Iberdrola, a Spanish company, doubles its British investment plan from $11 billion to $21 billion
Iberdrola, the largest Spanish power company, has increased its investment plan in its British subsidiary Scottish Power from 24 billion pounds ($31.37billion) to 2024-2028. This was announced ahead of an international investment summit held in London.
The investment comes at a time when Britain's Labour government is trying to attract billions of pounds worth of foreign investment as it celebrates its 100th day in office, and hosts global business leaders in the Oct. 14 Summit.
In a Thursday statement, British Prime Minister Keir starmer stated that "we are creating conditions for businesses and our International Investment Summit is a springboard to every part of UK to become an engine of investment and innovation".
Iberdrola said that around two thirds of the investment it would make in power transmission and distribution network will go to power transmission and distribution.
The energy system operator in Britain has estimated that 58 billion pounds will be required to upgrade the power grids in order to accommodate the expected increase in renewable projects as Britain strives towards its climate goals.
Plans by the Labour government to decarbonise electricity by 2030 require an increase in wind and solar power.
Ignacio Galan, Executive Chairman of Iberdrola and Scottish Power and Chairman of the Board said: "This is a significant vote in support for the UK's stable and clear policies. It is also a boost to the UK economy and its path towards Net Zero and green energy security."
Galan and Starmer will make the announcement together in Scotland, on Friday. The British leader will meet with regional first ministers and mayors at a Council of Nations and Regions focused on investment and growth.
Starmer's Office also confirmed that Danish offshore wind farm developer Orsted invested 8 billion pounds in UK wind farms, and Green Volt, a floating offshore wind project, invested 2.5 billion pounds.
(source: Reuters)
