Iberdrola and Bayer Extend Partnership with Green Power Purchase Agreement in Italy

Iberdrola and Bayer, the German pharmaceutical giant, have further strengthened their partnership by signing a green power purchase agreement (PPA) in Italy. The agreement, set to run for 11 years from January 2025, will see Bayer’s plant in Garbagnate, Milan, exclusively powered by renewable electricity supplied by Iberdrola. This move underscores Bayer’s commitment to environmental sustainability.

Under the terms of the agreement, Iberdrola will provide a total of 33 GWh of green energy over the contract period. The electricity will be generated by the Montefiascone photovoltaic plant located in the Lazio region. With a total installed capacity of 7 MW, the plant is expected to prevent the emission of over 3,200 tonnes of CO2 into the atmosphere, equivalent to the electricity demand of more than 4,000 homes.

Iberdrola’s involvement in Italy reflects its dedication to developing strategies for industrial decarbonisation through renewable energy solutions and self-consumption promotion, aiming to minimize environmental impact. By 2025, with the addition of the Montefiascone plant and other authorized photovoltaic projects, Iberdrola aims to achieve an operational capacity of 400 MW in Italy.

Several Italian companies have already committed to sourcing green energy from Iberdrola through long-term power purchase agreements. These include the Tosano supermarket chain and the BTicino metallurgical company, highlighting the growing trend towards sustainable energy procurement in the region.

Iberdrola’s leadership in the PPA market extends across Europe, the UK, the US, Brazil, Mexico, and Australia. With a decade-long track record in developing such agreements, Iberdrola currently ranks as the leading PPA provider in Europe for 2023, as per consultancy Pexapark. The company has secured contracts to sell around 90% of the energy it plans to generate between 2024 and 2025, ensuring long-term visibility in delivering sustainable energy solutions.