Investment in clean energy is part of an oil company's transition strategy for the next decade.
Galp Energia wants to have a solar power generation capacity of 10 gigawatts (GW) by 2030, of which 1.4 GW already this year, said the president of Galp, Carlos Gomes da Silva, in London on Tuesday.
Galp announced in January an agreement with the ACS group for the purchase and construction of photovoltaic power generation projects in Spain with an installed capacity of 900 megawatts.
At the Investor Day, taking place in London, Carlos Gomes da Silva said that more projects are being developed, which will gradually increase capacity to 3.3 GW by 2023 and 10 GW by 2030.
“Galp has become the market leader in solar energy generation in the Iberian Peninsula, this is a milestone that we have reached, and we are going to strengthen the leading integrated offer in the region,” he said.
The 10 GW target “depends on our ability to find and develop projects that fit our investment capabilities,” he said.
Investment in clean energy is part of an oil company’s transition strategy, but also to extend and integrate Galp’s supply portfolio with an electricity option.
“We will combine power generation with storage and supply. We want to diversify the portfolio, reduce the carbon footprint, increase sales to customers and take advantage of profitability opportunities”, he justified.
In a statement to the market today, Galp Energia reported that the adjusted annual net profit amounted to €560 million, 21% lower than in 2018, and according to international accounting standards (IFRS) the drop is 46%, to €389 million.