German utility RWE AG has reorganized its gas, hard coal, hydroelectric power and biomass generation businesses to now pool within its subsidiary RWE Generation, the company announced on Tuesday.
"From now on, RWE Generation and RWE Power [its other subsidiary] will operate more effectively as independent companies with dedicated executive boards," the company said.
The company stated that they want to reposition its portfolio effectively in a changing market environment.
"This is why we decided last year to make our electricity generation companies more flexible, while aligning them more closely to their respective energy sources,” Rolf Martin Schmitz, chairman and CEO of parent company RWE AG, was quoted as saying.
RWE AG, with its headquarters in Essen, Germany, has three business segments – Lignite and Nuclear, European Power (gas, coal, hydro, and biomass) and Supply & Trading.
Since Monday, Jan. 1, RWE Power has been placed in charge of electricity production from lignite and is now the strategic manager of nuclear energy, the company added.
By Ebru Sengul