NATIONAL Power yesterday unveiled plans to invest #155m in two power station projects in China.
News of the deal came as annual results showed the growing importance of overseas business to the UK's biggest non-nuclear generator.
National Power is taking control of the 700-megawatt Changsha coal-fired plant to be built at a cost of #432m in Hunan province. It is also taking a 49% stake in the 250mw Shaowu plant being built at a cost of #80m in Fujian province.
The move marks a significant increase in the UK group's investment in China where it has already invested #43m and it takes total overseas investment to #1300m. Its overseas capacity rises to 10,000mw, compared with 16,000mw in the UK.
Profits before tax in the year to March 31 were #731m, up from #718m in the previous year.
However, before one-off profits and losses, underlying pre-tax profits fell from #740m to #720m as turnover dipped from #3500m to #3300m.
The group also faced a windfall tax bill of #266m.
Figures were lifted by a near- doubling of overseas profits, from #74m to #130m, almost nine times the corresponding figure two years ago.
As well as the Chinese projects, the performance was boosted by plants in Australia, Pakistan, the Czech Republic, Malaysia, Turkey and the US.
Sales in the UK fell, mainly because of the loss of power plants, as well as the effects of increasing competition from the new wave of power firms and the impact of the mild winter which cut demand for
electricity.
National Power said its commitment to the UK was reflected by it securing the contract to build a 1500mw power station at Staythorpe in Nottinghamshire.
Investors get a total dividend of 27p, up from 25p a year ago.
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