AB InBev beers across Western Europe will be brewed with 100% renewable electricity, following opening of 148 MWp solar park near Granada, with partners BayWa r.e. and VERBUND
The VERBUND Pinos Puente Solar Park near Granada in southern Spain is another milestone on the road towards energy-transformation. On an area of 161 hectares, solar electricity is generated to brew beer more sustainably. The project is one of the largest cross-border solar energy deals in Europe to date: the solar park was developed by BayWa r.e, is operated by VERBUND and generates green electricity for the world’s leading brewer AB InBev.
28th September 2022: The energy crisis currently holds many parts of the world in a firm grip. Switching swiftly to renewable energy and reducing dependence on fossil fuels has never been more important. The VERBUND Solar Park in Pinos Puente, near Granada in Spain, is an example for a joint and sustainable way forward. With AB InBev, BayWa r.e. and VERBUND, three leading companies in Europe have joined forces in a Virtual Power Purchase Agreement (VPPA) for the energy transition.
Construction began in May 2021, and on September 28th 2022, the VERBUND Pinos Puente Solar Park was ceremonially opened by the three companies in the presence of local and international stakeholders and guests.
The Solar Park Pinos Puente
The 161-hectare Solar Park Pinos Puente will generate approximately 260 gigawatt hours (GWh) of emission-free electricity per year with a planned total capacity of 147.6 megawatts-peak (MWp).
Through the 10-year VPPA deal made between AB InBev and BayWa r.e., the solar park forms part of one of the largest Pan-European corporate solar power deals in history. This will see the brewer of brands such as Budweiser, Corona and Stella Artois, supplied with 250 gigawatt hours (GWh) of renewable electricity per year, which will come from the VERBUND solar park and a second expected to be connected to the grid by the end of October. This is enough electricity to brew over 10 billion beers per year or enable an electric car to drive around the whole of Europe 1.2 million times.
The deal, which enables AB InBev beers across Western Europe to be brewed with 100% renewable electricity, covers 14 of its breweries in Western Europe and more than 50 brands across 12 countries, including Budweiser. It will play an instrumental role in supporting the brewer’s 2025 Climate Action goal and its ambition to achieve net zero across its full value chain by 2040.
Erik Novaes, Vice-President Procurement & Sustainability Europe, AB InBev said: “With a global energy crisis and the growing impact of climate change keenly felt across much of Europe this Summer, we are focused to be building climate resilience and driving forward our push towards decarbonisation.”
Cybelle Buyck, Vice-President Legal & Corporate Affairs Europe, AB InBev, adds: “Our global purpose, a future with more cheers, represents shared prosperity, for our communities, for the planet and for our company. Sustainability is a foundational part of our company and we are immensely proud to see the park open and to embark on this next chapter with our partners.”
VERBUND: Massive expansion of generation from wind power and solar power
Rapid independence from fossil fuels is the only way to counter the climate crisis and secure European energy supplies in the wake of the Ukraine war and the sharp rise in electricity and gas prices. “We must act decisively: Every additional kilowatt hour from renewable energies is an important step for the energy transition. With projects such as the Pinos Puente solar park, we are driving the rapid switch to renewables in Europe,” explains Michael Strugl, CEO of VERBUND, Austria’s leading energy company and one of the biggest producers of hydro power in Europe.
VERBUND has set itself ambitious goals in its Strategy 2030: The expansion of renewable energy in Europe is a key pillar – in addition to strengthening the integrated home market in Austria and Germany and establishing itself as a European hydrogen player. By 2030, up to a quarter of VERBUND’s electricity generation is to come from wind power and photovoltaics. The Pinos Puente solar park marks the entry into the Spanish market.
Matthias Taft, CEO, BayWa r.e adds: “We are simultaneously experiencing a global climate and energy crises. Addressed together, we have an opportunity to propel forward the renewable transition, increase energy security and transform energy markets. To do this, we must realise many more renewable projects and sign many more PPAs. Great projects and collaborations like this show the way forward.”
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Notes to Editors
Timeline
- 2019: Agreement by AB InBev for a VPPA, structured search for a development partner.
- 2020: Announcement of the largest pan-European solar energy deal to date (originally: Íllora solar park).
- May 2021: Start of construction
- November 2021: Purchase of the solar park by VERBUND
- September 2022: Opening of VERBUND’s Pinos Puente solar park
VPPA
Unlike a physical power purchase agreement (PPA), where all parties are located in the same grid region, a virtual power purchase agreement (VPPA) is cross-regional.
The customer, in this case AB InBev, continues to purchase the energy from the previous supplier, while the operator – i.e. VERBUND – sells the generated electricity to the market at the market price.
Such contracts are particularly attractive for businesses and industries with high energy requirements – such as large data centers or manufacturing companies. The concept is relatively new in Europe, but demand is growing.
About Anheuser-Busch InBev (AB InBev)
Anheuser-Busch InBev is a publicly traded company (Euronext: ABI) based in Leuven, Belgium, with secondary listings on the Mexico (MEXBOL: ANB) and South Africa (JSE: ANH) stock exchanges and with American Depositary Receipts on the New York Stock Exchange (NYSE: BUD). As a company, we dream big to create a future with more cheers. We are always looking to serve up new ways to meet life’s moments, move our industry forward and make a meaningful impact in the world. We are committed to building great brands that stand the test of time and to brewing the best beers using the finest ingredients. From our European roots at the Den Hoorn brewery in Leuven, Belgium, we are now a geographically diversified brewery with a balanced exposure to developed and developing markets, we leverage the collective strengths of approximately 169,000 employees, including 13,500 in Europe. We have offices and breweries in 18 EU Member States and our Global Innovation Centre is also based in Leuven, Belgium. Follow us on Twitter at @abinbev_EU.
For more information about Anheuser-Busch InBev, please visit www.ab-inbev.eu
About BayWa r.e.
At BayWa r.e. we r.e.think energy – how it is produced, stored and can be best used to enable the global renewable energy transition that is essential to the future of our planet.
We are a leading global developer, service supplier, distributor and solutions provider and have brought over 4.5 GW of energy online and manage over 10 GW of assets. We are also an Independent Power Producer with an expanding energy trading business. BayWa r.e. works with businesses worldwide to provide tailored renewable solutions. Operating 100% carbon neutral, we are also committed to our own sustainability journey.
Every day, we are working hard to actively shape the future of energy in a diverse, equitable and inclusive workplace. Our shareholders are BayWa AG, a €19.8 billion global business, and Energy Infrastructure Partners, a leader in energy infrastructure investment.
About VERBUND
VERBUND is Austria’s leading energy company and one of the largest producers of hydroelectricity in Europe. The Group generates around 97% of its electricity from renewable energy, primarily from hydropower. VERBUND trades electricity in 12 countries and generated around €874m group result and €1,579m in EBITDA in 2021 with approximately 3,200 employees. With its subsidiaries and partners, VERBUND is active in the generation of electricity, transmission and in international trading and sales. VERBUND has been quoted on the Vienna Stock Exchange since 1988 with 51% of the share capital being held by the Republic of Austria.
VERBUND is one of the most environmentally friendly energy companies in Europe, contributes significantly to supply security and is particularly committed to climate and environmental protection, careful use of resources and social responsibility. Sustainability is an essential part of the corporate strategy and of the corporate responsibility which is defined in the code of conduct for sustainable management. VERBUND is working intensively on the expansion of renewable energy sources and is thus making a significant contribution to a low-carbon energy future. VERBUND is a signatory to the UN Global Compact and supports the United Nations 2030 Agenda for Sustainable Development and its 17 Sustainable Development Goals (SDGs). Further information: www.verbund.com
