Equinor establishes a new business area and appoints Helge Haugane as new executive vice president from September.
Power demand continues to grow from electrification of society and industry, expansion of artificial intelligence (AI) and data centres. Equinor has built a significant renewables business over the last two decades, with offshore and onshore wind and solar in operation and under development.
The company has added gas-to -power plants and energy storage assets to support intermittent wind and solar. Through strong trading capabilities, the combined offering supports higher value creation. To strengthen competitiveness and position for further valuable growth in the power markets, Equinor integrates these portfolios in a new business area.
“By combining our renewables portfolio with our flexible power offering, we strengthen our competitiveness and value creation in the power market. This reinforces our capability to deliver high returns and the continued disciplined growth in power production,” says Anders Opedal, chief executive officer in Equinor.
While the demand for electricity from renewable power will continue to grow, flexible power will ensure reliability and stability in the power offering to the market.
The new Power business area (PWR) will combine the current business area Renewables (REN) and flexible power assets from the business area Marketing, Midstream and Processing (MMP), allowing for a holistic approach to power and markets. The gas and power trading and market analysis organisation will remain part of Marketing, Midstream and Processing (MMP). Adjustments in the segment reporting between PWR and MMP will be considered as part of the process to establish the new Power business area.
Growing power portfolio
With three mega offshore wind projects underway in the UK, US and Poland and an increasing number of onshore renewables assets, Equinor’s power portfolio is growing.
Equinor has invested in energy storage through battery opportunities in the US, Poland and the UK. Flexible power is delivered by the gas-to-power plant, Triton Power, which Equinor owns together with SSE Thermal. The recent investment decision for partner operated Net Zero Teesside in the UK, will be the world’s first gas-fired power station with carbon capture. This is an important step in developing the power portfolio.
New executive vice president
Helge Haugane is appointed executive vice president for the new PWR business area and will start in the role from September when the organisational changes take effect. Haugane comes from the role as head of Gas & Power in the MMP business area.
“I look forward to building on Equinor's significant power position, both executing existing projects and further developing the portfolio. By integrating our power business, we can look across technologies, markets and ownership structures. This will be important for further profitable growth in the rapidly changing world of power,” says Haugane.
