UK's SSE sees renewable energy output surge 60%
SSE upbeat over new Labour government priorities that are said to fit with group's own net zero acceleration plans
UK utility SSE reported a 60% increase in output of energy from its renewables portfolio compared with last year, reflecting a return to "more normalised" weather conditions as well as year-on-year capacity increases.
In a trading statement released today (Thursday), SSE provided operational performance data ahead of its own annual general meeting of shareholders.
Output of renewables totalled 2,596GWh in the three months to 30 June, its financial Q1, compared with 1,625GWh in the same period last year. Offshore wind leapt to 874GWh, against 496GWh in the same period of 2023.
First quarter performance, based on a mix of mix of regulated and market-based businesses, was described as in line with expectations,
SSE said its financial expectations for individual business units remained unchanged from a May report.
The company said it had achieved delivery milestones on a number of infrastructure projects in the first quarter of 2024. These included:
- First power generated at Scotland's Viking onshore wind farm ahead of full energisation of both the wind farm and SSEN Transmission’s HVDC link to the mainland expected in the coming weeks.
- Final turbine installed on the Yellow River onshore wind farm, with project on track for commercial operations early in 2025.
- Construction progressing on Dogger Bank A offshore wind farm with 27 turbines either fully or partly installed and the project continues to target full commercial operations during the first half of 2025.
- Enabling works continuing at pace on SSEN Transmission’s Eastern Green Link 2 between Peterhead and Drax and HVDC cable supply contracts have been agreed with NKT on projects in Aberdeenshire and the Western Isles.
The project, in which SSE has a 50% stake, could be commissioned by the end of the decade, the company stated, subject to reaching a final investment decision.
“We have made a solid start to the financial year as we convert our premium project pipeline into high-quality sustainable earnings," said SSE's Chief Financial Officer, Barry O’Regan.
Labour government
O'Regan said SSE also remains on track to meet 2027 growth targets and has two-thirds of revenue either regulated or already backed by existing government policy.
“The outlook is supported by the enhanced clean power target of the new UK Government which recognises the essential need for investment in renewables, flexible power and electricity networks – areas where SSE has unrivalled capability and significant growth potential,” O'Regan added.
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