Integrated power

Electricity is the fastest-growing part of the energy system and low-carbon power solutions are helping society to decarbonise. At Shell, we continue to develop an integrated power business — from generation to trading, storage and supply — with a focus on business customers. In 2023, we sold 279 terawatt-hours of electricity.

In the Netherlands, in 2023, the Hollandse Kust Noord offshore wind farm (Shell interest 79.9%), which has a generating capacity of 759 megawatts, became operational. We also opened two onshore renewable energy parks in the Netherlands: Pottendijk, a hybrid solar and wind farm, and Koegorspolder. Koegorspolder is the largest of our six solar parks in the country, with a peak capacity of 71 megawatts. (See Wind and Solar.)

In March 2023, we entered into a partnership to deliver a utility-scale battery energy storage system in Australia. With this system, Shell will have access to 100% of the battery system’s offtake over a 20-year period. Completion of the project is expected in late 2024.

In November, we divested our retail businesses in the UK and Germany to Octopus Energy and are closing the business in the Netherlands. This helps us to focus on trading and optimisation and on supplying businesses through corporate power purchase agreements (PPAs).

During the year, we signed renewable energy PPAs with Microsoft and Baker Hughes and with Google in early 2024. We also acquired EGO, one of Italy’s largest operators of virtual power plants. EGO manages and trades 1.6 gigawatts of power generated by around 1,500 renewable and flexible energy units in Italy. It complements our previous virtual power plant acquisitions of UK-based Limejump in 2019 and Germany-based Next Kraftwerke in 2021.

Read more about lower-carbon and renewable power at www.shell.com/shellenergy.