Networks: the backbone of electrification and innovation in Europe

It requires redesigning network systems created decades ago to adapt them to cities that have changed radically and need flexibility and resilience. This will be achieved by driving the expansion, replacement and upgrading of electricity grids to ensure efficient and reliable connections between clean-energy hubs and demand centres.

In addition, digitalisation and the implementation of AI will improve service quality and grid resilience.

Investments are needed to overcome current constraints and deliver a better, reliable and secure system. As part of its Strategic Plan 2025-2028 announced on 24 September 2025, Iberdrola will allocate €58 billion mainly to the development of electricity networks, focusing on the United Kingdom and the United States as our main markets.

This strengthens our commitment to creating a sustainable and secure energy future. It also shows our dedication to developing the infrastructure needed to advance innovation.

Thus, the company welcomes the recent European Commission package on networks. It marks a new approach to modernising and expanding network infrastructure, the backbone of the European energy system.

Ignacio GalánIgnacio Galán, Iberdrola’s executive chairman, considered it a “key milestone in promoting security of supply and competitiveness in Europe through electrification”.

Furthermore, Mr Galán has stressed that networks are “essential to maximise the expansion of renewable and domestic energies and storage infrastructure”, facilitating new uses of electricity and helping to reduce energy costs for industries and households.

The measures proposed by the Commission also envisage accelerating electrification through more streamlined authorisation processes that contribute to the goal of ensuring that cheaper clean energy flows efficiently across all member states. Mr Galán welcomed the promotion of the “tools” needed to prioritise “critical projects to reduce bottlenecks, streamline permit granting procedures and encourage investment with stable regulatory frameworks”.

Electrification is not just inevitable – it represents one of the most significant growth opportunities of the coming decades. 

Iberdrola reaffirms its strong commitment to driving the energy transition and welcomes the European Commission’s steps. This alignment underscores our shared vision of a modern, resilient and interconnected energy system that accelerates electrification, fosters innovation and ensures security of supply across Europe.

You might be interested in:
Iberdrola leads the digitalisation of Spain’s power grid
A Basque blueprint for a resilient energy backbone

About Iberdrola:
Iberdrola Group is a global leader in smart grids and renewables with more than a century of history. With a diversified business and geographical portfolio, Iberdrola is one of the largest electricity companies in the world by market capitalisation, driving innovation and a sustainable and competitive business model.