Low Carbon has signed a corporate power purchase agreement (PPA) with Lloyds Banking Group.
Through the 10-year agreement, Lloyds Banking Group will purchase 50GWh of clean electricity annually from Low Carbon.
The energy will be generated from Low Carbon’s 49MW Meadow Solar Farm in Hampshire and Pepperhill Solar Farm in Shropshire, in the UK.
Production at both will start in 2025.
EDF Business Solutions will provide route to market services for Low Carbon enabling energy from the solar farms to help power Lloyds Banking Group’s UK property estate and avoid over 21,000 tonnes of CO2 emissions each year.
The agreement will further strengthen Low Carbon’s existing relationship with Lloyds Banking Group as it aims to deploy large-scale renewable infrastructure globally.
As an original partner of Low Carbon’s multi-bank £540m finance facility, the group is supporting the construction of a 1GW portfolio of solar projects in the UK and the Netherlands.
Low Carbon’s head of power management Marco Verspuij said: “Lloyds Banking Group have been a key partner supporting Low Carbon on our journey to develop new renewable energy capacity at scale.
“Transitioning away from fossil fuels to renewable energy by developing different finance options is critical if we are to make progress on tackling climate change.
“Our partnership with Lloyds can help to address this challenge and offers a blueprint for what can be achieved when commercial banks and renewable energy developers work together.”
Future ways of working director at Lloyds Banking Group Dave Blott said: “The first electricity from these solar farms will be delivered in 2025, helping us to accelerate our transition to using cleaner, renewable energy.
“We are committed to reducing the carbon emissions we generate through our own operations to help Britain prosper, and this PPA helps us realise this ambition.”