Sourcing Renewables - May 19, 2021
ENGIE Revamps its Renewables Goals for Long-Term Growth
ENGIE announced May 18 that it is accelerating its renewable goals to add 300 GW of capacity between 2020 and 2025 and is committed to achieving net zero carbon by 2045.
The energy company expects its renewables sourcing to increase to 4 GW between 2022 and 2025 and 6 GW in 2026 to 2030. This would be driven by €15-16 billion of growth investment by 2023. If they achieve their renewables sourcing goals, it would mean a total installed capacity of 50 GW by 2025 and 80 GW by 2030.
Additionally, ENGIE plans to reduce the carbon intensity of its power generation to 158g/kWh in 2030 from 348g/kWh in 2017. The company will develop 2 GW of renewables capacity to end its coal-fired power generation in Chile and Europe by 2025, followed by its global operations in 2027.
“We are repositioning ENGIE to capture significant growth opportunities,” CEO Catherine MacGregor said in a statement. “The Group is committed today to embracing its role of industrial leader, with clear priorities, focused on operational excellence and delivery. A simpler ENGIE will be uniquely positioned to drive an affordable, reliable, and sustainable energy transition. With a stronger focus on renewable power, distributed energy infrastructure and renewable gases, ENGIE is building today the low carbon energy system of tomorrow.”
ENGIE intends to capitalize on the trends happening within the global energy sector, including major growth driven by the acceleration of decarbonization and increased demand. The company hopes for its geographic footprint to be reduced to less than 30 countries by 2023, down from 70 in 2018.
ENGIE plans to focus on Europe, North American and Latin America, with offshore wind across a wider geographic footprint, as it pursues its capacity targets.