Page 10 - AsiaElec Week 29

AsiaElec NEWS IN BRIEF AsiaElec

The revised energy demand de-growth
estimate assumes a demand decline of 3.5
– 4.0 percent in Q2 and Q3 FY2021 and a
marginal recovery of about 1.0 percent in Q4
FY2021, given the slower pace of recovery
expected in industrial and commercial activity
in the country. This in turn is expected to
suppress the thermal PLF on an all India level
to about 50-51 percent in FY2021 against
rating agency’s earlier estimate of 54 percent
and from 56 percent in FY2020.
The all India electricity demand declined
by 16.2 percent in Q1 FY2021 on a year-on-
year (Y-o-Y) basis, because of the lockdown
imposed to control the COVID-19 pandemic.
While the demand recovered from a Y-o-Y
decline of 23.1 percent in April 2020 to
10.9 percent in June 2020 and further to 3.9
PERFORMANCE result, Iberdrola installed around 1,600MW of percent in the first 15 days of July 2020, the
capacity in the first half of the year and over recovery was slower than earlier expectations
Iberdrola continues green 4,900MW the last year. This investment effort of reaching a pre-COVID-19 level in July
is in addition to the 7,500MW currently under 2020.
drive construction. adversely impacted the revenues and cash
“The decline in energy demand has thus
The company also continues to increase
Iberdrola has accelerated its investments to its project pipeline with its strategy of growth collections for the power distribution utilities
EUR3.58bn in the first half of 2020, 2.3% in renewables, through corporate operations (Discoms), especially given that the bulk of
more than in the same period in 2019 and in Australia (bid for Infigen Energy), Sweden the consumption decline has come from the
despite the lockdown situation due to the (agreement with Svea Vind Offshore for the high tariff paying industrial and commercial
COVID-19. development of up to 9 gigawatts of offshore consumers; and given the delays in cash
Driven by this investment effort and wind) and France (acquisition of Aalto collections from other consumer segments,”
despite an adverse impact of EUR153mn from Power). said Sabyasachi Majumdar, Senior Vice
the pandemic, net profit stood at EUR1.84bn This brings Iberdrola’s renewable pipeline President Corporate ratings at ICRA.
at the end of June, up by 12.2%. to 58,000MW, 60% of which are located in
The group’s gross operating profit (Ebitda) the US and Spain. Particularly noteworthy
amounted to EUR4.91bn, 1.4% below that are the opportunities in offshore wind, with
of the first six months of the previous year, 12,000MW under development, in addition to FINANCE
posting growth in renewables (+5.3%) and the 9,000MW of options in Sweden. The new
generation and supply (+14.3%) but a lower projects are supported by the different plans Senoko Energy, Electrify
contribution from the networks business towards a green recovery approved in Spain,
(-10.6%). the United Kingdom, the United States, Brazil and Engie Factory launch
Adjusted Ebitda, after removing and the European Union.
the pandemic impacts on this account IBERDROLA Singapore’s first project
(EUR157mn), grew by 4.2% to EUR5.07bn.
“We are making firm progress in our in peer-to-peer renewable
commitment to invest EUR10bn in 2020, DEMAND
demonstrating that the way to a rapid and trading
sustained recovery is the green economy,” said Electricity Demand in India
chairman Ignacio Galán. Senoko Energy, one of Singapore’s largest
As for suppliers, Iberdrola has advanced to Shrink by 5-6% in FY21 and most established energy companies, has
orders for EUR7bn in the first half of the launched a pilot project to introduce peer-
year, helping to sustain a supply chain that due to COVID: to-peer (P2P) trading of renewable energy
generates 400,000 jobs worldwide. Customers in collaboration with Singapore’s foremost
have also remained at the centre of the With the re-imposition of lockdown energy innovation company, Electrify, and
company’s strategy, maintaining security of restrictions in many parts across the country, Engie Factory, the venture arm of French
supply at all times while guaranteeing special the all India electricity demand is likely to multinational electric utility company, Engie.
measures to help out the most vulnerable decline by 5 to 6% in FY2021. Sponsored by Engie Factory, the initiative
customers. With the re-imposition of lockdown will enable Singapore households and
Regarding its EUR3.58bn investments in restrictions in many parts across the country, businesses to register for Electrify’s P2P
the period, 90% was allocated to the networks the all India electricity demand is likely to trading platform through Senoko Energy’s
and renewable energy businesses. Taking decline by 5 percent to 6 percent in FY2021 new service offering, SolarShare. Upon
into account the past twelve months, this over FY2020, against ICRA’s earlier estimate of registration, producers and consumers will
amount already stands at EUR8.23bn. As a 1 percent de-growth made in April 2020. be able to trade locally-produced solar energy

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