Energy big SSE mentioned its renewable property produced 32% much less energy than anticipated between April 1 and Sept. 22 because of traditionally dry and low-wind conditions. This equates to 11% of its full-year output goal.
“This shortfall was driven by unfavourable weather conditions over the summer, which was one of the least windy across most of the UK and Ireland and one of the driest in SSE’s Hydro catchment areas in the last seventy years,” the Perth, Scotland-based firm mentioned Wednesday in an announcement.
Low-wind output over the summer season has contributed to the European energy crunch, which despatched energy costs to document highs in current days. Different components embrace a colder-than-expected winter final 12 months, manufacturing cuts in the course of the pandemic, low imports from Russia, excessive carbon costs and rising demand from Asia for liquefied pure fuel.
SSE isn’t the primary renewable energy producer to warn in regards to the monetary impacts from the summer season’s gradual wind speeds.
In August, German utility RWE reported “much lower” wind volumes throughout its Northern and Central Europe portfolio for the primary half of 2021.
Danish energy firm Orsted made related feedback, saying “earnings from our offshore and onshore wind farms in operation were DKK 0.3 billion lower compared to the same period last year.”
“The increased generation capacity from new wind farms in operation was more than offset by significantly lower wind speeds across our portfolio,” the corporate mentioned in August, whereas reiterating it expects to fulfill its full-year monetary targets.
Extra particularly, Orsted mentioned that in the course of the second quarter, wind speeds averaged 7.8 meters per second, which was “significantly lower” than regular speeds of 8.6 meters per second.
Nonetheless, SSE’s administration on Wednesday emphasised that these operational points are “time limited.” Administration famous that efficiency over current months was additionally impacted by hedging necessities in risky markets.
Regardless of the summer season slowdown, SSE mentioned it “remains confident” about delivering on its monetary objectives for the total 12 months. The corporate additionally introduced an growth into the Japanese offshore wind market.
— CNBC’s Anmar Frangoul contributed reporting.
