Enefit Green AS (EGR1T) Earnings Call Transcript & Summary

I'm sorry for the delay of a few minutes. But now, we have completed the registration, and we know how many shares are represented and how many votes we have. According to the registered shareholders, we have [ 264,232,232 ] shares. And today, we have 217,005,591 shares and votes accordingly, which means that we have 82.11 percentage of votes. So we need -- we have the quorum necessary for the meeting, shareholders are represented accordingly, and we can begin with our meeting. Before moving on to the agenda, there are a few technical questions, again, that are necessary to prepare the meeting. First of all, the general meeting notice was published on 28th April in the stock exchange information system and our web -- Enefit Green web page. And on May 3, in Postimees and Eesti Päevaleht, the newspapers -- Estonia newspapers. And with this, we have fulfilled the necessary notification, and we have called the meeting accordingly. As I said, the share capital of the company is [ 264,276,232 ], which is according -- which has the accounting number of shares, every share gives 1 vote and has nominal value of EUR 1. And shareholders, who are entitled to participate at the meeting is set 7 days before the meeting takes place. So it was May 17, 2023. If you have transactions done later on, you have to take into account that you don't -- you have no entitlement to vote at the meeting. In addition to shareholders, Enefit Green, the Supervisory Board Meetings, Hando Sutter, the Chairman is present, [ Erkki Raasuke ] and Andri Avila. Is there anyone else I didn't notice, then I apologize. But 3 members of the Supervisory Board are here, present, and also Management Board members, Chairman, Aavo Karmas, is present; and CFO, Veiko Raim. Since in the agenda we also have the item of electing Supervisory Board members, it was requested that notary would be present and [indiscernible] notary is present. At the moment, Andrus Durejko and Marlen Tamm, who are candidates to be member of Supervisory Board, are also present. According to the commercial code, it has not set more precise rules of procedure to how the meeting should take place, neither there is the requirement that it should be somehow voted for separately. And due to this, Enefit Green Supervisory Board has made the following proposals. First of all, the Chairman of the meeting is [ Sven Papp ], which is me here. And the minutes is taken by [indiscernible]. We don't have to vote for these, but I would like to ask or say that if anyone is against it or has some comments or proposals, then you can do it, you can present these proposals, and we can see if we can either take into consideration right away or whether we should vote for something. Now the agenda of the meeting was set by the decision of the Supervisory Board of the company on 27 April. And since after that, we didn't receive any other item to the agenda, which should be received 15 days before the meeting to the company. We didn't receive any other [ trust ] proposal, which could have been sent at least 3 days before the meeting. We can conclude that the agenda of the meeting is what it has been notified. So I'm not going to read it out loud. This is what you can see on the web. It was published online and it hasn't changed. Now some more technical questions. We have -- the meeting is shown also online. So I would like to remind you to either switch off your mobile phones, unless you have a very interesting ring tone that you would like the whole of Estonia to hear. And the event is being translated, so the phones that are ringing might be disturbing. I would also like to tell you that if you have any questions, should be asked while using a microphone. So if you have any questions about the agenda items later on, I'll give you the necessary time, but you have to wait until you receive the microphone, then we can listen to the interpretation into English, which can also be heard online. I'm not going to limit the time for speakers. The agenda is not that long. If the people who present to speak are going too long, we can stop them or -- I will not limit the number of questions at the time set for the questions either. If there are too many and the time is running out, then we will decide what to do with such questions. As I mentioned, all of the questions should be asked while using microphone. This way they interpreters will hear the questions and also people online will hear the question. I do have a proposal as well that all the questions regarding the agenda items, they should be asked after the presentation about each agenda item. If you have any other questions, then just leave them to the end of the meeting, there will be a sufficient time. The members of the Management Board will not run away after the meeting. So you will have time to talk to them and ask them questions even without taking minutes. But now the procedures for voting, you have all received the equipment. So [ IRS ] Corporate Services Private Limited Company organizes voting, and she will -- and then I'll come in and explain how the equipment works.

So voting takes place according to the equipment you received during registration with every voting agenda. If you are pro, press #1, which is green; if you're against, then #2, red; and if you're neutral, then choose #3, which means neutral and which is yellow. So once you have clicked on the right button, you will see the noticing sending. And after that, it will say received, which means that our system has received the vote. So you will be shown the votes on the screen later on. So if you want to vote, then make sure your instrument shows you received. And after every voting round, you will see the results. And of course, shareholders have the right to not to vote. But when we see from the electronical system that no one has noted, we will remind you that you have a minute or so to vote. And if there is someone who doesn't want to vote, then this will be written in the minutes. That this -- and that number of shares did not vote.

Now I think all of the technical issues should be explained and we can begin with our agenda. And the first agenda item is the address of the Chairman of the Supervisory Board, Hando Sutter please, the floor is yours.

Good afternoon. By the Supervisory Board of Enefit Green, I am very pleased to welcome you here. I'm glad to see that most of 62,000 shareholders participate and many online, probably, but still many are here. The year has passed very quickly. And today, this is the last step to take for the 2022, but it is a very important step. We have to distribute profit and also approve the annual report 2022. Luckily, we have profit to distribute. So it's going to be very nice. So let's look at the last year. The work of the Supervisory Board today has been supporting the development of Enefit Green and carrying out the record emission. So I'm going to look at the periods a bit longer. This is my last day of work as a member of Supervisory Board. There are 2 things that influence our results very much. One thing is the weather. Whether there is sun or wind, today, we don't have much of wind, but there is a lot of sunshine. And the second thing that influences us is the electricity price. With wind and sun, we have decided not to touch and the Supervisory Board because we cannot influence it. However, we can look at the electricity price and see how it has influenced us. You can see that price fluctuations have been enormous. This is -- this is the last 24 months per quarter and the fluctuations have been several fold. Last year, there has been a lot of things that has influenced us. The war, which is close by energy, weapons have been used against Europe. We could say the energy prices were very high, and we were afraid that there wouldn't be enough of electricity or energy in the winter and the peak of the price, you can see it with the upper line on the graph, the influence. As a shareholder, of course, you can say, well, we earn money, price is high, great. But it's not so simple. What did the politicians do at the same time? The society didn't manage to take in such prices. And many countries had to -- or many companies had to give away their big part of the profit and give it back to the society. On our home markets, this topic was discussed, but we didn't realize it because Enefit Green had already had several risk leverage transactions. We sold electricity previously for a longer period to ensure cash flows for the future, but also to help clients during this very difficult time and to offer green energy with a reasonable price. And today, I'm very happy to say that about half of electricity is made with contracts for 7-plus years. The risks have been managed very well even for periods like today, when electricity has the negative price for several hours during the day. So those who haven't managed risks are in a bad situation today. And such risk management means -- as you can see from the graph 3 lines, the upper one shows the market price of electricity. The lower one shows what are the prices for long-term contracts and then implied captured electricity price. These long-term electricity contracts gave a very good stability with regards to price. So if we want to develop the company the way we have done, then it is very important to take this into consideration. Another important aspect is that this green affordable energy is needed at a much higher level, society expected, not only in Estonia, but in all markets in the Europe. We do what Europe has said already at a very high level, we have to be CO2-neutral area or region by 2050. The green electricity is needed at a high level in a big amount. And Enefit Green has taken up a very serious important role. We have given important notices to shareholders and society that we will provide electricity. When we came out with IPO, we presented such a plan, as you can see on the slide. And while we created the plan, we were very honest, we didn't want to write on this plan, anything we didn't believe in. At the time, it seemed doable, but it also seemed a very ambitious plan. But now we look at what has happened, then we have to say this plan has become more ambitious. And once again, I can confirm again it is doable. The company has the capacity, the market has the capacity and also from investments point of view, and as you can see, the plan is -- has become much more ambitious than it used to be. So Enefit Green is in a very good situation with a very good growth plan, which can be carried out. And if we see these -- consider these topics as blocks, what does Enefit Green believe in today? Of course, what Enefit green has done for many years, land, wind farms. There will be more specific overview later of this. You hear a lot about paper, [ tigers ], people who exist on paper, but do nothing in real life. With Enefit Green, it's a bit different. People work on these firms and do serious work there and more and more solar parks in the symbiosis. So for example, on days, like today, when there's not much wind, but there's bright sunshine, so if one plant is powered both by Wind and Solar Energy, then it will be sufficient. And the other very important milestone, if you want to do a bigger jump, and if we observe at the 2030 Estonia Renewable Energy plan where we should manufacture as much renewable energy for our own consumptions. We cannot do without an offshore park. And Enefit Green has a good position in developing one. The most further developed Liivi offshore park is part of the Enefit Green portfolio, and it's in good condition to move on with it as long as we have the condition and the political support. And in addition, the Hiiumaa offshore park, which is more of a long-term project, but it's also very realistic. And we have also done a decision by the Supervisory Board. We have supported the Management Board's decision to keep the focus on what we are doing because there's a lot of it in Wind and Solar Energy and because these co-producing -- Cogeneration plants are taking a more important role in -- for Enefit Green than we need the mandate to see and also develop the pellet business to gradually then remove. And we have also notified the shareholders that we're doing that if we have more news on it, then obviously, Enefit Green will notify anyone through the stock exchange information system. And how does this all show in figures? You see different columns: green, yellow, blue. It's a timescale 2021, '22. These are all in rising tendencies, decent rising tendencies. I believe it's been quite a journey. And we have all the prerequisites for it to keep growing. The company must be profitable to make such investments as Enefit Green has been doing and as it's planning to do energy business is very capital heavy. There is no other options. So this profitability has enabled us to increase the investments. And also from a shareholders' point of view, you don't have to feel too sad because the shares have shown from the first emission very good dynamics. Both the value of the share itself, but also the dividends that have been paid out, and this dividend proposal that has been made today for this meeting is based on the current dividend policy and it's quite a solid offer. So for the future, maybe what to discuss about the question will be if the company has the opportunities and the company wants to grow as it's growing today, is the current dividend policy reasonable, maybe to have more input in the company's growth, but this is something we should discuss that further farms. If we look at these numbers today, then maybe people who are kind of thinking along today will have this question. And if we briefly look at other alternative investment options, how Enefit Green shareholders have been doing compared to the alternatives, obviously, we don't have all the alternatives in the world here, but lots of well-known ones. Then you can also say that there's the reason to complain, we have been doing well. And that I hope that Enefit Green managed to keep up with it so that with all comparisons, they are able to do the best. Nothing happens without the people behind it. I would really like to thank the Board of Enefit Green for all the work they've done last year, what we will be then approving here today, but also for the work that we have been doing together. I checked this morning that Aavo has been in charge for 6 years. And Aavo, if you didn't know it yourself, this is the longest you've stayed in a company in your career. I actually can say the same about myself [indiscernible] just make sure that you don't end up like me. I really hope that there's more for you to achieve here. But Aavo, Veiko, the wallet has been looked after, and I believe that Veiko with their team has been given good information out to the shareholders. The messages are much clearer, and we have supported this with the Supervisory Board as well so that everything that will be done would be transparent, understandable, well explained. And the feedback has been positive. Innar, who is responsible -- Innar is not here today. But [indiscernible] thank you so that Innar would be -- is responsible for the technical side, for the equipment and assets. This is something that we can be doing. And new member, Andres. Andres has a broad international renewable energy experience. And at this moment, the developments are in a critical stage, and we want to do a lot of new projects, then adding Andres from the 1st of April has been good news for all shareholders. So I'll cross my fingers for the [ smaller ] shareholders and wish everyone good luck. And I would also like to thank the Enefit Green Supervisory Board. Anne, Anne is not -- Anne is here. So we have Anne, who we didn't see here before, Erkki, Andri, Raine. It's been a lot of work. All the meetings have included a lot of hard work -- and we've taken additional time, if we run out of time, and we have tried to be a good partner for the Management Board. And as we've said, we shouldn't hinder this process. So -- and hopefully, this is the way it has been. And also the Audit Committee, Erkki has been in charge of as an Independent Member. The Audit Committee has done great work, the management of the company risks, all these transactions that have been done with [indiscernible] and Erkki have been grossly observed and the process has constantly been improved. So I can confirm that all these functions that the Audit Committee and the Supervisory Board have covered have been covered decently. Today, I will hand the word over to new Board members, Supervisory Board members, and I believe that we carry on with our success story, fingers crossed. I'm a small-scale shareholder. And perhaps I will attend a few investor meetings or ask some questions. I'm curious. I'm attentive and I wish you wind and sun. Thank you.

Thank you, Hando, for this introduction. Back to the last year. Hando will be present today. You can ask questions. And perhaps regarding the agenda, we're not going to ask anything about the agenda. We're going to wait when we get a more detailed review from 2022 by the Board members. And then we've moved to a second part of our agenda, which is the approval of the annual report of 2022, and financial results overview will be given by Board members, Aavo Karmas and Veiko Raim.

Thank you. Dear shareholders, here in Kai Center and also online, I'm pleased to greet you here and give you an overview of how Enefit Green did last year, which were the factors that influenced our business, how we dealt with those. Enefit Green story is a story of growth, and who wouldn't like to grow? But growth isn't easy. Our growth is based on -- so that in future electricity consumption will increase, that the green transition will be force majeure and moving ahead rapidly. And our mission is to aid this green transition. We have long-term experience in renewable energy development and operating. We have also said that we wish to grow 4x with our operating assets compared to where we were last year. Today, we are the largest Wind Energy operator in the Baltics. But this isn't enough for our ambition. By 2026, we wish to be the largest in the Baltic and a rapidly growing company also in Poland, which is one of our domestic markets. And as I said, who wouldn't like to grow, but for growth, we need a strong team. We also need to clearly state what are our strengths, why we believe in this. And the strengths of Enefit Green, are, first and foremost, experience in renewable energy development in all our domestic markets. We also have strong development teams in all our markets and also Enefit Green capabilities to finance the growth. If you look at the Enefit Green business model, then it is where we plan, develop, operate and build our wind and solar parks. And in our development activities, we, first and foremost, developed the project ourselves. We're not acquiring operatable or already in operation assets. And thereby, we can provide more value for shareholders. So this is our story that the whole of 2022 was based on. Before we go to the specific figures, it's worth looking back to the environmental factors last year and this year. Last year was a very complicated and dynamic year. Last year keyword, obviously, were war in Ukraine, energy -- increased prices in energy prices and also that in our area, we didn't have enough renewable energy capacity. This is a fact. We also see that politicians in different countries started to quickly look for opportunities how to mitigate the price increases for consumers. This is all reasonable, but there was an actual threat that they are overregulating which, in turn, would have harmed the development in the long term of renewable energy. I'm glad to say that in hindsight that the measures that they implemented in our domestic markets did not affect Enefit Green or the economic or financial results. We managed fine and the large share of our largest projects that we take into investment decisions we managed to do. And currently, the parks that are being built, the capacity is already larger than existing farms, and we will carry on this path. If we look at this year, now when this -- I'm not saying the crisis is over. I don't have the magic 8 ball to predict that, but the situation is a little bit better at the moment and the states are aiming to find measures how to bring renewable energy to the market quicker and how to avoid certain situations in the future. And that first and foremost, means that we need to cut cost on planning or network capacity. We need to release the networks from the capacities that have been reserved in the past, but they will never be manufacturing anything. And the EU has also stated that the preferred models for the future for these volatile market prices are long-term energy contracts and bilateral price warranties. And this is exactly what Enefit Green is based on, as [ Andres ] is saying, but the long-term purchase contracts, all the last year investments, at least 50% of those, their produce was locked down for 5 to 10 years. 4x growth, we want that by 2026, the energy capacities is 1,900 megawatts. So today, I'm glad to state that already are operating wind and solar parks, 6 wind and 4 solar parks are of higher capacity than the total of last year. And all these parks are moving along as planned. They have already started to produce electricity. So they will all be ready this year and also will be part of the economic or financial results of 2023. We made investment [ decisions ] in the amount of EUR 740 million, and this is also covers the division by countries. Sometimes people ask us why we don't invest in Estonia or on the contrary, why do you invest outside? Then you can hear -- you can see that last year's investment decisions were mostly affecting our Estonian projects. But as a company, we always choose project. We always find the most competitive projects, the most effective projects. And according to that, we will make our decision. So today, we have 6 wind parks and 4 solar parks from Finland to Poland. In order to grow 4x, this year, we also plan to make investments in approximately 490 megawatts. These are mostly solar parks and land-based wind parks, onshore wind parks. The conditions can be volatile, but our development teams are working on a daily basis so that our development projects would be competitive. What does that entail? It entails that their own price is as low as possible. But how do we achieve it? First and foremost, our development activities are based on developing the so-called hybrid park, where with one connection you will have solar, wind and in the future storage devices. And through that, we see that one in addition to bring the own cost down, we can use the network resources better. Our environmental footprint is better and et cetera. And of course, when we make our investment decisions, we are based on the valid criteria and this applies for these projects as well. I'm happy to say that our development team has grown over the year, and our long-term development portfolio is also developed. So last year, we had mostly onshore parks and wind parks that was in the capacity of 1,300 megawatts. And then today, it's 1,600. So a large part of it is onshore and wind. And here, you can see on the map that, in Latvia, this year, we're not planning to invest into wind, but we have predeveloped projects in Latvia, and we see Latvia as a bright star for the future on our map. So if you look at how good the wind situation and the connectivity opportunities are and how little onshore Wind Energy is used. And if Latvia wants to keep up with their climate goals, then they're currently not on the way there. And 2030, Estonia has very ambitious objectives. I really like it. We say that all the consumed electricity should come from renewable sources. But we cannot achieve it without offshore energy. So we have 2 that we covered before as well. So Liivi, [ Bay ] wind farm, which is developed projects. We're doing research. We want to conduct the research quicker because we can see the state is moving to the direction to cut time on planning, and the state is also starting to develop this long-term market stability mechanism that will be introduced in October this year. So from our side, we want to be prepared that if possible auctions in the future will arise, then to take part with the Liivi park and before 2030 should also already be making -- manufacturing electricity in Estonia. Now moving on then our main activity, which is renewable energy supports that in a society as a whole, we would reduce the CO2 footprint, but also our activity has a very certain impact either to the environment or communities as company management, we acknowledge it. And today, we are focused on 11 -- I'm sorry, 9 areas towards which we want to work for. We want to develop a long-term action plan this year and the way to measure our activities, our impact, both to communities and the environment. And of course, the focus is in improving our management quality to make it more transparent communication with shareholders. And finally, why am I really glad to talk about all of this growth? One of the things is that we can actually show from previous years our basis, which is the most important thing. These are our employees, our people. I'm very pleased to have these people in our company, and I would like to use this opportunity to thank all of the Enefit Green for their work done last year and for their dedication. As you can see, already the employee's dedication is very high and has increased last year. I can say that the survey result is over 80% and over 80% believe in reaching the goals of the aims and every second believes that they are the leaders in Enefit Green. I'm very pleased about the survey results. I'm very proud of our team, and I really wish them energy to continue either now or in the future. I know that you will manage. Thank you to everyone. And now I'll give the floor to Veiko.

Good afternoon. I'm very pleased to be here in front of investors, shareholders. It's the second time since we got to the stock exchange. So the quarterly meetings are great as well, but it's great to see investors face-to-face, have the annual meetings. So I'm really happy that the weather is great, and we are all here. So let's check out the financial results, which have a very important part in our annual report. We have already talked about it a few times, so I'm not going to stay on this topic for too long, but everything that was in the environment, influenced our numbers. So electricity output dropped a little bit compared to 2021. It wasn't a great year for wind park. It was below average. And heat production was also a bit lower due to Iru incidents. But the electricity price that -- or the -- or what we earned from the market -- received from the market were very high. Obviously, last year, EUR 149 megawatt-hour, it was much more than previous year. So this supported our results last year. And if we look at our EBITDA, operating income and net profit and the numbers are very strong. So it was a very good result last year. And if we look at the results again, it's very important because investors have trusted the equity to us, the capital. So what we do with it and how much we earn from it, so you can see the return on invested capital. We managed to return on equity, was more -- was over 15%. So we managed to grow in all these areas. And with the loan level -- we have quite a low level of loans, then we can say the situation is not bad. And when we compare to EBITDA and financial leverage, then the net debt is in a good condition because all the wind farms and solar farms need loans to be built. Now let's stop on the first quarter quickly because this is something that was published last year, electricity markets are volatile, as Hando said. We can see it from our results very clearly as well. The output was high, 10% higher than last year. And [ Šilale and Akmene ] and Purtse wind farms contributed strongly. And the electricity price we earned this year was 20% lower. This is what we have to deal with every day. Prices are volatile on electricity market. But regardless, we managed to have good financial results. It wasn't the same level as last year for EBITDA and net profit, but we still got a good level, EUR 30.5 million per quarter. So it's good because the main thing is to keep our wind farms working and to increase profit, how to invest, how to get the farms producing as soon as possible. This is our main worries and aims. Our shareholders, 62,000 according to the last data, we're very proud about it. We're very grateful for it. Shareholders have trusted the capital to us. So this is the equity we have to work on. And regarding this, we saw last year that though our retail investors have a very high share, it has even increased even more. So thank you very much for your trust. And what else we noticed was that other institutional investors, their share has increased as well. EBRD reduced a little bit, and pension funds have a very important role. But all in all, when we look at our investors, then the retail investors had a very important role, and we take investor decisions very seriously, and we try to reach retail investors in different ways. And another very important role was on our loan partners. As you can see on the slide, critical amount of investment money comes from the banks. We have very good result -- relations. And we have taken EUR 268 million in loan, and we can still take EUR 375 million here as to finance our investments. So all of this capital helps us to grow quicker and to build a quicker greener future. All in all, I would like to sum up that as a Management Board, we have a proposal to profit distribution and to pay EUR 0.208 per share as dividends. And that's all from my part. Thank you.

Thank you. So we had a presentation from the Management Board. And before starting voting, I have this round of questions now. I hope that, Hando, if there is something for the Supervisory Board that you're ready to answer. Are there any questions to the Management Board and to the Supervisory Board, then? It seems that there are none. So as promised Management Board members or Supervisory Board members will not disappear after the meeting. So if you have any questions after the meeting, you can ask them directly. But now, dear shareholders, now it's your turn to show by voting your decisions. We have a first draft resolution, the first round of voting, and it's to approve the 2022 annual report of Enefit Green AS as presented to the General Meeting. And this has been available on the company's web page and through the stock exchange system. So please vote. Since the voting is electronic, it should be quite quick, I'm not going to move on with the next item yet. I don't want to confuse you. We will be seeing this on the screens as well. We will be seeing it on the screens, and we can already see how many shareholders have voted. If some have not voted, #13, for example, if you want to vote, then you have a few more minutes. But as we said, the shareholder has the right not to vote. So you don't have to pick a neutral or against either, if you don't want to vote. [Voting]

But now the results, voting results are here in front of you. Who voted for, we can see 216,378,751 votes, which is 99.71% of represented votes. No one voted against. And we had 626,839 neutral votes, so 0.29%. And everyone voted, except 1 shareholder. So with this, we have approved the annual report of 2022, and we can move on with the next agenda item, the third item, which is the approval of the remuneration report of the Management Board for the financial year 2022. Remuneration report is part of the annual report, but it's a good practice to vote this since the draft -- the distribution of profit is voted separately as well and then this as well will be voted separately. And now I would like to display on the screen, next slide. This is what has been paid to the Management Board. This is kind of an overview of the numbers in this report. As it was said in the annual report, you can see it more precisely. It's on 2 or 3 pages with explanations. But the main facts are here on this slide I think I'm not going to read out loud all of these numbers. You can take a minute to look at the screen and then we should come back to the draft resolution and vote. No one has asked any questions. And I just want to repeat once again that you can ask questions about it as well. But we can move on to voting. So once again, I would ask you to put on the screen in the previous slide, please. So the draft resolution is very simple to approve the remuneration report of the Management Board of Enefit Green AS in 2022 as an annex to the annual report as presented at the General Meeting. And the overview was on one slide on the screen as well that you could see. So please vote. [Voting]

So a few shareholders haven't voted yet. We'll give you a minute. Let's wait for another minute. So those who haven't voted yet, you can take this time to vote. Of course, if you have decided not to vote, then don't, but you have still a little bit of time to press the buttons. Now the results of the third item, 215,508,417 million votes of shares are -- have voted for, which is 99.3%. Against is 1,449,011 shares, so 0.67%. And neutral 47,062, 0.02%. And who voted -- so there might be a little contrast. Basically, everyone noted, but 1,101 didn't vote. Therefore, this resolution has been approved, and the remuneration report for 2022 has been approved. Now the next agenda item, distribution of profit. As mentioned, draft resolution -- or the proposal for distribution of profit is part of the annual report, but the good practice asks to vote this separately. The draft resolution is on the screen. I'm not going to read out loud everything. The most important numbers, perhaps, is that net profit is EUR 110,207,000 and dividends to be paid out -- the proposal to pay out is EUR 54,969,000, which is EUR 0.208 per share in dividends. And a very important point is to look at the dates when the dividends will be paid and who of the shareholders are entitled to receive dividends. if any one of you plans to have any transactions done with the shares, keep that in mind. But now please vote for the distribution of profit. [Voting]

So here are the results for the fourth agenda item who voted for, 217,000,807 votes. So we can round it up to 100%. And against 4,543, 0%. And neutral 240 votes. So 1 shareholder didn't vote. Therefore, the distribution of profit -- the proposal for distribution of profit is approved by General Meeting, and we can continue to the next agenda item. Recalling of the members of the Supervisory Board. You have all probably read and heard that Eesti Energia -- that Management board of Eesti Energia had some changes and due to these changes, the candidates who are set up by Eesti Energia received some proposals or changes. And that's why we have to have these changes in the Supervisory Board of Enefit Green as well. So the draft decision is very simple. Recall Hando Sutter and Andri Avila from the Supervisory Board of Enefit Green. And please vote for this item as well and for both of these persons together. It seems that everyone have voted. The results are as following: for, 215,447,692 votes, which makes up 99.28%; and against, 30,531, which makes 0.01 percentage points; and neutral, 1,526,235, which makes 0.7%. And those who didn't vote, 1,133 shares. So statistically, it's -- statistically, we can say that 100% of shareholders have voted. To approve this decision, we need 2/3 of the votes present, and 99.28% have voted for. So it follows this requirement. Therefore, this decision has been approved, and Hando Sutter and Andri Avila have been recalled from the Supervisory Board of Enefit Green. And now we can carry on with our next part of our agenda. And as 2 seats in the Enefit Green Supervisory Board were freed, then we have a proposal to fill these 2 places. And because with the draft and the agenda are both confirmed and submitted to this meeting by the Supervisory Board, then the -- by the Enefit Green Supervisory Board, they have put 2 candidates up: Andrus Durejko and Marlen Tamm. Could you please come up here because we also show this online then, otherwise people wouldn't see you online. And with Andrus Durejko and Marlen Tamm CVs are displayed on the screen. Andrus is Eesti Energia -- Chairman of the Eesti Energia Management Board; and Marlen is the CFO and also a Board member. And here, before we vote, I would like to ask if anyone has any questions to the candidates. It doesn't look like it. The candidates have done their -- part of their own [ program ] pretty well. So let's see this. Let's see what the vote say. But if there are no questions -- there's one question, but please use the microphone.

To the candidates, do you plan to buy Enefit Green shares to increase their shares -- amount of shares in the company?

I'm currently not going to answer this question. There are different plans, but we believe in the development of the company for sure.

And on my side, I have -- I kept on buying Enefit Green stock. There's not too much of those, but I believe in its growth, and I plan to carry on buying shares.

But the stock portfolio dynamic to the -- you can observe these through the portfolio notifications and also through the FSA notifications. But are there any other questions? It doesn't look like it's. But then let's get to the exciting part. Let's start voting. And the draft of the -- draft decision is clear to elect Andrus Durejko and Marlen Tamm as the members of Enefit Green Supervisory Board for the duration of 3 years. And we have the results. For 216,589,092 votes, so 99.81%; against, 356,709 votes, 0.16%; and neutral and partial votes, 559,787, 0.03%. And we didn't get the votes with shareholders with 3 shares. And because we voted all together, then we can't make this into a chart, but one thing is clear that the candidates, Andrus Durejko and Marlen Tamm, have been elected to the Supervisory Board of Enefit Green. And with this we have fulfilled our today's agenda. As promised, if anyone has any questions, please feel free to ask whether now using the microphone. And I believe that the members of the Board will stay here for a while as well. So you can ask questions without the mic as well. But we have a question.

At what price have you done the remuneration calculations for electricity prices for the next 3 years?

I presume this is a question to our -- regarding our development projects. Electricity price can fluctuate. We have a view that we develop based on in-house analytics that considers general and analytics and our own presumptions and understandings how much electricity market price should be. Last analysis have been around EUR 100 per megawatt hour. But at the same time, this is constantly fluctuating. And it's not something that will be set in stone. So we are reevaluating it the whole time.

And according to stock market rules, if it was fixed very precisely, it would be quite risky to say that out loud. But in that regard, yes, the -- you just heard the answer to the question. Any other questions?

My question is what [ Euribor ] level could we give up dividends because their money will not be there anymore. What's the level now and where will we meet this limit?

Yes. Currently, as I showed you a couple of minutes though, the net profit was EUR 110 million for last year and because our loan portfolio has 100,000 with undrawn loans, then the limit is very low. So there is a Euribor -- we have a decent buffer. So it -- the rise in Euribor will not damage us.

I'm a minority shareholder. Are you planning to still burn waste? And are you planning to widen that sector? It's to do with the Iru electricity plant with the [indiscernible] use of waste.

Yes, we plan to carry on with that, but we do not plan to extend the operations.

And another question.

I would like to ask about the negative prices. How long will this carry on? It's a unique situation. What is your vision on that? For solar panels.

It's very difficult to predict how long it will go on for. I'm talking about the current moment. Maybe last week, there have been negative hourly prices. But we'll see. At the moment, there lots of small-scale generation in Estonia. But if we make our decisions, then our projects are meant to last for 35 years. So as Veiko said, we have our in-house price presumptions that we calculate our prices. And I'd like to maybe emphasize again that we'd like to -- we are doing investment decisions so that we have at least 50 percent of the total production sold already. So we perhaps could give up this -- the high electricity, but we also want to mitigate risks if we have this kind of negative prices.

So we heard from the experts that for consumers maybe not such good news, but for shareholders, they're promising news. So do we have any other questions? It doesn't look like it. And because we have now fulfilled the agenda, then we can call this meeting adjourned. And if anyone has any more personal questions that they don't want to use the microphone, then you have the opportunity for that. Thank you, and we'll see you next year, if not sooner. [Statements in English on this transcript were spoken by an interpreter present on the live call.]