Iberdrola is to supply renewable energy to 13,500 supply points for Vodafone’s network in Spain.
The contract will take effect in January 2021, with part of the energy consumed – 140 gigawatt-hours a year of the total 540 GWh/year – to be supplied under a power purchase agreement associated with the Puylobo wind farm.
Puylobo is currently under construction at the town of Borja in Zaragoza in the Aragon region of the country.
It represents an investment of €50m and will employ over 120 people during construction.
The remaining 400GWh will be supplied under another agreement, that guarantees green energy through the delivery of the company’s guarantee of origin certificates.
Iberdrola director of large customers Eduardo Insunza said: “PPAs offer numerous opportunities to develop the renewable projects that are transforming the present and future energy in our country.
“These long-term energy purchase and sales contracts provide stability to investments and have also become an optimal tool for managing the electricity supply of large consumers who are committed to clean and sustainable consumption.
“They also demonstrate the competitiveness of renewables and their ability to supply energy at affordable, stable prices.”
Vodafone Espana managing director of technology Ismael Asenjo said: “Our strategic framework as a company that is sustainable and responsible toward the planet requires that by 2025, all the electrical energy we purchase must come from renewable sources and we will have reduced our CO2 emissions by 50 % compared to 2016-17.
“The energy used to operate the network accounts for more than 97 % of our total consumption, so it is key to implement energy efficiency measures and establish agreements to purchase energy from renewable sources, such as the one we entered into today with Iberdrola.”