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    Germany's Gasag Sees Sustainable Growth


The Berlin-based retailer is modernising in term of corporate structure and its energy offerings.

by: William Powell

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Natural Gas & LNG News, Europe, Carbon, Renewables, Gas to Power, Corporate, Financials, News By Country, Germany

Germany's Gasag Sees Sustainable Growth

German utility Gasag grew in all its business activities last year but without emitting more CO2, it said May 9. CEO Gerhard Holtmeier said that growth and CO2 savings are “not a contradiction for us. This applies both to sales as well as in the area of ​​infrastructure and the expansion of renewable energies. We have set ourselves the highest goal in our mission statement."

In 2018, its sales rose 8% to €1.2bn ($1.3bn) thanks to more gas throughput and sales of gas and mostly power, the latter up 26% in energy terms to 1.303 TWh from  1.036 TWh in 2017. Adjusted earnings before interest and tax rose slightly, to €105mn from €102mn in 2017.

The Berlin- and Brandenburg-based company is “actively promoting and helping shape a carbon-neutral future in the capital region," he said. "In 2019 we will continue to drive our growth in a sustainable way."

Gasag is also restructuring in its Gasag 2025 programme, and moving towards a culture with "flatter hierarchies and modern forms of co-operation."

He said the goal is "to make our company, which has been successful for 172 years, and its subsidiaries more dynamic for the challenges of the coming years and decades. In this way, the Gasag Group will continue to grow in a rapidly changing market and at the same time make important contributions to sustainable development. "

CFO Michael Kamsteeg said:"Supported by our transformation program Gasag 2025, we continue to work intensively on improving the competitiveness of the Gasag Group. We saw a slight increase in our sustainable adjusted earnings level in 2018. The net assets and financial position are also improved. We want to continue along this path."

The gas distribution business was stable while the power business grew. It has 780,000 customers, last year adding 40,000 green electricity customers.