ESB Group has reported operating profit of €676m for the six months to June 2023, representing an increase of €157m (30%) on the same period in 2022, in its interim financial report for first half 2023.
The rise primarily relates to ESB’s operations in Great Britain (GB), with higher energy margins earned in the Group’s GB Generation and Trading business and improved performance in the company’s energy supply business in the country.
The results have enabled the developer to invest €779m of capital expenditure (an increase of 46% on the same period last year) in critical infrastructure.
ESB’s chief financial officer Paul Stapleton said: “This increased level of investment is required to ensure a reliable and sustainable electricity system as we transition to net zero.
“During the first six months of 2023, ESB invested €779 million of capital expenditure to support energy security and to lower the carbon intensity of our networks and our generation portfolios.
“These results, and the sustained financial stability of ESB, provide the basis for continued strong investment in a cleaner and more resilient energy future in line with the company’s strategic ambition of Net Zero by 2040.”
The company is “investing heavily” in the development of new wind and solar generation and significantly increasing the amount of renewable generation connected to Ireland’s electricity networks.
ESB has plans to help meet Ireland’s growing renewable energy needs, particularly in offshore wind and complementary green hydrogen projects.
Much of this is being progressed through partnerships with global players in the renewables sector, with potential for investment of over €20bn between now and 2040.
ESB Networks, through its Networks for Net Zero strategy, plans to invest €10bn in a more flexible and smarter electricity network out to 2030.