FRANKFURT (Reuters) – Germany’s energy sector gets its first major speech from new economy and energy minister Sigmar Gabriel this week with utilities and households both hoping he can ease the cost burden imposed on them by Berlin’s push for greener energy.
Germany is undergoing Europe’s deepest energy transformation as it exits nuclear, renewables surge and cheap coal plays havoc with plans to switch to cleaner natural gas.
FRANKFURT, Jan 17 (Reuters) – Offers for RWE DEA,
the oil and gas exploration and production unit of RWE
, are expected to come in well below the initial
expectations of Germany’s second-biggest utility, two people
close to the negotiations told Reuters.
Bids, which are due on Monday, Jan. 20, will value DEA at
about 4 billion euros ($5.4 billion), the people said on Friday,
less than the up to 5 billion that sources said had been
originally targeted by RWE.
DUESSELDORF/FRANKFURT, Jan 14 (Reuters) – Germany’s No.2
utility RWE is preparing to sue for millions of euros
of damages after a federal court confirmed that a state’s
decision to shut down the company’s Biblis nuclear plant for
three months in 2011 was illegal.
A spokeswoman for RWE said it planned to take action against
the German state of Hesse, which ordered the closure of Biblis,
Germany’s oldest nuclear plant, as a precaution following the
disaster at Japan’s Fukushima plant nearly three years ago.
FRANKFURT, Dec 18 (Reuters) – Faced with radical green
policies at home, German energy utility E.ON has
turned to foreign markets again, but with its past mishaps
abroad still fresh in the memory investors worry that its latest
$1.3 billion investment in Brazil could prove at best ill-timed.
“You have to be careful not to get carried away by foreign
markets,” said Ingo Becker, European head of utility research at
VILNIUS/BERLIN, Nov 28 (Reuters) – Ukrainian and Slovak
authorities are in “very constructive negotiations” and could
sign a reverse-flow pipeline deal next week to curb Ukraine’s
dependence on Russian gas, officials from Kiev and Brussels
European Commission officials and Ukraine’s energy minister
said earlier this month a deal to ship gas through Slovakia was
all but agreed and just needed to be signed by both sides.
LONDON/FRANKFURT, Nov 27 (Reuters) – German parties have
agreed to limit the growth of renewables and reform
controversial incentives for the sector by next summer in a move
to slow the rise in electricity costs for households and give
big utilities more time to adapt their business models.
Chancellor Angela Merkel’s conservatives and the centre-left
Social Democrats (SPD) clinched a coalition deal early on
Wednesday that puts Germany on track to have a new government in
place by Christmas.
FRANKFURT/DUESSELDORF (Reuters) – German utility RWE (RWEG.DE: Quote, Profile, Research, Stock Buzz) said it would cut more jobs and trim capital spending as it joined peers in warning of a deep crisis in Europe’s energy industry that would keep a lid on growth in the foreseeable future.
RWE plans to cut about 6,750 jobs in the 2014-2016 period, bringing the total since 2011 to about 13,000, roughly 18 percent of its workforce at the time.
PARIS/FRANKFURT, Nov 13 (Reuters) – Germany’s E.ON and
French GDF Suez, two leading European utilities, posted lower
earnings, partly blaming government and EU policies for
prolonging an energy crisis that is leading to power plant
closures and asset writedowns.
Both companies said they would step up investment in
emerging markets with high growth and stable regulation to try
to counter the slowing market in western Europe, where economies
are struggling to emerge from recession.
FRANKFURT, Nov 12 (Reuters) – Underlying profits at EnBW
Energie Baden Wuerttemberg AG, Germany’s third-biggest
utility, have been hit by lower wholesale power prices and weak
demand for energy due to the euro zone’s economic downturn.
The company reported on Tuesday a 2.5 percent fall in its
adjusted earnings before interest, tax, depreciation and
amortisation (EBITDA) to 1.816 billion euros ($2.43 billion) in
the first nine months of the year and said it still expected a
5-10 percent fall for the full year.
FRANKFURT (Reuters) – Germany’s No. 2 utility, RWE (RWEG.DE: Quote, Profile, Research), is expected to cut more jobs than planned, squeeze more costs and sell more assets when it reports earnings this week due to weaker prospects in electricity generation as the country shifts toward renewable energy.
RWE is set to slash a further 3,400 jobs and increase the scope of its savings programme, dubbed “Neo”, to 800 million euros $1.07 billion (669 million pounds), up from at least half a billion, a source familiar with the matter said in September.