TAQA sees 90% profit fall

Profits at Abu Dhabi National Energy (Taqa) fell 90 per cent in the first quarter, reflecting lower oil and gas revenues and higher operating costs.

An increase in revenues from electricity and water generation partially offset the effects of lower oil prices but Taqa saw costs rise by 30 per cent, mainly because of investments in newly acquired North Sea assets and higher fuel costs at UAE power plants.

“Operating conditions have been tough, energy prices volatile and currency markets in a state of flux,” said Peter Barker-Homek, the chief executive. “We have been able to return a net profit even after newly acquired businesses and their operations have been consolidated.”