Arla signs PPA to support aim of reaching 100% green electricity in Denmark

Arla and Eurowind Energy have entered into a ten-year power purchase agreement (PPA) that will help ensure Arla reaches its target of 100% green electricity in Denmark by 2025.

With the PPA, effective on or before 1 January 2025, Arla commits to buying the electricity from an unsubsidised wind farm called Nørre Økse Sø, located in Denmark’s Jammerbugt Municipality.

There is already a wind farm on the site, and a re-powering project will see existing turbines replaced by 11 newly built, up-to-date turbines. Expected to become operational in November 2024, the new wind turbines will be able to deliver 137 GW/h of electricity a year, which Arla says is equivalent to the annual electricity consumption of 34,000 Danish households.

“We are fully committed to reducing our climate footprint so that consumers can continue to enjoy our dairy products,” said Hanne Søndergaard, executive vice president of agriculture, sustainability and communications at Arla. “We have therefore doubled our ambitions across our production and now have a target to reduce our CO₂ emissions by 63% before 2030. Reaching our target of 100% green electricity in Denmark is a good step on the way.” 

Since 2015, Arla has reduced its CO₂ emissions from production by 25%.

“With its ambitious climate strategy, Arla is leading the way and we are happy to be able to supply green electricity so that Arla can pursue its goals and contribute to the green transition. The agreement also means that we can build another subsidy-free green energy plant,” said Jens Rasmussen, CEO of Eurowind Energy.