Vattenfall to spend $5.3bn in Germany by 2028 on renewables and storage
Swedish utility to commission 1.6GW Nordlicht 1 and 2 offshore wind farms by 2028 and has 1.5GW onshore wind project pipeline in 'fastest-growing market for renewable energies in Europe'
Vattenfall plans to spend more than €5bn ($5.3bn) in Germany, mostly on renewables and storage, following the sale of the Berlin heating business in the spring.
The Swedish utility when explaining the strategic direction for the German market said it plans to complete about 500MW in new solar capacity each year, as well as 300MW in large battery storage plants, thereby combining the two technologies in order to adjust fluctuating solar production to consumers’ electricity consumption.
“Germany is the fastest-growing market for renewable energies in Europe,” said Vattenfall chief financial officer in Germany, Robert Zurawski.
“Electricity demand is expected to increase by 40% by 2030 and could even double by 2045."
Next to power generation, Vattenfall in Germany is also supplying 5 million consumers with electricity and gas, and expanding its e-mobility charging infrastructure.
The utility also runs 11 hydro pump storage power plants with a combined capacity of 2.8GW to provide flexible output and stabilise the grid in an increasingly weather-dependent electricity market. Another pumped storage plant is planned in the eastern state of Thuringia.
Vattenfall said it also plans to expand the business of corporate power purchase agreements (PPAs) as many energy-intensive companies are currently looking to stock up on green electricity in the medium and long term for climate protection and to save costs.
"Electricity partnerships offer producers and industrial consumers of renewable electricity investment security, stable prices and risk diversification," Zurawski said.
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