Energy provider SSE grew its revenue in the Republic by 36 per cent last year despite losing 50,000 customers north and south, the group’s annual report published on Thursday shows.
The company is a leading generator of renewable energy in the British and Irish markets, and one of the world’s fastest-growing electricity networks companies.
The report for the year ended March 31st shows it generated revenue of almost €2.24 billion in the Republic, which was up from more than €1.64 billion in the previous year.
The increase came despite a drop of 50,000 “all-Ireland energy market” customers, from 770,000 to 720,000.
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It said SSE Airtricity saw “modest customer losses” after increasing tariffs by an average of 9.5 per cent from October (4 per cent in Northern Ireland).
It said its business energy arm saw a reduction in customer numbers due to “market competition and the knock-on impact of previously paused sales”.
The company also reported “an acceleration” in the development of data centres over the year, with the energy sold to the sector in Ireland trebling.
“In Ireland, where the data centre sector is well established, energy sold to the data centre sector increased by four terawatt-hours (TWh) to 6TWh, taking the total power supplied to domestic and non-domestic customers on the island to 10.6TWh.”
SSE Airtricity now supplies about 80 per cent of the energy to data centres in Ireland, the report said.
It said the “growing” data centre sector will be an area of focus over the coming year in Ireland, where a “long-awaited” large energy users policy has “essentially lifted” a de facto moratorium on new facilities.
[ Irish unit of SSE received insurance payments of almost €40m over two yearsOpens in new window ]
Meanwhile, SSE said £146 million (€168.5 million) was invested in onshore wind in Scotland and Ireland.
Further information on the offshore planning consent application for Arklow Bank Wind Park 2 (800MW) was submitted to An Coimisiún Pleanála in April, and a determination is anticipated by the end of the year.
The company said construction “continues” at the RESS4-contracted 58MW Drumnahough wind farm in Co Donegal, in which SSE has a 50 per cent share.
The company’s thermal arm secured agreements for 543MW of derated capacity, valued at about €288 million, including a five-year agreement for a facility at Great Island in Cork harbour.
The company also said it installed solar panels on 400 homes of medically vulnerable people in Ireland at no cost.
On pricing across the company generally, SSE said its approach to hedging looks to generally reduce broad exposure to commodity price variation in advance of delivery.
“We continue to monitor market developments and conditions and periodically alter our hedging approach in response to changes in exposure profile,” the group said.
“Whilst some basis risk or commodity exposure will remain, this approach facilitates the reduction of SSE Renewables’ overall exposure to potentially volatile spot market outcomes.
“Any non-electricity forward contracts will be converted into electricity hedges ahead of delivery, which may lead to increases or decreases in the average hedge price achieved.”
SSE chief executive Martin Pibworth said the company met all its financial and operational targets.
“By operating our business efficiently and optimally, while accelerating electrification and building energy infrastructure to unlock home-grown renewables, we are strengthening energy security and lowering system costs over time,” he said.
