Our business model
We believe sustainable growth will guide us into the future.
The following section describes our business model and the value we generate for our stakeholders by applying the six capital inputs of the International Integrated Reporting (IR) Framework.
Our business activities
Vattenfall produces electricity from many types of energy sources, including hydro, nuclear, coal, natural gas, wind, solar, biomass and waste. We are actively phasing out fossil-based production and investing in a greater share of renewable generation.
Being able to guarantee secure supply requires well-functioning distribution networks and development of smart network solutions. Vattenfall enables customers to feed self-generated electricity into the grid, thereby becoming so-called prosumers who both buy and sell electricity. Vattenfall conducts electricity grid operations in Sweden and in the UK. (Note: Stromnetz Berlin was handed over to the State of Berlin on 1 July 2021.) Electricity distribution is a regulated monopoly business that is supervised by national grid authorities.
Sales of electricity, heat and gas
Vattenfall sells electricity, heat and gas to consumers and business customers. We focus on optimising the customer experience by offering various price and service models and by giving customers opportunities to reduce their environmental impact.
Vattenfall is one of Europe’s largest producers and distributors of district heating, supplying households and industries in metropolitan areas. In partnership with cities and regions we are driving the transformation towards fossil-free heating solutions, such as by integrating surplus or waste heat from third parties in our district heating networks.
Energy services and decentralised generation
Vattenfall offers energy services, including battery storage, network services, charging solutions for electric vehicles, solar panels, heat pumps and smart meters. We also provide marketplaces and access to marketplaces where customers can buy and sell electricity, as well as solutions for customers to optimise their energy use, and access convenient and smart energy solutions.
Our value chain
We generate value for our stakeholders by applying the six capital inputs of the International Integrated Reporting (IR) Framework.
UN’s Sustainable Development Goals
Vattenfall’s activities contribute to the achievement of the UN’s Sustainable Development Goals (SDGs), which are a collection of 17 global goals that were adopted in 2015 by more than 150 countries. Though adopted by governments, our strong belief is that businesses and industries play a decisive role in the extent to which these goals are achieved.
In 2016, we identified six SDGs that are the most relevant for Vattenfall and where we can have the greatest global impact, these goals remain valid internally and for our stakeholders, and they are reflected in our strategy.
Our prioritised UN goals
7Affordable and clean energy
9Industry, innovation and infrastructure
11Sustainable cities and communities
12Sustainable consumption and production
17Partnership for the goals
Vattenfall also contributes to many other SDGs, including those in support of human rights, both at a local level and indirectly through our supply chain.