November the 3rd, 2022 - The Croatian Dalekovod company is set to engage in a new job for a large Norwegian client - Statnett, which chose Dalekovod's offer during a tender as the best.
As Poslovni Dnevnik/Suzana Varosanec writes, the latest job that Dalekovod has got its hands on, with the proviso that the contract will be concluded after the final confirmation, concerns the construction of a new 420 kV transmission line over in Norway, more specifically on the Aurland - Sogndal section, spanning a total length of 41 kilometres.
After an evaluation process in accordance with the tender criteria, the Norwegian client Statnett chose the Croatian Dalekovod company's offer, and the intention to conclude a contract was quickly expressed. At this moment in time, the appeal period is still running, and if there are no surprises or bumps in the road, Dalekovod's Management can peacefully wait for the conclusion of this important contract on the execution of works for this well-known partner.
They are just finishing the construction project of a new 420 kV transmission line between the substations Skillemoen and Skaidi for the aforementioned Norwegian client, which spans a total length of 89 kilometres and is specific given its geographical position in the far north of Norway. Because of that, it was built in arctic weather conditions.
Approximately 70 to 80 percent of the Croatian Dalekovod company's business revenues are generated on foreign markets. About 80% of that is realised in Scandinavia, which means that on an annual level, 50% of Dalekovod's income is generated by jobs carried out over o the Scandinavian market.
Scandinavia is therefore an important stronghold for this Croatian company, and there is still a significant investment cycle on which Dalekovod is building its plans, although apparently at a reduced intensity. The electricity transmission company Statnett is otherwise the Norwegian counterpart of Croatia's very own HEP.
The Croatian Dalekovod company's cooperation with Statnett started way back in 2007 and then continued with a series of projects in which Norway, due to its geographical shape and terrain configuration, has been successfully connecting the north and the south with a new distribution network for the past fifteen years.
As many as 350 Dalekovod employees have worked there on certain projects, sometimes under extremely demanding conditions. Similarly, only in later dynamics, cooperation was achieved on energy projects in nearby Sweden. Dalekovod's latest contracts concern two Swedish investors, Elevio AB, the owner of the distribution network, and Svenska Kraftnät, the national energy company. The management is also still trying to position the company on the demanding German market, and Dalekovod established a branch in Germany again this year. It is estimated that by 2030, the largest investments in energy will take place there.
Business recovery
The recorded 36% drop in the Group's revenues in the first nine months of 2022 compared to the same period in 2021 (when revenues amounted to 705.7 million kuna) was mostly influenced by the stoppage of work on two projects in Ukraine for obvious reasons, and less activity in Scandinavian countries.
Business recovery was noticeable in the third quarter of 2022, in which 264 million kuna of revenue was realised with a net profit of 3.6 million kuna. Dalekovod's management expects these positive trends to continue.
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