Transmission system operator Amprion is accelerating grid expansion and continuing to grow. For the entire financial year, investments reached a new record of around 1.5 billion euros. The company plans to invest around 22 billion euros in the transmission grid over the next five years. Through its investments, the company addresses the accelerated expansion of renewable energy and the transformation of energy systems. The focus is on expanding the important north-south DC corridor on land and realizing Amprion's first four offshore grid connection systems.

A new phase of the energy transition is beginning, and we are increasingly moving from planning to implementation. We are currently implementing more projects than ever before, says Amprion CEO Dr. Hans-Jürgen Brick. In addition, the acceleration program initiated by the German government is starting to take effect, allowing us to implement important projects earlier than originally planned. We are well prepared for the tasks ahead.

Record investment to accelerate grid expansion

In fiscal year 2022, Amprion has invested a record €1.5 billion in the expansion and retrofit of grid infrastructure. This is an increase of approximately 15% over the previous year. The company has licenses for more than 200 kilometers of grids and has been able to complete 115 kilometers of grids, more than ever before.

Thanks to accelerated targets set by the German government, Amprion awarded the world's first two GW offshore grid connection systems, BalWin1 and Bal Win2, and intends to commission them two and three years ahead of schedule. For the underground cable project from Rastede to Bürstadt, the company intends to submit planning approval documents by mid-2024 – two years in advance.

To achieve these goals, Amprion continues to grow and develop. Staff numbers rose again in the last financial year, up 8.5% on the previous year to 2,237 employees. In 2023, the company plans to hire as many as 400 more people. This equates to a growth rate of about 18%.

On a successful and stable growth path

We focus on increasing the stability and flexibility of investment financing. Our long-term oriented shareholders support our growth process. Supportive regulatory conditions are another important prerequisite. Together with our flexible debt instruments, we are well positioned for the necessary investment needs, said Amprion Chief Financial Officer Peter Rüth. This is also evidenced by the company's successful issuance of its first green dual-tranche bond in 2022.

According to IFRS, revenues increased by 36.6% year-on-year to approximately EUR 3.5 billion. Revenues at Amprion's core business, Power Grids, rose 18.6 percent to around 2.1 billion euros. The investment realized in 2022 will continue to focus on power grid expansion, and more than 80% will be investment in capacity expansion. As a result, the regulated asset base, which forms the basis of future revenues, increased by almost 28% to around EUR 6.6 billion.

Due to the development of electricity and gas markets, the cost of system services is high. These include all interventions to stabilize the grid. In 2022, they will be about 2.4 billion euros, which is about double the amount of the previous year. These costs are covered by statute and will be refunded to Amprion with a delay. Therefore, this is a temporary burden on IFRS results.Editor/XingWentao