Statkraft will provide Telenor’s Finnish subsidiary DNA with power from a planned wind farm under a 10-year power purchase agreement (PPA).
The Palokangas wind farm, owned by Finnish investment company Exilion Tuuli, is expected to start operations in late 2024. The project will consist of 12 turbines and be built in the region of Ostrobothnia.
A total volume of 85GWh will be supplied to DNA annually through this agreement, covering around 80% of the company’s power needs.
Statkraft’s role is to match the needs of both DNA and Exilion, providing financial security for the wind farm owner, while enabling a predictable renewable energy supply for the telecommunications company.
“Telenor wants to support the construction of new renewable power plants in the markets we operate, and this agreement provides a solid contribution to the decarbonisation of the electricity supply, as well as new capacity to hedge against volatile energy prices,” said executive vice-president for Telenor Infrastructure at Telenor Group Jannicke Hilland.
“Telenor Group’s scope 1 and 2 science-based climate target commits us to reduce global greenhouse gas emissions by 57% from 2019 to 2030. We also have a scope 3 enablement target where we recently made it mandatory for our suppliers to set their own science-based targets. Purchasing renewable energy is one the most significant measures we can take to reach our scope 1 and 2 targets,” Hilland added.
Vice-president Nordic origination at Statkraft Arne Wist noted: “With this agreement, we support DNA in securing their energy needs as well as achieving their climate targets based on renewable energy from a new wind farm under development in Finland.
“It illustrates Statkraft’s role in the market where we match the needs of power producers and consumers to find profitable, risk-reducing, and sustainable solutions.”