Norwegian renewable energy company Statkraft has signed a 10-year power purchase agreement (PPA) with Telenor, agreed to provide clean energy to the telco’s Finnish subsidiary DNA .
The PPA enables DNA to buy 85 GWh of clean energy per year from the new Palokangas wind farm, owned by investment firm Exilion Tuuli.
The project, which will start operation in late 2024, will cover 80% of DNA’s power needs.
The Palokangas wind farm will be located in the Ostrobothnia region and consisted of 12 wind turbines.
Statkraft will provide financial security for the wind project’s owner and support a predictable clean energy supply for Telenor.
Statkraft Nordic Origination vice-president Arne Wist said: “With this agreement, we support DNA in securing their energy needs as well as achieving their climate targets based on renewable energy from a new wind farm under development in Finland.”
Telenor had previously made similar agreements for its operations in Norway and Denmark.
According to Jannicke Hilland, executive vice-president of Telenor Infrastructure, the company wants to support the construction of new renewable power plants in the markets they operate, and the agreement provides a solid contribution to the decarbonization of the electricity supply, as well as new capacity to hedge against volatile energy prices.
“Telenor Group’s scope 1 and 2 science-based climate target commits us to reduce global greenhouse gas emissions by 57% from 2019 to 2030,’’she said.
“We also have a scope 3 enablement target where we recently made it mandatory for our suppliers to set their own science-based targets. Purchasing renewable energy is one the most significant measures we can take to reach our scope 1 and 2 targets.”