(Finance) – Oneselective capital allocation aimed at optimizing the risk/return profile, efficiency and effectiveness which drivers of operations, e financial sustainability and environmental to pursue value creation in addressing the challenges of climate change. They are the three pillars of Strategic Plan 2024-2026 Of Is in thepresented today to the financial markets and the media by the new management of the Italian group, CEO Flavio Cattaneo and CFO Stefano De Angelis.
THE regulated businesses they will be at the center of the group’s strategy with the aim of improving quality and resilience. Similarly, investment decisions in renewable they will be more selective, through the diversification of technologies and countries, improving returns and reducing risks, also by leveraging partnerships.
“It’s not me but the International Energy Agency that says we need to invest in the networks. There is a need for 600 billion in annual investments. We invest more in the networks because we have invested a lot in renewables, but little in adapting the networks in renewables which are not only utility scale but also self-production Climate change and atmospheric events around the world create a problem on networkswith the older ones suffering”, said Cattaneo.
“If we compare ourselves with history, there are two numbers for the change in strategy: 5 billion less are invested in generationand therefore in renewables, because profitability is not as expected and we cannot burn the shareholders’ cash, and 4 billion more on net“, he added.
Debt, the reduction of which was at the center of the previous plan, is no longer described as a big problem today, so much so that few questions on this front were received in the presentation to the financial community, the CEO underlined. “We know the market and we know that it depends on the situation, that is The theme of debt is its sustainability“, Cattaneo said, adding that “we will not spend and we will not increase the debt, but we will only spend the cash we generate“.
Cattaneo then remarked that this is “a prudent plan. We’ve been here for six months, give us time, I’ve already bought 1.5 million shares, now I want to buy another million and I don’t intend to lose.”
On the front of the nuclearwhile reiterating that Enel is not interested in participating in the construction of plants with current technologies but that it is looking at all technological revolutions, Cattaneo highlighted that “if there is a company that is ready to leave tomorrow morning it is Enelbecause it has over ten years of experience in this sector” and will therefore evaluate “the opportunities that arise” in this field.
As regards environmental sustainability, Enel intends to continue with the reduction of its direct and indirect emissions of greenhouse gases, in line with the Paris Agreement and the 1.5°C scenario, and specifically confirms the objective of close all remaining coal plants by 2027, subject to authorization from the competent authorities. “We confirm the closure everywhere except in Sulcis, which is considered essential for Sardinia, so it’s not that we don’t want to close. So in 2027 all of them, in 2025 Italy except Sardinia”, said the CEO.