14th Nov 2013 07:29
WINDSOR (Alliance News) - Centrica PLC (CNA.L), the parent company of British Gas, Thursday in its interim management statement said that the average residential gas consumption for the first ten months was 4% higher than last year, as a result of prolonged cold weather in the first half of the year. Citing challenging market conditions, significantly in business energy supply in UK and US, in UK gas-fired power generation and in UK gas storage, the company expects to report adjusted earnings per share for the year, on par with 2012.
Due to the decision not to proceed with the Baird offshore gas storage project and to put the onshore project at Caythorpe on hold, as earlier indicated, the company expect to recognize impairments and provisions totaling about 240 million pounds as an exceptional cost in 2013.
Residential energy accounts on supply at the end of October was 15.7 million, almost unchanged since the half year. The company expects residential energy supply margin to be slightly lower than last year, assuming normal weather conditions for the remainder of the year. As previously announced, the company said its domestic gas and electricity tariffs would increase by 8.4% and 10.4% respectively, effective from 23 November.
The group's interest charge is expected to be around 230 million pounds this year, which takes into account the raising of $1.35 billion in the US bond market in October.
Copyright RTT News/dpa-AFX
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