Our sector
Iberdrola in the global energy sector
We are a leading energy company with a century-long history, operating in the sectors of grids, renewables and electricity trading. Discover our vision for the energy market.
Iberdrola Group operates in the energy sector, focusing on grids, renewables and electricity trading, as well as related services across Europe (Spain, UK, Portugal, France, Germany, Italy and Greece), the United States, Brazil, Mexico and Australia. The group is also exploring growth opportunities in markets such as Japan, Sweden and Poland.
We are the largest utility company in Europe in terms of market capitalisation and one of the two largest in the world, with a valuation of more than €75 billion(*). We have a 27.3% share of the deregulated market on the electricity generation business and customers(*).
(*)At 31 December 2023.
Operational context
The increase in extreme weather events, together with the impact of some international conflicts such as the war in Ukraine, are affecting the global economy and causing volatility in commodity prices and transport costs. This situation underlines the urgency of moving towards electrification and decarbonisation of the economy to improve energy self-sufficiency and security. The COP28 Climate Summit in Dubai reflected a global consensus in this regard, with a commitment to triple renewable capacity by 2030, mobilising investments of $2.2 trillion per year.
The International Energy Agency (IEA) forecasts a significant increase in electricity demand, with 60% growth in the industrial sector by 2040, and a significant increase in the transport sector and in consumption in buildings. Thus, the share of electricity in total energy consumption could exceed 40% by 2040, requiring a massive deployment of electricity grids and an expansion of renewables. In addition, the adoption of storage technologies will be crucial to balance energy supply and demand.
To meet these challenges, collaboration between producers, consumers and energy managers is essential, with clear regulatory frameworks that facilitate investments in clean energy and the development of electricity grids.
Iberdrola in the global energy sector
The energy sector is a competitive and continuously evolving environment, marked by the demands of sustainability and the disruptive potential of new technologies. The following list identifies our competitors which, together with Iberdrola Group, occupy leading positions in the global market.
"All forecasts indicate that electrification is unstoppable. Iberdrola is once again ahead of the curve with a plan based on developing and digitalising grids, selecting growth in renewable energies and consolidating our position in energy storage."
Ignacio S. Galán
Iberdrola’s Executive Chairman
Iberdrola in the energy market
One of the three fundamental pillars of our activity – alongside Renewables and Grids – centres on supplying energy to our more than 36 million customers worldwide. In addition to providing energy to end users, we offer a number of energy products and services, with intelligent and innovative solutions for both residential and industrial clients.
Where are our customers in the world?
Our competitors in Spain's energy market
Iberdrola Group has been present in Spain for more than 120 years and is one of the country's leading energy groups, excelling in renewable energies thanks to its diverse business lines and strategic vision for the future. Currently, it is the leading energy supplier in the Spanish market based on the number of contracts.
Competitors in trading in Spain
Companies and number of contracts (*)
- Holaluz (201,204)
- ENI (229,485)
- CHC (305,877)
- Fenie Energy (360,922)
- TotalEnergies (1,080,550)
- Repsol (1,535,446)
- Other suppliers (2,117,246)
- Naturgy (4,420,559)
- Endesa (9,854,008)
- Iberdrola (10,181,258)
(*) At 31 December 2023
Iberdrola, leader in smart grids
At Iberdrola, we are a global leader in smart grids and have pioneered the call for investment in modern, flexible networks to facilitate the transition to a decarbonised and renewable system. We currently have €42.2 billion in network assets (*) and have earmarked 60% of our net investments (amounting to €21.5 billion) to this area by 2026, prioritising more than 80% of our investments in countries with an A rating.
Iberdrola has 1,276,520 kilometres of transmission and distribution lines – overhead, underground and underwater – in Brazil, Spain, the United States and the United Kingdom. These lines are complemented by 4,635 high- to medium-voltage transformer substations and 1,687,750 medium- to low-voltage distribution transformers,* weaving a solid network infrastructure to bring renewable energy from the production centres to the end user and to integrate distributed generation safely and efficiently.
* As of 31 December 2023.
Iberdrola in the wind energy sector
At Iberdrola, we recognised the global energy transition early on and made a strong commitment to wind at the start of the 21st century as a source of clean, renewable energy and a business opportunity. Now, more than 20 years later, Iberdrola Group stands as one of the world's leading wind energy producers, with 22,676 MW installed(*). We continue to lead in this sector, first with onshore wind and now with offshore wind as a critical driver of growth.
As such, of the €15.5 billion investment in renewable energies outlined in our Strategic Plan up to 2026, 54% is allocated to offshore wind and 28% to onshore wind.
(*) As at 31 December 2023.
Global energy mega trends
Electrifying the energy market is an unstoppable global trend, and a necessary step in the transition to a more secure and sustainable energy system. This was stated by our Executive Chairman Ignacio Galán at the Capital Markets & ESG Day 2024, while announcing the investment of €41 billion and the hiring of 10,000 people to accelerate this electrification.
"The electrification of energy is unstoppable and will expand exponentially in the years ahead, supporting decarbonisation, boosting energy security, and reducing the volatility caused by fossil fuels. Our strategic pillars focus on networks, geographical diversification, and a balanced energy and customers mix."
Ignacio S. Galán
Iberdrola’s Executive Chairman
In this context, there are other mega trends and market expectations that Iberdrola confirmed in advance in November 2022 and which are being met:
Electrification in all sectors, including difficult-to-decarbonise sectors such as transport and industrial heat.
Investment in renewables, replacing fossil fuels, and increasing demand.
The need for smart grid infrastructures that efficiently connect clean energy to the system.
New demand enablers: residential and industrial heating and cooling, mobility, green hydrogen and derivatives, as well as digitalisation and data centres.
Essential role of energy storage and dispatchable renewables: supply and demand matching, price modulation and lower emissions.
We are driving the decarbonisation of electricity
More about our sector
Benefits of electrification
To reduce greenhouse gas emissions, we need to replace the electricity used to perform tasks or power systems from fossil fuels with electricity from renewable energy sources.
What is electrification?Benefits of electrification
To reduce greenhouse gas emissions, we need to replace the electricity used to perform tasks or power systems from fossil fuels with electricity from renewable energy sources.
What is electrification?