Spanish renewable energy company Grupo Ibereólica Renovables has signed an agreement with Cepsa to supply renewable energy from up to 5 GW capacity of solar PV, wind and hybrid wind-solar projects in Spain for the latter's green hydrogen projects in the country.
Ibereolica is currently developing 9 wind, 4 solar PV and 2 hybrid projects in Castilla y Leon and Extremadura regions that form part of the contract and will provide Cepsa with access to clean energy at competitive prices. Cepsa is developing green hydrogen projects in Andalusia.
The renewable energy projects will come online in 2026 and will generate enough clean power to prevent the emission of 5.5 million tons of carbon emissions annually.
Ibereolica says the long term power supply agreement with Cepsa provides its projects viability. It currently has 17 solar PV projects under development in Castilla-La Mancha, Andalusia, Extremadura, and the Community of Madrid, with a capacity of 2.1 GW. Out of these, 1.1 GW is grid connected and gas environmental impact statement (EIS) and prior administrative authorization.
"With these projects, Cepsa seeks to sustainably cover the energy consumption of its industrial centers, especially to produce green hydrogen and supply the ultra-fast recharging points it is installing in its network of service stations for electric vehicles," explains Cepsa.
In late-2022, Cepsa announced a new green hydrogen project in Spain with 2 GW capacity to produce 300,000 tons annually for industry and transport use (see 3 GW RE For 2 GW Green Hydrogen Project In Spain).