RWE Bolsters Green Portfolio, Slashes CO2 Emissions by 27 percent in 2023

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RWE, the German energy giant, has made significant strides in its commitment to sustainability in fiscal 2023, expanding its green portfolio while achieving a notable reduction in CO2 emissions. The company’s financial report for the year revealed a net investment of €11.4 billion, marking a substantial increase from the previous year’s figure of €4.4 billion.

A major highlight of RWE’s investment activities was the acquisition of Con Edison Clean Energy Businesses in the United States, representing a substantial portion of the capital expenditure at €6.3 billion.

Additionally, investments were directed towards the development of new wind and solar power facilities alongside battery storage systems in Europe and the US. Further bolstering its green credentials, RWE added over 160 facilities to its portfolio, boasting a total capacity of 6.3 gigawatts.

In tandem with its expansion efforts, RWE achieved a remarkable 27 percent increase in green electricity production, leading to a corresponding 27 percent reduction in CO2 emissions. This drop saw emissions decrease from 83 million metric tons in 2022 to 60.6 million metric tons in 2023. Renewable electricity production surged to 45.2 terawatt hours, a notable increase from the previous year’s 35.5 TWh.

Markus Krebber, CEO of RWE AG, expressed satisfaction with the company’s performance, emphasizing the successful execution of its ‘Growing Green’ strategy. He attributed the achievement to the dedication of RWE’s employees and reaffirmed the company’s commitment to sustainable growth, with plans already underway for an additional 100 projects boasting a total capacity exceeding 8 gigawatts.

Financially, RWE reported robust figures for fiscal 2023, with adjusted EBITDA reaching €8.4 billion, surpassing initial forecasts. The company’s core business also exceeded expectations, registering adjusted EBITDA of €7.7 billion. Key contributors to earnings growth included international electricity generation and strong trading performance, alongside capacity expansion in renewables.

Despite the substantial investments, RWE maintained a solid financial position, with the leverage factor well below the self-imposed upper limit of 3.0. Net debt stood at €6.6 billion at the end of 2023, with an equity ratio of 31 percent, representing a significant increase from the previous year.

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