Obligation Comisión Federal de Energía 6.125% ( USP30179AR95 ) en USD

Comisión Federal de Energía

100 % ▲

Mexique

USP30179AR95 ( en USD )

6.125% par an ( paiement semestriel )

15/06/2045

Prospectus brochure de l'obligation Comision Federal de Electricidad USP30179AR95 en USD 6.125%, échéance 15/06/2045

200 000 USD

700 000 000 USD

P30179AR9

N/A

16/06/2026 ( Dans 73 jours )

La Comisión Federal de Electricidad (CFE) est une entreprise publique mexicaine responsable de la génération, du transport et de la distribution d'électricité au Mexique.

L'Obligation émise par Comisión Federal de Energía ( Mexique ) , en USD, avec le code ISIN USP30179AR95, paye un coupon de 6.125% par an.
Le paiement des coupons est semestriel et la maturité de l'Obligation est le 15/06/2045

LUXEMBOURG LISTING PROSPECTUS

U.S.$ 700,000,000

Comisión Federal de Electricidad
(a Productive State Enterprise of the Federal Government of the United Mexican States)
6.125% Notes due 2045

We made an offer of U.S.$ 700,000,000 aggregate principal amount of our 6.125% notes due 2045, which we refer to as the "notes." The notes
will mature on June 16, 2045. Interest on the notes began to accrue from June 16, 2015 and will be payable on June 16 and December 16 of each year,
beginning on December 16, 2015.
The notes rank without any preference among themselves and equally with all of our other unsecured and unsubordinated public external
indebtedness.
We may redeem the notes, in whole or in part, at any time by paying the greater of 100% of the principal amount of the notes and the
applicable "make-whole" premium amount, plus accrued interest to the redemption date. In the event of certain changes in the applicable rate of Mexican
withholding tax, we may redeem the notes, in whole but not in part, at a price equal to 100% of their principal amount, plus accrued interest to the
redemption date. In addition, upon the occurrence of certain fundamental changes in our ownership or business, we will be required to offer to purchase
the notes at a price equal to 100% of their principal amount, plus accrued interest to the purchase date. See "Description of the Notes--Redemption and
Purchase."
The notes contain provisions, commonly known as "collective action clauses." Under these provisions, which differ from the terms of our
public external indebtedness issued prior to June 9, 2015, we may amend the payment provisions of any series of debt securities issued under the
indenture (including the notes) and other reserved matters listed in the indenture with the consent of the holders of: (1) with respect to a single series of
debt securities, more than 75% of the aggregate principal amount of the outstanding debt securities of such series; (2) with respect to two or more series
of debt securities, if certain "uniformly applicable" requirements are met, more than 75% of the aggregate principal amount of the outstanding debt
securities of all series affected by the proposed modification, taken in the aggregate; or (3) with respect to two or more series of debt securities, more than
662/3% of the aggregate principal amount of the outstanding debt securities of all series affected by the proposed modification, taken in the aggregate, and
more than 50% of the aggregate principal amount of the outstanding debt securities of each series affected by the proposed modification, taken
individually. See "Description of the Notes--Meetings, Amendments and Waivers."

Investing in the notes involves risks. See "Risk Factors" beginning on page 15.

ISSUE PRICE: 99.146%, PLUS ACCRUED INTEREST, IF ANY, FROM JUNE 16, 2015

THE INFORMATION CONTAINED IN THIS LUXEMBOURG LISTING PROSPECTUS IS EXCLUSIVELY OUR
RESPONSIBILITY AND HAS NOT BEEN REVIEWED OR AUTHORIZED BY THE COMISIÓN NACIONAL BANCARIA Y DE VALORES
(MEXICAN BANKING AND SECURITIES COMMISSION, THE "CNBV"). THE NOTES HAVE NOT BEEN AND WILL NOT BE
REGISTERED WITH THE REGISTRO NACIONAL DE VALORES (MEXICAN NATIONAL SECURITIES REGISTRY) MAINTAINED BY
THE CNBV AND THEREFORE THE NOTES MAY NOT BE PUBLICLY OFFERED OR SOLD NOR BE THE SUBJECT OF BROKERAGE
ACTIVITIES IN MEXICO, EXCEPT THAT THE NOTES MAY BE OFFERED IN MEXICO TO INSTITUTIONAL AND QUALIFIED
INVESTORS, PURSUANT TO THE PRIVATE PLACEMENT EXEMPTION SET FORTH IN ARTICLE 8 OF THE LEY DEL MERCADO DE
VALORES (MEXICAN SECURITIES MARKET LAW). AS REQUIRED UNDER THE MEXICAN SECURITIES MARKET LAW, WE WILL
NOTIFY THE CNBV OF THE OFFERING OF THE NOTES OUTSIDE OF MEXICO, SUCH NOTICE WILL BE DELIVERED TO THE
CNBV TO COMPLY WITH A LEGAL REQUIREMENT AND FOR INFORMATION PURPOSES ONLY, AND THE DELIVERY OF SUCH
NOTICE TO, AND THE RECEIPT OF SUCH NOTICE BY, THE CNBV, DOES NOT IMPLY ANY CERTIFICATION AS TO THE
INVESTMENT QUALITY OF THE NOTES, OUR SOLVENCY, LIQUIDITY OR CREDIT QUALITY OR THE ACCURACY OR
COMPLETENESS OF THE INFORMATION SET FORTH HEREIN. THIS LUXEMBOURG LISTING PROSPECTUS MAY NOT BE
PUBLICLY DISTRIBUTED IN MEXICO. THE ACQUISITION OF THE NOTES BY AN INVESTOR OF MEXICAN NATIONALITY WILL
BE MADE UNDER ITS OWN RESPONSIBILITY.
Application has been made to list the notes on the Official List of the Luxembourg Stock Exchange and to trade them on the Euro MTF Market
of such exchange. The Euro MTF Market of the Luxembourg Stock Exchange is not a regulated market for the purposes of the Law on Prospectuses for
Securities or Directive 2003/71/EC. This Luxembourg Listing Prospectus can only be used for the purposes for which it has been published. This
Luxembourg Listing Prospectus constitutes a prospectus for purposes of the Luxembourg law dated July 10, 2005 on Prospectuses for Securities, as
amended.
The notes have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the "Securities Act'"), or the securities
laws of any other jurisdiction, and are being offered only (1) to qualified institutional buyers in reliance on the exemption from registration provided by
Rule 144A under the Securities Act and (2) outside the United States to non-U.S. persons in compliance with Regulation S under the Securities Act. For
certain restrictions on the transfer of the notes, see "Transfer Restrictions."
The initial purchasers delivered the notes to purchasers on June 16, 2015 in book-entry form through the facilities of The Depository Trust
Company for the accounts of its direct and indirect participants, including Euroclear Bank S.A./N.V. and Clearstream Banking, société anonyme.

Joint Lead Managers and Joint Bookrunners

BBVA
BofA Merrill Lynch
Goldman, Sachs & Co.
June 29, 2015

TABLE OF CONTENTS

Page
Notice to New Hampshire Residents ........................................................................................................................... iii
Enforceability of Civil Liabilities .................................................................................................................................iv
Where You Can Find More Information ....................................................................................................................... v
Special Note Regarding Mexican Energy Reform ......................................................................................................... v
Presentation of Financial and Other Information ........................................................................................................... v
Forward-Looking Statements ..................................................................................................................................... vii
Technical Terms Relating to the Electricity Industry ................................................................................................ viii
Summary........................................................................................................................................................................ 1
Risk Factors ................................................................................................................................................................. 15
Use of Proceeds ........................................................................................................................................................... 24
Exchange Rates ........................................................................................................................................................... 25
Capitalization ............................................................................................................................................................... 26
Management's Discussion and Analysis of Financial Condition and Results of Operations ...................................... 27
Comisión Federal de Electricidad ................................................................................................................................ 54
United Mexican States ................................................................................................................................................. 81
Management ................................................................................................................................................................ 95
Description of the Notes ............................................................................................................................................ 103
Taxation ..................................................................................................................................................................... 120
European Union Directive on the Taxation of Savings Income ................................................................................ 124
Form of Notes, Clearing and Settlement ................................................................................................................... 126
Transfer Restrictions .................................................................................................................................................. 129
Plan of Distribution ................................................................................................................................................... 132
Legal Matters ............................................................................................................................................................. 136
Independent Accountants........................................................................................................................................... 136
Listing and General Information................................................................................................................................ 137
Index to Financial Statements .................................................................................................................................... F-1

You should carefully review the entire Luxembourg Listing Prospectus before making an investment
decision. Neither we nor the initial purchasers have authorized anyone to provide you with different
information. We offered to sell, and sought offers to buy, the notes only in jurisdictions where offers and sales are
permitted. This Luxembourg Listing Prospectus does not constitute an offer to sell, or a solicitation of an offer to
buy, any notes by any person in any jurisdiction in which it is unlawful for such person to make such an offer or
solicitation. Neither the delivery of this Luxembourg Listing Prospectus nor any sale made under it implies that
there has been no change in our affairs or that the information in this Luxembourg Listing Prospectus is correct as of
any date after the date of this Luxembourg Listing Prospectus.
In connection with the offering, one of the initial purchasers acting as stabilizing manager, or any agent
acting on their behalf, may over-allot or effect transactions with a view to supporting the market price of the notes at
a level higher than that which might otherwise prevail for a limited period after the issue date. However, there is no
obligation on the stabilizing manager, or any agent acting on its behalf, to do this. Any stabilizing, if commenced,
may be discontinued at any time and must be brought to an end after a limited period. For a description of these
activities, see "Plan of Distribution."
This Luxembourg Listing Prospectus has been prepared by us solely for use in connection with the
placement of the notes. We and the initial purchasers reserve the right to reject any offer to purchase for any reason.
Neither the Securities and Exchange Commission (the "SEC"), the CNBV, any state securities
commission nor any other regulatory authority has approved or disapproved the notes; nor have any of the
foregoing authorities passed upon or endorsed the merits of the offering or the accuracy or adequacy of this
Luxembourg Listing Prospectus. Any representation to the contrary is a criminal offense.

i

You must:
comply with all applicable laws and regulations in force in any jurisdiction in connection with the
possession or distribution of this Luxembourg Listing Prospectus and the purchase, offer or sale of the
notes, and
obtain any consent, approval or permission required to be obtained by you for the purchase, offer or
sale by you of the notes under the laws and regulations applicable to you in force in any jurisdiction to
which you are subject or in which you make such purchases, offers or sales; and neither we nor the
initial purchasers shall have any responsibility therefor.
See "Transfer Restrictions" for information on transfer restrictions applicable to the notes.
You acknowledge that:
you have been afforded an opportunity to request from us, and to review, all additional information
considered by you to be necessary to verify the accuracy of, or to supplement, the information
contained in this Luxembourg Listing Prospectus;
you have not relied on the initial purchasers or any person affiliated with the initial purchasers in
connection with your investigation of the accuracy of such information or your investment decision;
and
no person has been authorized to give any information or to make any representation concerning us or
the notes, other than as contained in this Luxembourg Listing Prospectus and, if given or made, any
such other information or representation should not be relied upon as having been authorized by us or
the initial purchasers.
In making an investment decision, you must rely on your own examination of us and the terms of the
offering, including the merits and risks involved.
The notes may not be transferred or resold, except as permitted under the indenture governing the notes, the
Securities Act and applicable U.S. state securities laws. You may be required to bear the financial risks of this
investment for an indefinite period of time.
We have taken reasonable care to ensure that the information contained in this Luxembourg Listing
Prospectus is true and correct in all material respects and is not misleading in any material respect as of the date of
this Luxembourg Listing Prospectus, and that there has been no omission of information that, in the context of the
issuance of the notes, would make any statement of material fact in this Luxembourg Listing Prospectus misleading
in any material respect, in light of the circumstances existing as of the date of this Luxembourg Listing
Prospectus. We accept responsibility accordingly.
The initial purchasers are not making any representation or warranty, express or implied, as to the accuracy
or completeness of the information contained in this Luxembourg Listing Prospectus. You should not rely upon the
information set forth in this Luxembourg Listing Prospectus, as a promise or representation, whether as to the past
or the future. The initial purchasers have not independently verified any of that information and assume no
responsibility for its accuracy or completeness.
None of us, the initial purchasers, nor any of our and their respective representatives, is making any
representation to you regarding the legality of an investment in the notes. You should consult with your own
advisors as to legal, tax, business, financial, regulatory and related aspects of an investment in the notes. You must
comply with all laws applicable in any place in which you buy, offer or sell the notes or possess or distribute this
Luxembourg Listing Prospectus, and you must obtain all applicable consents and approvals. None of us and the
initial purchasers shall have any responsibility for any of the foregoing legal requirements.
ii

NOTICE TO NEW HAMPSHIRE RESIDENTS

NEITHER THE FACT THAT A REGISTRATION STATEMENT OR AN APPLICATION FOR A
LICENSE HAS BEEN FILED UNDER CHAPTER 421-B OF THE NEW HAMPSHIRE UNIFORM
SECURITIES ACT ("RSA 421-B") WITH THE STATE OF NEW HAMPSHIRE NOR THE FACT THAT
A SECURITY IS EFFECTIVELY REGISTERED OR A PERSON IS LICENSED IN THE STATE OF
NEW HAMPSHIRE CONSTITUTES A FINDING BY THE SECRETARY OF STATE THAT ANY
DOCUMENT FILED UNDER RSA 421-B IS TRUE, COMPLETE AND NOT MISLEADING. NEITHER
ANY SUCH FACT NOR THE FACT THAT AN EXEMPTION OR EXCEPTION IS AVAILABLE FOR
A SECURITY OR A TRANSACTION MEANS THAT THE SECRETARY OF STATE HAS PASSED IN
ANY WAY UPON THE MERITS OR QUALIFICATIONS OF, OR RECOMMENDED OR GIVEN
APPROVAL TO, ANY PERSON, SECURITY OR TRANSACTION. IT IS UNLAWFUL TO MAKE, OR
CAUSE TO BE MADE, TO ANY PROSPECTIVE PURCHASER, CUSTOMER OR CLIENT ANY
REPRESENTATION INCONSISTENT WITH THE PROVISIONS OF THIS PARAGRAPH.
iii

ENFORCEABILITY OF CIVIL LIABILITIES
We are an empresa productiva del Estado (productive state enterprise of the Mexican federal government).
Accordingly, holders of notes may not be able to obtain a judgment in a U.S. court against us unless the U.S. court
determines that we are not entitled to sovereign immunity with respect to that action. We have irrevocably
submitted to the jurisdiction of the U.S. federal courts located in the Borough of Manhattan in The City of New
York and, to the extent permitted by law, have waived immunity from the jurisdiction of these courts in connection
with any action based upon the notes brought by any holder of notes. We have, however, reserved the right to plead
immunity under the U.S. Foreign Sovereign Immunities Act of 1976 (the "Foreign Sovereign Immunities Act") in
actions brought against us under the U.S. federal securities laws or any state securities laws. Unless we waive our
immunity against such actions, a U.S. court judgment could be obtained against us only if a U.S. court were to
determine that we are not entitled to sovereign immunity under the Foreign Sovereign Immunities Act with respect
to that action.
Our directors and officers, as well as certain experts named in this Luxembourg Listing Prospectus, reside
outside the United States, and all or a substantial portion of their assets and our assets are located outside of the
United States. As a result, it may not be possible for holders of the notes to effect service of process outside the
United Mexican States ("Mexico") upon us, our directors or officers or those experts, or to enforce against such
parties judgments of courts located outside Mexico predicated upon civil liabilities under the laws of jurisdictions
other than Mexico, including judgments predicated upon the civil liability provisions of the U.S. federal securities
laws or other laws of the United States.
As a productive state enterprise of the Mexican federal government (the "Mexican government"), we are
not subject to the Ley de Concursos Mercantiles (Commercial Bankruptcy Act) and thus cannot be declared
bankrupt (concurso mercantil). Under applicable Mexican law, we may be liquidated and dissolved by the Mexican
Congress if it determines that we cease to fulfill the purpose for which we were created or for any other reason. In
the event that we are liquidated and dissolved by the Mexican Congress, it is uncertain whether or to what extent the
rights of holders of the notes would be honored.
Under the CFE Law (as defined below), real property owned by us shall be deemed to be property of the
public domain and, neither attachment prior to judgment nor attachment in aid of execution will be ordered by
Mexican courts against any such real property. As a result, a Mexican court would not recognize an attachment
order against any such real property. In addition, the transmission and distribution of electric energy as a public
service are reserved to the Federal government, through us, and to that extent the assets related thereto are subject to
immunity. As a result, the ability to enforce judgments against us in the courts of Mexico may be limited.
We cannot predict whether Mexican courts would enforce judgments of United States courts based on the
civil liability provisions of the United States federal securities laws. Therefore, even if a United States judgment
against us were obtained, a holder of notes may not be able to obtain a judgment in Mexico that is based on that
United States judgment. Moreover, a holder of notes may not be able to enforce a judgment against our property in
the United States except under the limited circumstances specified in the Foreign Sovereign Immunities Act. If an
action were to be brought in Mexico seeking to enforce our obligations under the notes, satisfaction of those
obligations may be made in pesos, pursuant to the laws of Mexico, at the rate of exchange in effect on the date on
which payment is made. Such rate of exchange is currently determined by Banco de México every business day in
Mexico based on an average of wholesale foreign exchange market quotes and is published the following business
banking day in the Diario Oficial de la Federación (Official Gazette of the Federation) and on Banco de México's
website (www.banxico.org.mx). See "Exchange Rates."
iv

WHERE YOU CAN FIND MORE INFORMATION
We prepare annual audited financial statements and quarterly summary financial information in both
Spanish and English. This information is available on our website (www.cfe.gob.mx). In addition, we are required
to file certain annual, quarterly and special reports and other information with the Bolsa Mexicana de Valores,
S.A.B. de C.V. (the "BMV") with respect to our debt securities sold in the Mexican market. You may inspect and
copy these reports and other information at the offices of the BMV located at Paseo de la Reforma 255, Colonia
Cuauhtémoc, Delegación Cuauhtémoc, 54124 México, D.F. Our BMV filings are available to you on the BMV's
website (www.bmv.com.mx).
We are not including the information provided on, or linked to or from, our website, the BMV's website or
Banco de México's website (www.banxico.org.mx) as part of, and are not incorporating such information by
reference in, this Luxembourg Listing Prospectus.
SPECIAL NOTE REGARDING MEXICAN ENERGY REFORM
On December 20, 2013, amendments to Articles 25, 27 and 28 of the Constitución Política de los Estados
Unidos Mexicanos (Political Constitution of the United Mexican States, or the "Mexican Constitution") were
published as the Decreto por el que se reforman y adicionan diversas disposiciones de la Constitución Política de
los Estados Unidos Mexicanos, en Materia de Energía (Decree that amends and supplements various provisions of
the Mexican Constitution relating to energy matters, or the "Energy Reform Decree"), in the Official Gazette of the
Federation and took effect on December 21, 2013. The Energy Reform Decree included artículos transitorios
(transitional articles) that set forth the general framework for the secondary legislation or implementing laws that are
required to give effect to the Energy Reform Decree (the "Secondary Legislation"). On August 6, 2014, the
Mexican Congress completed the process of approving the Secondary Legislation, which was signed into law by
President Enrique Peña Nieto and published in the Official Gazette of the Federation on August 11, 2014. The
Secondary Legislation includes nine laws, among others, the new Ley de la Comisión Federal de Electricidad (the
"CFE Law") and the Ley de la Industria Eléctrica (the "Electric Industry Law"). As of the date of this Luxembourg
Listing Prospectus, certain provisions of the Secondary Legislation, including some provisions of the Electric
Industry Law, are not yet effective. On October 31, 2014, the President of Mexico published in the Official Gazette
of the Federation 26 regulations and amendments in respect of the Secondary Legislation (the "Regulations")
including, among others, the Reglamento de la Comisión Federal de Electricidad (Regulations to the CFE Law) and
the Reglamento de la Ley de la Industria Eléctrica (Regulations to the Electric Industry Law). See "Comisión
Federal de Electricidad--General Regulatory Framework" for more details regarding the implementation of the
Secondary Legislation and the Regulations.
PRESENTATION OF FINANCIAL AND OTHER INFORMATION
Unless otherwise specified or the context otherwise requires, references in this Luxembourg Listing
Prospectus to "CFE," "we," "us" and "our" refer to Comisión Federal de Electricidad.
This Luxembourg Listing Prospectus includes our audited financial statements as of and for the years ended
December 31, 2014, 2013 and 2012, as audited by Gossler, S.C., member Crowe Horwath International, in the
manner described in the paragraph below, and our unaudited financial statements as of March 31, 2015 and for the
three-month periods ended March 31, 2015 and 2014, which have been subject to limited review procedures by
Gossler, S.C. (together, our "financial statements").
Our financial statements are expressed in Mexican pesos and have been prepared in accordance with
International Financing Reporting Standards ("IFRS"), as adopted by the International Accounting Standards Board
("IASB"). Our date of transition to IFRS was January 1, 2011 and our adoption of IFRS became effective on
January 1, 2012.
Currency Information
References in this Luxembourg Listing Prospectus to "U.S.$," "U.S. dollars" and "dollars" are to the lawful
currency of the United States and references to "Ps.," "Mexican pesos" and "pesos" are to the lawful currency of
Mexico. See "Exchange Rates" for certain historical Mexican peso/U.S. dollar exchange rates.
This Luxembourg Listing Prospectus contains translations of certain peso amounts into dollars at specified
rates solely for the convenience of the reader. These translations should not be construed as representations that the
v

peso amounts actually represent such dollar amounts or could be converted into dollars at the rate indicated. Unless
otherwise indicated, dollar equivalent information for amounts in pesos is based upon the rate published by Banco
de México in effect as of March 31, 2015, which was Ps. 15.1542 per U.S.$ 1.00.
Rounding
Certain figures included in this Luxembourg Listing Prospectus have been rounded for ease of
presentation. Percentage figures included in this Luxembourg Listing Prospectus have been calculated on the basis
of such amounts prior to rounding, not on the basis of rounded figures. For this reason, percentage amounts in this
Luxembourg Listing Prospectus may vary from those obtained by performing the same calculations using the figures
in our financial statements. Certain numerical figures shown as totals in some tables may not be an arithmetic
aggregation of the figures that preceded them due to rounding.
vi

FORWARD-LOOKING STATEMENTS
This Luxembourg Listing Prospectus contains words, such as "believe," "expect" and "anticipate" and
similar expressions that identify forward-looking statements, which reflect our views about future events and
financial performance. Examples of such forward-looking statements include projections or statements as to the
following:
Changes in the legal and regulatory regime applicable to the Mexican electricity sector, or the
interpretation thereof;
Our future operating revenues, net income (loss), capital expenditures, indebtedness levels or other
financial items or ratios;
Our plans, objectives or goals;
Our future financial performance;
The future economic performance of Mexico;
Interest rates, currency exchange rates and foreign securities markets; and
Availability and cost of external financing for our operations, which have been affected by the
stress experienced by the global financial markets.
Actual results could differ materially from those projected in such forward-looking statements as a result of
various factors that may be beyond our control. These factors include, but are not limited to:
significant economic or political developments in Mexico, particularly developments affecting the
electricity sector;
developments relating to the implementation of the Energy Reform Decree and the Secondary
Legislation, including the creation of empresas productivas subsidiarias (subsidiary productive
state enterprises) and empresas filiales (subsidiary enterprises) to undertake certain activities and
adjustments to the tariff rates that we charge our customers;
effects on us from increases in fuel oil or natural gas prices;
changes in interest rates or access to sources of financing on competitive terms;
effects on us from competition, including on our ability to hire and retain skilled personnel; and
changes in our regulatory environment, including tax and environmental regulations, or the
interpretation thereof.
Accordingly, you should not place undue reliance on these forward-looking statements. In any event, these
statements speak only as of their dates, and we undertake no obligation to update or revise any of them, whether as a
result of new information, future events or otherwise.
For a discussion of important factors that could cause actual results to differ materially from those
contained in any forward-looking statement, see "Risk Factors."
vii

TECHNICAL TERMS RELATING TO THE ELECTRICITY INDUSTRY
"capacity" means the installed capacity an electric system must have to meet peak hour demand plus a
reserve sufficient to cover unplanned outages. Some of our installed capacity is idle during periods when there is
lower demand for energy output and, during those periods, some of the potential output is not generated. Capacity is
generally measured in megawatts.
"demand" means, for an integrated electric system, the amount of power demanded by consumers of energy
at any point in time, including energy lost during transmission and distribution to consumers. It is often expressed in
kilowatts.
"distribution" means the part of the electric power system that takes power from a bulk power sub-station
to customer switches. It includes distribution sub-stations, circuits that extend from distribution sub-stations to
every distribution transformer, metering equipment and customer location.
"generation" means the production of electricity in the large quantities required to supply electric power
systems in generating stations, or power plants. Generation of electricity is achieved by converting the heat of fuel
(e.g., coal, gas or uranium), the hydraulic energy of water, or other forms of energy (e.g., wind or solar) into electric
energy. A generating station or facility may consist of several independent generating units.
"GW" means gigawatt. One gigawatt equals one billion watts, one million kilowatts or one thousand
megawatts.
"GWh" means gigawatt-hour, or one million kilowatt-hours. The GWh is often used to measure the annual
energy output from large power generators.
"GVA" means gigavolt-amperes. The capacity of our transmission network is normally measured in terms
of gigavolt-amperes, where one GVA is one billion volt-amperes.
"kW" or "kilowatt" means one thousand watts.
"kWh" means kilowatt-hour--the standard unit of energy used in the electric utility industry to measure
consumption. One kilowatt-hour is the amount of energy that would be produced by a generator producing one
thousand watts for one hour.
"MW" or "megawatt" means one million watts.
"MWh" means megawatt-hour, or one thousand kilowatt-hours.
"photovoltaic" means a method of generating electrical power by converting solar radiation into direct
current electricity using semiconductors.
"reserve" means, in the electricity industry, the generating capacity that is accessible on short notice to
meet unplanned increases in demand for electricity or losses of generation capacity.
"sub-station" means an assembly of equipment through which electrical energy delivered by transmission
circuits is passed in order to convert it to voltages suitable for use by consumers.
"thermal" means a type of electric generating station in which the source of energy for the prime mover is
heat.
"transmission line" means an electrical connection between two points on a power system for the purpose
of transferring high voltage electrical energy between the points. Generally, a transmission line consists of large
wires, or conductors, held aloft by towers.
"TW" means terawatt. One terawatt equals one trillion watts, one billion kilowatts, one million megawatts
or one thousand gigawatts.
viii

"TWh" means terawatt-hour--a unit of electrical energy equal to the work done by one TW acting for one
hour.
"volt-ampere" means the unit used to measure the apparent power in an electrical circuit.
"voltage" means the energy level of electrons flowing in an electric current. A high voltage line carries
electrons that are at a high energy level, and can transmit more power than a low voltage line with the same current
flowing in it.

ix