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[July 27, 2014]
Market share of gas utility SPP drops to 63.22% in 2013 [IntelliNews - Weekly Reports]
(IntelliNews - Weekly Reports Via Acquire Media NewsEdge) The market share of dominant gas utility Slovensky Plynarensky Priemysel (SPP) dropped by 6 percentage points to 63.22% last year, its lowest figure ever, Hospodarske Noviny daily reported quoting data from the Slovak Utility Networks Regulatory Office (URSO).
The drop in the number of clients came as a result of the high prices agreed with Russia's Gazprom in a long-term contract and considerable operating costs. On the other hand, SPP's competitors have fewer employees and buy gas at more advantageous prices, the daily said.
Slovakia wrapped up the acquisition of the remaining 49% stake it did not already own in SPP in June. Slovak prime minister Robert Fico said at the time that the advantage of the full ownership is that the state can have full control over gas prices for households and small enterprises. Prior to the acquisition, the 49% stake and the management control was held by Czech energy group Energeticky a Prumyslovy Holding (EPH).
SPP's debt amounts to EUR 120mn, the daily said. However, economy minister Pavol Pavlis said last week he plans to make the company profitable in three or four years. (c) 2014 Emerging Markets Direct Media Holdings LLC Provided by SyndiGate Media Inc. (Syndigate.info).
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