4% increase in underlying EBIT due to a rise in power prices and new onshore and offshore capacity [Image: Vattenfall]
Vattenfall reported Skr2079m (€203m) in underlying earnings before interest and tax (EBIT) in the first half of 2021 compared with Skr2002m in the same period in 2020.
In the first half of 2021 net sales for the wind division increased by 2% compared with 2020.
The slight increase in underlying operating profit was due to a rise in electricity prices and new capacity, mainly from the Princess Ariane onshore wind farm in the Netherlands and the Kriegers Flak offshore wind farm in Denmark, partly offset by lower wind speeds.
Electricity generation decreased by 8% due to lower wind speeds, which was partly offset by new capacity.
At the end of June Vattenfall signed an agreement with BASF on the sale of 49.5% of Vattenfall’s Hollandse Kust Zuid offshore wind farm in the Netherlands.
The purchase price for BASF amounts to €300m, based on the achieved status of the project.
Including BASF’s contribution to fund the wind farm construction, BASF’s total commitment amounts to approximately €1.6bn.
Closing of the deal is expected in the fourth quarter of 2021.
On 5 June the last of the total of 72 turbines were installed at the Kriegers Flak offshore wind farm in Denmark.
The project is expected to be completed by year-end 2021 and will have capacity of 605MW.
Vattenfall said it continues to make progress in solar energy and onshore wind power.
For example, the Haringvliet hybrid park in the Netherlands began commercial electricity generation in mid-June.
The project combines 38MW of solar energy, 22MW of onshore wind power and 12MW of battery capacity.