Enel, the Italian electricity company to which Endesa belongs, plans to make investments worth 40,000 million euros until 2023, which represents an increase of 36% compared to what has been foreseen so far.
This is reflected in the Strategic Plan 2021-2023, presented this Tuesday by the Italian company, which contemplates that these investments will mobilize another 8,000 million from other companies.
More than 90% of these investments will be in line with the UN Sustainable Development Goals (SDGs). Furthermore, according to Enel’s initial calculations, between 80% and 90% of the Group’s consolidated capital expenditure will be aligned with the EU criteria for its substantial contribution to mitigating climate change.
Of the investment to be made by Enel, more than half is dedicated to the generation of global energy, with around 17,000 million euros to renewable energy, which will lead to a Global installed consolidated renewable capacity of 60 gigawatts (GW) in 2023, 33% more than this year.
As a result, along with the closure of thermal power plants, the Group’s CO2 emissions are expected to decrease by more than 30%, from 2020 to 2023, which puts Enel on the path to achieving its decarbonisation goal by 2030 80% of greenhouse gas emissions in relation to 2017.
On the other hand, around 43% of the investment will be for the deployment of Infrastructure and Networks and the rest to clients.
At the Group level, Enel expects ordinary gross operating profit (Ebitda) to be in the range between 20,700 and 21,300 million euros in 2023, which implies an annual growth rate of between 5% and 6%.
It also hopes that the ordinary net profit is in a range between 6,500 and 6,700 million euros in 2023, which implies an annual increase of between 8 and 10 %%.
Enel expects to achieve the continuous optimization of the Group’s financial management, in particular through an increase in sustainable finance, which will represent around 50% of total gross debt in 2023, which translates into lower cost of debt.
Regarding the dividend, shareholders will receive an increasing guaranteed fixed dividend per share (DPS) over the next three years with a target of 0.43 euros per share in 2023, which represents a growth of 7%.
Enel has also presented some forecasts for 2030. In this decade, it expects the group’s ordinary Ebitda to increase at an annual rate of between 5% and 6%, while the ordinary net profit will do so between 6%. and 7%.
The Group expects to mobilize investments of 190,000 million euros in the 2021-2030 period, promoting decarbonisation, the electrification of consumption and the platforms to create sustainable shared value for all stakeholders and profitability in the medium and long term.
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