Tuesday 1 February 2022

Dairy firm Arla to milk carbon savings with renewable PPA

Arla Foods has signed an agreement to purchase renewable electricity from four new solar farms in Denmark.

The 10-year power purchase agreement (PPA) with Better Energy will cover a third of the dairy company's electricity consumption in Denmark by 2024.

The solar farms will have an expected capacity of 250GWh, equivalent to the annual energy needs of 156,000 average Danish homes.

The project will support Arla Foods' recently-announced 2030 climate target, aiming to reduce emissions in operations and logistics from 30% to 63%.

Hanne Søndergaard, Executive Vice President at Arla Foods said: “We are proud to be one of the first farmer-owned dairy co-operatives in the world to have a 1.5°C target approved by SBTi and the new solar parks will play an important role in our shift towards renewable electricity and low energy solutions at Arla Foods.

“Our Danish sites form a major part of our operations, which is why we are very pleased to begin our transition towards green electricity in Denmark.”

Arla Foods' electricity consumption in the EU is expected to come from renewable energy sources by 2025, a majority of which will be through green PPAs and investments in solar and wind projects