News

Hydrology optimizes HEP’s liabilities in first half

Published

August 31, 2015

Comments

comments icon

0

Share

Published:

August 31, 2015

Comments:

comments icon

0

Share

 

In a statement to the Zagreb Stock Exchange, state-owned power utility HEP Group reported net gain of HRK 1.35 billion (EUR 178.5 million) for the first half of the year, 1.7% more than in the corresponding period of 2014. The company cited continued stagnation of economic activity and lower winter temperatures, where the latter caused an increase in energy consumption, in particular power, heat and gas.

Favourable hydrological situation that marked 2014 continued in the first six months of this year, enabling hydropower plants to generate 3.6 TWh or 0.6 TWh less than a year before, taking a share of 44.4%, while thermal power plants cut production by 0.2 TWh, which optimized total expenses. Power imports increased by 0.7 TWh.

Gross income soared by 10% to EUR 7.14 billion (EUR 950 million), and the rise was attributed mostly to wholesale of gas, after HEP entered the market a year before, according to the consolidated report. Proceeds from electrical energy were at the same level. Expenditures rose by 19.6% to EUR 746 million, again mostly because of costs of gas wholesale activity, while imports and incentives for energy from renewable sources and for cogeneration made electric power purchase costs jump 60.9% or EUR 38.85 million. Other expenses enlarged partly because of bigger costs for carbon dioxide emission units. The group’s investments were EUR 111.7 million.

In the unconsolidated results for parent company HEP d. d., net gain was reported to be EUR 124.74 million, down from EUR 180.2 million in the first semester of 2014, as income dropped more than expenses. Among other reasons, prices for commercial customers dropped in the conditions of stronger competition, and some clients switched to suppliers outside of HEP Group, the report said. Investment in preparations for future power plants, cogeneration facilities powered by forest biomass, and information and communications infrastructure was EUR 8.06 million. It was financed by own funds and a long-term loan.

Related Articles

IHA Turkey 2024 hydropower additions highest Europe again

IHA: Turkey’s 2024 hydropower additions highest in Europe again

03 July 2025 - The world's hydroelectric capacity increased 1.7% last year to 1.44 TW, the International Hydropower Association said in its annual report

boksic solar power plant battery

Project underway for 99 MW Bokšić solar plant with battery storage

03 July 2025 - The Bokšić solar power plant project includes a battery energy storage system, BESS, with a capacity of 70.8 MWh.

YEO Defic Globe projects 219 MW Romania rebranding

YEO’s Defic Globe buys projects for 219 MW in Romania amid rebranding

03 July 2025 - Defic Globe, controlled by YEO, acquired 15 project firms developing plans for power plants and battery storage in Romania

HELLENiQ Energy buys ABO Energy Hellas 1 5 GW renewables

HELLENiQ Energy buys ABO Energy Hellas, adding 1.5 GW in renewables projects

02 July 2025 - Amid a consolidation in the renewables sector in Greece, HELLENiQ Energysaid it completed the acquisition of ABO Energy Hellas