Equinor has established a new business area, combining renewables with its gas-to-power and energy storage units as it aims to capitalize of rising power demand.
The announcement comes in response of growing power demand from electrification of society and industry, expansion of artificial intelligence (AI) and data centers, according to Equinor.
The new power business area will combine the current business area renewables and flexible power assets from the business area marketing, midstream and processing, allowing for a holistic approach to power and markets.
The gas and power trading and market analysis organization will remain part of marketing, midstream and processing. Adjustments in the segment reporting between power business area and marketing, midstream and processing will be considered as part of the process to establish the new power business area.
Helge Haugane has been appointed executive vice president for the new power business area and will start in the role from September when the organizational changes take effect. Haugane comes from the role as head of Gas & Power in the marketing, midstream and processing business area.
“I look forward to building on Equinor's significant power position, both executing existing projects and further developing the portfolio. By integrating our power business, we can look across technologies, markets and ownership structures. This will be important for further profitable growth in the rapidly changing world of power,” said Haugane.
With three mega offshore wind projects underway in the UK, US and Poland and an increasing number of onshore renewables assets, Equinor’s power portfolio is growing.
The company has added gas-to -power plants and energy storage assets to support intermittent wind and solar. Through strong trading capabilities, the combined offering supports higher value creation, Equinor said.