According to the President of Endesa Chile, Jorge Rosenblut:
“HIDROAYSÉN WILL BE A RELEVANT CONTRIBUTION FOR IMPROVING THE STRUCTURAL SECURITY OF THE CHILEAN ELECTRIC POWER SYSTEM”
- The executive emphasized that as well as giving stability to the electric energy system, HidroAysén will contribute to decreasing CO2 emissions, thereby helping the efforts that the country will make to combat the effects of Climate Change.
- Joaquín Galindo, the company’s Chief Executive Officer, indicated that “this undertaking is seen by Endesa Chile as a project for the development of a national renewable and clean natural resource which will substantially boost the future development of Region XI”.
- The Ordinary Annual Shareholder’s Meeting elected the Board of Directors who will perform for the next three years. The following persons were chosen: Jorge Rosenblut, Paolo Bondi, Francesco Buresti, José María Calvo-Sotelo, Luis de Guindos, Jaime Bauzá, Vittorio Corbo, Jaime Estévez and Felipe Lamarca.
- At the same time, the assembly agreed to distribute the balance of the definitive dividend proposed by the Company’s Board of Directors, corresponding to the exercise of the fiscal year ending on December 31, 2009. The amount of said balance will be $ 17.53050 per share.
In the framework of Endesa Chile’s Ordinary Annual Shareholder’s Meeting, the president of the Enersis Group’s subsidiary power generation company, Jorge Rosenblut, ensured that the implementation of the HidroAysén Project will be a substantial contribution in achieving a greater structural security of the Chilean electric power system, which, due to the earthquake last February 27, ended up in a fragile condition. “The project will be located in a zone far away from the Central Interconnected System (SIC), which has, statistically speaking, less intense seismic activity than the rest of the country. An additional advantage can be added to this: When HidroAysén enters into operation, it will inject more than 2,700 MW of electric power through a transmission line parallel to the SIC, and through a substation different than the three main ones in existence”.
In this way, he ensured that this 2,000 km power line that will go from Aysén to the Metropolitan Region will be an important backup to the main transmission system. “In summary, HidroAysén will be a relevant contribution to improve the security of Chile’s electric power system”.
Meanwhile, Endesa Chile’s CEO, Joaquín Galindo, explained that “this undertaking is seen by Endesa Chile as a project for the development of a national renewable and clean natural resource, such as water, and will substantially boost the future development of Region XI, in a sustainable manner, while contributing to the structural security of the electric power system”.
Rosenblut added that HidroAysén will also contribute to decreasing CO2 emissions and, in this way, help the country’s efforts in combating the effects of Global warming.
On this point he emphasized that HidroAysén, upon entering into full operation, “will reduce greenhouse gas emissions into the atmosphere by about 25% of the total currently emitted by the country. This effort is equivalent to replacing seven coal-fired thermoelectric plants”. He added that the project will only flood 0.05% of the total territory of the Region of Aysén, highlighting its efficiency in terms of design. “For example, the total surface area of the five HidroAysén reservoirs, will only reach 70% of the surface area flooded by our Rapel Plant. And in terms of production, HidroAysén will generate seven times more energy than the aforementioned Rapel Plant”.
In regard to the results obtained last year, Rosenblut stressed that the net income of $627,053 million, equivalent to 44.8% growth in relation to 2008, is mainly due to “an adequate commercial policy in the markets where we operate, and because we had a balanced electricity generation mix ”.
In this regard, the company CEO, Joaquín Galindo, explained that the results reached by Endesa Chile during 2009 “are the best results in the company’s history”.
He added that Endesa Chile’s consolidated EBITDA, which measures the cash flow of the business, amounted to “$1.2 billion or its equivalent in US dollars of $2,246,000,000, which is equal to an approximate 20% increase as compared to the previous year”, highlighting, at the same time, that the physical sales of electric energy grew by 4% in 2009, signifying nearly 60,000 GW/h. “Out of these, 66% were sold to customers with contracts and 34% to the spot market. This is the result of a commercial policy specially designed for the generation park in each country, where the hydrological risks are evaluated adequately, as well as the demand for electricity, fuel prices, changes in regulations and exchange rate, limiting the maximum expected risk profile, so as to ensure the compliance of our contractual commitments and the cash flows of our company, even in adverse scenarios of rainfall or fuel prices”.
Election of the Board of Directors and Dividend
On the other hand, the Ordinary Annual Shareholder’s Meeting chose the directors who will perform for the next three years, electing the following persons Jorge Rosenblut, Paolo Bondi, Francesco Buresti, José María Calvo-Sotelo, Luis de Guindos, Jaime Bauzá, Vittorio Corbo, Jaime Estévez and Felipe Lamarca.
The assembly also agreed to distribute the balance of the definitive dividend proposed by the company’s Board of Directors, corresponding to the exercise of the fiscal year ending on December 31, 2009. The amount of said balance will be $ 17.53050 per share.
The Company is controlled by Enersis, a subsidiary of Endesa, the leading private electricity multinational in Latin America and third in Europe by installed capacity.
Endesa is controlled in turn by the ENEL Group, the world energy leader with a presence in 23 countries with over 96,000 MW of installed capacity and 60.8 million customers in markets for electricity and gas.