Statkraft sharpens strategy for further growth
27 June 2024 - 3:00PM
Statkraft sharpens strategy for further growth
Statkraft will prioritise growth of its core business
and optimise its portfolio through selective
divestments.
The sharpened strategy will prioritise investments in Norwegian
hydropower, market operations, and growth in solar, wind, and
batteries in Europe and selected international markets. Statkraft
will continue to build options for offshore wind and hydrogen, but
plans to divest the district heating business and find investors in
the biofuels company Silva Green Fuel and the EV charging company
Mer.
“Statkraft has in recent years built a strong position and an
attractive portfolio of profitable renewable projects. The
transition from fossil to renewable energy is happening at an
increasing pace in Europe and the rest of the world. We have strong
competitive advantages and have delivered great value creation over
time. However, the market conditions for the entire renewable
energy industry have become more challenging. We are therefore
sharpening our strategy to allocate the capital to the most
value-creating opportunities with the best strategic fit,” says
President and CEO Birgitte Ringstad Vartdal in Statkraft.
Statkraft has in recent years built a significant portfolio of
power plants in operation amounting to a total capacity of 21 GW,
as well as a net flexible development portfolio of profitable
projects totalling 21 GW.
Statkraft has committed large investments for the next years,
with a record-high level of more than NOK 30 billion in 2024,
including the acquisition of the Spanish renewables company
Enerfin, which was completed in May. In Norway, Statkraft has a
record-high long-term investment program in wind and hydropower,
including five major capacity upgrade projects.
Simultaneously, the entire energy market has become more
challenging. Energy prices are lower, and both technology costs and
capital costs have increased. Market regulations and support
policies are delayed, and geopolitical uncertainty has
increased.
The sharpening of the growth strategy follows Statkraft’s annual
strategic review, the first with Ringstad Vartdal as President and
CEO. The fundamental drivers of the energy transition continue to
support Statkraft’s growth strategy. Strong growth in demand for
solar and wind power, driven by low technology costs, increased
need for flexibility in the power system, and greater market
complexity are drivers that fit Statkraft’s position and
competitive advantages well.
“Statkraft has a unique and strategic position in flexible
production, experience with weather-based systems, and strong
analysis and market competencies. Together with a capable and
motivated organisation, this makes the company well prepared to
grow, build scale and compete in a rapidly growing renewable
market,” says President and CEO Birgitte Ringstad Vartdal in
Statkraft.
Statkraft’s growth strategy continues to be built on four
pillars: Provide clean flexibility – leveraging hydropower, grow in
solar, wind, and battery storage, deliver green market solutions to
customers and scale new green energy technologies.
The sharpened strategy means that Statkraft will:
- Prioritise value creation from Statkraft’s core businesses
hydropower and market operations. Statkraft will be the largest
hydropower company in Europe and will initiate at least five major
capacity upgrade projects in Norway by 2030.Statkraft sharpens
strategy for further growth
- Be a major developer of solar, onshore wind, and battery
storage with an annual development rate of 2-2.5 GW from 2026 and
onwards (previous target was 2.5-3 GW from 2025 and 4 GW from
2030). Statkraft will take an industrial role within offshore wind
in Northern Europe - with the goal of developing 6-8 GW by 2040
(previous target was 10 GW).
- Contribute to an efficient energy market, enable industrial
customers’ green transition, and be a leading provider of market
solutions in Europe, with a significant global reach.
- Develop new green energy businesses, including becoming an
industrial developer of green hydrogen with the goal of delivering
1-2 GW by 2035 (previous target was 2 GW by 2030).
“With a sharpened strategy, we are well equipped to deliver both
good value creation for the owner and to be a strong driving force
in the energy transition in Norway, Europe and the world,” says
Birgitte Ringstad Vartdal.
For further information, please contact:
Media:
Media Spokesperson Lars Magnus Günther, tel: +47 912 41 636,
e-mail: lars.gunther@statkraft.comVice President Torbjørn Steen,
tel: +47 911 66 888, e-mail: torbjorn.steen@statkraft.com
Debt Capital Markets:
Vice President Stephan Skaane, tel: +47 905 13 652, e-mail:
stephan.skaane@statkraft.comSenior Financial Advisor Arild
Ratikainen, tel: +47 971 74 132, e-mail:
arild.ratikainen@statkraft.com
or www.statkraft.com
About Statkraft
Statkraft is a leading company in hydropower internationally and
Europe's largest generator of renewable energy. The Group produces
hydropower, wind power, solar power, gas-fired power and supplies
district heating. Statkraft is a global company in energy market
operations. Statkraft has over 6,000 employees in more than 20
countries.
- Berry Burn wind park
- Talayuela solar park
- Dörverden hydropower plant