Log in
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Dynamic quotes 

MarketScreener Homepage  >  Equities  >  Bolsas y Mercados Espanoles  >  Naturgy Energy Group, S.A.    NTGY   ES0116870314


SummaryMost relevantAll NewsPress ReleasesOfficial PublicationsSector newsMarketScreener StrategiesAnalyst Recommendations

Naturgy Energy S A : Cogeneration plants need renewal plan to maintain their contribution to decarbonisation targets and industry competitiveness

11/20/2020 | 10:45am EST
Cogeneration plants need renewal plan to maintain their contribution to decarbonisation targets and industry competitiveness
  • A study claims that renewal plans are needed for existing cogeneration plants, which prevent around four million tonnes of CO2 emissions per year.
  • These plants are key to maintaining energy efficiency in processes and represent a major factor in company competitiveness.
  • Over 80% of the energy produced by these facilities is transformed through natural gas, the use of which leads to a significant emissions reduction.

Cogeneration plants prevent approximately four million tonnes of CO2 emissions per year, thereby contributing to economic decarbonisation under the European Green Deal.
It is therefore necessary to develop plans that incentivise the renewal of existing facilities. This claim is made by the authors of a report entitled 'Natural gas in industry' from Lonjas Tecnología, S.A., a global energy sector company specialised in the engineering and construction of cogeneration and renewable energy facilities.

At present, cogeneration plants in industry account for more than 90% of the total installed cogeneration power in Spain. The country has over 5,000 MW of cogeneration power, providing 23% of the thermal energy consumed by industry and 13% of total electricity consumption in Spain, according to this report published by the Naturgy Foundation.

'For this technology to maintain its contribution to saving primary energy sources and reducing
greenhouse gas emissions (4 Mt CO2), plans should be developed to incentivise the
renewal of existing facilities', say the authors of the study.

A high percentage of cogeneration plants will reach the end of their profitable life over the next ten years, which is what has compensated industries for their investment efforts to make this type of facility profitable, as well as to keep them operational.

In the case of Spain, the Spanish Integrated National Energy and Climate Plan (PNIEC) submitted to the European Commission provides for the renewal of 1,200 MW of the 2,400 MW of cogeneration power over the next ten years. 'This measure will lead to an increase in primary energy source consumption and air emissions, as well as a loss of competitiveness for many companies in our industrial sector that currently use cogeneration technology, meaning that re-evaluation should be considered', say the authors.

One aspect that all of the European national plans submitted to the EU for contributing to decarbonisation and renewable energy targets is the goal of increasing energy efficiency, which is mainly achieved through cogeneration in the industrial sector.

The importance of natural gas in cogeneration

According to the report, 'this considerable level of development of cogeneration in industry is a clear indicator that the use of this technology to supply the thermal energy needed by their processes is
a clear competitiveness factor for industry'. In this regard, the document highlights the importance of the industrial sector 'not only in terms of energy consumption but also in terms of generating wealth and jobs'.

'In this sector, the use of natural gas as a source of energy has been and continues to be important, especially
at cogeneration facilities, which, besides boosting the competitiveness
of companies, also make a significant contribution to the reduction of primary energy source consumption
and greenhouse gas emissions', insist the authors.

Over 80% of the energy produced by these facilities is transformed using natural gas, which accounts for 40% of total natural gas consumption by industry in Spain.

In this regard, the authors state that, 'in the current context of energy transition, and bearing in mind the difficulties faced by renewable energy sources to meet industry's demand for thermal energy, natural gas plays a fundamental role because it is a sources of energy with the availability, capacity and reliability to meet these demands, with fewer emissions and efficient capacity, so that it may achieve a greater emissions reduction in industry when mixed with other fuels, such as renewable hydrogen, in the future'.

Naturgy Foundation

This new report is part of the activities that the Naturgy Foundation carries out on issues related to energy and the environment, based on serious and rigorous debate, with the fundamental objective of promoting the rational use of energy resources and encouraging sustainable development. Set up by the power company in 1992, the foundation is also engaged in social action programmes both nationally and further afield, by influencing particular initiatives aimed at alleviating energy vulnerability.

Scoop and topic:
Corporate, Naturgy Foundation, Generation, Enviroment and Sustainability

Madrid, 18 November 2020


Naturgy Energy Group SA published this content on 18 November 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 20 November 2020 15:44:03 UTC

© Publicnow 2020
01/15NATURGY ENERGY S A : Acquires Hamel Renewables to Enter US Market, to Invest $1...
01/15NATURGY ENERGY S A : Plans to Invest Up to $1.8 Billion in US After Hamel Renewa..
01/15NATURGY ENERGY S A : to invest up to $1.8 billion in U.S. after solar acquisitio..
01/15NATURGY ENERGY S A : enters the United States with the purchase of a renewable c..
01/15NATURGY ENERGY S A : Buys Renewables Company in US for $57 Mln
01/14NATURGY ENERGY S A : Nears Deal to Acquire US Solar Firm Candela Renewables -Reu..
01/13Spain's Naturgy nears deal to buy U.S. solar firm Candela Renewables -sources
2020Naturgy mulls joint bid for WPD with Allianz -Expansion
2020ENI S P A : Wins EU Nod To Take Over Unión Fenosa Gas
2020NATURGY ENERGY S A : signs long-term energy sales contract to build a 97 MW wind..
More news
Sales 2020 19 822 M 23 935 M 23 935 M
Net income 2020 936 M 1 130 M 1 130 M
Net Debt 2020 15 460 M 18 667 M 18 667 M
P/E ratio 2020 21,1x
Yield 2020 7,18%
Capitalization 19 267 M 23 294 M 23 264 M
EV / Sales 2020 1,75x
EV / Sales 2021 1,57x
Nbr of Employees 10 799
Free-Float 26,9%
Duration : Period :
Naturgy Energy Group, S.A. Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends NATURGY ENERGY GROUP, S.A.
Short TermMid-TermLong Term
Income Statement Evolution
Mean consensus HOLD
Number of Analysts 20
Average target price 19,94 €
Last Close Price 20,05 €
Spread / Highest target 22,2%
Spread / Average Target -0,55%
Spread / Lowest Target -22,2%
EPS Revisions
Managers and Directors
Francisco Miguel Reynés Massanet Chairman & Chief Executive Officer
Carlos Javier Álvarez Fernández Chief Financial Officer
Ramón Adell Ramón Independent Director
Francisco Belil Creixell Independent Director
Helena Herrero Starkie Independent Director
Sector and Competitors
1st jan.Capitalization (M$)
TOKYO GAS CO.,LTD.-2.31%9 895
APA GROUP-0.93%8 706