Verbund, one of the key players in the Central European electricity sector, is advancing with a clear strategy towards decarbonization. Its goal is to generate 25% of its electricity from renewable sources by 2030, consolidating its presence in strategic markets and betting on the development of green hydrogen.

This was confirmed by Carlos Valverde, PPA Originator from Verbund, during the “Storage and Renewable Leadership Forum,” organized by Strategic Energy Corp. The executive highlighted the company’s growth in Europe and the challenges for the energy transition.

“With a business plan under Mission V, the goal is to increase wind and solar production to 25% by 2030, in addition to the more than 80 gigawatts of hydropower capacity we have in Central Europe. Moreover, we are going to deepen and strongly promote green hydrogen. In Central Europe, given the demand and everything related to it, we have local teams in different countries to develop this market”, Valverde stated.

Relive the event

The Storage and Renewable Leadership Forum was the first event of the year by Strategic Energy Corp, held in a two-part virtual format, co-organized with Mobility Portal Europe and Strategic Energy Europe. Additionally, Strategic Energy Corp partnered with Future Energy Summit (FES) to host this event, as FES is the leading platform for renewable energy discussions in Spanish-speaking countries.

Notably, on June 24, the third edition of FES Iberia 2025 will take place at Colegio Caminos (Auditorio Betancourt, C. de Almagro, 42, Chamberí) in Madrid  (Relive the previous edition here). The forum will feature companies such as Iberdrola, Nextracker, Engie, Grenergy, Statkraft, Acciona Energía, Red Eléctrica, and EDP Renovables, alongside key representatives from Spain’s regional governments and Latin America. Key discussion topics will include solar and wind energy, energy storage, green hydrogen, distributed generation, PPAs, auctions, and new projects.

During the event, Carlos Valverde, PPA Originator from Verbund, stated that the company is fully aligned with the European decarbonization plan. “The renewable energy and decarbonization plan in Europe is ambitious, but we are well-positioned to contribute to this transformation”, he affirmed.

More than 1.2 GW of renewable capacity in Europe

Verbund has consolidated its presence in Austria, Germany, and Spain, markets where it already operates more than 1.2 gigawatts of wind and solar energy. Additionally, the company has 2 GW of projects under development.

In Spain alone, the company has 700 megawatts in operation and 40 megawatts under construction, with plans to add another gigawatt of new capacity in the coming months.

Along with this renewable expansion, Valverde emphasized that the company is strongly committed to boosting the establishment of the green hydrogen market. Given the demand in Central Europe, Verbund has local teams across different countries to develop this market. This development is key to decarbonizing industry and transport, sectors that still heavily rely on fossil fuels.

“In Spain, this year will be both challenging and exciting, as we expect to start the construction of more than one gigawatt of fuel plants to reach COD (Commercial Operation Date) in the coming months or years. We will have to work hard because it is a highly competitive market”, stated the Verbund representative.

400 million euros in investment for environmental and social impact

To sustain this growth and ensure sustainable development, Verbund will invest more than 400 million euros until 2027 in environmental and community impact measures. “We know that having environmental mitigation measures is fundamental, but we want to go even further”, Valverde explained.

A critical aspect is the resistance from some local communities to new renewable projects. “We have observed negative opinions about some projects, but we believe that direct communication with communities from the beginning can change this perception”, Valverde commented. Verbund’s strategy focuses on working closely with local stakeholders to share benefits and minimize the environmental impact of power plants.

In this regard, the company’s approach prioritizes collaboration with local communities, ensuring direct benefits for the population near renewable projects. “When we develop a plant, we know we will be present for 30 years or more. Building positive relationships with communities and municipalities is key”, he highlighted. This strategy aims to enhance social acceptance of renewable energy, a crucial challenge in many European countries.

Challenges of the Energy Transition in Europe

While the growth of renewables is progressing at an accelerated pace, the sector faces regulatory and infrastructure barriers that could slow down its development. “The decarbonization plan for Europe is very ambitious and aggressive,” stated Valverde.

One of the main challenges facing the energy sector is the speed at which changes must be implemented. “When we face an emergency, it eventually gets resolved—this happened with COVID and the Russia-Ukraine crisis. Now, with the energy transition, we must act just as quickly,” he emphasized.

The executive highlighted that the European Union has already defined its roadmap with the Draghi report and the competitiveness compass, but he warned that there is no time to waste. “We hope this is considered an emergency so that we don’t spend years developing a strategy that, once ready, is already obsolete,” he stressed.

Additionally, competition in the global energy market is fierce. While Europe is advancing its decarbonization efforts, the United States and China are strengthening their position in key sectors such as electrification and energy storage. “It will be difficult to predict whether all these measures will be implemented in time to compete with other global powers,” noted the specialist, highlighting the need for more agile regulations and increased transparency in the permitting process.

“The permitting process, transparency in obtaining them, and regulation—not only at a national level but also across borders—require improvements. We need to increase interconnection capacities and, internally, reduce technical curtailments and boost renewable energy penetration,” he added.

On the other hand, Verbund emphasizes that increasing system electrification is one of the key drivers for Europe’s energy transition. “We can develop, develop, develop a lot, but we need a truly strong industry to utilize this enormous amount of renewable electricity, which would benefit everyone,” Valverde stated.

He pointed out that there cannot be delays between renewable infrastructure development and its effective use in industry and electricity consumption. The company is confident that the European Union will implement incentives to ensure a balance between generation and demand, preventing system imbalances. “I believe everything is considered in the competitiveness compass and the Draghi report, so it will truly become a reality,” he stated.

Market Optimization and New Business Models

The transformation of the electricity market requires new commercial strategies to maximize the efficiency and profitability of renewable projects. “We must optimize all commercial activities, from the day-ahead market to long-term PPAs,” Valverde explained.

The company is betting on commercial optimization in intra-day markets and integrating ancillary services, which are becoming increasingly relevant for the stability of the electrical system. “We have many tools available to increase project profitability while also providing additional benefits to citizens,” he affirmed.

Furthermore, he emphasized the importance of leveraging all technological improvements entering the market, including new solar energy advancements and emerging technologies, to make the system better and develop it faster.

Competition with other energy sources, such as nuclear and fossil fuels, remains a factor in the European market. However, Verbund ensures that well-structured renewable projects will always find their niche in the energy system, thanks to their cost competitiveness and contribution to reducing carbon emissions.