Green Party tables new law to change German Renewable Energy Act – Green Party also proposes additional RE auctions for wind (1500MW) and solar (800MW) energy in 2018. The latest onshore wind auction this month for 670MW new capacity was undersubscribed: participants only bid for 604MW at an average price of 5.73€-Cents per kwh generated. German Baseload 2019 (12 months forward) stood at 4.07€-Cents per kwh.
Jean-Pierre Clamadieu new ENGIE Chairman – The transformation aims at a de-carbonised portfolio of activities, a return to organic growth, improved profitability and strict financial discipline resulting in a significant reduction of the debt. ENGIE reported Q1/2018 figures in line with forcast earlier this week.
German Federal Grid Agency failed to attract sufficient interest for on-shore wind projects – The German Grid Agency published the results of the latest auction: 111 bids for 604MW submitted, 670MW were supposed to be awarded, 15 bids for 113MW came from community projects who get the highest price granted (cut-off price was 6.28 €-Cents per kwh) and do not need to submit approved projects. The average accepted price was 5.73 €-Cents which is 1 €-Cent higher than in the previous auction in Feb 2018.
takeover premium of 5.6% on last closing price, net debt of €13.8bn – EDP was the best bidder in the privatization in Oct 2011 and acquired 21% for €2.7bn, plus invested a further €2bn mainly in EDP wind park projects. Yesterdays value of it’s current stake still stands at €2.7bn. The premium paid to the government was 53% while in now offers virtually no premium to very strong financial investors. Capital Group, Oppidum Capital, Black Rock, Mubadala Investment and Quatar Investment Authority own >30%, Chinese CNIG owned 4.98%. The L12M peak was €3.39 the peak in 2014 and 2015 was >€3.6 per share. Investors should expect other interested parties and a higher offer.
The California Energy Commission approved a rulemaking on the 2019 Building Energy Efficiency Standards – The new standards obliges home owners to have solar PV systems that are sized appropriately to displace the annual power consumption (kWh) of a mixed-fuel (gas and power) home.