The fashion for breaking up utilities is the “wrong call”, according to Enel, Europe’s largest power company by market capitalisation, which has reiterated its commitment to an integrated business model. Francesco Starace, Enel chief executive, said it was “too risky” to place bets on particular parts of the energy value chain while the disruptive shift from fossil fuels to renewable power was still unfolding. His comments followed this month’s €43bn asset swap between German utilities Eon and RWE under which the former will focus on operating energy networks and supplying retail customers, while the latter will specialise in electricity generation. Mr Starace said that Italy-based Enel would not be tempted to follow the German example.
FT 26th March 2018 read more »