Flexible renewables mega-developer Octopus has squirted ink onto paper, wrapping up a deal with paper-maker Kimberly-Clark, for supply of clean power from its Lanarkshire onshore wind farm.
The manufacturer, owner of the Andrex, Kleenex and Huggies brands, will benefit from a contracted 160GWh every year from the generator’s Cumberhead turbines, powering three factories and two distribution depots. 55,000 tonnes of carbon will be stripped out of Kimberly-Clark’s footprint annually.
“This PPA – [power purchase agreement] – is the first of many that will be needed to deliver the energy transformation we are aiming for,” said Oriol Margo, Kimberly-Clark’s sustainability leader for its EMEA operations.
Last June per reports Octopus Renewables Investment Trust committed to pay Cumberhead’s developer RDC Partners a total of £75 million for rights to build the 12-turbine, 50MW project. Per the same report, the site 22 miles south of Glasgow is set to become fully operational by this July, and generate for a planned 25 years.
The deal is the smallest in today’s trio of industrial PPAs announced by Octopus Renewables with European clients.
In Estonia, Britain’s cephalopod-inspired powerco will generate for Eesti Energia, the Baltic’s biggest utility. A five-year deal will see 1,400 GWh off-taken each year and distributed to the supplier’s 425,000 customers. Eesti Energia is keen to speed up its green transition, expanding its renewable alternatives to its dependence on shale gas.
From its Ljungbyholm onshore turbines in Sweden, Octopus will supply 1,500 GWh annually over ten years to insulation and building composites maker Owens-Corning.
Zoisa North-Bond, Octopus Energy Generation’s CEO, said: “This assortment of PPA deals we’ve signed is a massive step forward for decarbonisation agendas across Europe – something that’s become even more important after COP26.
“To clean up grids across the world, we need large energy users to commit to green energy and sign more PPAs like this to cover their production and provide more clean energy to their end customers.
“Eesti Energia, Kimberly-Clark and Owens Corning are ahead of the curve on making the switch”, the Octopus boss added.
Launched in 2010, Octopus Renewables is part of Octopus Group. The renewables subsidiary manages over 3GW of generating assets. Its European interests, valued at £3.4 billion, include one of the continent’s biggest solar portfolios, plus onshore wind.
In December 2021 Octopus Energy Group was valued at approximately $5 billion, following a $600 million investment from Generation Investment Management and a $300 million investment from Canada Pensions Plan Investments Board. It was the company’s third major investment round since launching to the market.
