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Britvic and Carlsberg sign power purchase agreements
FoodBev Media

FoodBev Media

20 July 2023

Britvic and Carlsberg sign power purchase agreements

This week, beverage giants Britvic and Carlsberg both announced they had entered into renewable power purchase agreements (PPAs). On Tuesday, Lithuanian brewer Švyturys-Utenos alus (ŠUA) – part of the Carlsberg Group – said it had entered into a novel ‘Energy-as-a-Service' PPA with renewable energy company Green Genius. Under the agreement, Green Genius will develop, construct, commission and operate two photovoltaic (PV)-plus-storage systems in Lithuania that will provide renewable energy to the brewery. The company says the energy provided will cover 100% of ŠUA’s annual demand with carbon-free electricity. Carlsberg says the ‘Energy-as-a-Service' agreement is the "first of its kind" in Lithuania and is set to accelerate progress towards the group’s ‘Zero Carbon Footprint’ ambition. The project's total value is €7.5 million, of which €2.6 million is funded by the European Union Emissions Trading System – Innovation Fund, with Green Genius covering the remaining €4.9 million. Green Genius’s ‘InnoSolveGreen’ project will involve the installation and commissioning of two PV-plus-storage systems. The first system – a new 1.5 MW solar PV – will be installed on the ŠUA’s rooftops at the brewery in Utena, Lithuania, by May 2024. To accommodate this expansion without impeding the local electrical grid, a 2.0 MWh battery energy storage system will be installed to meet the brewery’s electricity demands. The second system – a 5.0 MW off-site utility-scale solar PV plant – will be developed at a new utility-scale site near Butrimonys, Lithuania, set to start its operations by January 2025. The brewery’s on-site and Butrimonys off-site solar PV-plus-storage systems will enable ŠUA brewery to source 100% of its electricity from locally produced solar PV energy. Ruslanas Sklepovicius, CEO of Green Genius, said: "It will be the first autonomous green electricity solution for industrial users in the Baltic States. Therefore, we see this project as an essential milestone toward sustainability and energy independence in the region.” Rolandas Viršilas, CEO of ŠUA, added: "We have clear commitments to the environment and our customers. Therefore, this project is undoubtedly important to us. For a long time, we have been using only electricity from renewable sources. Now we are raising the bar higher - we will use only local and only self-produced electricity that contributes new green electricity to the grid.” Meanwhile, Britvic – owner of 7UP and Robinsons – yesterday announced it had partnered with solar energy provider Atrato Onsite Energy to deliver clean energy via a ten-year PPA, developed by UK-based PPA marketplace, Squeaky Clean. The contractual framework provides the investment security needed by Atrato to build the new solar farm in an old quarry in Northamptonshire, UK. The new solar installation will generate energy exclusively for Britvic, with a total capacity of 28 MW. The site will be capable of generating 33.3 GWh of clean energy annually, which the company says is the equivalent of powering 11,500 homes or planting 260,000 trees. The electricity generated will be enough to power 75% of Britvic’s current operations in the UK, including its Beckton and Leeds factories, which can produce 2,000 recyclable bottles per minute. Matt Swindall, chief procurement officer at Britvic, said: “This deal represents a significant milestone for Britvic as we continue to partner with home-grown renewable energy projects to power our business. The ten-year deal also establishes stability, enabling us to plan more efficiently over the coming years. In short, it’s great for our ‘Healthier Planet’ sustainability ambitions, and great for the business.” Gurpreet Gujral, MD and head of renewable energy at Atrato, added: “We are thrilled to enter into this new corporate PPA with Britvic. This highly innovative PPA structure provides Britvic with a consistent source of renewable energy that matches their electricity needs.” Atrato has fully financed the solar installation and expects it to be commissioned in early 2024.

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