RWE Inks Solar Power Agreement with Kerry Group UK Subsidiary

The PPA, structured as two separate financial pay-as-produced contracts, will provide clean electricity for over a decade, sourced from RWE's UK solar projects Cotmoor and Copse Lodge.

April 12, 2024. By Abha Rustagi

RWE, the power producer in the UK, has signed its inaugural UK Solar Power Purchase Agreement (PPA) with the UK subsidiary of the global taste and nutrition giant, Kerry Group.

The PPA, structured as two separate financial pay-as-produced contracts, will provide clean electricity for over a decade, sourced from RWE's UK solar projects Cotmoor and Copse Lodge. Each project boasts a potential installed capacity of 49.9 MWac, with Cotmoor already securing Financial Investment Decision (FID) and commencing full construction activities this year, while Copse Lodge Solar Farm is slated to follow suit in 2025.

Olaf Lubenow, Head of Commodity Solutions UK, North & South Europe at RWE Supply and Trading, emphasized the pivotal role of solar power in accelerating the UK's energy transition, "Solar power is one of the quickest and easiest renewable technologies to deploy, and can quickly make a significant contribution to the UK’s energy system. Through the build-out and operation of our UK portfolio of over 4.4 gigawatts of solar projects, our clean electricity can help even more businesses like Kerry Group to decarbonize for the future by sourcing clean green electricity for years to come."

Kerry Group echoes this commitment to sustainability, as Juan Aguriano, Global Head of Sustainability for Kerry, stated, "Kerry is committed to the fight against climate change. We intend to reduce our combined Scope 1 & 2 carbon emissions by 55% by 2030 and achieve net zero by 2050. Power purchase agreements represent a key pillar of Kerry’s renewable energy strategy to deliver on these commitments."

The agreements with RWE mark Kerry's inaugural PPAs in the UK and cover approximately 50 percent of the company's electricity volume in the country. This partnership not only aligns with Kerry's sustainability goals but also supports the UK's transition to low-carbon electricity.

With a commitment to invest EUR 8 billion net in the UK from 2024 to 2030 as part of its Growing Green strategy, RWE aims to commission an average of 450 MW of new solar and storage projects annually. The company's success in the latest Contracts for Difference Auction Round 5, securing agreements for six UK solar projects, highlights its contribution to the UK's net zero ambitions and energy security.

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