ABB will invest about $200 million in manufacturing capacity for medium-voltage power equipment across Europe over the next three years to modernize power distribution and strengthen supply for customers.
The investment will enable the company to produce more medium-voltage switchgear and grid automation technologies, it said. This includes a new $100 million facility in Dalmine, Italy to support demand for air-insulated switchgear and breakers.
Another $100 million will go to capacity expansion in scaling production technologies like gas-insulated switchgear, vacuum interrupters and relays, enabling more reliable and resilient power distribution, ABB's statement said.
The company said the latest investments follow others made in R&D at its Hungarian operations and in earthing and lightning protection technologies in the UK.
The company said the importance of the capacity additions have been underscored by a recent International Energy Agency report which said that electricity will grow its share of all final energy consumption by 2030, rising from 20% to nearly 30% in just over three years.