Bayer inks PPA for Iberdrola's 590-MW solar mega-project in Spain
Iberdrola team building a solar park. Image by Iberdrola (www.iberdrola.com)
German pharmaceutical and life sciences company Bayer AG (ETR:BAYN) has purchased the output of the 590-MW Francisco Pizarro solar farm that Spanish utility group Iberdrola SA (BME:IBE) will build in Spain.
The two companies signed a ten-year power purchase agreement (PPA) under which Bayer secured the supply of electricity for its three factories, five research and development centres and the company’s Iberian headquarters in Spain.
The PPA will come into force in 2022, when the Francisco Pizarro plant is scheduled to commence operation. Until then, Bayer’s power supply is covered by a so-called “bridge contract” for emissions-free electricity with a certified guarantee of origin, Iberdrola said.
With this PPA, Bayer and Iberdrola repeat their partnership after signing an off-take deal this summer for the electricity generated by the 105-MW Santiago wind farm in Mexico.
The Francisco Pizarro solar farm will be located in the Spanish region of Extremadura, in Caceres province. The environmental impact assessment for the project has been approved, Iberdrola said.
According to the utility, Francisco Pizarro is the largest PV project currently under planning consent in Europe. At 590 MW, it will surpass Iberdrola’s 500-MW Nunez de Balboa, which for now claims the title as Europe’s largest solar farm.
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