Taqa swings to loss in Q2 as pandemic impacts global energy market

Taqa finalised a deal with Abu Dhabi Power Corporation to create one of the largest utility companies in Europe, the Middle East and Africa with Dh200bn of assets. Ravindranath K / The National

Abu Dhabi National Energy Company, also known as Taqa, swung to a Dh205 million net loss in the second quarter, from a net profit of Dh208m for the same period last year, due to the adverse impact of the pandemic on global energy markets.

Gross revenues fell 28 per cent to Dh3.3 billion for the quarter ending June 30, while realised prices for oil and gas dropped 62 per cent compared with the same period last year, Taqa said in a statement to the Abu Dhabi Securities Exchange, where its shares trade.

Revenue from the company’s utilities business in the UAE remained unchanged, while the international segment was impacted due to lower demand.

"As we look ahead, Taqa's new transmission and distribution businesses will complement its expanded generation business, supporting efficient delivery of power and water to those we serve in Abu Dhabi and beyond,” the company’s new group chief executive Jasim Thabet said.

Taqa finalised a deal with Abu Dhabi Power Corporation last month to create one of the largest utility companies in Europe, the Middle East and Africa with Dh200bn of assets.

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