Multi-million kronor hit threatens Vattenfall

In the past three years state company Vattenfall has declared total losses of SKr 52 billion, mainly due to write-downs in the value of power plants, which have dramatically lost value owing to falling electricity prices.

A sensitivity analysis carried out by Vattenfall shows the threat of new write-downs is not over. Even slight falls in the price of electricity could trigger significant hits to the results. A future fall of 5% in the price of electricity with no change to the cost of fuel and emission rights would lead to a reduction in the value of fossil-based assets in Germany and the Netherlands of between 15 and 27%, the analysis shows.