Regulatory stability and the commitment of the different administrations to decarbonisation have helped Iberdrola, Europe's leading electricity company and one of the four largest in the world in terms of market capitalisation, to strengthen its commitment to the United States, the main destination for the group's investments, with more than 21.5 billion dollars planned for the three-year period 2023-2025. The number of employees of the Group's US subsidiary, AVANGRID, exceeds 7,500 and the company generates a total of 70,000 jobs in the country through its investments and acquisitions.
The combination of grid business and renewable energy generation is one of the main differentiators of the company, positioned to fully capitalise on all the benefits derived from the energy transition. In the last three years (2020-2022), the company chaired by Ignacio Galán has invested USD 9 billion in the United States, and in 2021 alone it exceeded USD 3 billion.
In the transmission and distribution grids business, the company is investing in modernisation and digitalisation, in order to increase service quality and resilience to extreme weather events and to enable the integration of more clean energy into the system. It is also the third largest renewable energy company in the country in terms of installed capacity and leads the development of offshore wind energy, a key vector of the energy transition, with a project portfolio of more than 6,000 MW. Iberdrola's installed renewable capacity in the United States is expected to reach approximately 10,000 MW by 2025, with 70% growth in a decade.
It currently has two of the country's most important renewable energy and grid initiatives underway: the construction of the 806 MW Vineyard Wind 1 offshore wind farm in the waters off Massachusetts, and the acquisition of PNM Resources in New Mexico and Texas.
In early 2022, through its US subsidiary AVANGRID, Iberdrola was awarded more than 2,000 MW of offshore wind capacity on the east coast: the Park City Wind (804 MW) and Commonwealth Wind (1,232 MW) offshore wind farms, which are currently undergoing permitting by the Bureau of Ocean Energy Management (BOEM).
Total investment in these three projects could exceed $10 billion over the current decade, and would generate clean energy for more than 1.5 million homes.
AVANGRID also has the Kitty Hawk project (3,500 MW), in North Carolina waters, whose first phase, Kitty Hawk North (800 MW) has already begun the BOEM permitting process.
In line with the US government's commitment to green hydrogen, in October 2022, Iberdrola and the US company Sempra Infrastructure announced an agreement for the joint development of large-scale green hydrogen and ammonia projects to meet the decarbonisation needs of US industry.
In less than two decades, Iberdrola has become one of the largest groups in the North American electricity sector, listed on the New York Stock Exchange since 2015.
Headquartered in Orange, Connecticut, and with approximately $40 billion in assets, the firm is present in 24 states and manages more than 9,450 MW of installed capacity, of which more than 8,600 MW of renewables (mainly wind and solar photovoltaic), and more than 130,000 kilometres of power lines through eight distributors in New York, Connecticut, Maine and Massachusetts. The company serves a population of 10 million people in the United States.
On 13 September 2022, Iberdrola and AVANGRID were invited to the event at the White House for the approval of the Inflation Reduction Act, a historic law to support renewable energy and combat climate change in the United States.
Iberdrola has a portfolio of high quality renewable projects in the United States of more than 25,000 MW, representing a stable platform for continued growth over the coming years as the country meets its decarbonisation goals.
AVANGRID continues to make significant progress in the environmental, social and governance (ESG) areas. In January this year it was recognised for the third consecutive year by JUST Capital for its commitment to the environment and the communities it serves, being the first utility in the ranking, and the Ethisphere Institute included it among the world's most ethical companies for the fourth consecutive year.
Thanks to the company's commitment to renewable energy, AVANGRID's CO₂ emissions intensity is 6.5 times lower than the average for utilities in the United States.