Germany's largest energy supplier, E.ON, plans to invest €42 billion ($46 billion) in the energy transition across Europe starting this year until 2028, with a focus on expanding the electricity grid, the company reported on Wednesday.
The previous five-year plan envisaged about €33 billion for the period between 2023 and 2027. The aim is to invest in a secure, competitive and sustainable energy system, the company said.
Of the €42 billion, €34 billion is to be channelled into the grid business, with €25 billion earmarked for investment in Germany.
"What Europe needs now is an intelligent energy infrastructure for sustainable, secure and affordable energy," said E.ON chief executive Leonhard Birnbaum in a statement.
"This is exactly what we have focussed E.ON on and we are consistently pursuing this course. This means that we will continue to invest massively in order to meet the rapidly growing demand for energy infrastructure," Birnbaum said.
E.ON confirmed the key figures for the 2023 financial year presented in early February, according to which earnings before interest, taxes, depreciation and amortisation (EBITDA) adjusted for one-off effects rose by 16% year-on-year to €9.4 billion.
Adjusted net profit increased by 12% to €3.1 billion. Shareholders are to receive a dividend of €0.53 per share (2022: €0.51).
In the current year, E.ON expects adjusted group EBITDA of between €8.8 billion and €9.0 billion.
The energy giant announced that adjusted group earnings should rise to over €11 billion by 2028.
According to its own information, E.ON is one of the largest distribution network operators in Europe with around 1.6 million kilometres of electricity and gas lines in nine European countries.
In Germany, the company is the largest distribution network operator. Of the almost 1.9 million kilometres of electricity grid, E.ON operates almost 700,000 kilometres. It also manages 100,000 kilometres of gas network.
