Iberdrola Deutschland and Salzgitter Flachstahl have solidified their collaboration with the conclusion of another solar power purchase agreement (PPA), signaling a significant step towards sustainable energy practices in Germany.
Under the terms of the agreement, starting from 2025, Iberdrola Deutschland will provide Salzgitter Flachstahl with approximately 60 gigawatt hours (GWh) of electricity annually, sourced from a 60MW solar plant set to be erected in Saxony-Anhalt, Germany. The solar array is already in an advanced stage of development.
This new PPA, spanning a duration of 15 years, signifies an expansion of the partnership between the two companies. Additionally, it lays the groundwork for future collaborations, with Iberdrola set to supply Salzgitter Flachstahl from its Baltic Eagle offshore wind farm.
Iberdrola emphasizes that such agreements demonstrate how renewable energy assets can ensure a stable and competitive supply of electricity for large commercial customers committed to environmentally friendly and sustainable energy practices.
Salzgitter Flachstahl's Chief Executive, Ulrich Grethe, stressed the importance of establishing sustainable production and process chains, stating, “By concluding this new power purchase agreement, we are taking a major step towards climate-neutral production.”
Felipe Montero, Chief Executive of Iberdrola Deutschland, echoed similar sentiments, highlighting the company's commitment to supporting the green transformation of German industry through long-term PPAs. Montero emphasized, “Through long-term PPAs, we want to realize projects that actively contribute to the green transformation of German industry.”
