TenneT on track for the energy transition

31.07.2019

Highly satisfactory business results and maintenance of the high level of 99.99% security of supply, are hallmarks of the half year report of the Dutch-German TSCNET shareholder Tennet. The latter is a growing challenge for the transmission system operator (TSO) because of the increased feed-in of volatile renewable energy. But above all, the report illustrates the commitment of the TSO to the European energy transition.

To take further steps in shaping the energy system of the future, TenneT has launched a series of strategic initiatives and partnerships to join forces across sectors. TenneT is participating in a German power-to-gas pilot project and is working together with regional grid operators and market partners on smart solutions to optimise the use of existing electricity infrastructure. The TSO is also involved in blockchain pilots to create flexibility for balancing the power system from decentralised sources.

TenneT has further strengthened its position as a leading offshore TSO. In Germany, TenneT has awarded DolWin 5, the 14th offshore grid connection. TenneT will increase its current offshore transmission capacity from 6,232MW in the German North Sea to almost 9GW by 2024. In the Netherlands, too, the development of the offshore grid with the Borssele Alpha and Beta projects is on schedule. TenneT intends to provide a total of 10.6GW of connection capacity for Dutch offshore wind farms by 2030. The TSO is also carrying out several onshore projects to ensure the transport of the growing amount of green electricity and thus security of supply in its control areas. Important interconnecting projects are the NordLink cable connection, which is currently being built to directly link the German and Norwegian markets for the first time. The COBRAcable between the Netherlands and Denmark has “landed” at the Dutch shore and will go into operation this year.

These developments are complemented by solid and impressive figures: Underlying operating result (EBIT) rose from €362m (first half of 2018) to €407m in the first half of 2019. €1,094m (first half of 2018: €904m) were invested in the Dutch and German high-voltage grids (of which €612m in Germany) and a total of €1.75bn green bonds were successfully issued. Manon van Beek, CEO of TenneT, comments on the report: “We have embarked on an irreversible transition to a sustainable society and a new energy system. This requires investments, not only in new electricity connections, but also in innovations and digitalisation. We have to move to holistic energy system thinking and also work on solutions to make better use of the existing high-voltage grids. We are convinced that this is the way forward to limit social costs and at the same time maintain a very high security of supply.”

TenneT presents its half year report 2019 (picture: TenneT)

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