Swiss renewable energy producer Aventron has sold its shares in its Norwegian hydropower business and will withdraw completely from the Norwegian market as part of a strategy to concentrate investment closer to its home market.
The sale covers a Norwegian hydropower portfolio comprising 42 plants with a combined installed capacity of 143MW. Aventron said it will now focus its activities on Switzerland, Germany, France, Italy and Spain.
The company said the decision followed a review of its geographical footprint, including the scale required in individual countries and proximity to Switzerland, where the majority of its shareholders with a public service obligation are based.
Aventron said concentrating on its five core markets would allow it to develop its renewable energy portfolio and apply its expertise across hydropower, wind and solar, while expanding its activities along the value chain.
The disposal completes Aventron’s withdrawal from Norway following the sale of its two Norwegian wind farms last year.
Aventron entered the Norwegian market in 2014 and subsequently built up its portfolio of 42 hydropower plants. Its presence was expanded significantly in 2021 through a merger with Nordic Power, a portfolio comprising 15 hydropower plants owned by Aberdeen Investments.
At the time, expansion in Norway formed part of Aventron’s strategy to diversify electricity generation geographically and across hydropower, wind and solar technologies.
However, the company said the market environment and energy policy framework have since changed. In Norway, Aventron pointed to persistently low electricity prices, which it expects to remain low over the longer term as a result of the country’s political framework.
In contrast, it sees increasing electrification of energy consumption as providing further growth opportunities in its five core markets.
Switzerland will be a particular focus, with Aventron citing the importance of increasing domestic electricity generation and reducing reliance on imports. The company is also targeting opportunities created by federal initiatives to accelerate the deployment of solar and wind generation.
Its Swiss development portfolio includes the 8.1MW Sidenplangg and 18.3MW Sedrun Solar alpine photovoltaic projects, as well as the 25.2MW Sur Grati wind farm in the canton of Vaud.
“With this sale, we are restructuring our portfolio and channeling our resources into areas where we can develop projects efficiently and operate them in the long term. A key focus is on renewable projects that enable additional domestic electricity generation, contribute to winter supply and support the transformation of the energy system,” said Eric Wagner, CEO of Aventron.
