Etem Gestamp and Rezolv Energy have signed a 10-year virtual power purchase agreement linked to the 461MW VIFOR wind farm in Romania.
Etem Gestamp said the agreement will supply clean electricity to its operations in Bulgaria and reduce its environmental footprint.
Rezolv Energy added that the deal marks its seventh PPA and its second with an automotive sector company.
The VIFOR wind farm is located in Buzău County and is about to come onstream.
The agreement is described as the first publicly announced cross-border wind PPA in Bulgaria.
Etem Gestamp expects around 70% of its energy mix to come from renewable sources by 2027.
“This agreement represents an important milestone in Etem Gestamp’s decarbonisation journey,” said Nikolay Stoynov, business services director at Etem Gestamp.
“The VPPA enables us to secure price stability while significantly reducing the carbon footprint of our operations in Bulgaria.”
“Etem Gestamp should be applauded for its willingness to adopt innovative approaches to clean power procurement,” said Alastair Hammond, chief executive at Rezolv Energy.
“With wind capacity still limited in Bulgaria, the cross-border VPPA model provides a way for Bulgarian companies to access wind power from other countries in Southeastern Europe and help accelerate the energy transition in the region.”