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In 2013, Eesti Energia grew its electricity sales by 13%, to 11 terawatt hours. The output of liquid fuels set an all-time record, reaching 214 000 tonnes.

Bolstered by increased output volumes, the turnover of the company grew by 18%, reaching EUR 966 million. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) worked out to be EUR 310 million (+11.5%). Net profit was EUR 160 million. The company paid Estonia EUR 190 million in various taxes and dividends.

According to Sandor Liive, Chairman of the Management Board of Eesti Energia, the end of the age of monopoly meant a decline in retail sales, as expected. Of the company’s total output of 11 terawatt hours, retail clients were sold 7 terawatt hours of electricity (-12%), of which 1.4 terawatt hours went to private clients. Electricity sales to Estonian private clients amounted to 5.5% of the turnover, with no profit made from selling electricity to private clients.

“That said, we produced the biggest quantity of electricity for the wholesale market since 1991. Growth in electricity production was helped by record-low sulphur and nitrogen emissions at the Narva Power Plants, by growth in oil shale production at the Estonia and Narva mines, and by decent margins on the wholesale market,” said Liive, according to whom it is increased electricity production that had the biggest positive effect on the operating profit.

In addition to the wholesale of electricity, the Group’s turnover was boosted by sales of network services and liquid fuels. Liquid fuels showed growth in terms of sales volume, mean sales price and production quantity.

The sales price of liquid fuels grew 6% despite the fact that the price of heavy fuel oil dropped 11% on the world market. “Although the production process is still being stabilised at the newest plant in our oil industry, our success in producing electricity fully made up for all the revenue not earned from it, and Eesti Energia achieved both its turnover and operating profit objectives,” said Liive.

With large-scale developments entering the home stretch, the volume of Eesti Energia’s investments in 2013 was somewhat lower than previously; however, more than EUR 500 million was channelled into the development of the national energy industry. Last year, Eesti Energia invested EUR 419 million, the majority of which targeted the development of the oil shale industry and Elektrilevi’s network service.