E.on, the Essen-based DAX-listed energy company, has unveiled an ambitious investment plan of €43bn to be completed by 2028, marking a significant boost from its earlier target. This additional €1bn investment will be directed toward expanding and modernizing its network infrastructure an essential component of the energy transition.
CEO Leonhard Birnbaum stressed that the planned investments are crucial for integrating renewable energy sources into Germany’s electricity and heating networks. One of the key challenges addressed by this initiative is the efficient transmission of wind power, which is largely generated in northern Germany, to the southern regions where demand is higher. Additionally, the investment will focus on expanding options for storing surplus electricity produced during periods of high solar radiation, ensuring a stable power supply during times of low generation.
The upgrade is expected to have a positive impact on day-to-day operations, with management now forecasting adjusted operating EBITDA to exceed €11.3bn in 2028 surpassing previous estimates and analyst expectations. This performance improvement is seen as a direct benefit of the enhanced network capabilities and operational efficiencies brought about by the substantial investment.
E.on’s strategy is firmly aligned with the broader goals of the energy transition. By preparing its grid for increased renewable integration and ensuring robust storage and transmission systems, the company aims to support a more sustainable and resilient energy future. The initiative also positions E.on to meet the challenges of the upcoming 2029 electricity regulation period, reinforcing its commitment to long-term stability and growth in a rapidly evolving energy market.
