- Norwegian renewable company, Scatec, confirms its current 4.5 GW capacity target for 2021 and raises its target to 15 GW by end of 2025.
- The business plan is supported by Scatec’s track record of strong growth and a solid project pipeline across solar, wind, hydro and storage in high-growth markets globally.
12 GW of new capacity, from current 3.3 GW, will require NOK 100 billion in investments according to company estimates, of which NOK 15-20 billion will be funded by Scatec equity. Solid long term cash flows from operating power plants and margins from development and construction of new plants are expected to fund a major part of Scatec’s equity investments.
“From the very first day, Scatec has been a frontrunner in an increasingly dynamic renewables market, and we continue to lead. In line with our broadened strategy, we are developing renewable energy solutions and combining solar, wind, hydropower and storage to the benefit of our growing customer base of state utilities and large energy consumers,” says Raymond Carlsen, Scatec’s CEO.
Since its previous Capital Markets Update in 2019, Scatec has taken major steps to broaden its business development activities to build a global leader in renewables. The project development footprint has been expanded to 35 countries, and the backlog and pipeline of projects has increased from 4.2 GW to 11.9 GW over the past two years. In 2020, the company acquired leading hydropower player SN Power, a transaction adding both scale and significant cash flow.
“Scatec is a pure renewable player. Our business model will continue to be based exclusively on delivery of reliable renewable energy. Our competence and track record across renewable technologies and in key growth regions paired with our integrated business model and strong partnership focus, create lasting competitive advantages,” says Carlsen.
Author: Bryan Groenendaal