NSG UK Enterprises, part of the NSG Group, has signed a power purchase agreement (PPA) with EDP Renewables (EDPR), the world’s fourth-largest renewable energy producer, for the renewable electricity generated by a wind farm located in Poland.
“We are delighted to sign our first virtual PPA with our partner EDPR for the majority of our electricity demand in Poland,” says John Wilgar, head of procurement at NSG Group. “This helps us to secure renewable electricity at predictable costs over the long term in a market with a highly carbon-intensive grid. It is a huge step towards our sustainability objectives in support of our actions on climate change.”
It is the first virtual PPA by NSG Group and the first PPA signed by a glass manufacturer in Poland, according to a press release. NSG will offtake 51% of the output from the wind farm, which has a total installed capacity of 70 MW. The PPA will have a duration of 10 years, starting this month.
The contract will see approximately 100 gigawatt-hours (GWh) of NSG Group’s annual electricity demand supplied at a fixed price-reducing exposure to the volatile wholesale electricity prices currently seen.
Schneider Electric, an advisor on corporate renewable energy procurement globally, supported NSG Group in the selection of and negotiations for the project.
“It is exciting to partner with the first glass manufacturer to introduce renewable electricity in Poland,” says Philippe Diez, partner sustainability business division Europe for Schneider Electric Glass. “Manufacturers have a critical role to play in global decarbonization – especially as it relates to the automotive sector – and we congratulate NSG on their commitment to source renewable energy.”
The NSG Group is targeting to source the equivalent of at least 50% of its electricity (by kilowatt-hour) globally from renewables by the fiscal year 2024.