Dutch gas company Gasunie and energy company Greenchoice have signed a five-year Power Purchase Agreement (PPA). From 1 January 2024, Gasunie will buy 250 GWh of wind-farm-generated green electricity annually Greenchoice.
The supply ensures that around 25% of Gasunie’s hourly consumption will be linked to green, locally generated electricity. This is an important next step in reducing emissions from electricity production. It also contributes to the transition towards a more sustainable energy system. The contracted amount, 250 GWh, corresponds to the average annual consumption of 100,000 Dutch households.
Electricity for its own consumption
Gasunie buys electricity on an industrial scale in the Netherlands and its future plans also include buying power from other wind farms that have not yet been built. Most of the electricity is currently needed for the main natural gas transport network. As the energy transition progresses, Gasunie will be using electricity increasingly to transport hydrogen, green gas, CO2 and heat.
“As an energy network operator, Gasunie has a social obligation to guarantee energy transport and accelerate the energy transition. By 2030, we aim to be meeting most of our hourly electricity requirements from renewable sources. By purchasing electricity from Greenchoice, we are taking an important step towards achieving this goal.”Janneke Hermes, Gasunie’s CFO
“The cooperation between Gasunie and Greenchoice enables local wind farms to supply green power to a major end user. Gasunie purchases a wind profile directly from us. This means that more green power is purchased on a windy day than on a calm day. That’s not only a nice win-win situation for the parties concerned, but also an important step for the energy transition.”Roel Hopmans, responsible for all PPAs within Greenchoice
24/7 carbon-free energy
Until now, Gasunie has been greening its electricity purchases in the Netherlands entirely through green power certificates, also known as Guarantees of Origin. By purchasing green power directly, a clear link has now been created between Gasunie’s consumption and green power generated in the Netherlands. Gasunie has set itself the target of having 60% of its hourly electricity consumption linked to local, green generation by 2030. Better known in the market as 24/7 carbon-free energy (CFE), this concept achieves greater emission reduction and reduced dependence on fossil-fired generation.
By concluding the PPA with Greenchoice, Gasunie is linking about 25% of its consumption directly to wind power generation. As Gasunie is striving for 60% CFE, our company is encouraging the development of new offshore wind farms to be able to meet this target. Source: Gasunie Image: Greenchoice