Statkraft cuts renewable energy targets over 'challenging market conditions'
Europe's largest green power producer also sells non-core businesses in heating, biofuels and EV charging under new CEO Ringstad Vartdal
Statkraft has cut its wind, solar and battery storage targets as part of a strategy update under its new CEO.
It also plans to divest its district heating business and find investors for biofuels company Silva Green Fuel and EV charging firm Mer.
The Norwegian power giant now has an ambition to develop 2-2.5GW of solar, onshore wind and battery storage per year from 2026 and onwards. That is down from a previous target of 2.5-3GW from 2025 on, and 4GW from 2030 on.
The state-owned company is also lowering its target for wind at sea to 6-8GW by 2040, compared to a previous (internal) target of 10GW.
“Market conditions for the entire renewable energy industry have become more challenging. We are therefore sharpening our strategy to allocate the capital to the most value-creating opportunities with the best strategic fit,” Vartdal said.
As part of the sharpened strategy, Statkraft will prioritise investments in its vast Norwegian hydropower activities, market operations and growth in solar, wind and batteries in Europe, as well as in selected international markets.
Next to some offshore wind, the company said it will also “build options” in hydrogen, where it now targets to deliver 1-2GW by 2035, compared to a previous target of 2GW by 2030.
“With a sharpened strategy, we are well equipped to deliver both good value creation for the owner [the Norwegian state] and to be a strong driving force in the energy transition in Norway, Europe and the world,” Vartdal said.
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