Statkraft signs 10-year wind power agreement with Neste in Finland
(Oslo, Norway/Espoo Finland, 1 September 2021) Statkraft and industrial company Neste have signed a 10-year power purchase agreement enabling the Finnish company to reduce greenhouse gas emissions with power from a Finnish wind farm under construction.
Deliveries to Neste's Porvoo refinery in Finland will start mid-2022 and the annual total volume of the wind power agreement is approximately 215 GWh, corresponding to some 18 percent of the electricity consumption at Neste's refinery in Porvoo, Finland.
The delivery originates from the Mastokangas wind farm currently under construction in the Finnish municipalities Raahe and Siikajoki. For this wind farm Statkraft has signed a power purchase agreement with Aquila Capital, the owner of the project.
The agreement supports Neste's target to reduce the carbon footprint of its production and reach carbon neutral production by 2035 as it will reduce indirect greenhouse gas emissions* of electricity purchases at the refinery annually by approximately 53,000 tons CO2 equivalent.
"Neste’s aim is to use 100% renewable electricity globally by 2023. We are increasing the use of renewable wind power at the Porvoo refinery, as it is one of the key measures to reduce greenhouse gas emissions of our production," says Sami Oja, acting Executive Vice President, Oil Products at Neste.
As a leading PPA provider, Statkraft brings together electricity producers and companies from trade and industry across Europe and develops new innovative concepts. In Finland, Statkraft offers PPAs to industrial and commercial companies as well as to project developers and investors enabling the financing of new renewable power plants. As one of the most important actors in the European energy market, Statkraft trades energy and renewable energy certificates in Finland.
“As a major partner to industry customers, we believe that our solutions should fit our customer’s needs. We enable them to achieve their sustainability targets while matching their procurement goals with competitive pricing and taking on market and portfolio-related risks for them,” explains Frode Berntsen, Head of Industry Nordics & Baltics at Statkraft.
“We are very proud to contribute to Neste’s objectives to reduce emissions with renewable energy from a Finnish wind farm,” he adds.
*) Scope 2 emissions defined by the Greenhouse Gas Protocol.
Statkraft is a leading company in hydropower internationally and Europe’s largest generator of renewable energy. The Group produces hydropower, wind power, solar power, gas-fired power and supplies district heating. Statkraft is a global company in energy market operations. Statkraft has 4,600 employees in 18 countries.
Neste (NESTE, Nasdaq Helsinki) creates solutions for combating climate change and accelerating a shift to a circular economy. Neste refines waste, residues and innovative raw materials into renewable fuels and sustainable feedstock for plastics and other materials.
The company is the world’s leading producer of renewable diesel and sustainable aviation fuel, developing chemical recycling to combat the plastic waste challenge. Neste aims at helping customers to reduce greenhouse gas emissions with its renewable and circular solutions by at least 20 million tons annually by 2030. As a technologically advanced refiner of high-quality oil products with a commitment to reach carbon-neutral production by 2035, Neste is also introducing renewable and recycled raw materials such as waste plastic as refinery raw materials.
The company has consistently been included in the Dow Jones Sustainability Indices and the Global 100 list of the world’s most sustainable companies. In 2020, Neste's revenue stood at EUR 11.8 billion, with 94% of the company’s comparable operating profit coming from renewable products.
Read more: neste.com