The lucrative lighting business in Tallinn

11.05.2012, 11:07

A company owned by Heino Harak that controls the street lighting business in Tallinn has made it difficult for others to compete, writes Äripäev.

The lighing business is also very lucrative as Tallinn, for instance, is spending three times more on maintenance of streetlights than Estonia’s second-largest town Tartu.

KH Energia-Konsult that the 70-year-old Harak is managing has been enjoying monopoly position on the market in Tallinn since 2000.

The company ended 2010 with a net profit 0.4 million euros, but 2009 earnings were 3.7 million euros.

The business has earned Harak a place among Estonia’s 100 richest businessmen.

Last year he took out 1.7 million euros in dividends from KH Energia-Konsult. The company’s retained earnings amount to more than 12 million euros.

Business with the City of Tallinn accounts about 40 percent of the company's revenues.