Enel, Italy’s utilities giant, which has recently won the tender for the acquisition of Electrica Muntenia Sud, regarded as the most valuable electrical power distribution company in Romania, now includes in its immediate strategy the takeover of production facilities in view of creating an integrated portfolio on the power market.
Enel has made two moves on the power market by acquiring Banat and Dobrogea distribution companies in a package deal and winning the tender for Muntenia Sud, in order to become the biggest investor on electricity and gas markets by far, with an investment volume of close to one billion euros.
The Italians will not stop here, though, and they are ready to raise the bet on the domestic power market.
“It is very important that we get production facilities. If one wants to be a powerful operator, one has to be integrated along the entire production-distribution-supply chain,” says Gianluca Caccialupi, general manager with Enel Romania.
“Beside participation in the project related to the nuclear reactors 3 and 4 of the Cernavoda station, we are interested in the entire power production chain, either from bituminous coal, or through energy complexes, as well as from wind sources. Bio energy is more than a simple opportunity for us,” explains Enel’s representative.
The first privatisation process in the Romanian electrical power sector, namely the tender for Electrica Banat and Electrica Dobrogea, was also Caccialupi’s first contact with the Romanian market.
One of the first things the Italians have done since they started running the two firms was to radically change the way they were organised.
“The companies simply had a state organisation. The changes we made targeted two directions: a more efficient management and stronger ability to face competition emerging on a free market,” says Caccialupi. “Now, Enel Electrica Banat and Dobrogea operate with a similar structure and reflect Enel’s operating model in Italy,” added Enel’s representative.
Thus, the 2 distributors have been operating through three divisions. The first includes company management, namely the general manager to whom the other management positions (legal, human resources, internal control and safety) report. Network (supply) and Marketing (sales, distribution) business units are subordinated to the management unit.
The Italians also implemented a project structure. Practically, this structure analyses the current state of the network and decides the investments needed to boost efficiency. The next step was to set up an Acquisition department, handling necessary tenders.
One of the development directions Caccialupi has outlined is making a service available that is as close to consumers as possible. Thus, electricity bills may shortly be paid through the Internet or through banks.
Enel
Made 2 moves on the power market to become the biggest investor on the electricity and gas markets, namely acquiring Banat and Dobrogea distribution firms in a package deal and winning the tender for Muntenia Sud
Is ready to bet more on the domestic market, being interested in buying production facilities to create an integrated portfolio on the power market
Radically changed the organisation of the two acquired distribution firms