hydroelectric plant.
- SOPROLIF
ENDESA owns 25% of Soprolif, the French company that operates unit 4 of the Gardanne power plant, a circulating fluid bed thermal plant with 250 MW of capacity. Other shareholders in Soprolif aside from ENDESA are EdF (55%), Sodelif (10%) and Snet (10%). ENDESA also has an indirect interest through its stake in Snet.
