Capital expenditure and portfolio

Cash capital expenditure

Cash capital expenditure in 2022 was $3.5 billion, of which $2.9 billion was in low-carbon energy solutions. Cash capital expenditure in 2021 was $2.4 billion, of which $1.8 billion was in low-carbon energy solutions. This increase was mainly a result of the development projects in our wind and solar power generation business.

Our cash capital expenditure is expected to be in the range of $2-4 billion in 2023.

Portfolio and business development

Key portfolio events included the following:

• In January 2022, Shell and ScottishPower won bids to develop 5 GW of floating wind power in the UK.
• In January 2022, we started operations at the power-to-hydrogen electrolyser in China.
• In February 2022, we completed the acquisition of online energy retailer Powershop Australia which was announced in November 2021.
• In April 2022, Atlantic Shores Offshore Wind (ASOW), our 50:50 joint venture with EDF Renewables North America, was awarded the commercial lease for acreage in the New York Bight offshore wind auction, USA. This was after it was announced as provisional winner in February.
• In July 2022, we took the final investment decision to build a 200 MW electrolyser Holland Hydrogen I (Shell interest 100%), which is expected to be operational from 2025.
• In August 2022, we completed the acquisition of renewable energy platform Sprng Energy group in India, which was announced in April 2022.
• In December 2022, Ecowende, our joint venture with Eneco, won the tender to develop a 760 MW offshore wind farm at Hollandse Kust (west) lot VI in the Netherlands.