Co-op Power has partnered with Zeigo to tender 100GWh per annum for a ‘Co-operative’ power purchase agreement (PPA) .
In the new agreement, the Co-op group now buys energy directly from seven onshore wind and solar PV projects under long term PPAs. The Co-op will be the ‘anchor tenant’, taking majority of the power. The rest of the power will be available to third party businesses that otherwise might not have the energy requirements to sign a similar agreement on their own.
The framework uses Zeigo’s Aggregated PPA platform, which facilitates the grouping of corporations looking to aggregate energy demand and form buying groups to sign a PPA.
Michael Mahoney, energy procurement manager at Co-op Power, said: “It is vital that we continue to work with other businesses to reduce costs and reduce carbon, we know from discussions with our own supply chain that 60% believe they don’t have the resource to reach net zero alone. Combining buying power to demand better value has always been at the heart of the Co-op movement. So, we’re pleased to be bringing our customer with us onto Zeigo’s platform for this joint PPA, which will help us to tackle our Scope 3 emissions and achieve Net Zero.”
Juan Pablo Cerda, chief executive of Zeigo, said: “For many companies, the biggest share of their greenhouse gas emissions and cost reduction opportunities lie outside their own operations. Corporates with large supply chains can use this approach to ensure they run on renewable energy and reduce their Scope 3 emissions.”