Swiss energy trader Axpo Holding AG announced on Wednesday that it has finalized a long-term deal to supply electricity to Petrol Group, a leading power distributor in Slovenia.
The corporate power purchase agreement (PPA) stipulates that Axpo will deliver electricity to one of Petrol's end customers at fixed prices over a five-year period, facilitating better long-term energy supply planning for Petrol.
As part of the agreement, Petrol will have the option to acquire matching Association of Issuing Bodies (AiB) Guarantees of Origin (GoOs) for wind, solar, or hydropower from any AiB country.
The Slovenian energy group, which provides approximately 3 terawatt-hours (TWh) of electricity to end customers annually, will also have the flexibility to purchase additional power tranches over time, also at long-term fixed prices.
This contract marks Axpo's second PPA in Slovenia. Philip Schmid-Lossberg, senior originator for South-Eastern Europe at Axpo, emphasized that the agreement offers stability and assurance vital for business planning, protecting against market volatility and fluctuating energy prices through strategic hedging.
