Nestle Australia to go 100% renewable via CWP wind PPA

Swiss food giant Nestle SA (SWX:NESN) will use 100% renewable electricity in Australia after an off-take deal with Australia-based CWP Renewables.

Nestle Australia said on Monday it has sealed a 10-year power purchase agreement (PPA) with CWP to get electricity from its 270-MW Sapphire and 134-MW Crudine Ridge wind farms in New South Wales. The power to be procured will be enough to cover the demand of Nestle’s six Aussie factories, two distribution centres, three corporate offices, 20 retail facilities and a laboratory.

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The PPA signing aligns with Nestle Australia’s plan to go all-renewable four years ahead of its global target of 2025 as part of its wider sustainability strategy. The KitKat and Nescafe maker also aims to cut its net emissions by 50% by 2030 and become net zero by 2050.

The contracted capacity is estimated to be enough to supply 19,000 homes annually and will help Nestle avoid around 73,000 tonnes of carbon dioxide (CO2) emissions per year.

The Sapphire wind park in New South Wales’ New England region already has other off-takers such as Aussie retailer Woolworths Group, Sydney Airport and the Commonwealth Bank. Crudine Ridge, meanwhile, is in the late stages of construction and is due to go online by early 2022.