Northland Power Inc - President and CEO, Mike Crawley
President and CEO, Mike Crawley
Source: The Globe and Mail
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  • Renewable energy provider, Northland Power Inc (TSX:NPI) is maintaining its 2020 guidance, despite the ongoing impact of COVID-19
  • Thus far, the company’s wind and solar power facilities remain operational and largely unaffected by the pandemic
  • Northland Power also reassured shareholders that construction of the La Lucha Solar Project, in Mexico, remains on schedule
  • However, the company did concede that the pandemic may negatively impact wholesale power prices in the coming months
  • Northland Power Inc (NPI) is down 1.95 per cent, with shares trading for C$26.20 and a market cap of C$5.08 billion

Renewable energy provider, Northland Power Inc (TSX:NPI) is maintaining its 2020 guidance, despite the challenge faced by COVID-19.

Numerous companies over the past few weeks have withdrawn or altered their 2020 guidance, due to the unforeseen economic impact of the COVID-19 crisis.

Yet Northland Power believes that its guidance can remain steady and its revenue remain largely unaffected, despite the challenging months ahead.

Currently, all the company’s wind farm and solar operations remain unaffected by the outbreak. Construction at the La Lucha Solar Project, in Mexico, also remains on track.

However, the company did concede that the pandemic is likely to lower wholesale market price for its power. If this lower rate is sustained over the coming months, it could impact the company’s expected revenue for the period.

That being said, the company has thus far offset the lower than expected price through a greater than expected production of power.

In an attempt limit any chance of interruption at its operations, Northland Power has implemented number of safety protocols. These include on-site medical screenings and enhanced hygiene measures. 

Mike Crawley, President and Chief Executive Officer of Northland Power, bellies that, despite the pandemic, the company is positioned for growth.

“Above all else, our first priority is protecting the health and safety of our staff, contractors and communities.

“However, we are also very focused on ensuring our facilities continue to operate at high levels of availability, delivering the essential power that our offtake counterparties rely on and need,” he said.

The company plans to release its first quarter 2020 results at the end of May.

Northland Power Inc (NPI) is down 1.95 per cent, with shares trading for C$26.20 at 10:43am EST. 

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