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ENERGY

Siemens losing puff on off-shore wind parks

The difficulties of connecting wind-parks in the high seas to the national grid are harming Siemens' balance books. The technology giant is expecting to set aside a huge reserve for technical difficulties, eating into this year's profits.

Published: 17 April 2012 09:02 CEST
Siemens losing puff on off-shore wind parks
Photo: DPA

According to a report in Tuesday’s Financial Times Deutschland, Siemens will have to set up a reserve of €200 million for the second quarter of the year, to make up for delays and difficulties in producing off-shore wind energy.

The company said it is likely to revise down its own prognosis of a €6-billion profit for 2012 when it presents its first quarter figures next week.

The company also set aside €203 million to offset technical problems connected with the wind-parks in the first quarter. The company’s profit margins have been affected by delays in the construction of two substation platforms meant to help deliver the wind energy to the coast.

Siemens refused to comment on the report.

The Local/DAPD/bk

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BUSINESS

France’s EDF hails €10billion profit, despite huge UK nuclear charge

French energy giant EDF has unveiled net profit of €10billion and cut its massive debt by increasing nuclear production after problems forced some plants offline.

Published: 16 February 2024 10:45 CET
France's EDF hails €10billion profit, despite huge UK nuclear charge

EDF hailed an “exceptional” year after its loss of €17.9billion in 2022.

Sales slipped 2.6 percent to €139.7billion , but the group managed to slice debt by €10billion euros to €54.4billion.

EDF said however that it had booked a €12.9 billion depreciation linked to difficulties at its Hinkley Point nuclear plant in Britain.

The charge includes €11.2 billion for Hinkley Point assets and €1.7billion at its British subsidiary, EDF Energy, the group explained.

EDF announced last month a fresh delay and additional costs for the giant project hit by repeated cost overruns.

“The year was marked by many events, in particular by the recovery of production and the company’s mobilisation around production recovery,” CEO Luc Remont told reporters.

EDF put its strong showing down to a strong operational performance, notably a significant increase in nuclear generation in France at a time of historically high prices.

That followed a drop in nuclear output in France in 2022. The group had to deal with stress corrosion problems at some reactors while also facing government orders to limit price rises.

The French reactors last year produced around 320.4 TWh, in the upper range of expectations.

Nuclear production had slid back in 2022 to 279 TWh, its lowest level in three decades, because of the corrosion problems and maintenance changes after
the Covid-19 pandemic.

Hinkley Point C is one of a small number of European Pressurised Reactors (EPRs) worldwide, an EDF-led design that has been plagued by cost overruns
running into billions of euros and years of construction delays.

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