North Macedonia: TE-TO Skopje profits 20m euros in 2021

, SEE Energy News

Despite the high and volatile price of natural gas, Macedonian electricity producer TE-TO Skopje sold electricity worth 132m euros last year, with a profit of over 20m euros.

TE-TO is the most modern Macedonian electricity producer with an installed capacity of 220 MW. For years, its only drawback was the high market price of fuel – natural gas. But since the beginning of 2021, things have changed, and the shortage on the supply side has made gas competitive in relation to the classic production sources in the region – coal, water and uranium.

The change has been noticeable since 2020, and last year this combined power plant was particularly competitive after electricity prices began to rise unstoppably at the European level, due to extremely unstable prices of (Russian) natural gas.

This, combined with the extremely poor production performance of the state-owned company ESM and the lack of coal in Serbia’s largest mine, Kolubara, along with the desperate hydrological situation in the region, has made electricity a priceless product.

A special role is played by analysts who provided natural gas for the needs of TE-TO on time, through futures contracts.

Thus, according to official data available from the Central Registry database, TE-TO Skopje made a profit of 20.6 million euros last year, based on revenues from the sale of electricity of 132.5 million euros.

They increased by 42%, while profits increased by 70%.