Statnett – Q1 results
(5/14/2009)
The Statnett Group reports net profit for the first quarter of 2009 at NOK -97 million, compared with NOK 151 million for the same period of 2008. The parent company, Statnett SF, reports a net profit of NOK 1 026 million, up NOK 873 million from the first quarter of 2008.
The Group result is due to short term regulatory effect and does as such not represent a weakening of Statnett’s business performance. During 2008, congestion and trade revenues from the NorNed subsea cable, exceeded allowed income for Statnett, as regulated by the NVE. The excess income will be subtracted from the 2009 revenue through lower tariffs. Further, until December 2008, new investments where included in the revenue cap with a two years time lag. In December 2008, a change in regulation was introduced and the two years time lag was removed. This is however not reflected in the tariffs set for 2009 and large investments like NorNed and the reserve power plants will not be included in the tariffs before 2010.
The Statnett Group recorded NOK 752 million in operating revenues in the first quarter 2009, which is NOK 149 million lower than the same quarter in 2008. Adjusted for the short term regulatory effect outlined above, the operating revenues were actually NOK 158 million higher than the same quarter in 2008. Total operating costs amounted to NOK 786 million in the first quarter, which is NOK 145 million higher than the same quarter in 2008. Statnett SF invested NOK 191 million in the first quarter 2009, compared to NOK 463 million in the same quarter 2008. The main reason for the decrease in investment in the first quarter is that the NorNed cable and the reserve generation facilities were completed and commissioned in 2008.
The strong results in Statnett SF is due to dividends from the sale of activities in Nord Pool ASA. The Group posted net profit from this sale in 2008.
Outlook
Statnett’s activities in the immediate and near future will continue to be dominated by the high level of planning and implementation of investments. The changes to the revenue cap regulation made in December 2008 will remove the previous two-year time lag from an investment is put into operation until the revenue cap is increased.
The complete report is available here:
Statnett Q1_2009_eng.pdf
Contacts:
Marie Jore Ritterberg
Executive Vice President Finance
Phone: +47 95 85 12 04
Tor Inge Akselsen
Senior Vice President Communications
Mobile: +47 950 79 520
