Strategy

Scenario and strategic pillars

In line with the company's mission and vision, the strategic decisions are based on an analysis of the main trends for 2030, determined by the achievement of the growth and sustainable development objectives established in the Strategic Plan:

  • Energy transition: growing competition will accelerate the consolidation process already in motion. Technological progress will produce smarter networks, generating new business models, while the expansion of renewable sources will drive greater thermoelectric flexibility;
  • Sustainable development: the circular economy will become increasingly dominant, creating new scenarios in the waste treatment sector. Water resource management will entail technological innovation and high investments. The gap to be bridged in energy efficiency will open up new opportunities, also related to the extension of the district heating and to the development of new digital projects;
  • Technological revolution: machine learning algorithms will change the way we face operative costs and credit management, while digitisation will create new ways of relating with customers and suppliers;
  • Centrality of customers: it will change the paradigm from passive user to active prosumer, completely digital, thanks to the development of distributed generation; e-mobility, shared mobility and autonomous driving will change the way in which we move and how distances are perceived.

Changes in the rate of acceleration for various trends are reflected in the concrete objectives the Group has set for 2024, demonstrating the quality of its strategic structure, based on the following aspects:

 

  • Customers: the path undertaken in past years is confirmed with increased vigour, focussed on customers/citizens, through product offerings and new technological services (New Downstream, e-mobility, digital payments).
  • Organic growth: € 200 million, mainly generated by integrated water services, development of waste treatment structures, growth of the customer base, district heating and participation in gas tenders.
  • Efficiency: the positive trend seen in recent years (€ 200 million of synergies since 2010) will continue, although with a progressive reduction in the target with respect to previous years, showing the typical downward trend in synergies post-merger and also reflecting achievement of objectives earlier than expected. The plan sets a target of € 62 million in synergies for 2024, mainly to be obtained through the successful completion of performance improvement objectives.
  • Sustainability: Iren's commitment to protect the environment and fight climate change is made concrete through the circular economy, minimising resource consumption, decarbonisation and the creation of increasingly resilient cities, through the services it offers and products with lower environmental impact.
  • People: management of people goes hand in hand with the Group's transformation, with a heavy focus on developing skills, through training and retraining programmes, professional growth and incentive tools. A continuation of the generational turnover is expected, thanks to the addition of new resources in amounts that exceed those expected to leave.
  • Digitalisation: the commitment to technological change and digitalisation of Group processes will be made concrete through the creation of transversal IT platforms, with the goal of creating a company even more focussed on optimal use of the data it handles.