Iberdrola
Iberdrola is a Spanish multinational electric utility company based in Bilbao, Spain. Iberdrola has a workforce of around 34,000 employees in dozens of countries on four continents serving around 31.67 million customers. Subsidiaries include Scottish Power and Avangrid, amongst others. The largest shareholder of the company was, in 2013, Qatar Investment Holding; other significant shareholders are Norges Bank, Kutxabank and Bankia.
Iberdrola is a global energy company, the number-one producer of wind power, and one of the world’s biggest electricity utilities by market capitalisation. The group has businesses in numerous countries and supplies energy to over 100 million people, mainly in Spain, United Kingdom, USA, Brazil, Mexico, Germany, Portugal, Italy or France. With a workforce of 34,000 and assets in excess of €113bn, it achieved a turnover of €35bn and a net profit of €3bn in 2018.
History
Iberdrola was created on November 1, 1992 as a result of the merge between Hidroeléctrica Española and Iberduero. Hidroeléctrica Española, also known as Hidrola had started activity in 1907, while Iberduero started in 1944 as the result of the merge between Hidroeléctrica Ibérica and Saltos del Duero.The origin of Iberdrola lies in the Spanish industrialisation in the early 20th century, when Hidroeléctrica Ibérica was formed. As of 2011 and with the integration of Scottish Power and Energy East, now renamed Iberdrola USA, the company has become a major multinational group.
In 1840, a group of American entrepreneurs created the Hartford City Light Company, setting in motion the incorporation on the eastern seaboard of the US of Energy East, which would much later become Iberdrola USA. Meanwhile, thousands of kilometres away in Spain, a similar process was underway. In 1901 in Bilbao, a group of entrepreneurs headed by engineer Juan de Urrutia established Hidroeléctrica Ibérica. In 1907, Hidroeléctrica Ibérica shareholders created Hidroeléctrica Española to supply Madrid and Valencia. A decade later, Saltos del Duero was founded, opening the country's first hydroelectric facility in 1935, the Ricobayo power plant.
World War I forced the industry to seek new sources of energy and to install large distribution networks. Amid huge instability, US power companies began to join forces, attempting to become strong enough to withstand the economic and financial uncertainty. However, no one foresaw the magnitude of the stock market crash of 1929, which brought these emerging groups to the verge of ruin. In Spain, which had experienced a period of economic growth at the start of the 20th century, the industry suffered a severe setback in 1936 whose impact would be felt for the following two decades: the Civil War abruptly halted development, destroyed facilities and made maintaining the little equipment that remained extremely difficult.
Spain suffered international isolation in the 1940s and experienced extreme difficulty in acquiring technology and materials, prices of which were soaring. It was against this backdrop that Hidroeléctrica Ibérica and Saltos del Duero joined forces to form Iberduero.
In 1955, the South of Scotland Electricity Board came into being, paving the way for the creation of Scottish Power four decades later, in 1990. Two years after that, Hidroeléctrica Española and Iberduero teamed up, creating Iberdrola. In the latter part of the 20th century, Iberdrola began expanding into Latin America, mainly Mexico and Brazil.
With ScottishPower and Iberdrola formed in Europe, in 1998 Energy East Corporation came into being in the US following New York State Electric & Gas's acquisition of Central Maine Power, Southern Connecticut Gas Company, Connecticut Natural Gas Company, Berkshire Gas Company and RGS Energy Group.
Following the arrival of Jose Ignacio Sanchez Galan in 2001 Iberdrola began focusing on renewable energy. In 2007, the company continued its international expansion, increasing its presence in the UK and the US via the integration of Scottish Power and Energy East.
Iberdrola has faced several merger attempts and made additional acquisitions:
- Attempted merger between Iberdrola and Repsol in 1997, which failed due to a lack of agreement between the companies.
- Attempted merger between Iberdrola and Repsol in 1999, which was rejected by La Caixa.
- Attempted merger between Iberdrola and Endesa in 2000, which was stopped due the conditions imposed by Spanish Prime Minister José María Aznar.
- Attempted hostile takeover bid by Gas Natural for Iberdrola in 2003, which was vetoed by Spain's National Energy Commission.
- Acquisition of Scottish Power by Iberdrola in November 2006, which led to the integration of this company in April 2007. This gave rise to Europe's third largest utility.
- Acquisition of US company Energy East by Iberdrola in 2008.
- Acquisition of Brazilian company Elektro in 2011.
- Acquisition of US company United Illuminating in 2015.
Company Chairpersons
- Lucas de Urquijo Urrutia
- José Luis de Oriol y Urigüen
- Fernando María de Ybarra
- José María de Oriol y Urquijo
- Íñigo de Oriol Ybarra
- Pedro de Careaga and Baseabe, Conde de Cadagua
- Pedro de Areitio
- Manuel Gómez de Pablos
- Iñigo de Oriol Ybarra
- Jose Ignacio Sanchez Galan
Lines of business
Deregulated business
Iberdrola's liberalised business combines power generation, and gas and electricity supply. The company had assets with combined installed capacity of 46.471 MW at the end of 2015. Iberdrola manages its production assets, comprising hydroelectric, combined-cycle gas, nuclear and co-generation plants located in 40 countries, mainly in Europe, North America and Latin America. Output in Spain: 58,076 GWh in 2013, of which 14,795 GWh were produced at hydroelectric plants. As a result, 79% of Iberdrola's production in Spain was CO2 emission free.Regulated business
Iberdrola provides service to more than 32.26 million people. In Spain has over 10.91 million supply points and a total distributed energy of 92,676 GWh. The TIEPI indicator for supply quality has been situated at a value of 61,8 minutes. In the United Kingdom, the affiliate for the ScottishPower Group has over 3,51 million distribution clients. The volume of energy distributed has been 36.213 GWh. In USA, Avangrid has 2.2 million power supply points of electricity and 0,99 million of gas. The volume of energy distributed has been 31.337 GWh. In Brazil, Iberdrola has distributed a total of 29.941 GWh in 2015. The number of customers has been 13.1 million.Renewable energy business
At the end of 2015, Iberdrola had operating installed capacity above 14,787 MW producing a total of 32,812 GWh of electricity in the year.Main subsidiaries
ScottishPower
The UK's 4th largest energy provider, ScottishPower has 5.79 million customers across the country and 7,380 employees. It has generation assets in hydro, coal, combined cycle gas and cogeneration, as well as a distribution network covering 65,000 km of underground cables and 47,000 km of overhead lines. ScottishPower is involved in smart grid projects in Glasgow and Liverpool, and provides charging points as a member of the Glasgow consortium which is developing an electric vehicles project. The installed capacity in the United Kingdom has reached 6,342 MW and production has been 19,936 GWh in 2013.Iberdrola USA
, which became part of the group in September 2008, distributes electricity and gas to 2.44 million customers in the states of Maine and New York. It has offices located in its principal distribution centres in the two states. In New York, the business is shared by two operating subsidiaries – New York State Electric & Gas and Rochester Gas and Electric – both headquartered in Rochester. In Maine, Central Maine Power has headquarters in Augusta. NYSEG serves 878,000 electricity customers and 261,000 natural gas customers across more than 40% of upstate New York, whereas RG&E serves 367,000 electricity customers and 303,000 natural gas customers in nine counties around the city of Rochester. CMP is the largest energy supplier in Maine, serving over 600,000 customers.Iberdrola USA promotes important infrastructure projects in both Maine and New York. In Maine, CMP began construction in September 2010 of the Maine Power Reliability Program, a $1.4 billion upgrade of the state's transmission network which will also improve grid connections to Canada. It also began the roll-out of a smart meter installation plan for 625,000 customers in Maine. In New York, important infrastructure projects have been undertaken at Ithaca and Corning Valley.
In 2015 Iberdrola USA merged with UIL Holdings to become Iberdrola-controlled Avangrid.
Iberdrola Ingeniería
With projects in more than 30 countries throughout Europe, Asia, Africa and North and South America, Iberdrola Ingeniería and Construcción's services include engineering, supply, construction and commissioning, turnkey projects and operational support. In the area of R&D, is developing the Iter project.Iberdrola Inmobiliaria
Iberdrola Inmobiliaria offers a range a real estate products, with a focus on residential property, holiday homes, offices, factory premises and shopping centres.Assets in Spain
Iberdrola also owns hydroelectric plants, especially in the Duero river basin and the Tajo and Segura river basins, etc..Construction is finished on the 848 MW La Muela plant and on the 175 MW San Esteban II plan, on the Sil river. The San Pedro II project has started its construction.
See also: Saltos del Duero.
Combined cycle plants
- C. T. de Castejón 2, in Castejón, with 386 MW.
- C. T. de Castellón, in Castellón, with two units with a combined 1,650 MW.
- C. T. de Santurce, in Santurce, with 402 MW.
- C. T. Tarragona Power, in Tarragona, with 424 MW.
- C. T. de Arcos de la Frontera, in Arcos de la Frontera, with two groups with a combined 1,613 MW.
- C. T. Bahía de Bizkaia, in Ciérvana, which is operated jointly with three other operators, of 780 MW.
- C. T. de Aceca, in Villaseca de la Sagra, of 391 MW.
- C. T. de Escombreras, in Cartagena, with 831 MW.
Nuclear plants
- Almaraz Nuclear Power Plant
- Trillo Nuclear Power Plant
- Cofrentes Nuclear Power Plant
- Vandellòs II
- Ascó II
Thermal plants
- C. T. de Velilla, in Velilla del Río Carrión, with two units, one of 148 MW and one of 350 MW, in operation since 1964 and 1984, respectively.
- C. T. de Lada, in Langreo, which had as many as four units, but now only has one of 350 MW, put into operation in 1981.
Renewable energy
Major assets
- Renewable Energy Operations Centres - CORE
- The Whitelee Wind Farm .
- The El Andévalo wind farm
- Peñascal Wind Power Project
- Núñez de Balboa solar plant
Press articles
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