Good morning, everybody. I'm glad to be here, having the opportunity to tell you about our strategic plan for coming years. It will be a real pleasure to bring you along this presentation over the coming minutes. This plan is an important step in the transformational journey we started a few years ago. In late 2019, we were the first integrated oil and gas company to commit to net-zero emissions ambitions in the world. We did it because we consider that for Repsol, energy transition is not only a way of protecting our planet or society, but is also a major source of business opportunities where we will thrive and create value for our shareholders, leverage on our businesses and our assets. Our industry playground is complex. Believe me, at Repsol, we are fully excited by the opportunities that we find in front of us.
What we expect you to take from today, we are going to draw a value path for growth, fully compatible with our decarbonization goals, all that combining feasibility and ambition. Regarding the journey, I underline our financial concern about this deployment, always focused on making money in the oil and gas and in the low-carbon businesses. You may also acknowledge where we are. We are not starting from zero. On the contrary, we have a platform with solid foundation from both our advantages within the downstream and the leading position we enjoy in the Iberian Peninsula. Our key goal today is to define clear targets to be accountable about them. Our strategic plan 2021/25 will be based on four main pillars. First, focus on legacy businesses, downstream and upstream.
Focus on maximizing the generation of free cash flow from them and going on in the continuous improvement with a great effort, reducing the carbon footprint of our industrial businesses. Second pillar, growth and development of low-carbon business platforms in areas where we have or we can build sustainable competitive advantages. Renewables and customer-centric businesses will provide solid growth during the strategic plan timeframe and beyond. We will also create the foundations for the new zero-carbon businesses that will be core to our portfolio in 2025 and beyond, circular economy, hydrogen, and e-fuels. The third pillar, Repsol operating model will be evolved. The new corporate model will provide better value transparency and support the decarbonization of our portfolio in each of our businesses.
Finally, shareholder distribution, that will be at the core of our capital allocation framework, ensuring a top quartile cash distribution to shareholders during the plan. These four pillars, always preserving our financial strength, will allow us to fulfill the main target of this plan, create value and free cash flow growth, doing that fully compatible with our 2050 net zero emissions ambition. Here you have today's agenda. We have in front of us a complex environment offering opportunities. You can see in this slide the description of a complex environment in terms of economic macroenvironment. There is an additional complexity for our sector, defining a non-easy playground within the industry. The difficult short term is here with us, although progressively recovering. Let me underline what is important in this kind of crisis.
There are plenty of opportunities if you are prepared to get them, and Repsol is looking the future with a prudent optimism. Repsol doesn't start from zero. Repsol won't make energy transition from places it is not today, or it is not good at. We have already started, and we validate our credentials, focus on downstream and in Spain and Portugal, where we enjoy Tier 1 platform. This is a very convincing beginning for the success of our story. One key milestone of this journey happened by the end of 2019, when we were the first oil and gas company to commit net zero target. Many other recognition came afterwards from leading ESG organizations since 2019. We are at the forefront of decarbonization and ESG in oil and gas.
A clear proof of it is that ESG investors double their presence in our shareholding structure versus other oil and gas options. Before talking about transformation, we firstly need to support this journey on the solid foundation of our advantages, but also on our double-gear cash engine. Our two legacy businesses have an impressive track record of delivering resilient free cash flow, even under the tough conditions of lower scenarios, like current COVID-19. Starting with the upstream, let me only highlight the last three years of remarkable free cash flow with the year 2020 and its hard-hitting conditions. Three years of free cash flow average above EUR 1 billion per year, and last one at $43 per barrel of Brent price. How Tomás and his team are accomplishing that?
With a continuous improvement of each operation, reducing cost, and being very selective on CapEx deployed to assets, battling every barrel with, let me use the term, with a downstream mindset. Don't forget that I'm a former downstreamer. Double-gear machine, our downstream. In the downstream business, we have our integrated sites with the trading business that allow us to obtain resilient free cash flow. Based on Tier 1 refining operations, we are recognized by Solomon net cash margin benchmarking and also WoodMac, the one you can see in this slide. In the commercial business, we are keeping the path of profitable growth, even when volumes are or haven't been there in the past. More than 40% EBITDA growth since 2016. An impressive delivery of our people from service stations, oil and non-oil, LPG, lubricants, wholesale, and the whole commercial businesses.
Let me also highlight the milestone of free cash flow we are going to get this year, a EUR 0.5 billion under pandemic restrictions in Spain. Keeping up with our credentials, let me say that very few companies in our sector can demonstrate free cash flow positive every single year since the 2015 crisis. On top of that, during these last years, we have taken quite seriously the initial steps on energy transition. Here, we have set up these key deliveries. Our 40% of remarkable customer growth in gas and power in the first 18 months after the acquisition of Viesgo portfolio. This 1 million, adding our 24 million customer around mobility and our other retail businesses, are now the standard for a conversation that we are starting to change with our clients di gital platform, Waylet, is only the tip of this iceberg.
Repsol's renewables growth is a clear story in Spain. This afternoon, with Mavi's deck, you will realize how being selective, Repsol has developed an impressive pipeline of competitive projects. This is the way we commit to you. Our industrial sites have begun the journey of transformation with several steps toward production of sustainable biofuels and circularity. Well, where are we going to get to? Let's go to the core of this ambition. On this section, I'd like to take some time to reflect on how Repsol will be different by the end of this decade, the destination, let me say, and how this transformation will be achieved, the journey. Repsol transformation will be based on two key elements. First, decarbonization of the current portfolio, fostering the value creation and long-term sustainability, all that enhancing profitability and free cash flow growth in all our businesses.
Second, a new operating model for the group to support and accelerate the transition that will organize Repsol in four verticals for the different businesses of the portfolio, and a leaner corporate center, reinforcing the technology and digital drive, as well as people, as the key enabler for our transition. Finally, as you see in this slide, we will develop new partnerships because this is also something critical to successfully thrive in the energy transition. All the key decisions behind our net zero target and how we can support our commitment of leading shareholders distributions are the goal of this section. A section just before of the business plans 2021-2025. The evolved corporate model is based, as I said before, on four business verticals, a leaner and a strategic corporate center, and an extended global services unit.
Each of these four business verticals enjoys different market dynamics, and we hold different competitive position in each of them. They also have different growth prospects, will play different roles in our portfolio strategy, and are valued with different multiples, so they do demand different financial structures. Therefore, we have a clear logic for this new corporate model. Each of these verticals will be reported separately, increasingly managed in a more autonomous way with increased accountability, ability to adapt the ways of working to the business's needs, and finally, prepare to develop appropriate partnerships. This new corporate model should offer more visibility to the real value of our positions, driving potential value crystallization that today we don't see in our share price. If we go to each of one these verticals, let's start from the right-hand side of the slide.
First, our seek of value growth in our current low-carbon businesses, which are the customer-centric businesses and the renewable business. In customer-centric, we will be leveraging our leading brand, our more than 24 million customers, and our advantage position in the Iberian market to grow with a multi-energy and customer-centric approach. We will replicate and accelerate the success we are achieving after our entry in power and gas. We are going to go with this success to some other low-carbon businesses, such advanced energy services, distributed generation, and e-mobility. In renewables, we will continue investing in a competitive portfolio with critical mass and international footprint, and a clear business model for value generation. Secondly, we will accelerate the decarbonization of our legacy assets of businesses, upstream and industrial.
At the same time, they will contribute with 78% of our cash flow from operations during this period and 87% of our free cash flow in the next five years, despite the challenging environment we are considering, especially for 2021 and 2022. Finally, we see very attractive emerging opportunities in the energy medium-term market, in large part driven by the technology developments we are taking part of. We are taking a business-oriented approach to these opportunities with the goal to create new profitable business platforms where we can deploy our competitive advantages and generate material value growth in a few years' time. We believe that in some way, we clearly hold differential opportunities in the areas of hydrogen, advanced biofuels, and circularity.
As an early step, we will be exploring, for the low carbon generation business, a dual-track opportunity to either list a minority stake or alternatively search for a partner. We believe this movement is important to solve a lower cost of capital of the business competitiveness, and also an appropriate financial structure, and to provide better value visibility into this new business. As I have described in the previous slide, this new corporate model seeks to obtain certain answers to the realities we are experiencing in our businesses. Just let me give you a flavor of a final photo at the end of this decade. In Repsol, what are we preparing for? Where are we going to get to? The answer is in this slide. Repsol is targeting a 40% of new low carbon businesses by 2030, built within our industrial sites, our multi-energy retail, and the renewables roadmap.
We are fully determined to this agenda, the speed required to get to this Repsol 2030. Our legacy businesses will continue to be an important part of our 2030 vision. Our value growth, as you can see in this slide, doesn't stop in 2025, and we will continue growing above 2025 free cash flow level to make a bigger, more sustainable, more balanced, and more profitable company by the end of this decade. This cash growth that we will persistently enjoy year after year is the basic cornerstone for growing distributions during the decade. To finish this section, let me state an important message. We are convinced that Repsol is well-positioned among oil and gas players to succeed in the energy transition. There are three main reasons for that. Right size, right ambition, and right platform.
The proportionality of our ambition makes Repsol's story more feasible and profitable. First, we are embracing decarbonization as a very attractive opportunity to create value, to grow, and to be profitable. There is also, let me say, a size issue. Repsol has the right size of ambition. It's large enough to enjoy scale economies and be able to finance the development of large projects. With our proportional size, we are able to find enough profitable opportunities to replace some of our exposed businesses to the long term. Finally, our capabilities and portfolio are uniquely suited to build new low carbon businesses. Consequently, we have set the ambition on the right play. Our Iberian platform in Spain and Portugal, better regionally focused than other companies that are not midcaps like us.
We have a very strong and material customer business, providing us enormous opportunities to accompany our full energy transition. We have a top-notch industrial platform, which provide assets, demand, and capabilities to build new decarbonized industrial businesses, such as hydrogen or sustainable biofuels. Finally, we have a significant position in the Iberian Peninsula, in Spain and Portugal, where there are plenty of competitive renewable resources, which are a key advantage to build our future businesses. Let's move on some metrics of our strategy. Always we need to be very honest, let me say that we need to be very honest about that. For the first two years, we'll continue on our best resilient mode, deployed during the COVID year. The five years of the plan are set into two very different phases.
First, two years in war mode, efficiencies, cost, and CapEx reductions, and a prudent financial policy, battling every cash out and pursuing any incremental opportunity with, as I said before, with our distinctive downstream mindset, our known penny business for all of us. In the following three years, after 2022, is where the main part of the projects happens. This period of value growth acceleration is the key support for the investor cash distributions under a self-finance solution of $50 Brent and $2.5 Henry Hub. Probably, I think most of you recognize Repsol as a company that performs its best action under tough conditions. When the storm strikes Repsol outside the comfortable seaport.
This year, we are proud to have delivered a top leading resilient plan that has found material opportunities to cope with COVID on OpEx, CapEx, and working capital. It is true that not all the initiatives are going to stay, but certainly, they are going to allow us to be much better prepared for our strategy plan. This story maintains our confidence to perform and to provide free cash flow generation under these resilient conditions. The first two years of the plan, we will continue this battling mode, 2020 Resilient Plus Plan. We look forward to delivering our high expectations, more than EUR 400 million incremental sustainable savings for 2021. Behind these three programs we explicit here in the slide. Procurement, working capital optimization, as well as further corporate and G&A cost reduction.
Altogether with the business plans will allow us to recover pre-COVID situation and metrics by end 2022. What is going on along these following five years? This slide tries to explain it. Let me take a couple of minutes. It is clear that our legacy businesses are already performing on high yield mode. This story of free cash flow generation keeps on track, and during the strategy plan, legacy businesses are all able to provide with more than EUR 13 billion of free cash flow 2021, 2025 accumulated. There is one division that will still need cash because it is growing with returns, of course, but it is growing. I am referring to renewables roadmap. These four businesses are also contributing to Repsol's low carbon strategies.
Industrial with its circular economy business, as well as zero carbon products strategy, customer-centric business and low carbon generation with their exciting stories, upstream, providing cash, reducing its break-even, becoming more short cycle focused, and being part of the intensive decarbonization of our portfolio. Let's keep in mind these four roadmaps to contribute to our net zero goal, because today we'll also touch these elements later on, even beyond 2025. If anyone wants to succeed in the transition, capital discipline is the topmost important restriction. During this plan, we are not especially deploying an impressive figure of CapEx, but what we are surely doing well is the CapEx allocation of all our funds. We have legacy profitable projects to develop during this plan. We are still maximizing the value of current portfolio and business position. We are not only squeezing traditional assets.
What is also clear, there is a shift in Repsol's story. We deploy 30% of our cumulative CapEx in low carbon opportunities. When we compare all these opportunities, taking into account their cost of capital, we can show that we have put the money on profitable projects that are well above the WACC. This is clearly a red line for us. We have sized our decarbonization ambition to be as big as to become a profitable business. Low carbon opportunities are out there. We only take the topmost of them. Before getting into details on business plans, and because I realize that this online presentation can become a sleeping pill for you, we have preferred to give you the final answer of the plan. Yes, we are able to self-finance our plan at $50 Brent and $2.5 Henry Hub.
Although we reduced dividend to EUR 0.60 per share in 2021, we are committing that when oil price is above $50 per barrel from 2023 on, we will increase $0.05 per year, achieving $0.75 per share in 2025. At those prices, we will do share buybacks, 50 million shares by year, from 2022 on. Over the last weeks, we have been building up a position consisting of shares and derivatives equivalent to 70 million shares at an average price of EUR 7 per share. As we consider that the current stock price is not properly reflecting value, we will continue looking for opportunities to further increase our treasury stock, protecting future share purchase outflow.
All in all, the distributions are only cut by 15% during the plan, we are aiming to get back to our remuneration to a distribution of EUR 1 per share again at 2025, with the flexibility that provide this mixed formula, cash dividend and share buyback. On the right side of the slide, we offer you cash priorities if $40 Brent appears or $60 are coming faster than we envision today. Let me emphasize our commitment of EUR 0.60 per share dividend at $40 Brent. This CapEx plan and our investors' proposition are well supported by both the business cash generation and the decisions we may take around this framework. Let me underline again, we are committing this dividend of EUR 0.60 per share in any price scenario over the whole period of the plan. Let's move on business strategies. Let's start with initiatives and projects, with figures and targets.
Also let's see with which metrics I'll be accountable to you in coming years, starting next month. Let's start with you, Tomás , our Upstream business. For 2021-2025, the priority of our Upstream business will be to maximize the generation of free cash flow from its operation and its efficiency. Four key targets for E&P business. Generate EUR 4.5 billion in free cash flow during the period, five times the amount generated in the last five years. The figure in the last five years has been EUR 0.9 billion. Reduce its free cash flow breakeven to less than $40 per barrel to ensure resilience in a quite uncertain environment. Maximize its efficiency and continue with its OpEx reduction, reducing total OpEx by 15%. Finally, contribute to the overall company emissions reduction target. The Upstream business will reduce its total CO2 emissions by 75% during the period.
We are also setting targets for flaring reduction, for methane intensity, minus 50% and minus 25% in this period. Four priorities for our Upstream business in line with the targets already presented. First, free cash flow was a priority. The Upstream will be a key cash flow generator for Repsol. For that, we will push forward our efficiency, and also we leverage the quite high flexibility of our CapEx projects. Second, value delivery through our projects. We have set high demands on the capital allocation in the Upstream business, requiring that the projects we are going to invest show short-term payback and low full cycle breakevens. During the next five years, we are going to invest as much as EUR 8 billion in Upstream. Our project portfolio is top quality and fully compliant with our demands.
Digital will also be a key lever to enhance our ability to deliver value in our projects and operations, as I will develop later. Third, focused portfolio. We recognize that we are not a major, we are a medium-sized upstream operator, and therefore, to generate value, we need to focus on those geographies and place where we have clear advantages. That will increasingly happen in this strategic plan period. We will go from having operations in more than 20 countries to less than 14. Along the same lines, we'll be radically favoring value over volume. We are not concerned with the size of our production, but rather by its value. We expect that our production will move more or less around 650,000 barrels per day over the whole period. We will manage all that with full flexibility.
We will also be focusing our exploration to those areas where we have advantages and where investment may have a short-term payback. Tier 1 co2 emissions. CO2 is not only for the other businesses. It's going to be also a priority for the Upstream. All that is going to have an impact on our portfolio and on our investment decisions, where we will reduce our exposure to high emission assets. By the end of this period, we will have a more competitive, more focused, and a strong free cash flow-generating Upstream business, and by then we will have the flexibility and the optionality to decide which route we want to take forward with this business from 2025 and beyond. As I anticipated, we have a strong portfolio of development projects for 2021-2025 with low breakevens and short paybacks.
A large share of these projects, all in orange here, are brownfield or near field projects where we leverage existing infrastructure, and we are able to build with good returns. More of these projects offer also significant flexibility. We will be able to manage the spend actively in case the macro scenario is different from our base case today. We have also greenfield projects, Alaska, Pikka, and Campos 33, mainly. They are large projects with attractive potential. We have been working intensively over the last years, pushing down the breakeven of these projects with our partners. We have improved their economics significantly and now show attractive breakeven, $38 in the case of Alaska/Pikka and $41 in the case of Campos 33.
I also like to mention Sakakemang, which is also a very attractive gas project based on our large gas discovery in Indonesia, which is progressing well in its appraisal. All in all, we will be investing EUR 8 billion during the next five years in our Upstream, EUR 5.5 billion of them are driven by the attractive portfolio of projects we just saw in the previous page, which offer us a very attractive base for value creation and a great free cash flow profile. As I said, we are being extremely selective in our investment in Upstream. Those projects offer an impressive low intensive figure of capital, less than $8 per barrel. In fact, according to external benchmark carried out by Wood Mackenzie, the upstream investment portfolio offers one of the most attractive value creation prospects among peers.
Exploration spend during the next five years will be limited with a total of EUR 700 million for the period, very targeted toward higher value prospects, including Mexico, Indonesia, and Alaska. As I anticipated, after 2025 and beyond, we will have high optionality to decide which route we want to take with this business. Last but not least, for our upstream business is the contribution to the Repsol group decarbonization commitment. Before 2025, our upstream business will Tier 1 in emission intensity in the E&P industry. Portfolio management and improvement in operations, energy efficiency, and flaring will be responsible for such improvement. It must be noticed that low emissions is a critical factor for our investment decisions. As it can be seen in the central chart, the new developments are less emission-intensive than the current average we have in our portfolio.
In assets like Sakakemang with high CO2 potential emissions, we are implementing CCS projects as part of our development to ensure we minimize the potential impact on emission. Let's move now on the industrial business. Our industrial business strategy will prioritize cash flow generation from our current assets. I imagine that at this moment of this presentation, that is all new for you. At the same time, we'll go on transforming our sites through the development of new low-carbon business platforms. In 2021 and 2022, we expect average yearly free cash flow of EUR 0.6 billion impacted by low margins due to COVID pandemic.
During the second period of our plan, the free cash flow will grow significantly to EUR 1.3 billion per year, 50% above 2019 levels, thanks to the competitiveness initiatives that I'll shortly describe, additional value coming from our current low-carbon projects, and gradual recovery in the market context. That solid cash flow generation will finance future CapEx with an average of EUR 0.9 billion per year, of which we'll allocate at least EUR 0.2 billion per year to the new low-carbon businesses included in the industrial business. In line with our ambition, we have set clear targets. We have defined a clear target set towards 2025, reducing the refining breakeven by more than $1.50 per barrel, and a reduction of the CO2 emitted by our plants above 2 million tons per year.
The future of our industrial business is based in three main pillars that will maximize the performance of our sites, yield, Digital, and new low-carbon platforms. To maximize yield, key priorities are refining, leverage Tier 1 assets' advantage position, enhancing competitiveness and operational performance, areas in which we are already strong performers, as shown by our first quartile net cash margin position in Solomon and Wood Mackenzie benchmark. In chemicals, we aim to continue exploiting differentiation through high-value products, increasing the flexibility of our feedstock, having a more gaseous feedstock, better said, and look for attractive growth opportunities synergetic with our positioning and capabilities. In trading, we will maximize integration and value extracted from our current assets and look for incremental growth opportunities in key products and in key markets. Digital of our activities and assets will also be a key to drive integration and improve our decision-making.
We will continue our already big progress in digital. Finally, we will prioritize the creation of new platforms that will provide material growth to our group and reduce our CO2 footprint. Of this, I'll speak a bit later. Our industrial business will remain resilient and will be a strong source of cash also in a complex environment. Focusing on refining business, our main objective in 2021, 2025, in this period, is to maintain a strong competitive positioning despite the complex environment we will have to face. From 2021 to 2025, we expect a progressive recovery of the refining margin. As in the past, our superior competitiveness and top-tier assets will provide us with an edge over the reference market margins. In fact, this increase of competitiveness will be a main area of focus for refining during the period driven by several initiatives.
First, maximize our margin through integration, digital, and a continuous focus on operational improvement. Second, we are launching a specific OpEx reduction program for the whole period, 2021-2025, all that is going to have a direct impact on the bottom line. Finally, the new decarbonization projects will bring significant margin contribution to our business. All in all, these efforts will contribute to a significant reduction of our refining EBITDA breakeven of more than $1.50 per barrel by 2025. Our strong commitment with lowering CO2 emissions will be also one of our levers to improve margins. This commitment, materialize for industrial in 2025, decarbonization program. That means 25% reduction of CO2 emissions by 2025, with this structure around two main pillars, maximizing energy efficiency with high returns, of course, and developing new low carbon businesses. Let's move now on the customer-centric business.
For 2021, 2025, the priorities for our customer-centric businesses will be to continue delivering the path of results growth while delivering a strong free cash flow. Key targets for customer-centric business for 2021, 2025. They are, first, we multiply by four our digital customers. That is those customers that interact with us mainly through digital channels, such as our current Waylet application. Second, we'll also double our power and gas and e-mobility customers moving from a bit above 1.1 million clients to 2 million in 2025. This is very feasible and consistent with the growth rates we have shown since we acquired the retail business of the former Viesgo. Third, our EBITDA will grow to EUR 1.4 billion. The EUR 1 billion of last year is going to continue growing, as we did in the last year.
This EBITDA growth will be led not only by the growth of customers in the new businesses, but also by the increase of our mobility oil and non-oil contribution margins. Fourth, free cash flow will also grow to more than EUR 700 million per year on average in the 2021-2025 period. Just to mention the remarkable performance and resiliency of our customer-centric business, which in such a difficult year as 2020, have been able to generate more than EUR 500 million free cash flow in this COVID pandemic year. I like to introduce briefly these businesses, which may not have enough visibility to some external observers. The customer-centric business perimeter includes our commercial businesses, which are clear leaders in Iberian Peninsula, with top market shares in Spain and Portugal. Repsol is the leading energy retailer in Iberia, serving more than 24 million customers with our multi-energy portfolio.
Our research shows that we are the most appreciated brand for consumers across all energy players in Spain. This business has a fantastic story of transformation. We launched the Transforming while Performing program in 2016, and what was since once as mature or even, let me say, declining business, has been able to increase its EBITDA by 30%, sorry, over the last four years. The key for this performance has been a dynamic digital, the restructuring of network and channels, and capture of new revenue sources, despite quite stable volume evolution in the market. Our ambition for the customer-centric business is to become the leading multi-energy leader in Iberia. All that will be done building on the strengths we have today.
Our more than 24 million energy customers, growing along the energy value chain, the power and gas retail, and capturing the opportunities that energy transition offer us, including the entry in new markets like e-mobility, energy services, where we have leadership ambitions in our markets. Three are the main strategic drivers for this business to grow and thrive in energy transition during the next five years. First, our multi-energy approach. We are already launching in the market bundle offers across energies like fuel at our station, plus power supply at home. In this multi-energy approach, we are strengthening our low carbon footprint, ensuring that a large and increasing share of our power is renewable, deploying gas, deploying LPG, points of electric recharge in our service station network, and launching renewable distribution energy solution for our customers. Secondly, customer centricity.
This means ensuring we can engage, understand, and communicate directly with the customer and guarantee that we are able to personalize our offering to them. Customer centricity also means having the ambition of serving the full energy needs of our customers, either in mobility or at home. Third, world-class digital. Our Waylet app is the leading mobility app in Spain and has already today 2 million subscribers. We use data analytics extensively to personalize offers, reduce churn, or optimize maintenance at our service stations. They are some examples of things we are doing around the digital in the commercial business. Still, we believe we have plenty of potential to be more digital and leverage it to expand our business. Today, while we are ahead of most players in the market, we still have a limited presence in the digital, because I talk about 2 million customers.
It's a huge figure. We have to compare this figure with the 24 million customers we typically serve in a year. Registered customers, those that we know and can reach are just above 10 million across all our commercial businesses. Those more engaged customers are the ones where cross-selling of our multi-energy offering will be more successful, as we know them and can communicate them in a better way. To accelerate these goals, in 2021, we are launching our transversal digital loyalty program, aimed at integrating all data about our customers from the different businesses, improve the personalization of our offers, improve the customer experience, and orchestrating our multi-product offering and promotion. Increasing data and customer relationship are key to provide all the energy needs to our customers, both of mobility and at home. The business works as we expand into broader set of energies.
We may multiply by 2.5 the margin for our registered customer when we extend our service station supply to a full energy service, including energy at home. This is also why we are so confident about the future for customer-centric business, even in a world where we may reduce our traditional fuel mobility sales in the future, but we'll be growing at home our convenient shops and non-oil opportunities. Let's move to the low-carbon generation business. In low-carbon generation, we have a strong ambition to build on our current position and become a competitive player in the renewable market. We are aiming to reach 7.5 GW and 15 GW low-carbon generation capacity in 2025 and 2030, respectively. This includes our current CCGTs, our co-generations, although the future growth will come from development of our renewable portfolio with 4.2 additional GW in 2025 versus the end of this year.
Profitable growth is our priority. We will make sure that bring at least a 10% equity return to the projects we develop. This new business build will be funded with relevant CapEx. This year, we expect to spend EUR 0.6 billion, figure that will be progressively increased in next year until we reach a EUR 1.4 billion CapEx in 2025. As a result, we project to grow our gross EBITDA, excluding the co-generation results, to EUR 330 million in 2025. We have defined a three phase plan to execute our fast growth renewables strategy. First phase that we are concluding now, it was mainly focused to build a team, developing solid capabilities to successfully execute our long-term ambition and to build a pipeline of projects at different stages for which we acquire some early-stage projects. This year, we are entering and we start the second phase.
In this second phase, we are scaling up our operation capacity, and we are starting to develop our international platforms. Chile is a good example of that. We aim to install more than 500 MW per year of fully greenfield or ready-to-build projects during this period. We may also divest stakes in operating assets to partners with lower cost of capital, reducing overall debt ratios to facilitate our expansion in this business. This plan will enable us to achieve significant scale distributed between Spain and our local market, Spain as a local market, I mean, reaching 3.2 GW by 2025 and 6 GW by 2030, and our international platforms. This will be developing countries with strong renewable growth and positive fundamentals, of course, reaching 2 GW by 2025 and 6.7 GW by 2030.
I won't get into the detail of our projects, as Mavi Zingoni will soon introduce you to our renewable pipeline. I want to underline two main messages. We have a diversified and sustainable portfolio of projects at different stages of maturity and with a balanced mix between wind and solar. All, and I underline the term, all our projects present relevant equity returns above the 10% threshold. I also want to highlight the experienced management team we have set up these years. Let's move on our future zero-carbon business platforms. I have already mentioned this a few times today. Decarbonization is, for Repsol, an opportunity to develop new businesses. It's not a restriction. It's an opportunity where we can deploy our competitive advantages and distinct capabilities. Several of the technologies that will enable the creation of new businesses are still in development.
Most of the ongoing technology developments will have an impact on our portfolio beyond the timeframe of our strategic plan. We really think some of them can be material, or can have, better said, material impact in the building of a decarbonized business. This is why we want to dedicate some time today to share with you what our current thinking and plans are for those technologies, where we think we can build an advantage business that will feed our growth in the second part of the current decade. We will cover today the following opportunities, green hydrogen and sustainable and advanced biofuels. Hydrogen production is one of the new business platforms we want to build, not only to decarbonize our industrial assets, but also to become a relevant source of profitable growth for the company. Let me be pretty clear here.
If hydrogen becomes a reality and boosts Spain, Repsol will be the starting player. We will help this to happen, shaping the framework needed to get to the most competitive source of renewable hydrogen in Spain, and clearly the lower cost of production in Europe. We are best positioned to lead the renewable hydrogen development in Iberia for many reasons. The first, we are the largest consumer. We consume 72% of the total hydrogen consumed in Spain, and we are the main producers in Spain. Secondly, we can leverage our current infrastructure in industrial sites to maximize efficiency of these new plants. Furthermore, we have a great retail, renewable, storage, industrial position that will allow us to integrate all that along the value chain. We have set an ambition of 400 MW equivalent in 2025 and 1,200 MW in 2030.
This ambition is multi-technology, combining hydrogen produced with electrolyzers, with production from biomethane in our current steam reforming plants. I want to highlight the relevance of the biomethane pathway, as it will allow us to produce renewable hydrogen competitively in a short time frame. Our hydrogen ambition is strongly supported by our competitive advantages for this production. We plan to leverage our current steam reforming plants to produce hydrogen from biomethane, being economically competitive in the short term. We believe that thanks to this, together with the possibility to integrate the new electrolysis plant leveraging our current sites and renewable production, all in all, integrating all that, we'll be able to achieve a 30% lower production cost than an average player in Spain. I'd like to underline this point. Spain has a privileged position to produce hydrogen with electrolyzers.
The strong renewable resource we have has a direct impact on cost. If we compare, for example, Spain with Germany, we believe they have, Germans, I mean, a 35% higher structural cost and that we will achieve competitiveness five years earlier along the way. As the main consumer in Spain, it is in the interest of Repsol to accelerate technology development and drive down costs, which will have a very positive impact, of course, to the final customer. To achieve this, it's really essential that we have the appropriate regulatory framework and investment support that is going to support this renewable hydrogen to become a reality. That is our bet, and we are going to go with ambition in that direction. Now, I'd like to move to another of the new low-carbon platforms that will nourish our industrial transformation.
That is the production of sustainable biofuels made from wastes and other advanced feedstock. Biofuel production is not new for Repsol. We are the first biofuel marketer in Spain, 66% share. Currently, we have a production of 700,000 tons per year. Our features provide us with solid advantages for production. We want to set our new ambition to reach 1.3 million tons per year of production of sustainable biofuels by 2025, and 2 million tons by 2030. This is a relevant increase versus our previous target we had before of 600,000 tons per year of HVO in 2030. We are multiplying by three our target. We are managing a strong pipeline of projects to support this ambition. We have a balanced mix of technologies and flexible feedstock approach that is going to support all that.
I already described some of them when discussing our industrial decarbonization efforts. I'd like to emphasize that we are seeing very attractive returns in all these projects, in all cases above 12%. It's key to secure the advanced feedstock for production. That is key. We are working on that. For our 2023 target, we expect at least 65%, and potentially up to 100% of our biofuels are going to be produced from waste. The decarbonization effort requires a disciplined approach to ensure we generate value for the company. Based on the cost implication and the abatement potential of each initiative, we have defined a clear path forward to drive our emissions to net zero. For now to 2025, we will focus on implementing technologies and measures that will generate today, at current cost, a profit for the company.
This includes our business as usual emission reduction initiatives, focus on energy efficiency, methane, and flaring reduction in the upstream, but also implies the introduction of new renewable electricity and waste-to-energy technologies to supply our assets. In 2025 to 2030, we will progressively introduce innovative emissions reduction technologies, depending on technological and cost evolution, of course, and all that is going to include carbon capture and storage projects, increased renewable hydrogen to supply our refineries, development of carbon use initiatives, including e-fuels production, mineralization and so on, and energy storage technologies to complement our renewable power assets. For the long term, the focus will be on implementing these technologies at a large scale, driven of course by an improvement of technology cost and driving further electrification initiatives.
Overall, we are confident that our approach based on the company abatement curve, we serve as a lighthouse to drive an efficient and successful decarbonization of our traditional hydrocarbon businesses for the future. All the low carbon initiatives I have seen described today will contribute directly to our decarbonization goals. We have increased, and that is an important point. We have increased our carbon intensity indicator reduction target to 25% in 2030 versus previous 20% we stated in December. Our portfolio of initiatives will allow us to reach this target, even showing a strong optionality and upside to comfortably surpass this value. We will do this by always ensuring our core principle of profitable decarbonization as our priority. We are making decarbonization to be more profitable. As you can observe in the graph on the left, our decarbonization is not based on a single curve.
We have the contribution of multiple levers across all our businesses. All that is going to mitigate the risk of a negative evolution of any specific technology or business environment over the period. When we look to our long-term pathway getting to net zero emissions, our scenarios show a strong progressive reduction in our emissions, reaching at least an 80% reduction of our carbon intensity index by 2050, and with room for further reduction contingent, depending, of course, on the future technology evolution. Additionally, we will be complementing our decarbonization effort with the contribution from offsetting initiatives that will ensure that, as we committed in December, we will reach net zero emissions by 2050. We also have increased our 2040 target to 40% of carbon reduction. We'll be able to get our targets if we successfully push the drive on people, technology, and on our digital capabilities.
This section will show these key enablers of the transition and how they fit and how they push. We need to adapt our talent management and how we value and develop our people. We also need to continue the simplification of the organization and how we deploy corporate functions all along the businesses. In this slide, we try to define some of the KPIs that combine these elements of a leaner and more efficient corporate center, as well as a healthier organization with much more attractive development for everyone joining our project. Let me show a couple of slides where we demonstrate how serious we take technology and digital levers. Regarding digital, there are important progresses on the commitment we assume with you in the last strategic update in 2018. We present financial results, financial figures, even with esteemed recognition from our peers. We launched, and partners.
We launched the program in 2017, and we are tracking it every quarter. Now, we keep on track to take Digital to the next step forward, both on transformation and also continuously improving our businesses, but also on the financials we are putting as target to be captured in 2022 a rtificial intelligence applied to our current advanced analytics, automation within our current operations, and digital spotlight for this transformation are going to be key levers combining with the focus and the target of our businesses, mainly the area of the retail focus into customer centricity. Technology will be also critical for the solution of our net zero goal. How we aim to compete at the very end of this decade is going to be critical for all that.
With solutions that are going to be based in hybrid renewables portfolio with storage, green hydrogen, or integrated all that with the retail and energy management. The retail with the distributed generation, new services and solutions based on technical approaches to our customer behavior at home or mobility, and the same in the case of the transformation of our sites. This disruption, they are going to happen. The relationship with the energy is going to change for all of us, we are prepared to take advantage of this energy system. Let me say, an exciting era in the energy sector is coming, Repsol is prepared to take advantage of all that. We are starting the final part of the presentation. There is a change in the group's distribution policy. We get to our new remuneration framework that combines dividends plus share buyback.
First of all, we are reducing our remuneration proposal because of a prudent financial policy, especially at the initial two years of our plan. It's pretty clear that the market is not valuing our current level of dividend according to the dividend yield signal all over the year. We have our own conviction about the Repsol valuation by fundamentals. We think it's a question of time that all that we can progress to the previous level of distribution and the share price yield starts to collect the commitments and the delivery of this strategic plan.
We have a new, a resilient shareholder remuneration proposal with a sustainable path of growth to reach 2021 EUR 1 per share, this remuneration level, by 2025. Our resilient EUR 0.6 per share dividend paid in cash in 2021, a yearly increase from 2023 to EUR 0.75 per share by 2025 if Brent price is in the year above $50 per barrel. Our growing strong dividend will be complement on top of that, with a share buyback program of 50 million shares per year from 2022 on, always subject to this $50 per barrel condition. That implies huge value at current share prices. This share buyback will also boost financial metrics per share. In fact, taking advantage of the prices that we strongly believe don't recognize the fundamentals of our businesses, we have already secured 70 million shares with compelling average price below EUR 7 per share.
Even with this new dividend, Repsol still keeps top-tier yield among peers. Just keep an eye on the effort that this distribution mean for our cash. 16% of 2019 cash flow from operations, 22% of 2021-2025 cash cycle. What are the two highlights we see here? Repsol presents the mildest dividend cut among Europeans when we reproduce at $50 per barrel scenario. A 15% reduction. Repsol is the only one that commits to a path that fully recovers to pre-cut level at these low prices simulation, $50 per barrel. The plan, and that is very important, let me say, is crucial. The plan is self-financed at $50 Brent and $2.5 Henry Hub. We carry out our business plan, pay incremental cash dividends and buy back 200 million shares without increasing our debt.
If we take into consideration that we won't increase dividends nor buyback shares if prices are lower, it is fair to say that the free cash flow breakeven is very close to $40 per barrel. Definitely a flexible plan with a leading distribution proposal. With our prudent financial policy during the plan, we end up 2021-2025 period with an EBITDA of EUR 8 billion, but with the same level of debt we are going to have at the end of 2020. It is clear we are prepared for the time when we can take advantage from that low level of net debt EBITDA ratio, and we are prepared to fund our value, path of growth, and opportunities in the way towards 2030. In this plan, we are also defining a specific dividend target range with a clear threshold in line with our commitment with our current credit ratings.
The slide will be on the very few selected by everyone to describe this transition. This slide, I mean. The chart shows how we prioritize the use of funds depending on commodity price. I hope I don't need to emphasize the central part, the base case, but let me move to the left. What happens if $40 per barrel come to real? You already know that we won't increase the EUR 0.6 per share cash dividend, and we won't implement the share buyback. We will pay this dividend. Additionally, we will use, if needed, the CapEx flexibility and will demonstrate once again our resilience and performance in tough scenarios. What happens if we reach $60 per barrel during the plan?
Well, it is pretty clear that we haven't included all the profitable opportunities we have been offered by our businesses because of the prudent financial policy that our tough CFO, Antonio Lorenzo, has set to all of us. If $60 per barrel come, we will push our low carbon ambition on three business platforms we have. All these three competing for the funds, depending on the maturity and strategic fit, and the risk-adjusted profitability they offer. Depending on the share price performance at that time and the dividend yield that we expect to get soundly reduced, and depending also on the return of the projects, we also have to be aware of our special commitment with shareholders and the top quartile distributions we are setting for this plan. All that, always, I underline, preserving our financial policy and our commitment with our current credit rating.
This slide summarizes the result of our business plan. It is an impressive set of growing per share metrics that are committed under our base case price deck. 7% annual growth of cash flow generation by 2025 is the cornerstone for both the investor distribution and CapEx plan we have set for the period. We also show you a couple of sensitivities. You will find in the appendix the rest of the information needed to understand our base case scenario. Let's move on the conclusions. At the beginning of today's presentation, I summarized some of the key messages of our strategy plan. I'd like to close this presentation introducing the main commitments we are taking for 2021-2025. I underline the term, we are taking commitments with you. First, increasing our free cash flow is our main strategic goal. That is our main strategic goal.
Repsol will generate a free cash flow, which will be on average EUR 2.2 billion a year during the next five years. This compares well with the EUR 1.9 billion that we generated in 2019 on a homogeneous basis, taking into account, of course, the Brent price we had in 2019. It will have a growing path, reaching EUR 3.1 billion in 2025. Secondly, we will grow our profits even in the $50 per barrel flat environment we are forecasting. As shown before, our earning per share will reach EUR 1.8 per share in 2025, a growth of 10% per year, and our cash flow from operation per share will grow 7% per year in 2019-2025 period. The growth will not be linear, nor will be the deployment of our resources.
As I explained before, we expect the next two years, 2021, 2022, more focused on resilience and strength as the economic environment recovers, while the 2023-2025 period will be more focused on accelerating our transformation. It will affect, of course, our CapEx and following our prudent financial policy, resulting in an average gearing of 25% in the period. First, transforming our corporate and operating model is a priority for us. In that sense, we include a clear target of a successful execution of a deal to either an IPO or find a suitable partner in coming months for our renewable business. Obviously, our transformation will be more visible than that, as you will be seen over the next months. Fourth, shareholder distribution are at the core of our plan.
Our dividend per share for 2021 will be set at EUR 0.6 share, and it will grow to reach EUR 0.75 share by 2025. All that paid in cash under the oil price we defined. As you saw in our capital allocation framework, ensuring this evolution is our priority, we feel extremely reassured about these targets. Finally, two key targets which are highly relevant to reinforce publicly our commitment in this transformation journey we are in. First, we will be reducing our carbon intensity index by 12% by 2025. Why? While increasing our ROACE two points in 2025, comparing with our current metrics.
We will devote 30% of our total CapEx in 2021-2025 to low carbon business, low carbon generation, customer-centric business, and zero carbon businesses within our industrial businesses. We believe the commitments we are taking with you and with our shareholders are ambitious and in many ways, industry-leading. We think they are fully aligned with our goal to provide our shareholders with a very compelling investment case. We expect that as we deliver on our commitments, this will be highly noticed and appreciated, building an attractive shareholder return story for our company. Thank you very much.
Hi, good morning. I'm an upstreamer. I'm very proud of being an upstreamer. I'm firmly convinced that the oil and gas industry has provided quality of life to the humankind and will continue doing it for a long time. However, I also believe in energy transition. The world has decided to take that direction, and the Repsol Upstream that I lead is being transformed to provide what Repsol needs for its success in that transition. A four-wheel drive is moving our already initiated transformation.
The first wheel, in which we are transforming our Upstream into a cash engine, to deliver $5 billion, 4.5 billion euros of free cash flow at $50 Brent and $2.5 Henry Hub, maintaining our breakeven below $40 and $2. Our Upstream is now focused on cash generation without sacrificing the future. Insist, without sacrificing the future. We want to do it based on the stable cash flow from our legacy assets and the portfolio of self-financed projects during the period. In the second wheel, we are increasing our value based on our portfolio of key projects and the mindset of our people, centered on efficiency and continuous improvement. We are just now focused only on short-term cycle projects with breakeven below $40 and $2 Henry Hub. We are now more rigorous about FID threshold, nothing beyond those $40 and $2 is approved.
Third, we are transforming our portfolio. Reduce the span, less countries and more focus. In addition, we will be very selective in our investment in both exploration and development projects. Value is the priority and not the volume. Finally, we will reduce our emissions to become the one of the industry. We strongly believe that being part of the solution requires commitments and emission reduction targets. We won't walk the talk and lead to reduction in the industry. These four wheels will also provide a lot of flexibility and optionality to adapt Repsol Upstream to the pace of the energy transition and the volatility of the markets.
We have flexible enough resources to do it and decide about our production level, depending on the circumstances, but always protecting the cash flow. I started in this company November 30 years ago. This travel has been long. When I started, Repsol was mainly a downstream company. It was decided to transform Repsol into an integrated oil and gas company, making grow our upstream. The cash flow for that growth came from our downstream business.
Now we have two cash engines, even in a low price scenario. Repsol is requiring the contribution from both to finance the transition and to offer a leading distribution. Now our upstream contribution is required. Support Repsol transition, requires to transform our upstream from a growth vector to a cash generator, and do it even at low prices. We need to deliver $1 billion free cash flow per year, maintaining a breakeven below $40 per barrel. We will support our value and cash delivery using three levers. Firstly, our excellent track record. We are recognized as top explorer. Our recent project delivery is outstanding, as well as our turnaround of the assets. Secondly, we will continue improving the asset using our continuous improvement mentality, the digitalization, and the implementation of operational and external centers.
Finally, we will much more focus both on exploration and development, reducing the span of activity, and using our portfolio of 14 key projects with net present value breakeven below EUR 40. I would like to mention some of our track record which supports the credibility to deliver our plan. Starting with our top-class explorer legacy. More than three billion barrels discovered by our people, without considering Vaca Muerta in Argentina, in the last 15 years. Those are fantastic numbers for a company of our size. Our people are the engine of these discoveries. This our exploration power has. We have a strong legacy and qualified explorers with top technology, process, and relationships.
We have already demonstrated with the discovery we have done in the last two years that our capital allocation and focus are providing results, demonstrating again that our qualified people with more focus will create more value. We will continue exploring in a different way. The driver will be the value and not the volume. Let me tell you something, exploring is still in the DNA of Repsol Upstream. Project execution, faster, leaner, and safe, is also in our DNA. We have here several recent examples of our capacity to deliver, as well as the capacity of delivering of our partners. We have done this in different environments and countries. We do it exploring, developing, and commissioning. A track record that support the future delivery of our key projects. Finally, some examples of our excellent track record turning around assets.
In Malaysia, U.K., and Norway, for example, we have been able to turn problems into opportunities with an integrated business approach, creating value where others saw problems. This a track record of our organization oriented to deliver. In Norway, we had a business with limited future. We bet on investment, managing decommissioning with technology and by assets, listening to the people, getting benefits of the synergies, and here we are, a complete new profitable business. In Malaysia, the improvements since we have the assets are remarkable and highly recognized by the regulator and partners. In U.K., we have been able to create huge value just improving the performance of the asset and being very rigorous on CapEx approval and execution. Here we have three examples adding more than EUR 4 billion of value using our efficiency and continuous improvement mindset.
We will keep on doing this in our assets and in whatever new asset that we might incorporate into the portfolio. Regarding the improvements in asset management, we have clear targets. Reduce our OpEx in 15%, AbEx in 34%, and the cost of the structure in 30%. We will use, again, our efficiency and continuous improvement mindset to achieve those targets. We have also demonstrated in the past our capacity to turn problems into opportunities. The general situation nowadays is a great opportunity to implement new ways of working, increasing the efficiency and reducing the cost. The disruption created by the pandemic has accelerated the implementation of new ways of working, supported by our Digital Program. The Digital Program democratized the access to information remotely, giving us the opportunity to accelerate collaboration between teams as the teams support the asset at home, wherever home is.
We were ready. The new ways of working worked out perfectly with no business disruption at all. The actual situation demonstrated that except for people in the field and offshore, the rest of the support we do, we can do it remotely in a very efficient manner. We have been able to adapt quickly to the circumstances, turning again, a problem into an opportunity. This centralized decentralization of the knowledge is the purpose of decentralizing integrated operational centers, increasing efficiency and reducing cost. The third level of our free cash flow delivery and value creation is supported by the transformation of our portfolio in a much more rigorous CapEx allocation discipline. Our exploration will be more focused and leaner. We are recognized, as mentioned before, as top explorers after being very successful in discovering billion of barrels.
We were exploring at a point in more than 25 countries and investing more than EUR 1 billion per year. In the last year, we exited from 23 countries, reducing our exploration investment to around EUR 500 million per year. As a result of that past exploration activity and the acquisitions done, we have now a solid portfolio of contingent resources pending just on FIDs, which provides the sustainability of the upstream for several years. This fact is driving our new strategy in exploration. We can adjust now our exploration investment to prioritize the development of existing resources. As upstreamers, we will continue exploring, in a different way. We will invest in exploration around EUR 150 million per year to balance the free cash flow and the generation of new resources.
From now on, our exploration will be focused on adding value around existing infrastructure with short-term cycle projects and in a very few number of areas. We want to take advantage of our legacy top explorers performance to use it in pro of this focused exploration. The areas of exploration are associated to our knowledge. We will be very focused on the Gulf of Mexico, U.S.A. and Mexico, Alaska, and Sumatra. In addition, we will finalize the pending activity in Guyana, Brazil, and Colombia. In summary, a leaner and more focused exploration on productive basis to shorten the cycle. The reduction of span with more focus on North America is also a priority. We aspire to exit from some non-core countries to invest in that capital in North America, in which we have extra points to invest. Alaska and conventional Gulf of Mexico, and synergies for possible acquisitions.
We have a portfolio of 40 key projects to incorporate new production that defines the future of our upstream. Our portfolio of key projects adding new production is very resilient, with a looking forward breakeven below $36 and $2 Henry Hub . An important characteristic of the portfolio is the self-finance in the period 2021 and 2025, demonstrating our focus on short-cycle projects. Let's point out a very important thing about the portfolio. 2021, 2025 cash flow is supported mainly by our legacy asset with a very well-known performance. The balance as a package between cash flow from operations of new projects under free cash flow generation is the key to deliver those EUR 5 billion target.
I would like to emphasize that the execution of the project will be conditioned to this primary objective of EUR 5 billion free cash flow, since that objective could be generated just from our legacy assets. Also, the timing of the project provides CapEx flexibility. Three projects with FID done with an amount of around EUR 600 million involved, and the rest close to EUR 6 billion with FID in the next two, three years, which will permit to maintain the balance between cash flow from operations and free cash flow of these new projects if needed. Out of the portfolio, three projects are focused on gas, like [inaudible], and Marcellus, with around EUR 1.4 billion investment. The rest focused on liquids with more than EUR 5 billion investment. The CapEx intensity is one of the lowest of the sector, $8 per barrel.
The breakeven and internal rate of return of the portfolio is Tier 1 of the sector, and CapEx flexibility, as I mentioned before, is there. To follow up, to adapt to whatever future prices scenario, obviously. This project support also the future cash flow generation beyond 2025, since they will generate $8 billion in the period 2026-2030 at $50 and $2, with the possible upside provided by price. Remember, they are mainly focused on liquids. The implementation of these projects in the period 2021-2025 will also provide total flexibility to our upstream beyond 2025. We might adopt the business as usual approach, maintaining production levels and investment. We could decide to go and harvest mode and squeeze the assets, maximizing the free cash flow. In summary, total flexibility to adapt to the future. Here we are, the numbers.
These are the commitments of our transformation to step up the transition. 15% CapEx reduction, $5 billion free cash flow, EUR 4.5 billion at $50 Brent and $2.5 Henry Hub, that multiplied by five what we had generated between 2026 and 2020 at those same $50 and $2.5. More than 20% reduction in breakeven to maintain it below $40. Reduces our capital intensity in 15% without sacrificing the future, without sacrificing the future, Tier 1 in that parameter. More than 20% value creation based on our performance of projects and people, Tier 1 in industry. To reduce 20% the net present value breakeven of our projects to be below $40. We will reduce the presence in the countries to less than 40 countries. 70% of our future CapEx will be in OECD countries.
We will adapt our exploration investment to the new circumstances, going for value and not for volume. We will reduce 75% of our emissions to Tier 1 of the sector in low emissions. In summary, we are transforming our upstream to Tier 1 in low emissions, in project resilience, in CapEx intensity and flexibility, and in value creation. Someone said that numbers kills the passion, but these numbers are our passion for never giving up our upstream DNA. Contributing also, as a stream as we are, to the Repsol transition targets. Thank you very much. Take care and stay healthy.
Repsol is fully committed to the fight against climate change. We were the first company in our sector to set the goal of becoming net zero emissions by 2050. We are aligning our strategy with this commitment. We see the energy transition as the natural evolution of our businesses. It will enable us to create value not only for the company, but also for society, through our solutions and products, the development of industry, and the generation of quality employment. We believe that only a model that integrates a variety of technological options and combines the use of carbon-neutral products with electrification will make it possible to achieve the net zero emissions target in the most efficient and rapid way, and at the lowest possible cost to the citizens.
In this hybrid model, the use of carbon-neutral products will make it possible to decarbonize sectors that are difficult to electrify, as in the case of certain industrial uses. Long distance road and maritime transport, as well as aviation. At Repsol, we want to contribute to the development of a robust and sustainable industry that can drive the economic reactivation of Spain.
This is a country that is in a privileged position to transform itself into a CO2-free energy hub, thanks to its renewable natural resources and the wide availability of raw materials for the circular economy. Repsol is and will be a prominent player in the energy transition of the Spanish economy. We will contribute our strength as an innovative industrial company, our technological potential, and our capacity for transformation. As an energy company, we have the capacity to supply all the products and services that the decarbonized society of the future will demand.
At Repsol, we have a vast experience in engineering, construction, and safe, reliable, and efficient operation of industrial plants. We have five refineries that are among the best in Europe, integrated with one another and with other business units. For decades, we have invested in them to improve their energy efficiency and their processes. Our industrial complexes will continue to evolve, to be transformed into multi-energy hubs capable of generating products with low, zero, or even negative carbon footprints, and promoting new business models based on digitalization and technology.
To address this transformation, we are going to support our industrial strategy on four main pillars: energy efficiency, the circular economy, renewable hydrogen, and capture and use of CO2. We will continue to invest in improving the efficiency of our processes with EUR 0.4 billion between 2021 and 2025 to cut 0.8 million tons of CO2 annually and lay the groundwork for transforming our industrial complexes into net zero emission sites. The circular economy is another pillar of the transformation. Our industrial complexes are being adapted to use waste from cities, used plastics, and residues from agriculture, forestry, and industry for the production of circular chemical products and plastics, sustainable biofuels, biogas, and renewable hydrogen.
Our circular strategy will allow us to treat large amounts of residues, thus avoiding their disposal. In addition, being able to use our existing sites to develop our circular strategy will reduce the investments needed in comparison with other players. Our goal is to become a leader in the production of sustainable biofuels. By 2025, we want to reach 1.3 million tons a year, and by 2030 to surpass 2 million. To achieve this, we already have various projects underway at our refineries and a current capacity to produce 700,000 tons of biofuels annually.
At our refinery in Cartagena, we have already begun work on the advanced biofuel plant that will be the first of its kind in Spain. It will annually produce 250,000 tons of hydro biodiesel, biojet, bionaphtha, and biopropane and avoid the emissions of 900,000 tons of CO2 every year. The plant will start operating in 2023, and it will use recycled raw materials to produce advanced biofuels that can be used in airplanes, trucks, and cars.
We are going to build a plant for the generation of biogas from urban waste from the city of Bilbao. The biogas will be used to substitute part of the natural gas used at our Petronor refinery today and to produce renewable hydrogen. In the first phase, this pyrolysis plant will be able to process 10,000 tons of urban waste a year. In later phases, its capacity can be increased to 100,000, an amount which is equivalent to all the urban waste produced in the surrounding area.
The refineries of the future will use renewable electricity for internal consumption, as well as to generate renewable hydrogen. At Repsol, we will produce this hydrogen by means of new technologies, such as electrolysis of water using renewable energy, photoelectrocatalysis using direct sunlight, and through the efficient and competitive use of biomethane, bionaphtha, or other renewable raw materials in our existing complexes. At Repsol, we have clear advantages in the production of renewable hydrogen. Spain is a great location in the European Union for developing this business due to the large availability of renewable resources, leading to lower production costs.
Additionally, as Spain's largest hydrogen producer and consumer, we find ourselves in a unique position to lead the development of the sector because we are present in the entire energy value chain. We want to reach a renewable hydrogen production equivalent to 400 MW by 2025, with the ambition to become the leader in the Spanish market by 2030 with a production equivalent to 1.2 GW.
One of the applications of renewable hydrogen will be its use as a raw material for the production of synthetic fuels and advanced biofuels, which can be readily used in today's cars. The primary advantage of these fuels is that they are carbon neutral because the CO2 that is liberated into the atmosphere when they are used was previously captured either from an emitting point or from the atmosphere. These fuels will be crucial for the decarbonization of sectors that today are difficult to electrify, such as heavy road, aviation, or marine transport.
At Repsol, we find ourselves in a privileged position to produce these fuels in the future, thanks to our strong position as a producer of renewable hydrogen and the use of CO2 captured at our own complexes. In 2024, the plant that we are going to build in the Port of Bilbao will be up and running. This plant will use renewable hydrogen and CO2 already captured at the nearby Petronor refinery as raw materials. It will be one of the largest of its kind in the world. In the future, all our refineries will be equipped with CO2 capture systems and potentially with systems to remove some of the CO2 already present in the atmosphere, allowing us to achieve carbon negative processes and products.
The European Union and the International Energy Agency both assert that CO2 capture, storage, and utilization, as well as natural climate solutions, will be necessary to reach net zero emissions. At Repsol, we are already taking steps down this road with innovative industrial products that use CO2 as a raw material and our participation in the Sylvestris Reforestation company. All these projects will allow us to create the sites of the future based on the use of new renewable raw materials, the application of innovative technologies, and the production of carbon-neutral products. Most importantly, it will enable us to become a net zero company by 2050.
We have a great and qualified team that has demonstrated its capacity to manage large projects in a safe, efficient, and competitive manner. Thanks to them, to technology, and to digitalization, we will be able to transform our industrial complexes over the coming decades to turn them into multi-energy and multi-product energy hubs that are self-sufficient and based on the circular economy. We are convinced that this transformation will help us reach our goal of achieving net zero emissions by 2050 and become a company that can satisfy the energy needs of our society that is free from emissions and is sustainable.
Good day to all of you. I hope that you are all well and healthy in these extraordinary weeks that we are going through. I also want to give a kind word of support to those who lost someone during this pandemic. I'm going to focus today on the renewable business of Repsol, a business that was born back in 2018, at the end of 2018, as a central pillar of our long-term strategy of becoming a net-zero player by 2050. This is a central pillar of the strategy of stepping up the transition. Today, after 25 months since we started this business, this is where we are today. These are the more important figures that we have today. On the one hand, in terms of pipeline and assets under operation, we will have, at the end of the year, 1 GW already operating.
We'd also have, under construction, 445 MW. We also have a 3.5 GW of high-maturity pipeline. On top of that, as we speak, we are working in the development and negotiation of other eight GW. On the other hand, where we're going to focus is in becoming an international player. To do that, we are focusing a few number of countries with material presence. So far this year, we have invested more than EUR 600 million. Probably the most important thing is how we are doing that. To do that, the main focus was, at the very beginning, to build up a very experienced team, a senior management team of the renewable business that has, on average, 10 years of experience in the business and that have built more than 15 GW of renewable farms all across the world.
In total, we have, at this point, 145 employees in this business. One-third is in the hydro part of the business, and two-thirds that is in the wind and solar renewable parts of the business that keeps on growing every day. What is the strategy that we put in place? From the very beginning, as I said, we set the strategy to become an international player. To do that, we set the strategy in three phases. phase I, let me use the word successful or successfully, it's the one that we successfully executed back in 2019. That was the phase where we set the strategy, we built up the team, we launched the development of the ready-to-build and early-stage assets. That is what we have done last year. What we are doing right now, that's the second phase.
We're starting the second phase, and that's the phase that covers all the strategic plan periods. That's the phase where what we are going to do is build up and put in operation all the pipeline that we will have, and at the same time, keep on feeding that pipeline just to be able to have a long-term view of the business. We are going to do that focus also on creating international and selective platforms. This is a period where, in total, we are going to put in operation around 500 MW a year. Comes phase III. phase III is the phase where we want to accelerate based on the pipeline that we are creating right now, and we will continue creating in the next five years. That's a period where we are going to put in operation around 1 GW per year.
We are going to do that strategy leverage on four pillars that we want to focus on. We're going to have a technology and geographical diversification. In technology diversification, we have hydro. We have, at this point, solar and wind onshore. We might enter at some point in offshore, not today, where we also want to closely monitor the advancements in other technologies, like storage in batteries, hydrogen, et cetera, because it will also have an impact in our business. We also want to have a geographical diversification. Geographical diversification is also very important because it allows us to maintain and to play with the different market dynamics at the speeds in the different markets where we are in or where we might be in the future. It is also important, the energy management approach. Energy management is a key component of the renewable business.
We are focusing on that on two main things. On the one hand, the long-term approach. The long term, that means that we might sign a regulated or bilateral PPAs, including with corporate clients. That's to the risk, the projects. Also, on the other hand, is where we can play with the short-term trading opportunities that we may have. Having an advanced energy management is really important to take the most out of the financial structure, out of the financial opportunities that we may have. It means that in this business, having the right cost of capital, having opportunities or flexibility to finance the projects in different ways is really very important. That is, as our CEO said today, where we are focusing on probably finding a partner or also launching an IPO in the future.
All in all, when we think about the strategy, the four pillars, and maintain it, there's a bottom line of it that is, what's the IRR target that we are setting as a goal? We are going to go ahead with the different projects as long as we have an equity IRR larger than 10%. That's the focus that we have and the delivery that we commit to. In terms of ambition and targets, as I said since the very beginning, we're going to be an international relevant player. For us at this point, and we have been changing always to the upside, the targets at this point is 15 GW by the end of the decade and seven and a half GW by mid of the decade.
To do that, what we need to do in this strategy plan is on top of what we have of low carbon generation capacity, on top of the one that we have today, is at above 5 GW in the next 5 years. That's the focus that we will have to end 2025 with more than 5 GW in total. It means that we'll have at the end of this strategy plan 700 MW of hydro, 1,700 MW of solar, and 2,800 MW of wind capacity. The focus right now by 2025 is mainly Spain, where we started operations, and Chile, our first international entrance. We will keep on working in the development of international opportunities that we need to add above one GW in the next year. Let me focus now on the portfolio that we have today.
I said that we have what we understand a very attractive portfolio with a high maturity rate. As I said at the very beginning, we currently will have, at the end of the year, one GW already in operation, 445 under construction, almost 3.5 GW of high visibility pipeline. Pipeline with more than 90% success rate, I will develop on it later on. Also the projects that we keep on working in terms of development. All in all, I said that one of the pillars was the diversification of technology. If you take a look at the chart, our approach is to have, on top of the hydro, more or less equal sizes in terms of the wind and solar of the pipeline that we currently have. We also said not only diversified from a technology standpoint, but also from a geographical standpoint.
You can take a look in here that even when Spain, where we started operations, and Chile, after our announced earlier this year, JV account for around 75% of the total GW that we will have in operation by the end of the strategic plan. We will keep on working with what we call rest of the world. A balanced portfolio is also important. Let me focus a bit on the projects that we have in Spain. In Spain, we currently, or the Iberian Peninsula, because we also have one project in Portugal in here. We are finishing the construction of the Delta project. This is a project of 335 MW. Two-thirds of it is already in operation today. At the end of the year, it's going to be fully operated. That's our first in-house wind project.
On top of that, we also have the first floating marine WindFloat project in Portugal. We have a small stake in there in a consortium with other players, but it's a cutting-edge technology, and it adds a lot from that standpoint. We are currently constructing two solar projects, the ones that we call Valdesolar and Kappa. Valdesolar in Extremadura and Kappa in Castilla y La Mancha. They are going to be in operation in first quarter next year. On top of that, and that is where we enter into the high visibility projects, we have two wind projects and one solar project on top of the ones that are purely green field.
The reason why we said we have more than 90% success rate in this project is that these are projects that already have the interconnection rights, where we're already working, and in some cases, we also have the possibilities that any MW does not go ahead, we have the possibility, we have the right to have those MW replaced. It give us a lot of comfort in terms of the success rate of these high visibility projects. You may see here at the bottom right-hand side of the page, what we call the greenfield projects. While we were working on these projects acquired at early stages, we also put in place a team just to work on the greenfield projects. We have some alternatives here, projects that are in Spain with the interconnection rights already obtained.
Probably another thing that is important and probably differentiation in comparison to other wind projects is that we have the alternative to build some hybridization in these wind projects, in Delta I, Delta II, and also in PI. It means that not only we are adding more MW, but also this could enhance the profitability of the project, the original one and the new one. Hybrid projects is a concept that we want to play on during this period. As I said before, we have the strategy, we have the how we are going to do that, but profitability is something that we are very focused on. Not only the fact that we can obtain the higher than 10% internal rate of return, equity rate of return that we set as a goal, but also how we do compare to other players in this business.
What we have done in here is comparing the projects that we have, the three projects at the left-hand side of the page, the wind projects, we compare the levelized cost of energy of the projects with the ones that BloombergNEF provides, with the range that BloombergNEF provide. You can see that in the three cases, the levelized cost of energy is equal or lower than the lower part of the range of BloombergNEF. In the case of the solar projects, it's even better than that. All the solar projects have a levelized cost of energy, even below the lower part of the range. We can secure that the equity IRR of 10% that we ask the projects, all of these projects have it, and we are in a range of 10%-12% of equity IRR in Spain.
We move now into Chile, that's the other geography that we have right now, and we have a high visibility. I would say, first of all, why Chile? Chile is a country with a very stable regulatory framework, with a positive, I'd say, country conditions. A country that currently have more than six GW of renewable in operation, that is making an important bet for the growth. That is something that we look for, growth in the renewable size of the business, where we can enter with a material size. We're going to enter in some countries with material sizes. Also it's a country with, I would say, one of the best in the world conditions or quality resources. Mainly, we have the north part of the country, that is where all our projects are located.
We will end the year with Cabo Leones 3, phase I, already in operation. It says at the end of the year, but it's already operating. With under construction of the second phase of these projects. On top of that, again, we also have projects in which we are working on, and are going to be operating in the next three years, half of them between 2021 and 2022, and the other one in 2023. It means that by 2023, we'll have more than 800 MW our stake in Chile. On top of that, we also have additional opportunities in the agreement that we have and other ones that we are working on with. Consistently with our capital allocation approach, all the projects are very competitive in the Chilean renewables market.
Again, as we did with the Spanish projects, we can compare the levelized cost of energy of our projects starting operations 2020, 2023, in comparison to BloombergNEF, always using the same methodology. It means that we can compare the projects. Again, as in the case of Spain, we can see that in the case of the wind projects, again, the range of it means that our range is equal or below the ones that we can compare in BloombergNEF. In the case of solar, as happened in Spain as well, our range is below the levelized cost of capital of other projects in Chile, again, using the same methodology. All in all, these projects have an equity IRR between 12% and 19%, depending on the project.
These are very high-quality projects. That we need to focus on the development of them on track, on budget and timely. We are working right now in how we are going to commercialize the energy of the project. We are thinking about a mix of PPA and merchant models, allowing us to pursue the right balance between risk and value, and the risk the projects in the first part of it, and have flexibly options in the long term. On top of the wind and solar projects that I've been describing, we also have the hydro. Hydro is also an important part of our renewable capacity. That's capacity that we acquired back in 2018. I would split it into two parts, conventional hydro generation, both reservoir and runoff river, and the other half that is pumped storage. That's the Aguayo project, for which we have an opportunity to enlarge that.
As I said, in Aguayo, we have the opportunity to add an extra GW of pumped capacity. That's with the reutilization of the existing upper and lower reservoir. This is important. We can do that with four units of 250 MW of pumping generation, each of them. It's a CapEx of above EUR 700 million. This is a key project, not only for Repsol, it's for Repsol, but also for the Spanish market. I'm going to explain that. As long as we develop in the country the renewable business and the renewable capacity, and we have more and more renewable MW providing energy to the country, we'll also have some intermittent risk. The storage is key to try to balance that power system. This is a perfect complement for the renewables technology to avoid curtailments in some peak periods.
That is why this project is really very, very important. In this project, we are at the final stage of getting the interconnection right. We understand that with the right regulatory framework, this is a project that could be financially rewarded, since the intraday price volatility is expected to rise between the peak and the base load hour. This is the focus of these projects. An increased optionality and flexibility just to add stability to the system as a whole. Let me put all that into financial figures. In terms of CapEx, I started saying that this year, we are going to end the year with an investment of EUR 600 million. At the end of the strategic plan period, we will be investing per year more than double of that. In total, we'll invest in the period EUR 4.7 billion.
That's investment that we are going to do in the renewable business. For sure, this investment effort needs to have the impact in the EBITDA. As you can see, we will start next year with EUR 60 million, and we will end the period in 2025, with more than EUR 300 million of EBITDA per annum. That's the focus that we have today, and the deliver that we are committed to. It's important to highlight that these figures does not include any potential upside for any potential partial divestment that we might have, not only to maintain a healthy, diversified portfolio, but also to enhance the equity IRR of the projects. This will allow us to play with the right financial structure, with the right debt levels, and move on as aggressively as possible in the business, and at the same time, capture the maximum value.
Let me conclude in the way that I have started today. We started this business with an ambition to become a relevant player. Relevant player, 15 GW of low carbon capacity by the end of the decade, 7.5 GW by the end of this strategy plan at the mid of the decade. We are on track on the execution of this ambition, not only with the MW that we already have in operation, but with the ones that we have under construction. All of them, on time and on budget. We also have been building, and that's something that we are really working on, that is in creating or in building up a sustainable portfolio of material projects. Always thinking into considerations the balance between the technology diversification and the geographical diversification. This is how we are securing the long-term visibility of this business.
For sure, without forgetting or more than without forgetting, as having as an important goal to have all the projects with at least a 10% of equity IRR. As I showed, we are already doing in each of the projects that we have today. We understand that this is very demanding in terms of capital allocation on investment hard drives, but this is something that we are committed to. That is why we need to have very competitive projects at early stages. To do that, we need the right financial structure. We will keep on working on having the suitable cost of capital and the right capital structure for this business. For sure, we can only do that if we have the right people, the right team, the right capabilities to go ahead and to execute this strategy.
We have been hiring a very senior executive management team. We keep on hiring people and applying the best in class or the best capabilities that we have in other business in Repsol to this business. All in all, this is a central pillar of our strategy. Renewables is a very important pillar of the long-term strategy to become a net zero player in 2050, and it's a central pillar of the strategy that we are releasing today, that is stepping up the energy. Stepping up the transition. Thank you very much for your attention, and I can tell you that we are very committed to this business, the development, and the execution of the goals that we have in here. Thank you.
Repsol is a modern and innovative multi-energy company that is ready to satisfy society's needs. We offer our clients a combined solution for both mobility in their homes with low-carbon products, electrification, and advanced services. All with the support of technology and innovation to reach a customer that is increasingly demanding and digital, and that is looking not just for products and services, but for solutions. In the power market, we are thinking in terms of the consumer-producer, to whom we offer innovative solutions, such as self-consumption of renewable electricity, individually or shared, from distributed generation facilities on nearby buildings. Our clients can also participate in energy communities, where they can exchange energy with other members, choose the origin of their supply, and use shared storage systems.
At the same time, we have digital solutions in place, such as our energy management system that helps our clients make efficient use of the energy and generate savings on their electricity bills. We evolve with them and with the times and adapt ourselves to their needs. We offer ever more efficient fuels, as well as electrical charging with lower emissions, both in public places such as our service stations and in the homes of our clients, where a smart energy system guarantees that the electrical vehicles are ready for use whenever they are needed. At Repsol, we have 1 million electricity and gas clients and 2 million digital clients. Our goal is to generate positive experiences and long-term relationships with them, offering them energy from our renewable generation plants, as well as other digital services.
Through our applications, our clients can organize their mobility and their free time, do their shopping online, and at the same time, receive a personalized offering of services that is adapted to their needs and preferences. We are the number one provider of mobility solutions in Spain, with 24 million clients and 3,400 service stations that will continue to be the cornerstone of our multi-service offering. At these service stations, our clients can fill up any kind of low-carbon fuel and use our Waylet app to pay without getting out of the car, as well as compensate their own emissions. Thanks to our various alliances, they can do their shopping, pick up their latest online order, or use their shared car.
We are the player in the Spanish market with the widest multi-energy and multi-services offer with low-carbon solutions for homes and for mobility.
A digitalized offering that allows us to deepen our relationship with our clients who are central to our strategy. We want to make their lives easier and be their provider of reference in different aspects of their lives. Together with our clients, we play a leading role in the energy transition.