Annual Report 1999739KB - Essent

essent1999Essent’s relationship with its stakeholders is vital.Profitability is a precondition for the continuityof the company and in the long term for an attractivedividend. Essent strives for long-term growthin the value of the company as its most importantfinancial goal. Discussions will be held withshareholders in the near future on possible formsof privatisation.On 17 January 2000 Essent entered into a jointventure with the British company Centrica, aleading supplier of energy and services to UK consumers.Centrica operates in the gas market inparticular. The joint venture, in which both partnershave a 50% share, will develop large-scaleenergy trading activities in the Netherlands,Belgium and Germany under the name AccessEnergy BV.Essent is alert to potential mergers and increasesin scale in the sector. International collaborativeventures can increase effectiveness and optimiseprofitability. Such collaboration could also coverspecific areas. In this regard, expansion of activities,even beyond the domestic market, is a seriousoption. By combining products and services atotal package is created for the business and consumermarket. Increasing brand awareness anddeveloping new distribution channels are vitalfor Essent to maintain and expand its strong positionin the national and international arenas.Business EnvironmentalAction Plan Essent and its predecessors have been workingactively on the Environmental Action Plan(known by its Dutch abbreviation MAP) since1991. Under the MAP, the energy companies havemade an undertaking to the government to striveto jointly reduce CO 2 emissions by 17,000 kilotonsin 2000 compared with 1991. In this way theenergy companies are contributing to more efficientand sustainable energy supply.The total MAP objective for Essent is 6,308 kilotonsof CO 2 or 37% of the total objective for theenergy sector. With one MAP year to go, 92% ofthe MAP objective has been attained. It isexpected that Essent will meet the remainder ofthe target in 2000 by a comfortable margin.The table below shows the results of the MAPfrom 1991 to 1999 inclusive.Breakdown of income in 1999by target group (x NLG 1,000) households (18,620) business market (15,406)Essent MAP results per target group1991 to 1999 inclusive (kilotons CO 2)Result1998Result1999Result1991-1999Objective1991-2000PercentagerealisedHouseholds504161,160829140%Business market962536321,20153%Heat market38272,2262,120105%New technology11432541578%Sustainable energy1802531,4571,74384%Total3759535,8006,30892%26annual report