RWE Supply & Trading and the Salzgitter Group have entered into a Power Purchase Agreement (PPA) to supply up to 64 gigawatt hours of green electricity annually for seven years starting in 2027.
This electricity will be sourced from the Boitzenburger Land solar park in Brandenburg, one of Germany’s largest photovoltaic (PV) systems, with a peak capacity of 180 megawatts.
The solar park, operational since autumn 2023, spans 170 hectares and is co-owned by Solarenergie Boitzenburger Land, the GP JOULE Group, and Mainova, the latter being responsible for the electricity’s marketing. This direct PPA means the park does not rely on feed-in tariffs under the Renewable Energy Sources Act.
Green Electricity for Steel Production
Salzgitter Flachstahl GmbH, the largest entity within the Salzgitter Group, will transform its steel production processes to utilize electricity and hydrogen starting in 2026 through its SALCOS – Salzgitter Low CO2 Steelmaking transformation program. The goal is to achieve nearly CO2-free production by 2033 by shifting from traditional blast furnace methods to direct reduction and electric arc furnace technologies.
“The demand for CO2-free electricity supplies from renewable sources is growing strongly. With our energy solutions, we aim to promote climate protection across all sectors of the economy,” David Egyptien, Head of Commodity Solutions Germany & Benelux at RWE Supply & Trading, said.
“Large quantities of greenhouse gases are currently still being released during conventional steel production. That is why we are driving forward the switch to a virtually CO2-free steel production process on a large scale. By 2025, half of our electricity requirements will come from non-fossil sources, and by 2030 we aim to use 100 percent green electricity,” Marco Hauer, Head of Energy Procurement at Salzgitter Flachstahl, said.
RWE’s Green Growth in Germany
With over 20 years of experience in renewable energy development, construction, and operation, RWE currently manages onshore wind farms and solar plants in Germany with a total installed capacity of approximately 700 megawatts. To further expand renewable energy, RWE plans to invest around 11 billion euros in green generation capacities in Germany by 2030.