Hydro Tasmania has released its results for the 2015/16 financial year, revealing a $65.4 million loss before tax.
The loss has been attributed to the energy supply challenge experienced by the record in-flows in 2015 and the Basslink outage which forced gas and diesel supplementary power generation for 176 days.
Previous estimates put the loss to be between $140 million and $180 million, including savings offsets from not using Basslink for almost half a year.
Hydro Tasmania has experienced good inflows since and it is expected the impact of the energy crisis will be lower than previously anticipated. Some of that loss will be recorded in the current financial year.
Chairman Grant Every-Burns said the company remains financially strong.
“The 2015/16 year was very challenging by any measure,” he said.
“The cost of the energy supply plan was substantial, but certainly justified for the purpose of protecting Tasmania’s energy supply and economy.
“By the end of this financial year, Hydro Tasmania expects to break even or post a small profit and reduce net debt from $827 million to $772 million.
“There will be no complacancy. We have weathered an unprecedented and extremely rare challenge and are heading in the right direction.”
Hydro Tasmania’s annual report was tabled in the Tasmanian Parliament today.