EnBW announces €40bn for renewables and grid expansion
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Germany’s EnBW has announced plans to invest approximately €40 billion ($43 billion) in the energy transition by 2030, focusing on grid expansion and renewable energies.
The Karlsruhe-based energy producer and supplier announced the investment during their 2024 annual general meeting. EnBW’s new chief executive officer Georg Stamatelopoulos called it “the largest investment programme in our corporate history.”
“We cover all stages of the value chain and understand every step, from generation to grids to the customer. Above all, we understand the interrelations between the various stages. This allows us to (…) better capitalise on opportunities and better balance risks.”
Stamatelopoulos emphasised that the considerable investment spending planned to implement the strategy will represent a major financial undertaking for the company.
“That is why we have to be financially successful because it is our profits that make these investments possible, and these enable the energy transition. And the success of the energy transition is in everyone’s interest.”
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In a release from the integrated energy company, Stamatelopoulos emphasised the importance of a stable energy policy framework, clear conditions for investment and prospects for the long-term refinancing of investment funding.
With a view to the German government’s power plant strategy, for example, he said: “If the power plants are to be built in the near future, we need clarity about the future investment environment even sooner. Above all, the first tenders have to be issued this year.”
EnBW adds that they are planning for hydrogen-ready power plants that can go onstream at any time when there is a lack of wind or sun. The company is also developing products and solutions for customers that map out a smart and innovative path to climate neutrality.
EnBW’s adjusted EBITDA for the year came in at around €6.4 billion ($6.9 billion), 60% higher than the previous year and the company’s seventh increase in earnings in a row.
The adjusted EBITDA at group level is expected to be between €4.6 billion ($5 billion) and €5.2 billion ($5.6 billion) for the current financial year.
