Terna to spend $7.1 B on grid shift to renewables

Terna said it would spend a record $7.1 B (6.2 B euros) on its power grid to deal with the shift toward the production of more renewable energy.

 


Italy, Milan: Terna said it would spend a record $7.1 B (6.2 B euros) on its power grid to deal with the shift toward the production of more renewable energy.

In its 2019-2023 plan, the company also promised to pay higher dividends as it forecast an average growth in core earnings of more than 4 %.

“The energy transition process is moving faster than expected and renewables and the phasing out of fossil fuels will have a major impact,” Chief Executive Luigi Ferraris told analysts.

The company, which expects its regulated asset base to grow to $21 B (18.5 B euros) by 2023, said two planned interconnections with Montenegro and France would come into operation during the plan. Terna, which also manages assets in South America, said it would be developing non-core businesses in connectivity using dark-fibre infrastructure.

Source: Reuters