Since its establishment, Renel has been committed towards industries to help them improve their energy efficiency and cut down on energy bills. It is common knowledge that 2023 was a tough year regarding energy costs. What would you predict for 2024?
Indeed during 2023 electricity and energy costs in general remained at high levels following their spectacular rise in 2022. On the other hand, the distribution grid is saturated by means that there is more power generated than it can handle. Unfortunately, this situation only occurs in a very limited time window throughout the day, during hours of peak solar production. Due to the technical restrictions imposed by the local grid operator (HEDNO) to ensure stability and an unintermittent supply of energy, industries are no longer eligible for installing PVs for self-consumption purposes.
How could this problem be solved?
This problem could be solved by installing batteries to store excessive solar energy instead of feeding it back to the grid. The cost of such storage devices is already decreasing and in 2024 the Ministry of Energy has announced a new subsidy program for industries to promote the installation of PVs and batteries behind the meter. Moreover, another subsidy program tailored exclusively for the industry sector for the promotion of energy-saving measures was already announced in 2023 and we are now waiting for the last details for its implementation to start designing energy-saving plans for our clients.
In order to strengthen its position among its competitors Renel has invested both money and man-hours to develop a tendering department and reinforce the EPC department
During the last two years, Renel has been very active in contracting high-budget projects to improve energy efficiency in the building sector. Moreover, the National Climate and Energy Plan, which is the roadmap to achieve certain energy and climate goals until 20230, emphasizes on buildings by setting strict targets to reduce energy consumption towards a net-zero emissions context. How is the company planning to take advantage of this momentum?
It is a fact that RENEL is focused on big energy-saving projects mainly in the public sector, by means that the public has a big “stock” of old buildings that urge for renovation and access to European funding. In order to strengthen its position among its competitors Renel has invested both money and man-hours to develop a tendering department and reinforce the EPC department. I am very confident that in 2024 we will have the market share that we deserve.
So, following your predictions, what are the company goals for 2024?
By means of annual turnover, we have set the goal rather high, targeting a 40% increase followed by a 50% in profit. This number is realistic and was set after a very detailed market analysis. At this point, I should mention that the company has already contracted more than 50% of the estimated turnover. In 2023 we took action and made all necessary investments both on human resources and necessary equipment and we are ready to focus on our goal.