Coronavirus company news summary – Northland Power earnings up 13% on 2019 – India considers decreasing surcharges to power suppliers

12 November 2020 (Last Updated November 12th, 2020 09:33)

12 November

Decommissioning work at a former nuclear plant in Trawsfynydd, UK, was paused after some workers at the site tested positive for coronavirus. The employees were decommissioning nuclear reactors at the plant, which was closed in 1991 after 25 years of operations. The Covid-19-positive employees were asked to self-isolate to ensure safety of others working at the plant.

Canadian energy firm Northland Power has reported that its third quarter raw earnings (EBITDA) rose by 13% year-on-year. Sales for the same period increased by 24%. The company’s adjusted EBITDA reached $195m, affected by the decline in wholesale market price for energy due to Covid-19, which affected its offshore wind revenue. The revenue fall was countered by the income generated from the Deutsche Bucht wind farm in Germany. Northland Power’s full year adjusted EBITDA is projected at $840m to $920m.

Italian renewables company ERG reported that its EBITDA declined by 7% to $117m in the third quarter of 2020, compared to $126m it registered during Q3 2019. A decrease in overseas wind power output, a slump in energy prices, and hostile water conditions all contributed to the fall in EBITDA.

The Ministry of Power in India is considering decreasing the late payment surcharges distribution companies pay to the power generators to reduce their financial burden. Power generation companies would then lose the interest they receive for delayed payments. Surcharge rates have been reduced in several states due to the coronavirus pandemic.