Full of Energy - Energie AG Oberösterreich

ANNUAL REPORT2007/2008THE GROUPGROUP MANAGEMENT REPORTTHE ENERGY SEGMENTTHE WASTE MANAGEMENT SEGMENTTHE WATER SEGMENTCONSOLIDATED FINANCIAL STATEMENTSThe change over the previous year results essentiallyfrom the fact that OÖ. Ferngas AG and CMOÖ wereincluded during only three quarters, as compared tothe year before, and that interest during constructionwas not entered under assets, which affects theresult of GuD Timelkam GmbH during the expiredbusiness year.LIWEST is included in the consolidated financial statementsof Energie AG with its disclosed results for theyear; undisclosed interim accounts are available forEnnskraftwerke AG, Wels Strom GmbH, and SalzburgAG.Ennskraftwerke AG has a total output of approximately430 MW and a standard operating capacity ofalmost 1,860 GWh, which makes it one of the largestAustrian producers of electric energy from hydropower. The main tasks of the company are to operateand maintain twelve hydro power stations along therivers Enns and Steyr. Energie AG holds a 50% share inEnnskraftwerke AG. As a result of the low water level,the electricity generated by the entire group of powerstations amounted to 1,743 GWh during the last completedbusiness year 2007 (01/01 to 31/12/2007),which is 6.3% below the standard operating capacity.In relation to the 2007/2008 business year of EnergieAG, the water level was considerably higher than ina standard year.The electricity procurement rights of EnnskraftwerkeAG constitute an important share of renewable energy,at optimized costs and risks, in the procurement portfolioof Energie AG. Continuous studies with a viewto improving efficiency, as well as optimizing of theexisting facilities are intended to increase elec tri cityproduction in the future.Wels Strom GmbH, in which Energie AG holds a49% share, is a regional supplier of electricity to theUpper-Austrian town of Wels and several surround -ing municipalities. The objects of the company, whichis a fully integrated energy supplier, comprise thegeneration and procurement, the distribution andsupply of electric energy. During the last completedbusiness year 2007 (01/01 to 31/12/2007) WelsStrom GmbH sold 377 GWh of electricity (- 6%). Theheat produced by the district heating plant, whichamounted to 155 GWh (- 12%) in 2007, is being soldto Elektrizitätswerke Wels AG, the second parentcompany (51%). The rate of own electricity generationin relation to the quantities sold to own customerswas slightly higher than 50% in 2007.In the telecommunications sector, Energie AG has astake of 44% in LIWEST Kabelmedien GmbH. Whenconsidering the actively connected customers, LIWESTis the biggest cable TV network operator in UpperAustria and ranks second in Austria. This positionbecame possible as cable TV customers increased to126,701 (+ 13.4%), and telephone customers to22,124 (+ 30.1%). It was possible to obtain this in -crease in spite of the prevailing competitive pressurecaused inter alia by special low-price offers by competitors,as well as the aggressive appearance of newproviders on the Upper-Austrian market. It was alsopossible to gain further customers on the broadbandmarket in spite of increasing competition. The numberof Internet customers could be increased to 46,511customers (+ 8.6%). On account of the high penetrationin the existing network, growth was achievedmainly by the acquisition of small network providers inUpper Austria, which also resulted in an expansionof the area covered.The Energie AG Group holds 26.13% of Salzburg AGfür Energie, Verkehr und Telekommunikation,which is a multi-utility supply company in the provinceof Salzburg. The enterprise operates in the areas ofelectricity, natural gas, district heating, water, transport,and telecommunications.For the 2007 business year (01/01 to 31/12/2007)the total amount of electricity sold (including trad -ing) amounted to 10,842 GWh (+19%). Total salesof natural gas (including trading) amounted to 6,253GWh (+ 27%). In 2007 the company supplied nearly3,400 GWh (+ 1%) to the about 250,000 electricitycustomers and over 1,850 GWh (- 22%) to about31,000 natural gas customers. More than 600 GWh(+ 4%) of district heat were sold. The telecommunicationsbusiness area was also marked by a majorincrease in customer numbers.There are plans to increase the rate of own electricitygeneration, which is currently slightly below 50%, bybuilding and obtaining shares in power stations, inorder to improve the security of supplies, as well asto obtain more independence from fluctuations inmarket prices.RENEWABLE ENERGIES ANDENERGY EFFICIENCY – A MARKETOF THE FUTUREWith its 40% stake in IfEA, Fair Energy GmbH wasable to secure a well-established platform on theUpper Austrian market. The business model of IfEAcomprises the certification of buildings and the provisionof services to owners of large buildings. It isthe objective of IfEA to offer new services to ownersof large building and real-estate companies on thebasis of the experience gained in certifying buildings.The share in NEET GmbH makes it possible to marketthe Energy Globe Portal, as well as to organize andcarry out the Energy Globe Award. By using the Internetplatform www.energyglobe.com, private customersare offered online energy checks, refurbishment jobs,and building certificates. The Energy Globe Award is anexcellently positioned instrument in the field of en viron -mental protection and innovation. This internationallyestablished prize is awarded for outstanding projectsin the field of an economical and environmentallyfriendly use of resources, as well as in the area ofusing renewable and/or emission-free types of energy.In the future, participations and projects in the fieldof renewable energies will be bundled in Fair EnergyRenewable Power GmbH, which was founded recently.Model projects, cooperation projects, as well as ac -quisitions in Austria, and subsequently also in selectedcountries in Europe will be undertaken during thecurrent business year in the areas of photovoltaics,solar, thermal and wind energy. As a first step, theexisting photovoltaic units of the Group will be integratedinto Fair Energy Renewable Power GmbH.52Fair Energy GmbH was founded during the 2006/2007business year in order to concentrate the Group’s po -tential for renewable energies and energy efficiency,which is a market of the future.53A PHOTOVOLTAIC PLANT ON THESOUTHWEST SIDE OF THE POWERTOWER SUPPLIES THE ECOLOGICALCOMPONENT TO COVER THE BASICELECTRICITY REQUIREMENT.In recent months Fair Energy GmbH succeeded inassuming a position on the growth market energyefficiency and in the field of renewable energies.With stakes in IfEA (Institut für Energieausweis GmbH)and in NEET GmbH, Fair Energy GmbH has become– within a short period – an important partner tocontact in matters of energy efficiency. The newlyfounded subsidiary, Fair Energy Renewable PowerGmbH, is used to bundle future projects and participationsin the fields of wind and solar energy.