21 Mar Operational Performance
Installed capacity increased 770 MW including 200 MW in a new country: Mexico.
EDPR continues to deliver solid selective growth
With a top quality portfolio, EDPR has a strong track record and proven capability to execute superior projects and deliver on targets. The installed asset base of 10.4 GW is not only young, on average 6 years, it is also mostly certified in terms of environmental and health and safety standards. Since 2008, EDPR has more than doubled its installed capacity by adding 6 GW, resulting in a total installed capacity of 10,408 MW (EBITDA + Net Equity). As of year-end 2016, EDPR had installed 5,163 MW in Europe, 5,041 MW in North America and 204 MW in Brazil.
2016 installations concentrated in North America
The largest growth in installed capacity occurred due to the completion of 629 MW in North America. This includes EDPR’s first 200 MW in Mexico. All of the MW had previously secured PPA contracts, thus providing long-term stability and visibility on the revenue stream.
In Europe 72 MW were installed, 44 MW in Italy, 24 MW in France and 4 MW in Portugal. The 22 net MW added in Europe includes the deconsolidation (in the 1Q16) of 50 MW, following the completion of the cross sale of two wind farms in Poland, by which EDPR sold its 60% share in a 50 MW wind farm and bought the remaining 35% share in a 54 MW wind farm (already fully accounted as EBITDA MW). Finally, 2016 saw the completion of EDPR’s largest to date project in Brazil, Baixa do Feijão wind farm (120 MW).
14% Increase in YoY generation
EDPR generated 24.5 TWh during 2016. When adding the over 2 TWh produced from our equity projects, enough clean energy to serve 53% of the electricity demand of Portugal.
The 14% year-on-year increase in the electricity output benefited from the capacity additions over the last 12 months and ENEOP consolidation.
EDPR achieved a 30% load factor during 2016 (vs 29% in 2015) reflecting the benefits of a balanced portfolio across different geographies.
EDPR also achieved a stellar 98% availability. The company continues to leverage on its competitive advantages to maximize wind farm output and on its diversified portfolio to minimize the wind volatility risk.
Premium performance and diversified portfolio delivers balanced output
EDPR’s operations in North America were the main driver for the electricity production growth in 2016, increasing by +13% YoY to 12.6 TWh and represented 51% of the total output. This performance was driven by EDPR’s unique ability to capture the wind resource available along with the contribution from new additions. EDPR achieved a 33% load factor in North America, +1pp vs. 2015.
Production growth in Europe increased 12% vs 2015 to 11.2 TWh mainly supported by ENEOP consolidation (+1.0 TWh vs 2015) and by 2% output increase in Spain and 1% in rest of Europe with lower wind resource being offset by the higher installed capacity.
EDPR achieved a 28% load factor in Portugal (+1pp) reflecting an above average wind resource. In the period, EDPR delivered a load factor of 26% in Spain, once again a solid premium over the Spanish market average load factor (+2pp).
The Rest of Europe operations delivered a 25% load factor (27% in 2015) and posted higher year on year generation (+1%). Higher production in Italy (+49 GWh) and Romania (+16 GWh) was partially offset by weaker performances in Belgium (-24 GWh) and France (-8 GWh), with weaker wind resource offsetting capacity additions. Poland remained stable year on year with the new capacity offsetting lower load factor.
248 MW of 2017 additions already under construction consolidating a young fleet in continuous growth
By the end of 2016, EDPR had 248 MW under construction all related to projects to be delivered in 2017 with long term secured remuneration.
In US, EDPR started the works of the 100 MW Meadow Lake V project in Indiana. In Brazil EDPR has 127 MW under construction related to the JAU&Aventura projects after successfully bidding in the A5 auction for 20 year PPAs.
Finally in Europe, 21 MW were under construction, of which 18 MW in France and 3 MW in Portugal.
As a result of continuous growth effort, EDPR also has a young portfolio with an average operating age of 7 years, with an estimate of over 18 years of useful life remaining to be captured.
In Europe, EDPR’s portfolio had an average age of 7 years, in North America 6 years, and in Brazil 3 years.