The Strategist

Enel to invest €18.6B in power grids in 2024-2026

11/23/2023 - 06:41

During the years 2024–2026, the Italian energy company Enel intends to make significant investments in the modernization of power distribution networks while concentrating on the extremely lucrative renewable energy market.

The company's revised medium-term plan states that a total of approximately €35.8 billion in capital investments will be made over the following three years. Of this, €12.1 billion will go toward renewable energy sources and €18.6 billion - toward the electrical grid. Of the total capex, approximately 49% will come from Italy.

Enel plans to cut expenses by roughly €1.2 billion by 2026. The company also plans to lower net debt by roughly €11.5 billion in 2023–2024 through asset sales.

Specifically, the business declared the $1.4 billion sale of its Peruvian generating assets to Niagara Energy, a local business.

Enel anticipates a net profit of €7.1–7.3 billion in 2026 and an EBITDA of €23.6-24.3 billion.