Norwegian renewable energy giant Statkraft has posted a net profit of Nkr 4752 million (€484m) in the first quarter of 2019, a drop from Nkr10,282 million during the same period in 2018.
The company allocated the fall to gains of Nkr6.8bn during 2018 period from divestments.
The company’s underlying EBITDA increased from Nkr6875 million to Nkr7371 million, off the back of higher prices and a higher contribution from wind generation, according to the company.
On average power prices in the Nordic system were up 21% in the quarter compared to 2018, at €46.8 per megawatt-hour. The average price in Germany was up by 15% to €40.9/MWh, but down 2% in the UK to £51.8/MWh.
Wind power output increased by 0.9 terrawatt-hours, up from 0.6TWh last year, while hydro production from 19.9TWh to 14.6TWh.
Statkraft said the increase in wind generation was driven by new capacity and higher wind speeds.
Over-production however declined by 4.9TWh in the period to 16.1TWh, according to the company.
This may not be great news for Statkraft, but the utility has growth plans in Europe that will virtual power plant (VPP) technology front-and-center, including plans to double its virtual capacity in the UK by summer 2019. Here's the story.