Flat glass manufacturer NSG Group has signed an agreement which secures 10 years of renewable energy from a Polish wind farm.
Its NSG UK Enterprises has signed a power purchase agreement (PPA) with EDP Renewables (EDPR) for the renewable electricity generated by the wind farm.
It is the first virtual PPA by NSG Group and the first PPA signed by a glass manufacturer in Poland.
NSG will offtake 51% of the output from the wind farm, which has a total installed capacity of 70MW. The PPA will have a duration of 10 years, starting in January 2022.
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.
This amount of clean energy is equivalent to avoiding the carbon emissions from nearly 15,000 passenger vehicles driven for one year, or more than 278 million kilometres driven by an average passenger car.
Schneider Electric supported NSG Group in the selection of and negotiations for the project.
John Wilgar, Head of Procurement at NSG Group said: “We are delighted to sign our first virtual PPA with our partner EDPR for the majority of our electricity demand in Poland.
“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.”
Philippe Diez, Partner Sustainability Business Division Europe for Schneider Electric added: “It is exciting to partner with the first glass manufacturer to introduce renewable electricity in Poland.
"Glass manufacturers have a critical role to play in global decarbonisation - 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 fiscal year 2024.
This PPA will contribute to this target and towards the NSG Group’s Science Based Target Initiative for carbon emission reduction by avoiding approximately 80,000 tonnes of carbon per year.
The group aims to achieve a 2% annual reduction in carbon emissions (Scope 1 and 2) during the three-year period of the company’s Revival Plan 24.
The group’s ambition is to achieve a 21% reduction by 2030 compared to its 2018 levels and to detail its roadmap to achieve carbon neutrality by disruptive innovation.