RWE and EOS swap hydro with coal-fired generation capacity

With security of fuel supply becoming an increasing concern in Europe, creating a diverse generation portfolio is more important than ever for European power producers. This was a major impetus behind a ground-breaking 2007 deal between German power group RWE and Swiss utility Energie Ouest Suisse (EOS) in which a hydroelectric virtual power plant (VPP) was swapped with a coal-fired VPP.

Both sides had the common goal of diversifying their risk profile on their long-term generation portfolio mix.

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