Recently, Total has made an announcement as it had signed an agreement with the KKR-Energas in order to acquire its two gas-fried combined cycle power plants in the East and North of France. It represent an electricity generation capacity of around 825 megawatts. This transaction is subject to the approval by the concerned authorities.
Phillip Sauquet, President of Gas, Renewables, and Power stated that this acquisition is going to allow total to continue its integration in addition with the gas and electricity value chain, which is from production to the marketing. With the addition of the two gas plants that have been acquired from KKR-Energas and an expanding portfolio of renewable power. The group is expected to have the capacity so as to generate around one third of the cumulated consumption for its B2B and B2C customers.
In addition to this, the gas-fired power generation sources are considered as an ideal complement to the intermittent renewable sources of electricity. The flexible power plants allow the group to optimize the price of the electricity generation and supply to its customers.
Furthermore, Total has around 73% stake in the Direct Energie, they also have 800 MW of the capacity in the two power plants of around 400 MW each in Belgium and in France. The company has recently planned a development of a new plant, which will also be of 400 MW and will be based in the Brittany region.
As per the announcement, Total has an objective of achieving around 15% share of the B2C electricity and gas supply market. They are going to make notable efforts to reach these figures in Belgium and France and that too within the next five years.