Iberdrola Australia Secures Solar PPAs with 13 NSW Councils
In a significant move towards regional sustainability, Iberdrola Australia has finalized a landmark collective Power Purchase Agreement (PPA) with a consortium of 13 New South Wales councils, locking in a substantial supply of renewable energy until the end of the decade.
Iberdrola Australia Secures Solar PPAs with 13 NSW Councils: A Six-Year Commitment
The six-year agreement, effective from January 1, 2025, through 2030, will see Iberdrola supply over 390 GWh of clean electricity to power 163 large council sites and extensive street lighting networks. The energy will be sourced from a diverse portfolio of NSW-based assets, including the 245 MW Avonlie solar power project, complemented by generation from the 140.7 MW Capital and 113.2 MW Bodangora wind farms.
Delivering Environmental and Financial Wins from Iberdrola Australia Secures Solar PPAs with 13 NSW Councils
This collaborative procurement strategy is projected to yield significant benefits, delivering an estimated AUD 5.28 million in collective savings for the councils compared to 2024 energy costs. Beyond the budget certainty it provides, the PPA is set to prevent approximately 185,303 tonnes of CO2-equivalent emissions over its lifespan. For instance, Bellingen Shire Council’s commitment to 100% renewable energy under the deal will slash its emissions by 5,705 tonnes, equivalent to removing nearly 400 cars from the road for the same period.
How Councils Accelerate Climate Goals Through Collaboration with Iberdrola Australia Secures Solar PPAs with 13 NSW Councils
The participating councils include Bellingen, Berrigan, Dungog, Edward River, Leeton, Maitland, MidCoast, Murray River, Muswellbrook, Narrandera, Port Stephens, Singleton, and Upper Hunter. Several councils, including Bellingen and Maitland, have opted for a 100% renewable supply, while others have adopted flexible percentages with options to increase their uptake.
Mark Griffioen, Council’s General Manager, celebrated the achievement: “This significant milestone will help our Council meet its 2030 emission reduction target five years ahead of schedule. By securing 100% renewable electricity, we are not only achieving environmental goals but also ensuring budget stability through to 2030. This accomplishment showcases what councils can achieve through collaboration, and we extend our gratitude to the Hunter Joint Organisation, Mid North Coast Joint Organisation, and our advisory team for their support in making this possible.”
Details About the Power Generation and Deal Facilitation for Iberdrola Australia Secures Solar PPAs with 13 NSW Councils
The cornerstone solar asset, Iberdrola’s Avonlie solar farm, was acquired from RES in 2021 and became operational in 2022, now producing around 500 GWh annually. The complex buyers’ group agreement was coordinated by the Hunter Joint Organisation and the Mid North Coast Joint Organisation, with expert advice from Sourced Energy, Regional Procurement, Procure Group, and Baker McKenzie, and received backing from the New South Wales government.
Sources
- Baker McKenzie secures landmark renewable energy deal
- Iberdrola Australia Bags RE Supply Agreement With 13 NSW …
- Baker McKenzie Advises 13 NSW Councils on a Buyer’s Group PPA …
- [PDF] 2024 Sustainability Report – Iberdrola Australia
- Baker McKenzie Advises 13 NSW Councils on Iberdrola PPA
- Iberdrola strikes renewable energy supply deal with 13 NSW councils
- Iberdrola pens PPA with 13 regional councils in New South Wales
