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18 | 8TH - 14TH MAY 2015 | UTILITY WEEK Finance & Investment Stock watch 415 410 405 400 395 390 DRAX SHARE PRICE, 29 APRIL - 5 MAY 29 Apr 30 Apr 1 May 5 May 700 600 500 400 300 DRAX SHARE PRICE, JULY 2014 - APRIL 2015 Jul 2014 Oct 2014 Jan 2015 Apr 2015 Drax shares fell 3.5 per cent last week after news that long- standing group finance director Tony Quinlan will leave at the end of May. Analysts said "there is nothing sinister" about the departure, which will see head of corporate finance Michael Scott become interim finance director. Concerns remain at Drax's failure in court to overturn the government's decision not to support its second biomass conversion through a CfD. This week Offshore wind boosts Scottish Power profits Iberdrola says offshore wind has come of age with bigger turbines and better technology Scottish Power reported strong first quarter earn- ings growth of more than 60 per cent on the year for its renewables business, driven by better-than-expected wind energy output. Its parent company, Iberdrola, said the UK busi- ness saw Q1 earnings rise 61 per cent on the first quarter of last year to €149.1 mil- lion. It attributed this to higher renewable energy out- put, which grew 15 per cent to 1.25GWh, in large part due to the "standout performance" of the West of Duddon Sands offshore windfarm. Iberdrola said this was clear evidence that its multi- billion pound investment in offshore wind was deliver- ing value. "Offshore wind is coming into its own with the power produced from the new windfarm at West of Duddon Sands ahead of expectations in the first quarter of this year," said Scottish Power chief corporate officer Keith Anderson. "This shows the potential of offshore wind now that we are able to use larger turbines and better technology, which we will advance further with other new offshore projects, notably the 714MW East Anglia One windfarm in the North Sea." Earnings growth was seen across Scottish Power's business units, with its generation and supply arm reporting growth of 17.5 per cent while earnings from its networks business grew 22.5 per cent compared with the same period in 2014. JA WATER SWW finishes £4.9m bathing water project South West Water has com- pleted a £4.9 million scheme to improve sea water quality off the southeast Devon coast to help meet tougher European bathing water standards. The scheme entailed upgrad- ing the Menheniot sewage treatment works and digging two underground storage tanks with a combined capacity of 1,340 cubic metres in the market town of Liskeard to store storm water and avoid discharges of untreated sewage into the sea during periods of heavy rainfall. South West Water is currently completing a £20 million capital programme to improve bathing water quality in preparation for tougher EU standards that come into force at the start of the new bathing water season. ELECTRICITY Onshore wind 'worth £906m last year' The onshore wind industry was worth £906 million in gross value added (GVA) revenue to the UK economy in 2014, accord- ing to trade association Renew- able UK. In a report, the group high- lighted the increasing contribu- tion made by onshore wind to the British economy, with each megawatt installed adding more than £2 million over its lifetime. Renewable UK said that since the beginning of 2012, annual GVA had risen by £358 million (65 per cent), revealing the "increasing contribution that the onshore wind industry and its supply chain makes". The report also said that 27 per cent of the economic benefits of onshore wind were enjoyed in the local area, with the largest percentage (42 per cent) of local spend coming at the operations and maintenance stage. Renewable UK's chief execu- tive Maria McCaffery said that £7 of every £10 spent on onshore wind projects was invested in the UK. WATER Macquarie: Thames stake not for sale Infrastructure fund Macquarie has told Utility Week that it is not planning to sell its stake in Thames Water. The Australian-owned group, which has a 26 per cent stake in Thames Water's holding com- pany, Kemble Water Holdings, dismissed media speculation that it was looking to sell its share. Macquarie Group associate director, corporate communica- tions and investor relations, Steve McCool said: "There is no sale process planned and no sale process going on." West of Duddon Sands: output up