FIJI Electricity Authority made a profit of $51.9 million last year, more than six times its revenue in 2010.
The authority credited the large profit sum to the Monasavu hydro scheme as well as stringent measures to control operational expenditures.
"This equates to a return of shareholder funds of positive 11 per cent," the company said in its 2011 annual report.
And in his chairman's report Nizam-ud-Dean said FEA recorded an all-time high fuel cost at $137.8 million last year compared to $126.8 million in 2010.
"This is equivalent to 77 per cent of the total revenue for 2009. Had the tariff increases in 2010 and 2011 not implemented, then substantial losses could have resulted in 2011," he said. FEA implemented the final phase of the tariff increase to achieve an average 39.4 cents per unit from April 1, 2011, the report said.
"This tariff is expected to assist (sic) implement FEA's 10 year Power Development Plan which requires a total investment in the energy sector in excess of $1.5 billion," Mr Dean said.
He said the government did not refund the non-commercial obligation costs which FEA incurred while supplying subsidised electricity to rural Viti Levu, Ovalau and the entire Vanua Levu.
"It is estimated that FEA incurred about $20 million of NCO costs when fulfilling its social obligations in 2011," Mr Dean said.
He said government accepted FEA's non-commercial contribution to social and community services through its electricity subsidies as its annual dividend to the government.