BKW makes a value adjustment for Wilhelmshaven coal power plant and focuses on flexible energy production*

* Ad hoc announcement pursuant to Art. 53 LR

BKW expects the Wilhelmshaven coal power plant (DE) to record lower electricity production in the future. In combination with decreasing volatilities in electricity prices, revenues from the operation of the power plant are expected to decline accordingly. These developments resulted in a value adjustment of around CHF 110 million on BKW’s 33% stake. The associated increase in the provision is recognized in profit and loss but has no impact on cash and is not related to an ongoing sale process or the decommissioning of the power plant. Excluding this one-off effect, the operating profit (EBIT) last year, at CHF 650 to 670 million, is within the original guidance of CHF 650 to 750 million. BKW will present details of its 2025 results in its annual report on 11 March 2026.

Switching from coal to hydrogen-capable gas-fired power plants
As part of “Solutions 2030” and the sustainability goals announced in it, BKW is planning to make a strategic fuel switch from coal to less CO₂-intensive electricity production. As part of this strategy, BKW is aiming to acquire a 40% stake in the planned hydrogen-capable (H₂-ready) gas power plant at the Hamm site (North Rhine-Westphalia). The project is being developed by BKW in collaboration with the German public utility company Trianel. The site offers ideal conditions: sufficient space, existing grid and gas connections and a well-developed infrastructure.

“The accelerated phase-out of coal and the massive expansion of renewable energies make hydrogen-capable power plants indispensable for ensuring security of supply in Europe. We want to play an active role in shaping this transformation,” says Robert Itschner, CEO of BKW. The German Federal Government is planning invitations to tender for hydrogen-capable gas power plants under the Power Plant Safety Act (Kraftwerkssicherheitsgesetz). The project partners are confident that their initiative in Hamm meets the requirements for a successful participation.

Outlook for 2026
Regulatory requirements in the grid area will have a negative impact on BKW’s results in the current year and in subsequent years. In addition, forward price volatility has fallen more than expected. Higher hedged electricity prices and a further improvement in Infrastructure & Buildings margins will have a positive effect. BKW expects EBIT of CHF 650 million to CHF 750 million for 2026. With its consistent focus on flexibility, efficiency and sustainability, BKW is well positioned to continue its successful long-term development.