Global pharmaceutical company Lundbeck has entered a seven-year PPA with Better Energy to ensure 100% renewable electricity consumption.
As a result of the agreement, Better Energy will build a new 34MW solar park and bring more new renewable electricity into the Danish grid.
The solar park will be built and financed through the PPA.
Lundbeck has prioritised that new PPAs should have a direct effect on the construction of new renewable capacity in Denmark.
Better Energy chief executive Rasmus Lildholdt Kjær said: “Sustainable businesses can make a world of difference by ensuring that their electricity consumption is matched by additional new renewable capacity.
“This is exactly what Lundbeck does with this agreement.”
According to the Danish Energy Agency, Danish electricity consumption is expected to almost double during this decade.
The construction of new subsidy-free solar parks helps ensure that a larger part of this electricity consumption is supplied by green electricity production.
Lundbeck’s senior director for compliance and sustainability Uffe Kåre Rasmussen added: “Since 2006, we have reduced our carbon emissions by more than 70% and this new solar park is the next step towards our ambition of reaching carbon neutrality.
“We are very pleased to be a part of adding new green energy to the grid and look forward to seeing the solar park.”
The solar park will be built in Guldborgsund Municipality in Denmark and is expected to be connected to the electricity grid within the next twelve months.
The agreement is a hedge against rising electricity costs as it entails a low fixed cost of electricity for the next seven years.