Strategy
The SEFE Group in 2024 developed a new strategy that now applies throughout the Group. It also formulated its vision. The strategy, which aims to achieve a sustainable, long-term increase in the Group’s value, focuses on sustainability, digitalisation and growth. The combination of trading, sales and infrastructure activities is proving particularly successful in times of growing uncertainty on the global energy markets. The Group strategy, which is based on these synergies, sets the course for upcoming projects.
Vision
The SEFE Group’s vision is to be a leading international energy company in the global, decarbonised economy. The fulfilment of this vision is to be realised by providing energy and developing solutions for a low-emission economy and society. The SEFE Group thus remains true to its original mission – securing Europe’s energy supply. In addition, the Group intends to actively shape the energy transition by supporting its customers on their path to decarbonisation. To that end, the Group relies on innovative and climate-friendly energy sources, such as low-carbon power, hydrogen and biomethane.
Privatisation
A central theme for SEFE is also preparing the Group for the German federal government’s commitment, as required by the EU Commission, to privatise SEFE by the end of 2028. The Group is in discussions with its shareholder regarding the privatisation process. In this context, an internal Group project has been initiated to prepare the organisation for this privatisation.
Natural gas as a relevant bridge technology
The SEFE Group is convinced that natural gas will play a key role in the transition to a low-carbon economy. As a bridging technology, it offers the necessary flexibility – especially in Europe – to promote the energy transition amid a continuous increase in the share of intermittent renewable generation. Natural gas is currently indispensable as an efficient energy source for ensuring the security of supply in Europe. The SEFE Group therefore plans to enhance its natural gas trading and distribution business in a demand-oriented manner, including through new partnerships in the LNG sector.
At the same time, the Group is working on the development of hydrogen solutions, carbon storage and biogas, which in the long term have the potential to replace fossil fuels or neutralise their impact in respect to climate change. The Group also plans to establish a trading business for energy-intensive metals relevant to the energy transition. The SEFE Group believes that these measures are essential to ensure that the Group, in light of the energy transition, remains relevant in the future as a major player in the energy industry.
Implications of the dynamics of the market
transformation
The substitution of natural gas with hydrogen in the European core markets is an important step in the energy transition. The speed and intensity of this changeover, however, will be significantly influenced by the acceptance of hydrogen by end consumers. This acceptance is currently subject to several uncertainties, including the design of the European and German hydrogen regulation regime, inadequate infrastructure and high prices for hydrogen and hydrogen derivatives.
The SEFE Group is responding to these dynamic market conditions through flexible contractual terms for long-term gas sourcing contracts. This allows the SEFE Group to adapt its energy sourcing portfolio in a continuous and dynamic manner to the requirements of energy policy and customer needs, both to secure the energy supply and affordability today, and in the future in the course of the energy transition to respond flexibly to and meet customers’ needs for low-carbon energy.
Environmental commitments
The SEFE Group aims to support adherence to the climate targets of the European Union (EU) and Germany. The Group is already rigorously reducing its own Scope 1 and 2 emissions and supporting its customers in their decarbonisation efforts. The Group’s most important environmental commitments and targets are published in the voluntarily prepared Sustainability Report for 2023. The speed of the energy transition and thus adherence to the climate targets is, however, subject to considerable political-regulatory, macroeconomic and technological uncertainties. In addition, the EU’s currently discussed proposals to simplify reporting on sustainability, due diligence and the EU taxonomy for sustainable activities could have an impact on the SEFE Group’s reporting obligations.