2013 Consolidated Segmental Statement
The energy market regulator, Ofgem, requires the six major energy suppliers in the UK to publish a Consolidated Segmental Statement (‘CSS’), summarising the revenues, costs and profits or losses of their generation and supply businesses. The RWE - UK Generation and Supply CSS for 2013 covers the twelve month period ending on 31st December 2013.
The CSS sets out the revenues, costs and profit/losses for each segment in a specific template, to ensure that the performance of each energy company can be easily compared. The CSS includes the results of all RWE entities in the UK that held an electricity generation, electricity supply or gas supply licence, and engaged in the activity of electricity generation or gas/electricity supply during 2013. This means the results from certain activities are omitted from the CSS – for example, the UK Generation segment operates a portfolio of combined heat and power plant (CHP), which do not require a generation licence from Ofgem thus its results are therefore excluded from the CSS: likewise the activities of the Energy Services business in the Supply segment, which performs activities such as boiler installation and maintenance, are also exluded. Ofgem refer to these as "out of scope" activities. In addition Ofgem has also published detailed guidelines setting out the basis on which specific items should be included or excluded from the CSS.
The consequence of these and other adjustments necessary to comply with the Ofgem guidelines, means that the Earnings Before Interest and Tax contained in our CSS is not directly comparable with the segmental operating result published in the 2013 RWE AG Annual Report. To help explain the differences between the two, a detailed reconciliation is contained on page 15 of the CSS, which clearly sets out what the variance is, and why it arises.Download the 2013 Consolidated Segmental Statement (PDF, 146KB)