Our ESB Group Strategy is framed as a response to the long term forces that are at work within the markets. At a fundamental level, the current business environment for European power utilities is marked by significant uncertainty, with widely different views of drivers such as future fuel prices and technological evolution.
For ESB, there are three factors that transform the context within which ESB operates and that the strategy addressess:
A European and national energy and climate policy
- Market integration through establishment of regional energy markets (REM)
- A challenging European and Irish economic environment
The five priorities of ESB Group Strategy to 2025
To deliver its vision and mission, ESB believes it has to achieve the objective of being a strong, diversified vertically integrated utility (VIU). Our Group Strategy is focused around five key priorities, each of which is designed to support this objective.
ESB sees vertical integration as providing balance and adaptability in the context of uncertain environments. ESB creates value by managing and developing a portfolio of investments across the energy value chain.
It also seeks to exploit its assets and expertise in related adjacent markets. Through disciplined financial management of business units, ESB retains the flexibility to respond to external changes in the environment.
Generation/Supply Business of Scale
In response to the integration of the Republic of Ireland (ROI), Northern Ireland (NI) and Great Britain (GB) electricity markets, ESB is growing the scale and capabilities of its generation, trading and supply businesses so we can compete within this new all-islands competitive environment.
Recognising the long term imperative to decarbonise society, ESB is investing to reduce the carbon intensity of its power generation plant and increase the role of renewable energy in its fuel mix, in line with the overall market and public policy.
ESB is working to deliver high quality and affordable electricity networks for its customers in both the ROI and NI. This includes investment to underpin social and economic development, security of supply and the achievement of climate change targets.
Recognising that forces such as decarbonisation, competition and technological evolution dramatically change the operating context, ESB is innovating to create and grow new opportunities in areas directly adjacent to its core business.
Engaged and Agile Organisation
The delivery of the strategy requires an organisation that is flexible, highly motivated and adaptable. ESB creates a dynamic workplace that stimulates and engages its people so that they can respond quickly and effectively to change.
Transformed Cost Structure
Increased competition, an uncertain economic environment and the need to fund future growth requires ESB to operate with even greater efficiency. ESB enhances the cost-effectiveness of its business so that it can survive and prosper in this new context.