It has signed long-term power purchase agreements with more than 50 companies, including Big Tech: Google, Amazon, Apple, Facebook and Microsoft
Iberdrola reaffirms its leadership in PPAs with more than 4,000 MW in renewable energy tied to long-term contracts.
- The consumption associated with these PPAs is around 8,600 GWh/year, equivalent to that used by approximately 2 million households
- The company reaffirms its strategy of developing renewable energy projects linked to bilateral contracts that promote energy supply at competitive and stable prices with large customers committed to sustainable consumption.
Iberdrola continues to strengthen its leadership position in renewable energy tied to long-term bilateral contracts. The company now has more than 4,000 megawatts (MW) of renewable energy tied to contracts with large companies in the United States, Spain, Mexico, Brazil, the United Kingdom and Australia for the sale of long-term power purchase agreements (PPAs).
In recent years, the energy company has pushed ahead with these contracts and signed agreements with more than 50 multinational companies, including the 5 major big tech companies: Google, Amazon, Apple, Facebook and Microsoft.
This type of agreement creates many opportunities for the development of renewable energy projects, transforming the present and future of energy in our country and contributing to the economic recovery. Long-term energy purchase and sales contracts provide stability to investments and have also become an optimal tool for managing the electricity supply of large consumers who are committed to clean and sustainable consumption. The PPAs demonstrate the competitiveness of renewable energy and their ability to supply energy at affordable and stable prices.
Supporting decarbonisation in Spain
The group led by Ignacio Galán started with the long-term renewable energy contract model in the United States, where it is the third largest renewable energy operator in the US through its subsidiary AVANGRID. The group began developing this type of contract more than a decade ago and today has signed PPAs with more than 10 US companies on the other side of the Atlantic.
In Spain, the company has pioneered this type of contract with companies from different sectors: For example, in the banking, telecommunications, brewing, distribution, sports brands and pharmaceuticals industries. One of the most recent agreements has been that signed with Danone España, which joined forces with Iberdrola to develop Europe’s largest photovoltaic plant. The agreement guarantees long-term green electricity supplies for Danone production plants and mineral water abstraction wells in Spain, which are in Asturias, Barcelona, Girona, Guadalajara, Granada, Madrid and Valencia; as well as its logistics centres and offices. Danone’s suppliers, Graham Packaging and Salvesen Logística, are also taking part in this alliance.
More information: What is a PPA, and what are the main benefits?
Leading the fight against climate change
Iberdrola continues to make progress with its sustainability strategy, based on the electrification of the economy and oriented towards the fight against climate change and the creation of wealth and employment in the communities in which it operates.
The company, which through ScottishPower is the main partner of COP26 to be held in Glasgow from 31 October to 12 November 2021, is a leader in green and sustainable finance with €35.8 billion and the first corporate issuer of green bonds in the world. Its CO2 emissions as of September have been reduced to 53 g/kWh and it maintains its goal of becoming an emission-neutral company by 2030 in Europe.
In the last two decades, the company has invested 120 billion euros in renewable energy, smart grids and energy storage. An investment plan to 2030 worth 150 billion euros will triple its renewable capacity to almost 100,000 MW.