Iberdrola Signs 10-Year Solar PPA with Acciaierie Venete

• Iberdrola and Acciaierie Venete join forces for a greener future, with a groundbreaking solar PPA set to slash carbon emissions and elevate sustainability in the steel industry.

Iberdrola SA has signed a 10-year power purchase agreement (PPA) with Italian steel manufacturer Acciaierie Venete SpA to supply solar energy from a 12-MW photovoltaic park currently under construction in Italy. The deal guarantees Acciaierie Venete 230 GWh of green power, helping the company reduce its carbon dioxide emissions by approximately 6,960 tonnes during the contract period.

The partnership aligns with Acciaierie Venete's sustainability goals and their strategy to decarbonize, aiming to cut their carbon footprint by over 50% by 2030. Iberdrola is expanding its presence in Italy, with nearly 150 projects and a target of reaching 400 MW of installed capacity by 2025.

How will Iberdrola's PPA impact Acciaierie Venete's sustainability and carbon reduction goals?

Impact of Iberdrola's PPA on Acciaierie Venete's Sustainability and Carbon Reduction Goals

• Significant Emission Reductions: By securing a supply of 230 GWh of green power over the next decade, Acciaierie Venete is positioned to drastically reduce its annual carbon dioxide emissions. The estimated reduction of about 6,960 tonnes of CO2 will contribute considerably to their long-term goal of cutting emissions.
• Alignment with Long-term Sustainability Strategy: This PPA supports Acciaierie Venete's comprehensive sustainability strategy that prioritizes the decarbonization of its operations. By focusing on renewable energy sources, the company is not only enhancing its competitive advantage but also demonstrating corporate responsibility.
• Enhanced Renewable Energy Usage: The agreement will significantly increase the proportion of renewable energy used in the company’s production processes, which is critical for meeting both national and international sustainability standards in the steel sector.
• Support for Circular Economy Initiatives: As part of its sustainability agenda, Acciaierie Venete is likely to leverage the PPA to enhance its circular economy initiatives, fostering a more sustainable approach by reducing dependency on fossil fuels and promoting the use of recycled materials.
• Regulatory Compliance: The power purchase agreement aids in ensuring compliance with European Union regulations regarding carbon emissions and renewable energy usage, which are becoming increasingly stringent, thereby mitigating potential legal and financial risks.
• Community and Economic Impact: The development of the photovoltaic park not only supports Acciaierie Venete's green energy ambitions but also contributes to local economic growth by creating jobs during the construction and maintenance phases of the solar facility.
• Market Leadership: By partnering with Iberdrola, Acciaierie Venete positions itself as a leader in sustainable practices within the steel industry, potentially attracting investors and clients who prioritize ethical and environmentally friendly production processes.
• Increased Energy Security: The PPA offers Acciaierie Venete a more stable and predictable cost structure for energy, protecting the company against fluctuations in the energy market while ensuring a long-term supply of green energy.
• Future Collaborations: The successful implementation of this PPA may pave the way for further collaborations with Iberdrola or other renewable energy providers, expanding Acciaierie Venete's capacity for sustainable energy utilization and furthering carbon reduction efforts.
• Awareness and Internal Culture: Committing to sustainable energy through this partnership can foster a culture of accountability and innovation within Acciaierie Venete, encouraging employees to engage in practices that support company's sustainability objectives.

By integrating the energy supply from Iberdrola into its operations, Acciaierie Venete is taking a critical step towards a greener future, both in terms of emissions reduction and overall sustainability.