At the opening of Hidroelectrica’s insolvency procedure, Energy Holding requested damages of RON91.1 million, claiming the hydropower producer had delivered a lower amount of electricity between September 2011 and April 2012, following the application of a force majeure clause.
Hidroelectrica, in turn, said the contract with Energy Holding had brought it a loss of over RON1.4 billion between 2006 and May 31, 2012.
The Bucharest Court also rejected the contestation submitted by Swiss trader EFT AG, which said in 2011, Hidroelectrica failed to deliver the entire amount of electricity it had contracted from the hydropower producer. The evidence in the case showed that in 2011, Hidroelectrica delivered to EFT AG more electricity than it was obliged under the contract, Hidroelectrica also said.
In 2013, Hidroelectrica started legal proceedings against several energy traders, including Energy Holding, claiming “several hundred million lei” for damages caused by the below-market prices in the bilateral electricity contracts signed with the company. According to a report by Hidroelectrica’s legal administrator Euro Insol, the company lost RON4.8 billion (EUR1.1 billion) between 2006 and 2012 by signing bilateral energy deals at below-market prices.
Hidroelectrica might register a gross profit of RON1.3 billion in 2016, which would be the best result ever recorded by the company, compared with RON1.1 billion in 2015. According to lawyer Remus Borza, the representative of Hidroelectrica’s legal administrator Euro Insol, the results are triggered by the measures implemented by Euro Insol, which targeted the optimization of costs and the increase in revenues.
Hidroelectrica is likely to exit insolvency in June 2016 and be listed on the stock market in November. Borza said Hidroelectrica’s real market value reaches at least EUR5 billion.
In 2015, Hidroelectrica budgeted investments of EUR1.3 billion for the next five years.
Hidroelectrica is controlled by the state through the Ministry of Energy and has been insolvent since early 2014.
At the opening of Hidroelectrica’s insolvency procedure, Energy Holding requested damages of RON91.1 million, claiming the hydropower producer had delivered a lower amount of electricity between September 2011 and April 2012, following the application of a force majeure clause.
Hidroelectrica, in turn, said the contract with Energy Holding had brought it a loss of over RON1.4 billion between 2006 and May 31, 2012.
The Bucharest Court also rejected the contestation submitted by Swiss trader EFT AG, which said in 2011, Hidroelectrica failed to deliver the entire amount of electricity it had contracted from the hydropower producer. The evidence in the case showed that in 2011, Hidroelectrica delivered to EFT AG more electricity than it was obliged under the contract, Hidroelectrica also said.
In 2013, Hidroelectrica started legal proceedings against several energy traders, including Energy Holding, claiming “several hundred million lei” for damages caused by the below-market prices in the bilateral electricity contracts signed with the company. According to a report by Hidroelectrica’s legal administrator Euro Insol, the company lost RON4.8 billion (EUR1.1 billion) between 2006 and 2012 by signing bilateral energy deals at below-market prices.
Hidroelectrica might register a gross profit of RON1.3 billion in 2016, which would be the best result ever recorded by the company, compared with RON1.1 billion in 2015. According to lawyer Remus Borza, the representative of Hidroelectrica’s legal administrator Euro Insol, the results are triggered by the measures implemented by Euro Insol, which targeted the optimization of costs and the increase in revenues.
Hidroelectrica is likely to exit insolvency in June 2016 and be listed on the stock market in November. Borza said Hidroelectrica’s real market value reaches at least EUR5 billion.
In 2015, Hidroelectrica budgeted investments of EUR1.3 billion for the next five years.
Hidroelectrica is controlled by the state through the Ministry of Energy and has been insolvent since early 2014.