Annual report - HSE

2.15 Plans for the future
After fact growth of operations in 2012, our plans in the area of electricity trading remain
ambitious also for the next year; however, due to severe economic circumstances, issues
with obtaining funds and decreased ratings of some of our partners, we adjusted the
volume of operations in 2013 to new conditions, for effective risk management. In this
respect, we expect the 2013 sales volume to be smaller compared with 2012; nevertheless,
our goals continue to be ambitious.
The principle objectives that the HSE Group will be pursuing in the future in the area of
development of the European and Slovenian electricity markets are:
• maintain the position of the leading Slovenian electricity supplier on the electricity
wholesale market;
• generating the best possible revenue from trading through searching for synergy among
market conditions and possibilities of production adjustment;
• geographic expansion of trading activities;
• increasing presence in SE European markets; and
• launch of natural gas sales.
Trading opportunities and reaching of electricity trading and production synergies on
wholesale markets can only be exploited through presence in various national markets. In
order to increase trading volumes and the presence in foreign markets, we will continue
establishing subsidiaries, acquiring trading licences and strengthening our trade network.
The achievement of energy and climate objectives is also possible through joint international
projects, which represents a special challenge for HSE in the area of SE Europe where the
majority of countries are already in the process of EU accession. In 2013, Croatia will join
the EU, meaning that the producers of fossil fuels-based electricity on Croatian market will
be subject to restrictions regarding GHG limitation. HSE Group will remain active in the area
of SE Europe, to which we will appropriately adjust our investment policy, acquisition of
financial and other resources and the policy of entering into beneficial business partnerships.
A good understanding of conditions in SE Europe markets, capital power of HSE and
previous cooperation and cultural familiarity are the advantages that allow HSE to take
part in such joint projects. The construction and acquisition of new production capacities
and international trade in electricity contribute significantly to ensuring sustainable supply
of Slovenia, reducing its long-term dependence on imports and exposure to geopolitical
risks, as well as achieving solid operating results. Finally, through its activities in the region,
HSE keeps consolidating its market position and reputation as an important regional player.
Annual Report HSE 2012
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