Having started operating new energy infrastructure projects, revenues of EPSO-G energy group totalled EUR 62.2 million in Q 1 of 2016 and were one third greater compared to the same period of last year (EUR 41.4 million).
Operation of LitPol Link and NordBalt interconnections ensured competitive prices for consumers and significantly increased reliability of electricity system. Since 1 February 2016, when NordBalt was launched in test mode, till the end of the first quarter the price of electricity on the Nord Pool Spot (NPS) exchange decreased by more than 15 percent because of an increased flow of cheaper electricity from neighbouring countries. Electricity import activities generated EUR 2.7 million in congestion revenues received from price differences in NPS trade zones rather than from the tariff.
Upon the launch of a new gas pipeline going from Klaipėda to Kuršėnai and in presence of competitive LNG prices, almost 70 percent of gas was imported via the LNG terminal in Klaipėda in Q1 of this year. Group revenues from natural gas transmission activities increased by 27.7 percent in Q1 of 2016 and totalled EUR 18.5 million. Gas transmission revenues increased due to the month of January, which was colder than usual, and additional transmission capacities had to be provided to system users.
“We see the benefit rendered by new infrastructure projects. Electricity connections with Poland and Sweden expanded the opportunities for imports, which led to decreased electricity price in the market. The new gas pipeline from Klaipėda to Kuršėnai allowed increasing the use of LNG terminal in Klaipėda and ensuring market needs”, – said the General Manager of EPSO-G Group Rolandas Zukas.
In Q 1 of 2016, profit of EPSO-G Group was EUR 12.8 million. The profit was determined by completed major infrastructure projects increasing the Baltic energy market integration into a single European market.