Electrica's Corporate Strategy for 2024-2030

Societatea Energetica Electrica SA

15 December 2023

 

To:                              Bucharest Stock Exchange (BSE)

                                    London Stock Exchange (LSE)

Romanian Financial Supervisory Authority (FSA)

Current report in compliance with the Law 24/2017 on issuers of financial instruments and market operations, the Romanian Capital Market Law no. 297/2004, FSA Regulation no. 5/2018, and the Bucharest Stock Exchange Code

Report date: 15 December 2023

Company name: Societatea Energetica Electrica S.A. (Electrica)

Headquarters: 9 Grigore Alexandrescu Street, 1^st District, Bucharest, Romania

Phone/fax no.: 004-021-2085999/004-021-2085998

Fiscal Code: RO 13267221

Trade Register registration number: J40/7425/2000

Subscribed and paid in share capital: RON 3,464,435,970

Regulated market where the issued securities are traded: Bucharest Stock Exchange (BSE) and London Stock Exchange (LSE)

Important events to report: Approval of Electrica's Corporate Strategy for 2024-2030  - By crossing the threshold of innovation, we are redefining energy

Electrica informs its shareholders and investors that, during its meeting on 14 December 2023, the Board of Directors of the company approved the Corporate Strategy of Electrica Group for 2024-2030.

In the current market context, at global, European and national level, Electrica Group can make a significant contribution to the transition of the energy sector at national level, implicitly also to achieving EU's ambitions and targets regarding energy prospects in 2030/2050, while pursuing with priority the achievement of its strategic objectives meant to ensure the long-term sustainability of the business.

By adopting strategic directions, aligned with those at national and European level, Electrica Group can play an important role in transforming the energy sector, contributing to a new era of energy that will be sustainable, efficient and environmentally friendly.

Electrica's strategic statement: Innovation promise: Shaping a sustainable future

Electrica's promise is thus to provide innovative and sustainable energy solutions that meet current requirements, while protecting the future of our society. Electrica's commitment is to a brighter, more efficient and greener future.

What Electrica wants by 2030:

·      Sustainable growth of the company's value, while contributing to the transition to the Green Economy

·      Transformation and sustainability through large-scale implementation of ESG and organizational excellence programs

·      Efficiency by increasing network security, digitalization and improving business resilience

Following these directions, the Group's key strategic objectives in the period 2024-2030 will focus on growth, sustainability, efficiency and transformation, through:

·      Diversification of renewable energy sources - renewable energy production, energy storage, optimization of investment financing and profitability of production

·      Diversification of services - including energy efficiency - new services offered, energy efficiency at supply level, exploration of regional growth opportunities

·      Sustainable electrification, modern infrastructure, efficiency - smart grids, increasing grid flexibility to adapt to prosumers, electric vehicle charging stations, operational efficiency

·      Large-scale implementation of ESG - personnel training on ESG principles, dual education, feedback programs, corporate social responsibility initiatives and ongoing training on sustainability and ethics principles, stakeholder involvement in a comprehensive governance framework, rating improvement/retention, inclusion and maintenance in the FTSE Russell indices

·      Digitalization and innovation - One SAP and process automation (RPA), customer interface automation, predictive maintenance, digitalization trainings for employees

·      Organizational excellence - educational programs, modernization of the performance management system, cultural transformation

In the context in which Electrica expects during 2024 important changes in the regulatory framework affecting all its operational segments (the fifth regulatory period on the distribution segment, regulations expected both on the electricity and natural gas supply segment, as well as on the electricity production segment), this strategy will be revised accordingly.

More details will be available during the week of 18-22 December 2023 on the company's website, in the section Investors - Strategy Overview.

Contact: [e-mail] ; +40.731.796.111

CEO                           

Alexandru Aurelian Chirita

 

END