THE Fiji Electricity Authority saved $40million through the Nadarivatu renewable hydro-electric scheme last year.
And the $40m also saved the company from a loss.
"With difficult time FEA had in 2013 due to poor hydrology at Monasavu and increased diesel generation, FEA was nonetheless able to generate about 60 per cent of total energy from renewable," said FEA board chairman Nizam-ud-Dean at the launch of the company's 2013 annual report in Suva yesterday.
He attributed this to the completion of the Nadarivatu hydro dam that was able to generate enough to cover what it would have otherwise lost.
"It was government foresight and good decision that we had allowed Nadarivatu to proceed at a time it was difficult for us to find loans around the world and find contractors. And we are very fortunate that the Chinese contractors and Chinese loans allowed us to get through and build the dam and the facilities.
"The dam saved us $40m in diesel fuel last year. Our profit before tax last year was $40m so you can do your own equation and see what Nadarivatu did.
"Had the Nadarivatu scheme not performed well and produced 98.6 per cent million uits of energy in 2013, FEA would have had recorded a loss of around $2.1m after tax."
FEA achieved a positive financial result last year recording a $32.5m after tax
According to the annual report, the profit declined as compared with 2012 — attributed to the 5 per cent tariff reduction from January 1 last year; increase in fuel cost about $17.5m; and $13.5m of tax benefit recorded in 2012 as the result of the one-off tax concessions approved by government for the Nadarivatu hydro project.