Swiss renewable power producer Aventron has sold its stake in its Norwegian hydropower business, completing its withdrawal from Norway as it refocuses on its five core European markets, the company said in a statement on Wednesday.
The company said it will concentrate future activities on Switzerland, Germany, France, Italy and Spain, following a strategic review that found the benefits of greater geographic concentration outweighed those of maintaining broader geographic and regulatory diversification.
Aventron said the five markets offer sufficient scale and are closer to Switzerland, where most of its shareholders with public service obligations are based.
The company plans to expand its portfolio in those markets and focus its expertise on hydropower, wind and solar projects, as well as activities across the renewable energy value chain.
The Norwegian exit follows Aventron's sale last year of its two wind farms in the country. The company entered the Norwegian market in 2014 and built a portfolio of 42 hydropower plants with a combined installed capacity of 143 megawatts, in addition to its wind assets.
A key expansion came in 2021, when Aventron merged with Nordic Power, a portfolio of 15 hydropower plants owned by Aberdeen Investments. The transaction increased the company's scale and diversification in Norway.
Aventron said its decision to enter Norway had originally reflected a strategy of diversifying electricity generation across countries and renewable technologies.
However, market conditions and energy policy have since changed, particularly in Norway, where electricity prices have remained low and are expected to remain depressed over the long term due to the country's policy framework.
By contrast, Aventron said rising electrification of energy consumption in its core markets is creating new growth opportunities.
Switzerland is a particular focus, with the energy crisis underscoring the importance of domestic power generation and reducing reliance on electricity imports.
Government initiatives to accelerate solar and wind development are also creating opportunities for new projects, the company said.
Aventron's Swiss pipeline includes the 8.1-MW Sidenplangg and 18.3-MW Sedrun Solar alpine photovoltaic projects, as well as the 25.2-MW Sur Grati wind farm in the canton of Vaud.