Business
Iberdrola to Invest €58 Billion in Power Networks by 2028

Iberdrola SA, the Spanish utility giant, has announced plans to invest approximately €58 billion (around $68 billion) in its power networks primarily in the UK and US. This strategic investment aims to capitalize on the anticipated growth of its grid business, which Iberdrola believes will outpace growth from traditional power plants in the coming years.
The company revealed that up to 65% of the total investment will be allocated to regulated assets, as stated in a release ahead of its capital markets day in London on March 15, 2024. Funding for this ambitious plan is expected to come from projected mid-to-high single-digit earnings growth in the future.
Strategic Shift Towards Grid Expansion
Iberdrola has increasingly focused its investments on expanding its global networks business over recent years. The utility has made significant acquisitions in Brazil, the US, and the UK, with approximately 85% of future investments directed toward countries with high credit ratings.
Chairman Ignacio Galan emphasized the importance of this new direction: “This plan aims to transform Iberdrola’s profile into a more regulated company, with networks as a vector for growth.” This pivot was first outlined in 2022 when Iberdrola agreed to enhance its stake in Brazilian power distributor Neoenergia SA.
Last year marked further expansion when the company acquired the remaining shares of its US subsidiary Avangrid Inc. and took a majority stake in the UK grid operator SP Electricity North West. These moves are part of Iberdrola’s broader strategy to enhance its presence in stable markets and position itself for future energy demands.
The Future of Electricity Grids
Iberdrola’s investment is timely as the global demand for electricity grids is set to escalate. The transition to renewable energy sources will require an infrastructure capable of transporting large volumes of power across borders. This shift is essential not only for heavy industries but also for the transportation sector, which increasingly relies on electric power.
By prioritizing the development of its grid operations, Iberdrola aims to play a pivotal role in facilitating this transition, ensuring that it is well-positioned to meet future energy needs while also delivering sustainable growth. The company’s approach indicates a commitment to evolving alongside the energy landscape, reinforcing its status as a leader in the global utility sector.
-
Science2 months ago
Toyoake City Proposes Daily Two-Hour Smartphone Use Limit
-
Health2 months ago
B.C. Review Reveals Urgent Need for Rare-Disease Drug Reforms
-
Top Stories2 months ago
Pedestrian Fatally Injured in Esquimalt Collision on August 14
-
Technology2 months ago
Dark Adventure Game “Bye Sweet Carole” Set for October Release
-
World2 months ago
Jimmy Lai’s Defense Challenges Charges Under National Security Law
-
Technology2 months ago
Konami Revives Iconic Metal Gear Solid Delta Ahead of Release
-
Technology2 months ago
Snapmaker U1 Color 3D Printer Redefines Speed and Sustainability
-
Technology2 months ago
AION Folding Knife: Redefining EDC Design with Premium Materials
-
Technology2 months ago
Solve Today’s Wordle Challenge: Hints and Answer for August 19
-
Business2 months ago
Gordon Murray Automotive Unveils S1 LM and Le Mans GTR at Monterey
-
Lifestyle2 months ago
Victoria’s Pop-Up Shop Shines Light on B.C.’s Wolf Cull
-
Technology2 months ago
Apple Expands Self-Service Repair Program to Canada