Iberdrola accelerates the energy transition with electrification
We Mean Business Coalition
The role of electricity is becoming increasingly significant in a world shaped by multiple trends: digitalization, AI and the electrification of key sectors such as transport, industry and buildings. To keep up, utility companies are ready to play their role to scale up clean electrification — the more efficient way to provide energy.
Iberdrola took this path more than two decades ago and is today the world’s second-largest utility company by market capitalization and a global leader in clean energy and electrification. The company is creating new job opportunities and bringing about benefits for shareholders and customers: Greater efficiency of electrifying end uses leads to significant cost savings.
Below are some ways Iberdrola is investing in electrification, while delivering reliable, clean, secure and cost-competitive energy.
Initiatives to accelerate the energy transition
Clean electrification and renewable energy go hand in hand. As equipment, engines and devices powered by fossil fuels such as gas and oil are replaced with electric ones — and these electrified solutions are connected to the grid — there’s more need for renewables-based power and the related infrastructure to meet the growing energy demand.
Iberdrola is the cleanest utility in the world, according to the Clean200 ranking prepared by Corporate Knights and As You Sow, a list that includes the companies that are leading the transition to a clean energy future. The company is investing heavily in clean energy, grids and storage to provide electrified solutions such as EV charging or heat pumps, as well as hiring 15,000 workers and investing €58 billion to 2028 to accelerate sustainable growth.
In 2025, the company hit 10,000 charging points in Spain, ready to serve 1 million electric vehicles. And for the second consecutive year, Iberdrola was confirmed as the leader in the European PPA market, with several agreements in Europe with large companies such as Amazon, Microsoft, Meta, Salzgitter, Mercedes-Benz and Vodafone.
In Brazil, Iberdrola is undertaking the construction of 1,707 kilometers of electrical grid between the north of Minas Gerais and the state of São Paulo, which will be its largest power grid line in the world. Iberdrola now has more than 45,000 megawatts (MW) of renewable capacity installed worldwide, and 84% of its electricity production is emissions-free.
These actions align with the company’s goal of achieving net-zero emissions before 2040 for all scopes.
Advocating for electrification
Such actions need the enabling policy environments, especially to accelerate widespread adoption of electrified solutions across sectors.
In 2024, Iberdrola launched Alliance Q Cero, a group of over 140 industry partners in Spain, with the aim of “advancing the decarbonization of thermal energy demand in Spain, helping to maintain a path compatible with the Paris Agreement’s goal of limiting global warming to 1.5°C.”
During COP30, Iberdrola has promoted, in collaboration with The Economist, a report to boost electrification, “The business of electrification: Rewiring industry and the workforce for an electrified economy.” The report highlights opportunities and challenges that companies face in the transition to electrification.
Iberdrola further drives its ambitious decarbonization agenda and energy transition through its network of strong partnerships, including as chair of the Corporate Leaders Group – Europe and as a signatory of We Mean Business Coalition’s letter, launched ahead of COP28, that urges governments to phase out their use of fossil fuels. More recently, the company signed a joint letter calling on the EU to set a greenhouse gas emissions reduction target of at least 90% by 2040.
“Electrification is taking a central role in the global agenda as the most effective pathway to accelerate the energy transition. Creating the right policy conditions to prioritize electrification, grids, and storage is essential to unlock energy security, foster job creation, enhance livelihoods, and strengthen global competitiveness.” (Gonzalo Sáenz de Miera, Global Director for Climate Change and Alliances, Iberdrola)