Uniper Sells German Lignite Plant Stake

German utility Uniper has agreed to sell its majority stake in a lignite power plant to its partner, it said February 21. Saale Energie, a subsidiary of Czech Energeticky a Prumyslovy (EPH), will become the sole owner of the Schkopau plant in Saxony-Anhalt once the 58% stake is transferred. That will not be until October 2021, Uniper said, and from that date, the company will have no lignite capacity. It did not disclose the deal's value.

The Schkopau plant is not scheduled to close until the end of 2034, under German law. Uniper CEO Andreas Schierenbeck said the sale made strategic and economic sense. Completion of the transaction is still subject to the approval by the German anti-trust office. 

Uniper is readying for a lower-carbon future, with more natural gas planned for its power-generating portfolio. It is to be majority-owned by Finnish Fortum, once the final approvals for the share transfer are in place. Fortum itself is also a coal-fired generator.