London — Norway's state-owned power company Statkraft is planning annual investments of around NOK10 billion ($1.2 billion, Eur1 billion) in renewable energy in the period 2019-2025, it said Wednesday.
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In addition to large upgrades of Nordic hydropower, the company has an ambition to reach 6,000 MW onshore wind and 2,000 MW solar by 2025, it said.
Overall, it plans some $5.5 billion for investment in Europe over the seven-year period to 2025.
Norway remains the largest single market for investments with a share of around 26%, it said.
Annual investments in the renewal of Norwegian hydropower plants amount to about NOK1.2 billion alone, it said.
Statkraft operates over 200 hydro plants with almost 13 GW of capacity in Norway.
In addition, investments are planned in new, green business opportunities, with the majority planned for Europe (42% not including Norway), but substantial growth will be added to markets where Statkraft is already present in South America and India.
Statkraft also has an ambition to triple renewables volumes managed on behalf of customers, it said.
The new strategy comprises developing, generating and trading energy, including purchasing and selling renewable power for other companies, it said.
The investments will be financed partly from earnings from existing businesses supplemented by systematic divestments of shares in completed solar and wind projects to financial investors, it said.
"The combination of our unique portfolio of flexible hydropower, in-depth market understanding, innovative solutions, as well as our customers' increased interest in renewable energy make us a preferred partner for both producers and consumers of clean energy," Statkraft CEO Christian Rynning-Tonnesen said.
Statkraft is Europe's largest producer of renewable energy and is fully owned by the Norwegian state. It has developed a significant market presence, especially in Germany where it is the biggest market player for renewables based on its direct marketing portfolio of almost 10 GW. Norwegian oil company Equinor will focus on offshore wind development.
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