German utility Uniper has sold sizeable quantities of its future hydropower output as part of its hedging strategy, the company said in a presentation for a call with analysts on Tuesday.<\/p>\n
Uniper has sold 80% of its German hydroelectric output for 2024 at an average price of 25 euros ($26.52) per megawatt hour (MWh) and 50% of the output in 2025 at an average of 136 euros\/MWh, it said on release of its nine-months financial report.<\/p>\n
By comparison, the wholesale benchmark price for round-the-clock German power from all generation sources in 2024 closed at 124.1 euros on Monday, and 2025 at 116.65 euros, LSEG data showed.<\/p>\n
The discrepancies come from pricier fuel elements in the overall wholesale level, that includes gas-generated power, and hydropower market conditions that are partly subject to national support schemes and hard to predict weather patterns.<\/p>\n
Producers use hedging to reduce the impact of price volatility and to lock in forward production prices considered favourable at a certain point in time.<\/p>\n
The wholesale market, for its part, uses the rates to track price trends and assess a utility’s physical asset position.<\/p>\n
Uniper has sold 95% of Germany’s 2023 hydro output in the first nine months, achieving sales prices of an average 24 euros, the presentation also showed.<\/p>\n
Uniper also operates big coal, gas-fired, and nuclear plants as well as wind and solar power generation.<\/p>\n
Regarding Nordic region prices, Uniper said it sold 50% of nuclear and hydropower in the region for 2024 and 15% of that output for 2025 at averages of 45 euros and 47 euros respectively, having achieved 41 euros for 85% of 2023 Nordic region output up to end-Sept.<\/p>\n
The company swung to a net profit of 9.77 billion euro in the reporting period, boosted by falling gas prices that positively impacted future provisions, freeing itself of major losses that triggered a government rescue last year.<\/p>\n","protected":false},"excerpt":{"rendered":"
German utility Uniper has sold sizeable quantities of its future hydropower output as part of its hedging strategy, the company said in a presentation for a call with analysts on Tuesday. Uniper has sold 80% of its German hydroelectric output for 2024 at an average price of 25 euros ($26.52) per megawatt hour (MWh) and 50% of the output in 2025 at an average of 136 euros\/MWh, it said on release of its nine-months financial report. By comparison, the wholesale benchmark price for round-the-clock German power from all generation sources in 2024 closed at 124.1 euros on Monday, and 2025 […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[132],"tags":[],"class_list":["post-613911","post","type-post","status-publish","format-standard","hentry","category-power"],"acf":[],"_links":{"self":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/613911","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/comments?post=613911"}],"version-history":[{"count":0,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/613911\/revisions"}],"wp:attachment":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/media?parent=613911"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/categories?post=613911"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/tags?post=613911"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}