Germany’s E.On has announced its planned investment programme for the next three years.

The prgramme, totalling €18.6 billion, will focus on power stations and gas and electricity transmission grids, the company says.

Almost 90 % of the total will be capital expenditure on property, plant and equipment with most of the investments used to modernise or build power stations and grids. However, approximately €2.3 billion has been earmarked for financial investments, especially in eastern Europe and in the gas production sector and some €1.2 billion will be used for renewables The Central Europe Market Unit will invest some €7.4 billion, including €6.6 billion in property, plant and equipment. Power generation will account for around €2.6 billion. In Germany, a new 1,100 MW coal-fired station at Datteln and two combined-cycle plant units at Irsching in Bavaria are to be built, while roughly €2.8 billion is intended for grid maintenance and expansion in Germany alone, one priority being the expansion of power grids to connect wind generation. Another gas-fired station will be built at Livorno Ferraris in Italy.

A total of €3.7 billion will be devoted to power and gas grids in central Europe with the Pan-European Gas Market Unit investing some €3.2 billion, including €1.9 billion in the extension of gas transmission pipelines, storage and upstream facilities.

Investments by the UK Market Unit totalling some €3.7 billion will likewise focus on grids and power stations including a 1,200 MW gas-fired station and a 450 MW coal-fired station. Power generation from renewable energy sources, especially wind energy, will also be expanded. In addition, some €300 million is envisaged for financial investments in wind park companies.

The Nordic Market Unit will invest €2.7 billion, mostly on the modernisation and extension of power and gas grids, enhancement of power stations, construction of a cogeneration plant in Malmö and several wind parks.

In the US-Midwest some €1.7 billion is to be invested through to 2009 with the emphasis on environmental measures at existing power stations as well as the upgrading of power and gas grids. Also planned is the construction of Trimble County 2, a 750 MW coal-fired power station.