Energy Group companies created value while maintaining sector leadership in every segment of our portfolio. Effective investment solutions and financial models in dynamic market conditions made this possible alongside with good governance, efficiency and operational excellence.
Energy Group companies have solidified their industry leadership by recording strong operational and financial achievements in their respective fields of activity.
SUSTAINABLE GROWTH IN RENEWABLE ENERGY
Successfully managing its current portfolio, Enerjisa Üretim was awarded the 500 MW YEKA Wind Power Plant tender in 2019 in line with its sustainable growth targets.
A critical year for the Turkish energy sector
2019 was an extraordinary year for the Turkish energy sector. With a high potential within the framework of energy trends such as distributed production, digitalization, low carbon and electrification as well as global trends such as economic growth, industrialization, prolonged average life, rapid urbanization and climate, the Turkish energy sector left behind a year in which the grid continued to grow by 3% with new customers, despite pauses in economic growth and energy demand. With the effect of high hydrology, while the share of hydroelectric power plants increased in order to meet the electricity demand, market prices started to fall with the decrease in the weight and margins of natural gas power plants. Infrastructural investments continued and liberalization extended with the changing tariffs and the last resource tariff limit falling to 7 GWh.
Sabancı Energy Group companies, leader of the Turkish energy sector
Sabancı Energy Group Companies manage these two business lines, which have very different dynamics but create value in integration, by focusing on operational excellence and effective risk management to create value for all stakeholders.
Successful performance and strong growth by Energy Group companies
Enerjisa Group companies performed quite successfully in the challenging year 2019.
As the largest electric production company of the private sector, Enerjisa Üretim’s balanced and diversified production portfolio in terms of energy sources is one of the most important competitive advantages. The operational profitability of the company possessing 56% domestic and renewable energy resources in its portfolio maintained underprice assurance through the YEKDEM mechanism and dollar-based bilateral agreements. Enerjisa Üretim has been the highest performing company within Sabancı Group with his success in energy trade as well as its high availability. Combining operational excellence and trade capabilities in 2019 with high hydrology and price volatility, Enerjisa Üretim has achieved its highest ever cash flow and profitability. Enerjisa Üretim has produced 4.2 TWh electricity with 95% availability in hydroelectric, 672 GWh with 98% availability in wind, 2.7 TWh with 85% availability in Tufanbeyli while total demand reached 300 TWh. Integrating its success in operational excellence with trade pricing and ancillary services, it has generated an income which exceeded all expectations. Additionally, with successful risk and finance management, strong cash generation has been achieved and the net debt level has been decreased significantly.
Managing its current portfolio successfully, Enerjisa Üretim has won the 500 MW YEKA wind power plant tender in 2019 in line with its sustainable growth targets. Under US dollar-based and long-term purchase guarantees, the growth target of the portfolio in the field of renewable energy has been solidified. By transforming trade experience in order to create value in foreign markets and to seize the opportunities that may arise in the European market, necessary steps have been taken for the establishment of Enerjisa Europe.
Energy Group expands its growth focus on regulated asset base and renewable energy with the distributed production, smart networks, e-mobility, energy efficiency services and storage solutions.
Leader practices in human resources, technology and digitalization in energy
Energy Group companies have continued their improvement in human capital and technology as well. As the programs developed for talent improvement continue, numerous steps have been taken for the performance culture and digital management of human resources. Likewise, a number of practices have been implemented in technology and digitalization areas in the sector. In addition to the digitalization projects regarding operational excellence and process developments, projects on data analytics, cloud technologies, operational technologies were carried out with internal and external sponsorships. With 10 projects carried out in the field of advanced data analytics, over TL 25 million positive financial impact has been achieved. Considering technology as an opportunity for the development of the business, Energy Group companies also carried out many projects within the Sabancı Group to create synergy.
Data-based decision making with Data Analytics methods
Over 10 analytical projects have been actualized such as the “Self Service Analytical Platform” project aiming to contribute to data democratization which has been awarded the winner prize in the Analytical and Big Data category at IDC 2019 - Energy Summit, a project for early detection of defective gauges and proactive replacements/maintenances, theft and illegal usage project aimed at detecting the use of illegal energy and optimizing work orders, duplicate call analysis project that aims to increase call center efficiency and 10% increase has been achieved in daily work orders and 59% increase has been achieved in successful completion rates.
In addition to all these, Enerjisa Enerji has achieved a 40% improvement in critical work accidents since the beginning of 2019 after the introduction of the Video Monitoring System, which was implemented for the first time in the sector.
New generation and technological energy production
With the vision of “new generation energy production” in 2019, Enerjisa Üretim has commenced many projects and initiatives such as end processing in cloud technologies, virtual intelligence in advanced data analytics and digital twin applications. It has increased its technology intensity with numerous digitalization projects in different fields such as Nikola for cash flow management, Box for financial impacts of currency rate fluctuations, Co-Pilot for the monitoring of field equipment, Plant-check for operational controls, Fark@ for mobile OHS management, PPA for the digitalization of plant operations, Stok Sahası for stock management, El-Dispatcho for trade optimization and Advanced Monitoring for planned maintenances.
Successful implementation in corporate sustainability and governance
Completing all environmental permits of its portfolio, Enerjisa Üretim prevented 3.8 million tons of CO2 emission thanks to its renewable power plants. As one of the largest investors in the area of green energy of Turkey, it will continue its leading role with its growth in renewable energy area.
2020 priorities and sectorial strategy
Mega trends as well as technological investments and solutions in the energy business and Turkey’s leading dynamics such as growth, urbanization, young population constitute important areas of opportunity which facilitate the energy sector to intersect with various industries, smart cities and transportation.
In 2020, the new implementation period is expected to create a framework to encourage investments, efficiency, quality and innovation, and enable many new opportunities. The new implementation period holds great importance in terms of developing a regulatory framework that will spur investments, boost efficiency and raise quality to achieve a reliable and cost-effective network infrastructure in Turkey. To determine implementation period metrics for the country, sector and consumers in the best way possible, Energy Group companies contribute to the process by establishing close contact with regulatory authorities and public institutions.
Energy Group companies will continue their leading roles in 2020 by supporting sector growth and development toward higher efficiency, competition and greater institutionalization. Sabancı Group aims to maintain its high growth in energy business by providing value to all stakeholders while supporting the growth potential and strategic importance of the sector together with its energy partner E.ON.
Web site: https://www.enerjisauretim.com.tr/en