Skip to main content Skip to main navigation Skip to site search
Financing

Spain: Groundbreaking Agri-PV corporate PPA

Power purchase agreements (PPAs) will be used to drive the development of two new solar parks in southern Spain, near Seville and Granada. The latter, the Alhendín Solar Park, will include an innovative Agri-PV system that will allow crops to be grown between the solar arrays. It is BayWa r.e.'s first Agri-PV plant in Spain.

More renewable energy on the grid

The two plants, which will be connected to the grid in 2023 and 2024, will generate 167 GWh of green electricity annually, equivalent to the electricity consumption of about 45,000 European households. 80 percent of the electricity generated will be supplied directly to Velux, with the remaining share fed into the grid. The new PPAs will reduce Velux's carbon footprint from its European operations by approximately 40,000 tons of CO2 equivalents annually. 

Lars Petersson, CEO of Velux Group comments on the project, "Velux has always been about bringing daylight into people's lives. Now we are very excited to use the use of daylight, more specifically solar energy, to make our operations climate neutral in the coming years. Our company is committed to fighting the climate crisis and taking a sustainable leadership role. Thanks to our collaboration with BayWa r.e., we are well on our way to completely avoiding or offsetting our operational CO2 emissions by 2030."

Lighthouse project for nature and society

10 percent of the Alhendín solar park is used as an agri-PV system - a new solar application that combines food production and energy generation. BayWa r.e. is a pioneer in this field. To ensure that farming can continue, this plant was specially designed with higher module rows and greater spacing. This allows modern agricultural machinery to drive between the module rows, as in this case for grain production. The PV modules are also used to collect rainwater, which will help the farmer manage ongoing risks from climate change and drought in a very dry area, and also stimulate the "water-energy-food" nexus.

The PPAs are groundbreaking for nature and the environment and represent a concept of enabling solar energy generation in harmony with nature and the local community. The development of the two solar farms will be accompanied by a detailed schedule and a series of community and environmental actions that will enhance regional biodiversity and encourage local community participation.

Collaboration with nearby universities 

To ensure that the solar farms always benefit the environment and take into account neighboring communities, BayWa r.e. will collaborate with nearby universities such as the Universidad Autónoma de Madrid and the Universidad de Córdoba to form an interdisciplinary research group whose findings will be incorporated into a comprehensive and customized site strategy.

Special for free download: Solar power for farmers and by farmers

"This project is so unique because important synergies between solar generation, agri-PV, society and biodiversity will be leveraged. It also reflects our strong commitment to sustainable initiatives," says Matthias Taft, CEO of BayWa r.e. "Leading companies like Velux play a crucial role in the fight against climate change and can make an important contribution to unlocking sustainable solutions. Driving the energy transition in companies is a key focus for us. Working with Velux Group is therefore an important milestone for BayWa r.e. and we are very pleased to support them in achieving their renewable energy targets through this Agri-PV PPA."

Supporting VELUX's climate goals.

Once operational, the two solar farms will enable Velux to reduce emissions from the roof window manufacturer's operations by 100 percent by 2030. This goal is part of the company's 2030 sustainability strategy, which aims to lead the way in climate and nature. In addition, the company's historic carbon footprint since its founding in 1941 and through 2041 will be captured through forest conservation projects with the World Wide Fund for Nature, and emissions in the value chain will be cut in half by 2030.

Schneider Electric, a leading management consultant for global renewable power procurement, assisted Velux with project selection and negotiations. (hcn)

Did you miss that? Research project to accelerate the market introduction of agri-PV