January 16 (SeeNews) - Nuclearelectrica [BSE: SNN], the operator of Romania's sole nuclear power plant (NPP) Cernavoda, said that it is expects its net profit to fall by 38.5% this year to 1.56 billion lei ($342 million/ 316 million euro) due to an energy solidarity tax introduced by the government.
The company estimates that its spending will increase by 60% to 5.8 billion lei in 2023, mostly due to a 2.5 billion lei contribution due to the Energy Transition Fund, it said in its 2023 budget draft published on Friday. The draft will be put to shareholders' vote on February 15.
In September, Romania's government enforced a solidarity contribution across the energy supply chain, calculated as the difference between the monthly sales price and a reference price of 450 lei per MWh. The Energy Transition Fund serves as a financial reserve to support the government's energy subsidies scheme for households and some small companies.
Nuclearelectrica is expecting a 15% increase in revenues in 2023, to 7.62 billion lei, and aims to sell 10.319 GWh of energy at an average estimated price of 707.67 lei per MWh. According to the draft, Nuclearelectrica plans to invest 1.4 billion lei this year, mostly in extending the lifecycle of Cernavoda NPP Unit 1. For this purpose, Nuclearelectrica plans to borrow 200 million euro ($217 million) in 2023.
A further 300-400 million euro will be borrowed this year to finance Energonuclear, a subsidiary created in 2009 for the construction, commissioning and operation of Units 3 and 4 at the Cernavoda nuclear power plant operated by Nuclearelectrica. In November, the United States has committed to provide Romania with $3.05 billion financing for the construction of Units 3 and 4 at Cernavoda.
The company estimates that it has ended 2022 with a net profit of 2.3 billion lei on revenues of 6.63 billion lei. Preliminary results for last year are due on February 24.
Nuclearelectrica shares traded 0.67% lower at 44.65 lei by 1113CET on Monday on the BVB.
(1 euro=4.9413 Romanian lei)
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