Spanish multinational energy company Iberdrola has signed an agreement with Danone for the creation of what it claims will be Europe’s largest solar PV plant.
A Power Purchase Agreement signed by the two companies will enable Iberdrola to provide Danone with 100% renewable energy generated from the Francisco Pizarro photovoltaic plant being built in the municipalities of Torrecillas de la Tiesa and Aldeacentenera, in Càƒ¡ceres, Extremadura in Spain.
The initiative consolidates Danone’s long-term renewable strategy and means that 100% of the renewable electricity used in its plants and factories in Spain will come from this solar project.
Danone has set a target to reach net-zero emissions by 2050.
The agreement reached will guarantee the long-term green supply of electricity to all Danone’s Spanish production plants and its natural water sources, located in Asturias, Barcelona, Gerona, Guadalajara, Granada, Madrid and Valencia; as well as its logistics centres and offices.
Danone Espaàƒ±a’s suppliers, Graham Packaging and Salvesen Logàƒstica, have also joined the alliance.
With 590MW of installed power and an investment of €300 million ($365.4 million), Francisco Pizarro will avoid the emission of over 245,000 tonnes of CO2 a year and will contribute towards the country’s ecological transition.
The solar PV plant is expected to be operational in 2022.
More than 1,200 workers will be involved in the construction of the project.
àƒngeles Santamaràƒa, CEO of Iberdrola Espaàƒ±a, said: “PPAs open the door to many opportunities for the development of renewable projects that are transforming the present and future of energy in our country and contributing towards its economic recovery.
“Long-term power purchase agreements provide stability to investments and have become the perfect tool for the management of the electricity supply for large consumers who are committed to clean and sustainable consumption.
“These agreements demonstrate the competitiveness of renewables and their ability to supply energy at affordable and stable prices.”
Paolo Tafuri, general manager of Danone Iberia, adds: “the health of people and of the planet are closely connected, as reflected in vision ‘One Planet.One Health’. Our aspiration is to progress towards a new way of doing business that takes into account not just results but also the financial and social impact of our activity.
This initiative will help us turn our ambitious environmental commitments into reality – goals that form part of our global strategy and affect our entire value chain.”