Spanish oil and gas major Repsol has increased its 2030 renewables target to 20GW, the bulk of which is expected to be solar PV, as part of efforts to reach net zero emissions by 2050.
Repsol will allocate an additional €1 billion (US$1.15 billion) to low-carbon projects between 2021 and 2025, up to a total of €6.5 billion, as it builds on a previous strategic plan that saw the company aim for 15GW of renewables assets by the end of this decade.
Supported by a “sizeable and diversified” pipeline, the company said it has been able to update its growth targets, which include an ambition of having 6GW of renewables by 2025, up from 5.2GW in its previous roadmap.
A presentation accompanying the announcement shows that solar PV will grow from around 27% of the company’s current renewables capacity to well over half by 2030, with the remainder corresponding to onshore wind and hydropower.
Repsol has also announced an absolute emission reduction target for the first time, pledging to reduce 55% of emissions from its operated assets and 30% of net emissions by 2030.
“The upgrade of our targets demonstrates the solid progress the company is making towards becoming carbon neutral by 2050,” said Repsol CEO Josu Jon Imaz.
By the end of the decade, Repsol forecasts that the US, Spain and Chile will be its three key markets for installed renewables capacity.
The company entered the US renewables market earlier this year with the acquisition of a 40% stake in solar and energy storage developer Hecate Energy. Repsol, which will have the option of buying the remaining shares in the company three years after the deal closes, said Hecate now has a portfolio of more than 40GW of utility-scale solar and battery storage projects in the US.
That transaction followed the creation of a Chile-focused joint venture last year with Grupo Ibereólica Renovables, targetting the development of more than 1.6GW of solar and wind projects in the country by 2025.
In Spain, meanwhile, Repsol opened its maiden solar project in the country in June, which consists of three installations with a combined capacity of 127MW in the central Castilla–La Mancha region. It has since begun generating electricity from its largest PV project in the country, the 264MW Valdesolar plant in Extremadura.
Repsol currently plans to end 2021 with 1.7GW of installed renewables capacity globally and another 4.7GW of projects under construction and with high visibility.