Italy’s Enel intends to spend more to fund development in clean power and networks as it accelerates plans to reduce its carbon footprint and fulfill the growing demand for electricity, Europe’s largest utility stated Tuesday.
In its new marketing strategy, Enel mentioned it might spend 28.7 billion euros ($32 billion) by 2022 as it seems to install 4,700 megawatts of new green energy every year and cut its coal-fired electrical energy production capability by 61%.
Enel, which controls Spain’s largest utility Endesa, has allocated most of its renewable energy spend to decarbonize plants in Italy, Spain, and Chile, whereas creating green energy purchase schemes in Brazil and the U.S.
As governments all over the world introduce more stringent guidelines to satisfy climate targets, Europe’s energy sector is undergoing crucial change driven by a boom in renewable energy as prices fall and technology advances.
The organization, which is committed to fully phasing out coal by 2030, stated it expects renewable energy to reach around 60% of its total capability in three years, driving its carbon-free production to 68% by 2022.
The International Energy Authority estimates, by 2040, nearly 70% of global electrical energy will probably be generated from green sources, four times higher than today.
Enel, which has 71 million retail customers around the globe, said it was shifting to a more platform-based strategy to serve clients and manage assets across different nations.
Enel further said that it would raise spending on its grid by 7%, i.e., nearly 12 billion euros.