ERG Aims for 5GW Renewable Portfolio by 2028 with “Value over Volume” Strategy

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has set ambitious targets to expand its renewables portfolio, aiming for an installed capacity of approximately 5GW by 2028. This growth trajectory represents a substantial increase from its current installed capacity of 1.2GW.

To achieve this goal, ERG is targeting 4.5GW of installed capacity by 2026, emphasizing a strategic focus on wind, solar, and storage projects. The US market holds particular importance in ERG's expansion plans, with a target of achieving 500MW to 700MW of installed renewables capacity.

Employing a “Value over Volume” strategy, ERG aims to achieve value creation of 200bps-400bps on the Weighted Average Cost of Capital (WACC), amidst a backdrop of extreme market volatility. This approach entails a selective investment strategy based on the projects available within its pipeline.

, Chief Executive of ERG, articulated the company's strategic vision, stating, “Growth will be pursued through a strategy that we have called ‘Value over Volume', an extremely selective approach in the choice of investments, through organic development and M&A.”

Merli highlighted ERG's commitment to sustainability and financial soundness, emphasizing the importance of these principles in guiding the company's growth trajectory. He underscored the introduction of a more rewarding remuneration policy for shareholders, ensuring a minimum distribution of €1 per share, with the flexibility to increase to €1.3 based on annual performance.

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