PW Carbon & Energy

Stable development in a challenging energy and carbon market

The Carbon & Energy business segment recorded net revenues of EUR 0.3 million in the financial year 2025 (previous year: EUR 0.2 million) and EBITDA of EUR -0.3 million (previous year: EUR -0.5 million). The company restored its connection to the national power grid and further advanced the development of its carbon project.

Since the town of Itacotiara was connected to the national power grid, our biomass power plant MIL Energia Renovável Ltda. (MER) has been exposed to highly volatile electricity prices in Brazil. After the grid operator blocked electricity supply from MER starting in mid-2024, the grid connection was partially restored in mid-2025. Low electricity prices meant that capacity remained partially unused, and the biomass was instead sold to third parties through MIL. In order to benefit more flexibly from volatile electricity prices in the future, full connection to the national grid is currently being pursued. This is expected to be completed in early 2027. No carbon credits were sold in the reporting year. The certification of the remaining credits from the discontinued green energy project at MER has been delayed because our partner has not yet been able to complete the certification due to changes in the framework of the Paris Agreement. At the same time, the development of our new forest conservation carbon project under sustainable management in Brazil continued to progress. Subject to approval, the first carbon credits are expected to be generated in the first half of 2027. Overall, the Carbon & Energy segment performed as planned in 2025 and the initiated measures will continue in 2026.