OMV and VERBUND agree cooperation for joint issues on the future of energy
- OMV will take a 40% stake in SMATRICS, Austria’s leading full-service provider of E-mobility
OMV and VERBUND, Austria’s largest energy companies, close a far-reaching cooperation initiative in the operating business for the future of energy. The innovative partnership supports the transformation process on the energy market. In addition to OMV’s entry into SMATRICS, the two companies will work together on evaluating concepts in green hydrogen and on strengthening security of supply.
OMV, the international, integrated oil and gas company, headquartered in Vienna, and VERBUND, Austria’s largest electricity provider and one of the largest producers of electricity from hydropower in Europe, are concluding a cooperation initiative for the future of energy. This cooperation will help both companies to master the major energy-policy challenges they currently face. The agreement in the course of the UN Climate Change Conference in Paris is an important step towards a global approach to tackling climate change. And OMV and VERBUND intend to play their part.
Electromobility – the growth of alternative technologies
The fuel mix offered at the filling station of the future will be far more diverse. Even though fossil fuels will continue to play a key role, electro mobility in the form of electricity and hydrogen is already a factor and will continue to gain popularity. This is why OMV is also supporting these sustainable road options and will join the current VERBUND-SIEMENS joint venture, SMATRICS, with an interest of 40%. SMATRICS is the complete provider for all services related to electromobility and is the first to offer a complete, high-performance charging network throughout the whole of Austria with charging stations within a radius of around 60 kilometers, which is 100% powered by renewable energy from VERBUND. The SMATRICS charging network now has around 400 charging points throughout the whole of Austria. 49 of these are currently at OMV stations in Austria, with six more in Bavaria. As a first step, the main priority is expanding the network in Austria and Germany, while possible expansion to the Czech Republic, Slovakia, Slovenia and Hungary will be evaluated later on. The other SMATRICS shareholders are VERBUND and SIEMENS.
“I’m delighted that we have achieved the first milestones today with this innovative partnership. By joining SMATRICS we are dedicated to a new and fast-growing technology sphere. At the same time, we can offer our customers even more alternatives on the road and are thereby taking another step towards a future powered by sustainable energy. We are working together with VERBUND on additional projects to increase security of supply, enhance efficiency at our refineries and apply renewable energy”, said Manfred Leitner, OMV Executive Board member responsible for Downstream.
Today there are already hydrogen filling stations in Vienna, Innsbruck, Linz and Graz, with a new station in Wiener Neudorf due to open before the summer. Another five hydrogen filling stations are already operating in Bavaria. What’s more, OMV is undertaking research with partners in Auersthal (Lower Austria) to produce hydrogen from wind power as well as research at Cambridge University for new methods of producing hydrogen with the help of sunlight.
In addition, joint solutions are being evaluated by OMV and VERBUND on how to strengthen the security of supply of the refineries. Added security could come, for example, from alternative supply concepts and battery systems. Further results are expected in the summer of this year.
Part of the energy cooperation involves energy-related services such as the VERBUND Power Pool. This demand-side-management solution used to balance out short-term fluctuations in the power network through the application of production and consumption flexibilities.
Hydrogen – a green energy solution of the future
The new energy era is bringing excess capacities of green power to the market in a volatile way. Through the application of electrolysis, these overcapacities from renewable energy sources such as hydropower, wind power and solar energy can be transformed into green hydrogen. The green hydrogen produced has a wide range of sustainable applications for OMV and VERBUND in the areas of energy, industry and transport. Applications currently under evaluation include the use of green hydrogen as an industrial commodity, as a fuel of the future for sustainable driving, as well as energy storage to balance out the volatile power production from new renewable energy sources.
Green power and energy services from VERBUND
“This strategic, long-term cooperation of Austria’s two largest energy companies allows us to take a massive step forward in the future of energy”, said VERBUND CEO Wolfgang Anzengruber. “ Together we will utilize the potential for green power and green hydrogen, introduce energy services and give electromobility a strong boost. With its powerful investors OMV, Siemens and VERBUND, SMATRICS will continue to consolidate its market leadership in Austria and facilitate borderless travel throughout Europe powered by electromobility”.
With these initiatives, the companies are supporting the United Nations Sustainable Development Goals in the fields of “ Affordable and clean energy”, “Industry, innovation and infrastructure” and “Responsible consumption and production”.
VERBUND is Austria’s leading producer of electricity and one of the largest European producers of electricity from hydropower. The company produces around 96 percent of its electricity from renewable sources, primarily hydropower. VERBUND trades in electricity in twelve countries and in 2016 generated annual revenue of some EUR 2.8 bn with around 3,000 staff. With its subsidiaries and partners, VERBUND is active in power production and transport through to international trade and distribution. VERBUND has been listed in the Vienna Stock Exchange since 1988; the Republic of Austria owns 51% of the share capital. More information: www.verbund.com
OMV is producing and marketing oil & gas, innovative energy and high-end petrochemical solutions – in a responsible way. With Group sales of EUR 19 bn and a workforce of around 22,500 employees in 2016, OMV Aktiengesellschaft is one of Austria’s largest listed industrial companies. In Upstream OMV has a strong base in Romania and Austria along with a well-balanced international portfolio. Daily production stood at approx. 311,000 boe/d in 2016. In Downstream OMV has an annual refining capacity of 17.8 mn tonnes and around 3,800 filling stations in eleven countries (including Turkey) as of the end of 2016. OMV operates a gas pipeline network in Austria and gas storage facilities in Austria and Germany. In 2016 gas sales volumes amounted to around 109 TWh.