Bayer and Iberdrola sign PPA for Europe's largest photovoltaic plant in Spain

Spanish utility group Iberdrola SA and German pharmaceutical and life sciences company Bayer AG have joined hands for 10 years power purchase agreement (PPA) for 590 MW Francisco Pizarro solar photovoltaic farm in Extremadura, Spain. The solar farm is developed on 1,300 hectares of land area and generates enough clean energy to supply 375,000 people every year and prevents the emission of 245,000 tons of CO2 into the atmosphere every year.

Iberdrola will supply 100 % renewable electricity to cover the entire electricity procurement of the nine Bayer sites in Spain, including three factories, five research and development (R&D) centres and the company's headquarters for Iberia.

This initiative will be effective in 100 % of these centres from 2022 and for a ten-year period, with the electricity generated by the solar PV plant. The project has already received environmental impact approval (EIS). Until that time, the agreement includes a 'bridge contract' under which Bayer will now consume all the electricity it needs without emissions, with guarantee of origin (GO) labels.

The 590 MW Franciso Pizarro solar PV plant is the largest PV project currently under planning consent in Europe surpassing 500-MW Nunez de Balboa solar plant. 

The Agreement is expected to make a substantial contribution to achieving net-zero objectives for 2050 with a 100 % renewable electricity system in Spain.