Iberdrola intends to participate in Australia’s energy transition. The company has already invested €2 billion and plans to invest another €3 billion in the country.
Iberdrola strengthens its position in Australia
The Spanish company Iberdrola is taking another step forward in its international leadership in energy transition. The company wants to reduce dependence on fossil fuels.
The company has committed to a major investment of €2 to €3 billion in Australia, with the aim of stimulating the transition to renewable energy in the country. It wants to reach 4,000 MW in the coming years. Iberdrola has already invested 2 billion euros in the country.
This announcement comes in the context of Iganacio Galán’s visit to Melbourne, Australia. He is scheduled to visit the company’s various renewable energy project sites.
Australia accelerates its energy transition
The country is multiplying its efforts to massively deploy renewable energies. However, according to a recent study, Australia is short of renewable energy. Thus, the government must redouble its efforts. In fact, the Australian electricity market is undergoing a major transformation.
The latter is moving from a centralized generation system based on large fossil fuel facilities to a distributed generation system based mainly on wind and solar.
This challenge presents enormous opportunities to help companies manage their energy costs. As well as to capture new sources of growth. There is a huge demand for renewable energy and storage projects.
There are several levers to ensure continued strong growth in renewable capacity. These include upgrading the transmission and distribution network and reducing the cost of storage technologies.
In addition, opportunities are emerging for the economy as the country embraces new sectors such as renewable hydrogen, ammonia and green materials, as well as innovation opportunities in offshore wind and storage.
Iberdrola, a major player in Australia
Iberdrola has been heavily involved in the Australian energy market since 2020 with the acquisition of Infigen Energy, Australia’s leading renewable energy company.
In addition to this major acquisition, the company has committed more than A$1 billion (about €700 million) to new projects.
In addition, Iberdrola recently acquired the rights to the world’s largest wind farm, Mount James, with 1,000 MW. As well as the 360 MW photovoltaic plant in Broadsound, Queensland.
In addition, it has invested in a smart solutions company, Autonomous Energy, which offers customized energy products to commercial and industrial businesses.
With these investments, Iberdrola has a mature portfolio of more than 2 GW of development projects that will facilitate the consolidation of renewable energies as the main vector of the energy transition.
The company currently has 1,062 MW of renewable energy installed. In addition, it is building two new facilities with a combined capacity of 391 MW, scheduled to come online in 2023.
Facilitating the energy transition
All these investments are based on the commitment to put customers at the heart of the energy transition. The company wants to provide reliable, affordable and environmentally friendly energy.
Industrial customers served by the company include some of Australia’s most iconic brands. Companies such as the mining company BHP and the supermarket chain Woolworths.
In early 2022, Iberdrola established its networks business in Australia. The country’s electrical grids, primarily transmission infrastructure, will need to be significantly expanded to capture wind resources. The same is true for solar resources, but also for transporting energy to coastal population centers.
Federal and state government initiatives have created a climate of confidence for foreign investment to develop new renewable energy generation and transmission projects.
