Czech group records EUR 195 mln losses in Romania on legislation changes

Czech energy group CEZ recorded losses of almost EUR 195 million in Romania last year. By comparison, the company posted a net profit of EUR 49 million in 2013. The sudden changes in the legislation on renewable energy determined the company’s losses, as they forced it to reassess its wind parks in Romania, said Karel Kral, CEZ’ chief financial officer. The company’s earnings before interest, taxes, depreciation and amortization (EBITDA) reached EUR 107 million last year, almost half compared to 2013. CEZ Romania’s EBITDA from wind energy production declined by EUR 126 million compared to 2013, mainly because the company didn’t receive green certificates for the Fantanele Vest and Cogealac wind parks in Dobrogea, two of the biggest renewable energy capacities in Romania, with a total capacity of 600 MW. The group’s EBITDA from electricity distribution and supply activities increased by EUR 18.5 million. CEZ supplies electricity to more than 1.4 million clients in Romania’s Oltenia region. editor@romania-insider.com