Operations

Net electricity generation

Millions of kWh
20172016Change
Wind 892 401 491 -
Other sources 589 129 460 -
Total net generation 1,481 530 951 -
- of which South Africa 1,156 203 953 -
- of which India 325 327 (2) -0.60%

Net generation in 2017 amounted to 1,481 million kWh, an increase compared with 2016 of 951 million kWh. The increase is mainly attributable to the increase in wind generation (+491 million kWh) and solar generation (+589 million kWh) in South Africa following the entry of new plants into service, mainly in the 2nd Half of 2016. By contrast, output declined slightly in India.

MW
at Dec. 31, 2017at Dec. 31, 2016Change
Wind farms 371 335 36 10.70%
Other 323 323 - -
Total net efficient capacity 694 658 36 5.50%
- of which South Africa 522 486 36 7.40%
- of which India 172 172 - -

Net efficient generation capacity in 2017 totaled 694 MW for an increase of 36 MW compared with the previous year. The change on December 31, 2016 mainly reflects the increase in installed generation capacity associated with the Gibson Bay plant.

Performance

Millions of euro
20172016Change
Revenue 96 29 67 -
Gross operating margin 57 14 43 -
Operating income 15 (5) 20 -
Capital expenditure 30 304 (274) -90.10%

The following tables show a breakdown of performance by geographic area in 2017.

Revenue

Millions of euro
20172016Change
Sudafrica 80 12 68 -
India 16 17 (1) -5.90%
Total 96 29 67 -

Revenue in 2017 amounted to €96 million, an increase of €67 million compared with the prior year. The increase is mainly due to the higher output and sale of electricity generated by the Pulida, Adam Solar and Gibson Bay plants.

Gross operating margin

Millions of euro
20172016Change
Sudafrica 53 4 49 -
India 8 10 (2) -20.00%
Other countries (4) - (4) -
Total 57 14 43 -

The gross operating margin in 2017 amounted to €57 million, an increase of €43 million compared with 2016. The change reflects the aforementioned increase in revenue, partly offset by the decreases reported in Australia and Kenya.

Operating income

Millions of euro
20172016Change
Sudafrica 18 (10) 28 -
India - 5 (5) -
Other countries (3) - (3) -
Total 15 (5) 20 -

Operating income in 2017 came to €15 million, an increase of €20 million, which includes an increase of €23 million in depreciation, amortization and impairment, due mainly to the start of operations at plants in South Africa in 2016.

Capital expenditure

Millions of euro
20172016Change
Sudafrica 27 301 (274) -91.00%
India 3 3 - -
Total 30 304 (274) -90.10%

Capital expenditure came to €30 million in 2017, down €274 million compared with the prior year. The figure mainly refers to photovoltaic plants in South Africa on which construction work was completed, as noted earlier.