Annual Report 2019 A greener future with wind power Arise is one of Sweden’s leading independent onshore wind power players. Arise manages the entire value chain – from exploration and permitting, to financing, construction, divest- ment and long-term management of its own and other compa- nies’ wind farms. Contents Summary of 2019 • 4 Notes to the consolidated financial statements • 44 This is Arise • 6 Parent Company income statement • 76 Portfolio overview • 8 Parent Company balance sheet • 77 CEO’s statement • 10 Parent Company cash flow statement • 78 The Market • 12 Parent company equity • 79 Development and Management • 16 Notes to the Parent Company’s Own wind power operations • 18 financial statements • 80 Sustainability Report • 20 Auditor’s Report • 87 Directors’ Report • 32 Corporate Governance Report • 92 Consolidated income statement • 40 Ownership structure • 96 Consolidated statement Arise’s Board of Directors • 98 of comprehensive income • 40 Arise’s Group management • 99 Consolidated balance sheet • 41 Annual General Meeting Consolidated cash flow statement • 42 and 2020 calendar • 100 Group equity • 43 Financial information in summary • 102 Definitions of key ratios • 43 Overview of wind farms • 103 Calendar ARISE ANNUAL GENERAL MEETING 2020 DISTRIBUTION OF THE ANNUAL REPORT 2019 The Annual General Meeting will be held on The annual report is available on our website 6 May in Halmstad www.arise.se. It will be sent by post to those shareholders who have notified the company FINANCIAL INFORMATION 2020 that they wish to receive it. Those wishing to 6 May • Annual General Meeting receive a printed copy are welcome to order 6 May • Interim Report for the first quarter copies via a form on the website or call the 17 July • Interim Report for Arise switchboard number + 46 10 450 71 22. the second quarter 6 November • Interim report for the third quarter 17 February 2021 • Interim Report for the fourth quarter 4 • 2019 IN BRIEF 2019 IN BRIEF • 5 2019 in brief The sale of the company’s participation in the associate Sirocco, owner of Jädraås wind farm, was completed. Arise thus entered a new phase and the Co-owned wind power operations segment ceased being reported. The Skaftåsen project (231 MW) was sold to Foresight Group LLP, constituting the largest project sale yet for Arise. Operating profit before depreciation excluding associates Production, GWh (adjusted EBITDA), MSEK 500 250 400 200 300 150 200 100 100 50 0 0 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 Management, MW, acc. Sold, MW, acc. 1400 900 1200 800 700 1000 600 800 500 600 400 300 400 200 200 100 0 0 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 Production, Own Production, managed wind power operations wind power operations 333 GWh 2 241 GWh 6 • THIS IS ARISE Arise is one of Sweden’s leading players in onshore wind power Magdalena Johansson Financial manager THIS IS ARISE • 7 OUR ORGANISATION Arise has 28 employees comprising employees at our head office in Halmstad, at our office in Stockholm, and as project managers in the field. OUR MISSION We want to be the obvious partner to investors in wind power by creating value throughout the life cycle. We want to maximise the value of our green electricity production through professional operation, management, sales and financing. OUR VISION We develop renewable energy for a sustainable future! OUR BUSINESS AREAS • Project development, construction and sales of wind farms and projects ready for construction. • Management and operation of own and others’ wind farms. • Production and sales of electricity and electricity certificates from our Own wind power operations. OUR PORTFOLIO • Project portfolio amounting to approxi- mately 850 MW of which just on 800 MW is in Sweden. • Management portfolio of approximately 1,300 MW in Sweden and Norway. • Own wind power operations – 10 wind farms totalling 139 MW in southern Sweden. 8 • PORTFOLIO OVERVIEW Arise portfolio overview Own wind power operations Managed wind farms 1. OXHULT, 11. JÄDRAÅS, 19. EKEBY, LAHOLM MUNICIPALITY OCKELBO MUNICIPALITY KUMLA MUNICIPALITY Turbine type: Vestas V90 6. IDHULT, Turbine type: Vestas V112 Turbine type: Senvion MM100 MÖNSTERÅS MUNICIPALITY Quantity: 12 Quantity: 66 Quantity: 3 Turbine type: Vestas V90 Annual production: 56.8 GWh Year commissioned: 2012/2013 Year commissioned: 2016 Quantity: 8 Year commissioned: 2009 Owner: The Renewable Owner: KumBro Vind AB Annual production: 36.2 GWh Infrastructure Group Ltd Year commissioned: 2011 2. RÅBELÖV, 20. TELLENES, KRISTIANSTAD MUNICIPALITY 12. STJÄRNARP, ROGALAND, NORWAY Turbine type: Vestas V90 7. SÖDRA KÄRRA, HALMSTAD MUNICIPALITY Turbine type: Siemens ASKERSUND MUNICIPALITY Quantity: 5 Turbine type: Vestas V100 SWT-3.2 MW Turbine type: Vestas V100 Annual production: 22.8 GWh Quantity: 3 Quantity: 50 Quantity: 6 Year commissioned: 2010 Year commissioned: 2013 Year commissioned: 2017 Annual production: 37.4 GWh Owner: KumBro Vind AB Owner: Funds managed by Year commissioned: 2011/2012 3. BRUNSMO, BlackRock KARLSKRONA MUNICIPALITY 13. BROTORP, 8. BLEKHEM, Turbine type: GE 2.5 XL MÖNSTERÅS MUNICIPALITY 21. SVARTNÄS, VÄSTERVIK MUNICIPALITY Quantity: 5 Turbine type: Vestas V126 FALUN MUNICIPALITY Turbine type: Vestas V100 Annual production: 24.5 GWh Quantity: 14 Turbine type: Vestas V136 Quantity: 6 Year commissioned: 2010 Year commissioned: 2015 Quantity: 32 Annual production: 30.1 GWh Owner: Funds managed by Commissioned: 2019 Year commissioned: 2011/2012 4. KÅPHULT, BlackRock Owner: Funds managed by LAHOLM MUNICIPALITY BlackRock 9. GETTNABO, Turbine type: GE 2.5 XL 14. STORRUN, TORSÅS MUNICIPALITY Quantity: 7 KROKUM MUNICIPALITY 22. ÖVERTURINGEN, Turbine type: Vestas V90 Annual production: 40.6 GWh Turbine type: Nordex N90 ÅNGE MUNICIPALITY Quantity: 6 Year commissioned: 2010/2011 Quantity: 12 Turbine type: Siemens SWD- Annual production: 30.3 GWh Year commissioned: 2009 DD-130 Year commissioned: 2011 5. FRÖSLIDA, Owner: Funds managed by Quantity: 56 HYLTE MUNICIPALITY Whitehelm Capital Comissioning: 2020 Turbine type: GE 2.5 XL 10. SKÄPPENTORP, Owner: Green Investment Group / MÖNSTERÅS MUNICIPALITY Quantity: 9 15. SKOGABY, Cap Man Group Turbine type: Vestas V112 Annual production: 55.4 GWh LAHOLM MUNICIPALITY Quantity: 1 Year commissioned: 2011 Turbine type: Vestas V100 23. BRÖCKLINGBERGET, Annual production: 8.5 GWh Quantity: 4 BRÄCKE MUNICIPALITY Year commissioned: 2012 Year commissioned: 2013 Turbine type: Siemens SWT-DD-142 Owner: Funds managed by Quantity: 11 Allianz Global Investors Comissioning: 2020 Wind farms under construction Owner: Funds managed by 16. MOMBYÅSEN, re:cap global investors SANDVIKEN MUNICIPALITY 23. BRÖCKLINGBERGET, 24. ENVIKSBERGET, Turbine type: Vestas V126 24. ENVIKSBERGET, BRÄCKE MUNICIPALITY FALUN MUNICIPALITY Quantity: 10 FALUN MUNICIPALITY Turbine type: Siemens Turbine type: Siemens Year commissioned: 2016 Turbine type: Siemens SWT-DD-142 SWT-DD-142 SWT-DD-142 Owner: Funds managed by Quantity: 9 Quantity: 11 Quantity: 9 Allianz Capital Partners Comissioning: 2020 Comissioning: 2020 Comissioning: 2020 Owner: Funds managed Owner: Funds managed by Owner: Funds managed 17. RYSSBOL, by BlackRock re:cap global investors by BlackRock HYLTE MUNICIPALITY Turbine type: Vestas V110 26. SKAFTÅSEN, HÄRJEDALEN MUNICIPALITY 26. SKAFTÅSEN, Quantity: 6 HÄRJEDALEN MUNICIPALITY Year commissioned: 2016 Turbine type: Siemens SG-6.6-155 Turbine type: Siemens Owner: KumBro Vind AB Quantity: 35 SG-6.6-155 Comissioning: 2021 Quantity: 35 18. BOHULT, Owner: Funds managed by Comissioning: 2021 HALMSTAD MUNICIPALITY Foresight Group LLP Funds managed by Turbine type: GE 1.6-100 Foresight Group LLP Quantity: 8 Year commissioned: 2014 Owner: Funds managed by Allianz Global Investors PORTFOLIO OVERVIEW • 9 Sold wind farms 11. JÄDRAÅS, 21. SVARTNÄS, OCKELBO MUNICIPALITY FALUN MUNICIPALITY Turbine type: Vestas V112 Turbine type: Vestas V136 Quantity: 66 Quantity: 32 Year commissioned: 2012/2013 Commissioned: 2019 Owner: The Renewable Owner: Funds managed Infrastructure Group Ltd. by BlackRock 12. STJÄRNARP, 23. BRÖCKLINGBERGET, HALMSTAD MUNICIPALITY BRÄCKE MUNICIPALITY Turbine type: Vestas V100 Turbine type: Siemens Quantity: 3 SWT-DD-142 Year commissioned: 2013 Quantity: 11 14. STORRUN Owner: KumBro Vind AB Comissioning: 2020 25. SOLBERG Owner: Funds managed by 13. BROTORP, re:cap global investors 27. RANASJÖHÖJDEN MÖNSTERÅS MUNICIPALITY 28. SALSJÖHÖJDEN Turbine type: Vestas V126 24. ENVIKSBERGET, FINNÅBERGET Quantity: 14 FALUN MUNICIPALITY 23. BRÖCKLINGBERGET 31. Year commissioned: 2015 Turbine type: Siemens Owner: Funds managed SWT-DD-142 29. FASIKAN by BlackRock Quantity: 9 22. ÖVERTURINGEN Comissioning: 2020 15. SKOGABY, Owner: Funds managed LAHOLM MUNICIPALITY by BlackRock Turbine type: Vestas V100 30. KÖLVALLEN Quantity: 4 25. SOLBERG, Year commissioned: 2013 ÖRNSKÖLDSVIK MUNICIPALITY 26. SKAFTÅSEN Owner: Funds managed by Turbine type: Vestas V126 Allianz Global Investors Quantity: 22 Comissioning: 2018 16. MOMBYÅSEN, Owner: Fortum and 24. ENVIKSBERGET SANDVIKEN MUNICIPALITY Skellefteå Kraft Turbine type: Vestas V126 11. JÄDRAÅS Quantity: 10 26. SKAFTÅSEN, Year commissioned: 2016 HÄRJEDALEN MUNICIPALITY 21. SVARTNÄS Owner: Funds managed by Turbine type: Siemens SG-6.6-155 Allianz Capital Partners Quantity: 35 Comissioning: 2021 16. MOMBYÅSEN 17. RYSSBOL, Funds managed by HYLTE MUNICIPALITY Foresight Group LLP Turbine type: Vestas V110 Quantity: 6 Year commissioned: 2016 Owner: KumBro Vind AB 20. TELLENES 18. BOHULT, HALMSTAD MUNICIPALITY Turbine type: GE 1.6-100