February 26, 2024

EnergyAustralia today confirmed an improved operational and financial performance in 2023, delivering $444 million in EBITDAF in the year ending 31 December 2023, following a $128 million loss in FY2022.

EnergyAustralia’s financial results were announced in Hong Kong today as part of CLP Holdings’ Annual Results for the 2023 financial year.

EnergyAustralia Managing Director Mark Collette said: “After a difficult 2022, we produced a marked improvement in our operational and financial performance in 2023. This is good progress in a rapidly changing energy market.

“Our improving performance is building a stronger and more resilient EnergyAustralia, enabling us to accelerate our participation in the clean energy transformation. “Our improved operational performance was a highlight. Generation availability at Yallourn increased from 67% in 2022 to 72% in 2023, supported by year one of a $400 million twoyear maintenance program.

“At Mt Piper, our new multi-mine coal supply contract allowed the security of coal supplies to improve. And our investment in more flexible generation positioned us to manage energy market volatility better.

“Our improved generation performance helps our customers with more supply supporting downward pressure on electricity price growth.

“The retail environment remained challenging, with the retail customer segment impacted by higher energy costs and intense competition. Despite these pressures, we maintained the number of customer accounts which were broadly stable at 2.442 million. Ongoing margin pressure was the primary driver of a $1.1 billion goodwill impairment in the Customer Business Unit, as announced on 30 January.

“We know cost of living pressures are acute, and EnergyAustralia is supporting our customers through very challenging times. In 2023 we engaged with over 220,000 customers experiencing payment difficulties, a 175% increase on 2022. We increased this support through our dedicated EnergyAssist team as well as providing over $30 million to support customers through appliance swaps, energy audits, fixture replacements, debt waivers, payment plans, and payment matching.

“We are also investing to strengthen our digital foundations in Customer to provide a better customer experience and a more productive business.”

EnergyAustralia 2023 Financial Performance - Key Points

  •  EBITDAF of $444 million ($128 million EBITDAF loss in FY2022) with improved generation performance partially offset by higher energy costs and ongoing margin pressure.
  •  Easing market conditions and actions to rebalance generation and price risk saw a significant improvement in mark-to-market positions of forward electricity sale contracts reaching $412 million at 31 December 2023, compared to negative $541 million at 31 December 2022.
  •  Operating Loss narrowed to $35 million before fair value movements compared to an Operating Loss of $430 million in FY2022.

Mr Collette added: “EnergyAustralia’s improved financial performance is helping to accelerate our participation in the energy transition and our plan to achieve Net Zero by 2050 across Scopes 1 and 2 emissions

“We have also been investing in and supporting renewables firming and renewable assets to shape EnergyAustralia’s future and simplify the energy transition for our customers.

“We are in commissioning for Tallawarra B, our 320MW gas peaking power station. We expect to reach financial close and commence construction of our Wooreen Battery Project this year, and we are continuing planning for battery projects at Mt Piper and Hallett and pumped hydro at Lake Lyell.

“Other projects we are supporting are also progressing well. Edify Energy’s Riverina and Darlington Point batteries came online in September 2023, and Genex’s 250MW Kidston pumped hydro project in Queensland is making good progress.

“Importantly, we are also focussed on expanding customer energy resources including new initiatives to support retail and business customers to benefit from batteries if they have existing solar.

“While the scale and complexity of the clean energy transformation presents many challenges, the momentum we established in 2023 has EnergyAustralia well positioned to accelerate our customer’s energy transition and help Australia navigate the transition.”

For media information contact:

Paul Edwards - / 0434-070101

Jacinta Smith - / 0430-755 537