Gestamp has signed a long-term power purchase agreement (PPA) with energy company Iberdrola for the supply of 660,000 megawatt-hours of electricity to a number of its European plants, Kallanish notes.
The ten-year deal joins others signed by the Spanish-headquartered supplier of automotive components. These have already allowed it to cover 100% of its production activities in Spain and Brazil with renewable energy sources, as well as a significant portion in India and Mexico.
The latest PPA covers 34 MW of installed capacity and will enable Gestamp’s plants to be supplied with 80% renewable energy sourced from Iberdrola’s wind portfolio and the remaining 20% from its solar farms.
“This agreement enables us to secure a long-term supply of renewable energy at a fixed and competitive price, in line with our strategy to enhance the stability and predictability of production processes, with a focus on energy efficiency and the use of renewable sources,” explains Getsamp. “This forms part of our ambitious sustainability strategy, which aims, among other objectives, to continue contributing to the decarbonisation of the automotive industry’s supply chain.”
Gestamp has 100 production lines and facilities in 24 countries, 29 of which are located in Spain. The electricity consumed at its Spanish facilities accounts for 18% of the company’s total consumption.
