RWE to Spend EUR 1.5 Billion on Renewables Annually

Business & Finance

RWE, the renewables businesses of E.ON and innogy, is planning to set aside approximately EUR 1.5 billion net in annual funds for investment mainly in the offshore wind, onshore wind and solar PV sectors.

According to RWE, the renewables business will focus on the Americas, key markets in Europe and new markets in the Asia-Pacific region.

The company said it will pursue an integrated value chain approach in the renewables division, including development, engineering, construction, operation and commercialisation.

RWE has also determined the basic set-up and the management team, with Anja-Isabel Dotzenrath as CEO, Holger Himmel as CFO and Tom Glover as CCO, who will be in charge of the commercial management of, and marketing electricity from, the renewable asset.

The team will also consist of an additional three COOs, who will head the operational units and be responsible for project development, as well as construction and operations.

“We are creating a globally leading renewables business and want to expand it further. We will achieve that with a diversified renewable technology portfolio and an integrated value chain. We have set the stage for this,” said Markus Krebber, CFO of RWE.

E.ON and RWE reached an agreement in March 2018 under which E.ON would acquire RWE’s 76.8% stake in innogy in return for granting RWE effective participation of 16.67% in E.ON SE. E.ON will transfer to RWE most of E.ON’s renewables business, with RWE receiving the entire innogy renewables business.

The next step in the transaction is the antitrust approval from the competition authorities, which is expected by the summer of 2019. The execution of the transaction is supposed to be completed by the end of the year.