The company revealed that over the past year, it has engaged in constructive talks with KfW, representing the German State, in close collaboration with Berlin and the Dutch State, which serves as TenneT's sole shareholder.
As of now, no conclusive agreement has been reached, and no final decisions have been made. TenneT emphasizes that there is no certainty regarding the materialization of a transaction, and discussions between the grid operator and KfW will persist in the coming period.
In anticipation of further developments, TenneT and the Dutch state have established arrangements concerning a shareholder loan facility amounting to €25 billion. This facility is designed to secure TenneT's planned investments in the Netherlands and Germany for the years 2024 and 2025. The utilization of the loan facility is contingent upon various factors, including the progress and resolution of discussions surrounding the potential sale of TenneT's German activities.
To uphold the security of electricity supply, TenneT has committed around €8 billion to investments in electricity grid expansion in 2023, nearly doubling its investments from the previous year, which stood at €4.5 billion in 2022. Looking ahead, the company anticipates annual investments of over €10 billion in electricity grid expansion for the coming years.
The announcement underscores TenneT's strategic considerations and ongoing efforts to navigate the evolving energy landscape, while ensuring a balanced and secure electricity supply for the regions it serves.