Enel acquires ERG's hydroelectric power station in Italy for 1 billion euros

Seetao 2021.08.04
  • The acquisition includes 19 hydropower stations, 7 micro hydropower stations, 7 large dams and 4 reservoirs

Enel, through its subsidiary Enel Produzione, has agreed to acquire ERG Hydro for an enterprise value of 1.03 billion euros, which has a portfolio of 527 megawatts of hydroelectric power plants in Italy.

ERG Hydro is the hydropower business of ERG Power Generation, which is a wholly-owned subsidiary of the Italian renewable energy group ERG. The acquisition includes 19 hydropower stations, 7 micro hydropower stations, 7 large dams and 4 reservoirs in Umbria, Lazio and Marche, with an average annual output of approximately 1.5 TWh.

According to the normal market practice of the current transaction type, the transaction is expected to be completed in early 2022, subject to certain conditions. Enel intends to use cash flow from its current operations and existing debt capacity to fund the acquisition consideration. After the transaction is completed, the company's installed hydropower capacity in Italy is expected to reach about 13GW.

Salvatore Bernabei, CEO of Enel Green Power and head of Enel’s global power generation business line, said: “Through the acquisition of these strategic assets, we are consolidating our role as a leader in the energy transition in Italy, and we are taking an important step towards achieving the group’s goals. . Decarbonization goals.” Enel has operations in more than 30 countries and its installed energy capacity is approximately 89GW. Its subsidiary Enel Green Power has installed nearly 50GW of wind, solar, geothermal and hydroelectric power plants in Europe, America, Africa, Asia and Oceania.

Keywords: hydropower station, international engineering news, overseas engineering

In July, Enel Green Power North America acquired the 3.2GW development stage solar and solar + energy storage projects in the United States from Dakota Renewable Energy. The portfolio includes 24 development phase projects, which will be located in the Mid-Atlantic, Midwest and Western United States. These projects also include 450 megawatts of storage capacity and are expected to begin commercial operations in 2023.Editor/Baohongying