Iberdrola’s Renewables EBITDA Boosted by West of Duddon Sands OWF

Business & Finance

Iberdrola has published its interim results for the half year to the end of June, which show that group’s EBITDA rose by 5.7% % and its renewables business EBITDA was boosted by increased capacity from West of Duddon Sands offshore wind farm.

“In the first half of 2015 Iberdrola invested more than £2 million each and every day to keep the lights on, cut carbon and keep energy affordable,” the company said in a press release. This was mainly spent on transmission and distribution network investments such as the world’s longest subsea HV cable between Scotland and England and the Beauly to Denny transmission line.

Annual investment in the UK has more than doubled since the integration of ScottishPower into Iberdrola in 2007, up from £600m in 2006 to £1.2bn in 2015.

ScottishPower has performed in line with expectations – helped in particular by increased returns from a greater asset base given the higher levels of network investments. Increased capacity from Iberdrola’s first offshore wind farm at West of Duddon Sands led to a rise in Renewables EBITDA as it is included in the like for like period for the first time.

Iberdrola said it is investing a record £1.2 billion in the UK in 2015. This includes upgrades of power transmission and distribution networks in Scotland, north west England and north Wales; and in renewable wind projects onshore and offshore. This is on top of £ £1.2 billion investment in 2014.

Commenting on the results, Ignacio Galán, chairman of IBERDROLA, said: “Iberdrola is now beginning a new cycle of growth with investment set to be around €4 billion per year focused on regulated networks and renewables. Our strong financial position has enabled ScottishPower to invest more than £2 million every day in the first six months of 2015 to help keep the lights on, cut carbon and keep energy affordable in the UK.”