Repsol plans to invest between €500 million and €1 billion in its low-carbon generation business between 2026 and 2028 as part of its updated strategy presented at its Capital Markets Day.
The company said the investment will support the expansion of its wind and solar portfolio as it targets up to 9GW of renewable energy capacity in operation by 2028.
Repsol added that the growth will be delivered under strict investment discipline, prioritising the highest-return projects and leveraging additional financing avenues such as asset rotations, project finance and the incorporation of partners.
The company has deployed a growth model in renewable energy since entering the sector in 2018 that has brought 6GW of capacity into operation and attracted partners including Pontegadea, Schroders Greencoat, Stonepeak and TRIG.
More than 3GW of wind and solar capacity has already been rotated through partnerships under this model, which Repsol said demonstrates the attractiveness of its renewable portfolio.
The company aims for the low-carbon generation business to be self-funded over the 2026–2028 period while securing returns above 10%.
Repsol will focus much of the new investment on projects in Spain and the United States.
In Spain, where the company has more than 3.2GW of renewable capacity in operation across hydro, wind and solar, it will prioritise higher-value projects including wind and battery energy storage systems as well as hybridisation of existing assets.
The company is also assessing future opportunities including the Aguayo II pumped-storage hydro project in Cantabria and potential demand linked to the expansion of data centres in Spain.
In the United States, where Repsol already has more than 2GW of renewable capacity in operation, the company will prioritise projects offering higher returns and favourable regulatory conditions.
Repsol said it will also maintain a broad pipeline of initiatives in the US to capture opportunities arising from rising power demand and possible regulatory changes, while considering the potential introduction of a partner.