Published on February 8th, 2018 | by Joshua S Hill0
Vattenfall Posts Annual Profit For First Time In 5 Years, Thanks To New Wind Capacity
February 8th, 2018 by Joshua S Hill
Swedish power company and one of Europe’s major electricity and heat retailers, Vattenfall, reported an annual profit for the first time in five years of SEK9.57 billion (€970 million), thanks in large part to new wind energy capacity additions completed in 2017.
Vattenfall is not a renewable energy company, but rather one of Europe’s major retailers and producers of electricity and heat generated by a variety of sources including hydro, fossil fuels, biomass, nuclear, and wind energy. The company, however, is working hard to transition away from fossil fuel sources and as can be seen below it has significantly decreased its reliance on fossil fuels over the last few years.
The company published its full-year 2017 financial report on Wednesday in which it reported its first annual profit in five years — SEK9.57 billion (€970 million), compared to a loss of SEK2.17 billion in 2016. Part of the reason for the company’s profit is thanks to the completion and commissioning of the 288 megawatt (MW) Sandbank offshore wind farm and the 228 MW Pen y Cymoedd onshore wind farm. In its report, Vattenfall ascribed “Improved financial performance as a result of new capacity added in 2017” and explained that “Vattenfall is prepared for competitive bids in tenders for wind power projects.”
Vattenfall also reported progress on its phase-out of coal-fired power generation in Berlin, which it aims to complete by 2030 at the latest. During 2017, Vattenfall completed the conversion of the Klingenberg lignite-fired power station in Berlin to natural gas, as well as made the decision to close Reuter C, a hard coal-fired power plant.
All in all, Vattenfall’s 2017 boasted increased profit and widespread efforts in its transition away from fossil fuels.
“After a prolonged period of strained market conditions and large write-downs of asset values, Vattenfall today is a stronger and more resilient company,” explained Magnus Hall, President and CEO of Vattenfall. “Our portfolio is dominated by climate-neutral energy sources. New innovative products, services and partnerships are helping our customers lower their carbon emissions.”