CLP earnings down 89.1% to $924m YoY in 2022

Its business in Australia reported a $5.3b loss.

CLP’s strong performance in Hong Kong and Mainland China was offset by the operational challenges in Australia, resulting in an 89.1% year-on-year (YoY) decline in total earnings to reach $924m in 2022.

In a disclosure, CLP noted that its Hong Kong energy business saw a 3.2% YoY rise to $8.4b, whilst its earning in Mainland China rose 34.3% to $2.2b.

“Our nuclear investments reported robust performance, providing energy security to Hong Kong in addition to their contribution to the Group’s financial performance. In particular, generation at Yangjiang Nuclear Power Station reached a record high as electricity demand continued to grow,” said CEO Richard Lancaster. 

READ MORE: What happens to CLP Power as Hong Kong transitions to carbon neutrality

He added that the thermal assets in Mainland China saw higher earnings because of increased tariffs despite the effects of raised coal prices.

However, its loss in its generational portfolio in Australia expanded to $5.3b.

Lancaster said the company’s Australian business continued to be affected by unprecedented conditions.

Lancaster added that most of the generation in EnergyAustralia was contracted ahead of sharp increases in the wholesale electricity prices so they were sold at significantly lower prices than the elevated spot market rates.
There was also a shortfall in its coal-fired generation due to unplanned outages at the Yallourn Power Station and increases costs to settle forward contracts at Mount Piper Power Station.

Its Southeast Asia and Taiwan businesses were down by 93.6% YoY to $11m, whilst its India business dipped 12.7% to $193m.