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Eon has completed a power purchase agreement (PPA) with RWE Renewables which will see the big six supplier acquire 3TWh annually from more than 20 British wind farms.
The 2.5 year agreement, which was struck for an undisclosed sum, covers a capacity of 892MW of onshore and offshore wind generation and includes a proportion of the London Array, currently the world’s second largest offshore wind farm.
The wind farms were originally built by Eon as part of the company’s £3.3 billion investment in UK renewables over the last decade.
They were transferred to RWE as part of the asset swap deal in which Eon Group took over RWE’s stake in Innogy in return for, amongst other things, Eon’s major renewable energy activities.
The asset swap will also see Eon acquire its big six rival Npower.
Michael Lewis, chief executive of Eon UK, said: “A significant element of our commitment to providing all our residential customers with renewable electricity – a change at a scale never seen before in Britain – was the fact we have invested more than £3.3 billion in renewable energy in the UK in recent years.
“We have now secured the power coming from all those wind farms, as well as similar arrangements we have with more than a dozen independent generators around the country, which means our customers can continue to enjoy an electricity supply backed by UK renewables.
“But the future of energy doesn’t stop here – to combat the climate emergency we are now focusing on helping our customers to better manage their energy through smart, personalised and sustainable technologies such as solar and battery technology, heat pumps and electric vehicle chargers.”
Tom Glover, chief commercial officer RWE Renewables, said: “Great Britain, where we already operate over 2,000MW of renewable energy plants, is a very attractive market for RWE due to its well-functioning framework.
“PPAs as are an extremely important instrument that help to achieve renewable build-out targets and offer stability for all parties involved.”
This deal follows Eon’s announcement in July this year that it would be providing customers with 100 per cent matched renewable electricity.
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