RWE Plans $19 Billion U.S. Gas-Fired Power Plant Expansion
RWE plans a $19 billion expansion of gas-fired power plants in the United States as part of a broader €35 billion ($40 billion) investment program aimed at boosting electricity generation capacity.
(P&GJ) — RWE plans a major expansion of gas-fired power plants in the United States as part of a broader €35 billion ($40 billion) investment program aimed at expanding global electricity generation capacity.
The company said nearly half of the investment — about €17 billion ($19 billion) — will be directed toward expanding its U.S. power generation portfolio through new gas-fired plants, renewable projects and energy storage facilities.
RWE said the investments will increase its global generation capacity by 25 gigawatts (GW), bringing its total portfolio to about 65 GW by 2031.
Chief Executive Officer Markus Krebber said the company delivered strong financial results in 2025 while continuing to expand its power generation portfolio.
“2025 was a very successful year for RWE. In a challenging environment, we consistently executed our Group strategy by expanding our portfolio in a value-accretive way and entering into new strategic partnerships. We clearly achieved our financial targets,” said Markus Krebber, CEO of RWE AG.
RWE said the United States will remain a key growth market as electricity demand increases.
“With our €35 billion net investment programme through to 2031, we are building new generation capacity to better meet the growing demand for electricity in Europe and the United States. In the US, we are broadening our portfolio and now focusing on gas in addition to renewables. Our investments will pay off: our adjusted earnings per share will grow from €2.48 today to €4.40 per share by 2031. Our shareholders will benefit more than before from earnings growth – our dividend is set to grow by 10% per year,” Markus Krebber added.
RWE’s installed generation capacity in the United States is expected to increase from 13 GW today to 22 GW by 2031, with new projects including gas-fired peaking plants designed to support grid reliability alongside renewable energy and battery storage.
The company also plans to invest about €9 billion ($10 billion) in flexible backup generation and battery storage in Germany.
This includes plans to build up to 3 GW of hydrogen-ready gas-fired power plants, subject to tenders from the German government.
RWE reported adjusted EBITDA of €5.1 billion ($5.8 billion) for fiscal year 2025 and adjusted net income of €1.8 billion ($2.1 billion).
The company said earnings growth over the coming years will be supported by new power generation assets, including gas-fired plants, renewable projects and battery storage systems.
RWE expects adjusted EBITDA to reach between €5.2 billion and €5.8 billion ($5.9 billion to $6.6 billion) in 2026, with further growth expected in 2027 as new generation projects begin operating.