Adding green energy to the grid: Philips, HEINEKEN, Nouryon and
Signify form first Pan-European consortium for future wind farm
December 11, 2020
- Consortium supports the development of additional 126 Megawatt
capacity at wind farm in Finland
- Driving incremental production of renewable electricity in
Europe, the deal is expected to add 330 Gigawatt hours of clean
power to the electricity grid
- Netherlands-headquartered HEINEKEN, Nouryon, Philips and
Signify committed to contracting renewable electricity from the
wind farm for the first 10 years through a virtual Power Purchase
Agreement (virtual PPA)
Amsterdam, the Netherlands – Royal Philips,
HEINEKEN, Nouryon and Signify have formed the first consortium to
sign a Pan-European green energy deal securing additional renewable
electricity for Europe. The four companies have a shared vision to
further reduce CO2 emissions in support of the UN Paris Agreement
and the European Green Deal objectives.
The companies joined forces to support the development of 35
wind turbines in the Mutkalampi municipality in Finland, which is
scheduled for completion in 2023. The virtual PPA covers an
expected output volume of 330 GWh per year – equivalent to the
electricity consumption of 40,000 households. Compared to the
average European electricity generation, this renewable electricity
will help to avoid over 230,000 tons of CO2 emissions per year.
The consortium has committed to contracting renewable
electricity from the wind farm for the first 10 years through a
virtual PPA. The electricity will be physically delivered to the
Finnish grid while the four consortium partners benefit from the
Guarantees of Origin. This provides income stability for the
renewable project while guaranteeing clean energy benefits for the
corporate buyers.
While the companies have signed PPAs for renewable electricity
in the past, this is the first time such a consortium has formed a
virtual PPA to drive incremental renewable electricity for
Europe.
Through this consortium, HEINEKEN will source renewable
electricity for an additional 31 of its European production sites
[1], Nouryon will continue its progress in reducing CO2 emissions
by 25% by 2025, Philips secures renewable electricity supply to
power its European operations for a 10-year period and Signify
solidifies its leading position on 100% renewable electricity use
and doubling the pace to reach the Paris Agreement over their value
chain by 2025.
Jorge Paradela, Corporate Affairs Director Europe at HEINEKEN:
“As part of our global CO₂ reduction program, Drop the C, we aim to
significantly reduce emissions across our value chain and are
committed to reaching 70% renewable energy in the production of our
beers by 2030. This virtual PPA is another step towards our
ambition and will provide the equivalent electricity needed to brew
over 5 billion bottles of beer. Where possible, we aim to develop
local PPAs for our Operating Companies. For example HEINEKEN Spain
has signed a long term PPA involving the construction of a new
solar photovoltaic plant. It is not always possible to build
locally, therefore we are delighted to join forces on this virtual
PPA to deliver significant renewable electricity for Europe. We
firmly believe in the power of collaboration to help contribute to
a greener world and greener future for us all.”
Marcel Galjee, Vice President Energy & New Business at
Nouryon Industrial Chemicals: “As part of our commitment to a
sustainable future, we have set a target to reduce carbon emissions
by 25% between 2020 and 2025 and to increase our share of renewable
and low-carbon energy to 60%. This virtual PPA combines the best of
both worlds: additional renewable electricity is realized in
Finland where there is space, both physically and on the grid,
while we benefit from more sustainable energy for our
operations.”
Robert Metzke, Global Head of Sustainability at Philips:
“Climate change threatens our healthcare systems globally. This
renewable electricity partnership raises the bar in how we can
jointly increase green energy supply across Europe, in line with
the UN Paris Agreement. With this agreement, we secure renewable
electricity supply to power our global operations for a 10-year
period, delivering real progress on our 2025 climate targets. By
the end of this year, we will be carbon neutral in our own
operations, and we aim to source over 75% of our total energy
consumption from renewable sources by 2025.”
Nicola Kimm, Head of Sustainability, Environment, Health &
Safety at Signify: “The world increasingly faces the challenges
posed by climate change. The time to act is now. We already
achieved carbon neutrality for all our global operations earlier
this year and we source 100% renewable electricity. Now we are
committing to double the pace we reach the Paris Agreement over our
value chain by 2025. Joining forces to realize this Pan-European
PPA will accelerate the transition to clean energy and supports our
climate action ambitions. We hope to encourage others to follow so
we can collectively reduce carbon emissions around the globe.”
The new wind farm will be realized by Neoen, an independent
French producer of renewable energy. The four parties were advised
on the consortium by Schneider Electric.
[1] Across 13 of its European Operating Companies in Romania,
Portugal, Belgium, Bulgaria, Croatia, Czech Republic, Greece,
Hungary, Ireland, Serbia, Slovakia, Slovenia and Switzerland.
About Royal Philips Royal Philips (NYSE: PHG,
AEX: PHIA) is a leading health technology company focused on
improving people's health and well-being, and enabling better
outcomes across the health continuum – from healthy living and
prevention, to diagnosis, treatment and home care. Philips
leverages advanced technology and deep clinical and consumer
insights to deliver integrated solutions. Headquartered in the
Netherlands, the company is a leader in diagnostic imaging,
image-guided therapy, patient monitoring and health informatics, as
well as in consumer health and home care. Philips generated 2019
sales of EUR 19.5 billion and employs approximately 81,000
employees with sales and services in more than 100 countries. News
about Philips can be found at www.philips.com/newscenter.
About HeinekenHEINEKEN is the
world's most international brewer. It is the leading developer and
marketer of premium beer and cider brands. Led by the Heineken®
brand, the Group has a portfolio of more than 300 international,
regional, local and specialty beers and ciders. HEINEKEN is
committed to innovation, long-term brand investment, disciplined
sales execution and focused cost management. Through "Brewing a
Better World", sustainability is embedded in the business. HEINEKEN
has a well-balanced geographic footprint with leadership positions
in both developed and developing markets. It employs over 85,000
employees and operates breweries, malteries, cider plants and other
production facilities in more than 70 countries. Heineken N.V. and
Heineken Holding N.V. shares trade on the Euronext in Amsterdam.
Prices for the ordinary shares may be accessed on Bloomberg under
the symbols HEIA NA and HEIO NA and on Reuters under HEIN.AS and
HEIO.AS. HEINEKEN has two sponsored level 1 American Depositary
Receipt (ADR) programmes: Heineken N.V. (OTCQX: HEINY) and Heineken
Holding N.V. (OTCQX: HKHHY). Most recent information is available
on HEINEKEN's website: www.theHEINEKENcompany.com and follow us via
@HEINEKENCorp.
About NouryonWe are a global specialty
chemicals leader. Markets worldwide rely on our essential chemistry
in the manufacture of everyday products, such as paper, plastics,
building materials, food, pharmaceuticals, and personal care items.
Building on our nearly 400-year history, the dedication of our
10,000 employees, and our shared commitment to business growth,
strong financial performance, safety, sustainability, and
innovation, we have established a world-class business and built
strong partnerships with our customers. We operate in over 80
countries around the world and our portfolio of industry-leading
brands includes Eka, Dissolvine, Trigonox and Berol. Visit our
website and follow us @Nouryon and on LinkedIn.
About SignifySignify (Euronext: LIGHT) is the
world leader in lighting for professionals and consumers and
lighting for the Internet of Things. Our Philips products, Interact
connected lighting systems and data-enabled services, deliver
business value and transform life in homes, buildings and public
spaces. With 2019 sales of EUR 6.2 billion, we have approximately
37,000 employees and are present in over 70 countries. We unlock
the extraordinary potential of light for brighter lives and a
better world. We achieved carbon neutrality in 2020, have been in
the Dow Jones Sustainability World Index since our IPO for four
consecutive years and were named Industry Leader in 2017, 2018 and
2019. News from Signify is located at the Newsroom, Twitter,
LinkedIn and Instagram. Information for investors can be found on
the Investor Relations page.
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