E.ON Earmarks EUR 1.3Bn for Renewables in 2016

E.ON’s renewables unit recorded a 10 percent lower EBITDA in the first quarter of this year, but its Wind and Solar business’ EBITDA rose by 42 percent, mostly due to the commissioning of Amrumbank West and Humber Gateway offshore wind farms. 

The company expects the two offshore wind farms to give a boost to its renewables unit by delivering earnings for this entire year.

E.ON said its medium-term plan includes EUR 3.4 billion of investments for 2016 in its core businesses, of which EUR 1.3 billion will be invested in renewables, primarily in Rampion offshore wind farm and a number of onshore projects.

In April 2016, E.ON decided to move forward with the Arkona offshore wind farm project in the Baltic Sea, with Statoil acquiring a 50 percent interest in the project. The contract on the sale of the 50 percent stake was signed in the first quarter of 2016, however, the transaction closed in April 2016.