Well-developed grid infrastructure is the prerequisite to providing private households and companies with enough electricity, more and more of which is renewable.
Over the next five years (from 2022 to 2026), 50Hertz will invest up to €5.6 billion in overhead power lines, onshore and offshore cables and substations. This is almost twice as much as over the past five years (2017 to 2021). In addition to the growth in renewables, another driver for this development is the strong increase in the demand for electricity which we expect to see across our grid area. This increased demand is the result of existing efforts from industry to decarbonise processes and the result of new, high energy-consuming companies settling in the 50Hertz grid area because of its high share of renewable energy. The increasing electrification of the mobility and heating sectors will also lead to higher electricity consumption. 50Hertz’s current studies predict that the power demand across its grid area will increase by 30-40% by 2030. This shift is well underway: in 2021, electricity consumption in the eastern German states, Berlin and Hamburg was already 3% higher than in 2020 (103 TWh).
2021 was a successful year for 50Hertz and is economically fit to manage the tasks ahead. The company made a profit of €165 million. The company is also planning to continue financing most of its investments required for additional grid conversion and expansion projects by turning to capital markets, and by issuing another green bond in 2022.