logo-loader
Energy
OPG Power Ventures PLC

OPG Power Ventures sees record production in 2018 as tariffs improve for 2019

The India-focused power plant developer reported that total generation for the 2018 financial year was up 10% at 4.8bn units compared to 2017

Power cable
The group said sales tariffs at its Chennai plant had been increased by 4% for 2019

OPG Power Ventures PLC (LON:OPG) has reported a record production year in 2018 as well as tariff increases for the coming year.

In a trading update, the AIM-listed India-focused power plant developer reported that total generation for the 2018 financial year was up 10% at 4.8bn units compared to 2017, while in the quarter 1.1bn units were generated, up 15% on the same period a year ago.

READ: OPG Power Ventures highlights significant rise in power generation in third quarter

The group also said sales tariffs at its Chennai plant had been increased by 4% for the 2019 financial year.

The firm added that its 62 MW Karnataka solar projects had been commissioned and were expected to contribute to earnings in 2019.

OPG also said that the Gujarat Distribution Companies of the State Electricity Utility ("DISCOMs") was no longer levying cross-subsidies on its customers, with £7mln of dues already recovered by the Group.

Additionally, the firm was undertaking a strategic review of its Gujarat plant following the successful resolution of its captive status with DISCOMs and had sold 5% of its equity interest in OPGS Gujarat.

Arvind Gupta, executive chairman of OPG, said: "This has been a record year of production for OPG, in which we have operated both our plants in line with our full year guidance. Improvements in the tariffs at Chennai for FY19 have provided us with some additional headroom for next year versus the prevailing coal price which, albeit is still high, is lower than recently.

He added: "With the commissioning of 62 MW solar projects in Karnataka, we now have a diversified portfolio of thermal and renewable assets which is strategically important in the modern environment and a key milestone for OPG. Following the resolution of the significant issues to do with recovering historic cross subsidy deductions made by Gujarat DISCOMs, the Board has decided to review its strategic options for the Gujarat plant and remains focused on the Group delivering strong operational and financial performance, to allow the Group to deliver true value to stakeholders."

Quick facts: OPG Power Ventures PLC

Price: £0.15

Market: AIM
Market Cap: £57.22 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Full interview: Scancell back in the clinic with a phase II trial of its...

Scancell Holdings PLC's (LON:SCLP) Cliff Holloway tells Proactive London's Andrew Scott they've begun the UK arm of the phase II trial of its flagship skin cancer treatment. The trial is testing the safety and efficacy of SCIB1 in metastatic melanoma patients who are also receiving Merck’s...

7 hours, 41 minutes ago

RNS

Second Price Monitoring Extn

2 weeks, 4 days ago

Price Monitoring Extension

2 weeks, 4 days ago

Long Term Incentive Plan

2 weeks, 4 days ago

Final Results

2 weeks, 4 days ago

Notice of Final Results

2 weeks, 5 days ago

Trading Update

on 29/4/19

2 min read