1. TenneT’s annual investments are expected to grow to at least €10 billion, driven by the need for grid expansion in Germany and the Netherlands.
2. The TSO invested €7.7 billion in 2023, with a significant portion allocated to grid expansion projects in both countries.
3. The potential sale of TenneT’s German operations to the Federal government is being negotiated, with a bridge loan facility provided by the Dutch state to support planned investments in both countries.
Dutch-German TSO TenneT is considering selling its German operations to the Federal government while expecting at least €10 billion in annual investments to expand the grid. In 2023, the company invested €7.7 billion split between the Netherlands and Germany for grid expansion. There are ongoing negotiations between the federal and Dutch governments regarding the possible sale of the subsidiary in Germany.
TenneT reported earnings before income and tax of €1.8 billion in 2023, with underlying revenues decreasing due to a decline in ancillary service costs. The Dutch power grid continues to reach capacity despite record investments. The Dutch state provided funding of €1.6 billion to cover Dutch operations and €25 billion bridge loan facility for planned investments in both countries.
TenneT’s CFO promises a sale within the next 12 months to sustain investment in grid expansion. The company emphasizes the need for a massive grid expansion to achieve a competitive and climate-neutral energy system, requiring a total investment of €160 billion.Consistent energy policy and solution-orientation from all parties involved are required to achieve this goal.