Efficiency-enhancement programme: 2008 target achieved


Planned efficiency enhancements vs. 2006
€ million (accumulated)

2007

2008

2009

2010

2011

2012

 

100

200

450

700

900

1,200

RWE initiated a programme to improve efficiency in 2007. It was expanded considerably in fiscal 2008 and includes measures to reduce costs and increase revenue, which should gradually improve our annual earnings by €1.2 billion by the end of 2012. The baseline year is 2006. One of the goals we are pursuing with the project is enhanced performance of our German electricity and gas grid business, which will partially compensate for the effect of the tariff cuts mandated by the network regulator. Further savings are to be achieved through improvements in IT services and purchasing as well as the pooling of back-office functions. Moreover, we intend to increase revenue by taking extensive measures to improve the technical availability of our power plants, among other things. We planned to generate a cumulative earnings contribution of €200 million with the programme in the 2007/2008 period. This goal was achieved.