Particularly ambitious goals are set by the five-year Development Plan for the period 2020-2024 of EDA THESS that has been submitted to RAE, with investments that exceed 140 mil.€. In particular, 90,1 mil€ relates to the Regional Unit of Thessaloniki and 50,5 mil€ to the Region of Thessaly. EDA THESS utilizes the favorable economic conditions and low interest rates for the implementation of its planning in large investments.
The strategy of the new Development - Business Planning Program 2020 - 2024 is based on three pillars: making efficient investments to expand the network and supply new areas, increase the penetration of natural gas and distributed volumes in the Company's areas of responsibility and completing its digital transformation to optimize the services provided to distribution users and end consumers.
Specifically, the Development Program 2020 - 2024 provides for the extension of the low and medium pressure grid by 470 km (286 km in the Regional Unit of Thessaloniki and 184 km in the Region of Thessaly) and the increase in the rate of natural gas penetration in the Permission areas to 74%, from 61% today. The development of the network is expected to bring 90 thousand new delivery points (meters) to EDA THESS` already impressive distribution network of 351 thousand activated meters (in total around 470 thousand nationwide).
In addition, the replacement of conventional meters with smart meters, an investment of around € 3.7 million, is under way. The Program also includes the completion of the digital transformation, that the Company launched two years ago, through the development and implementation of new applications, but also a modern security, governance and risk management framework that guarantees business continuity. In the area of digital upgrading particularly, investments of EUR 4.8 million are planned.
It is also worth noting that the new Program comes after a very successful year for the Company. In 2019 EDA THESS made total investments of more than 28 mil. €, expanding its network by 104 km and adding 26,570 new activated meters, recording operating profitability (EBITDA) of € 41.5 million, 12% higher than 2018.
The implementation of the new Business Planning is expected to ensure a steady profitability of approximately EUR 180 million over the next five years, which will allow EDA THESS to continue to pay high dividends to its shareholders. Ιn the last three years alone, the Company has distributed dividends amounting to approximately 60 mil. € . At the same time, Company's Regulatory Asset Base at the end of 2024 will exceed 323 mil. €.
The 470km projected to be constructed by 2024 will be added to the 2,426km of the Company's existing modern pipeline network. It is an efficient network that ensures the safe and uninterrupted distribution of gas and is the result of its long-term investment planning. This consolidates EDA THESS` leading position in gas distribution in our country and at the same time makes it a pioneer, comparable to the leading energy companies in Europe.
