Onshore renewables

Signify signs VPPA with Green Investment Group

02 Oct 2019

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  • Signify signs its first European renewable energy virtual power purchase agreement (VPPA) in a 10-year deal with Green Investment Group’s (GIGs) Kisielice onshore wind farm in Poland
  • Signify’s Polish facilities are responsible for more than 25 per cent of its global electricity footprint
  • The VPPA marks a major milestone in Signify’s commitment to become carbon neutral in 2020.

For the next ten years, Signify, the world leader in lighting, will purchase renewable energy for its operations in Poland from the Green Investment Group’s (GIG) Kisielice onshore wind farm.

Kisielice wind farm is a 42-megawatt (MW) project located 200 kilometres north of Warsaw, and was acquired by GIG in August. It has been operational since 2014 and consists of 21 Enercon E82 turbines. The wind power sourced under the VPPA will be applied to power four of Signify’s factories and several offices throughout Poland. The VPPA helps Signify reduce its annual carbon footprint by 73 kt CO2e pa – the equivalent of removing over 23,000 cars from the road.

Nicola Kimm, Head of Sustainability, Environment, Health & Safety at Signify, said:

This VPPA is a major milestone on our journey to become carbon neutral in 2020. It's crucial for our transition to 100 per cent renewable electricity next year, as well as supporting Poland’s energy transition.

Signify pursued renewable electricity in Poland as its operations there are responsible for more than 25 per cent of the company’s global electricity footprint. As 80 per cent of electricity in Poland is currently generated from coal, this renewable energy agreement is significant in decarbonising Signify’s operations in the country. Renewable PPAs will play a role in supporting Poland to reach its 2030 country goal that 21 per cent of overall energy consumed will be from renewable sources.

This agreement, which is Signify’s first VPPA in Europe, is the result of a competitive tender process. GIG was selected because of its depth of experience in the PPA market. GIG has now structured and executed PPAs for nearly one GW of renewable energy capacity across Europe.

Edward Northam, Head of GIG Europe, said:

More and more firms, like Signify, are setting clear carbon-reduction targets – which is boosting demand for renewable power. We have a well-established track record in financing and delivering these kinds of PPAs and are delighted to have worked with Signify on our first such project in Poland.

Schneider Electric Energy & Sustainability Services (ESS) was an advisor to Signify on the process of identifying and selecting the project.

Philippe Diez, Vice President EMEA for the ESS division, said:

Signify is demonstrating significant leadership with this VPPA. It’s the first publicly announced VPPA in Poland supporting renewables in a market dominated by fossil fuels. We congratulate Signify for their steadfast commitment to carbon reduction and a renewable energy future.

Corporate VPPAs are increasingly popular in Europe to reduce carbon emissions. They also play a critical role in accelerating the growth of renewables in markets where there’s little to no subsidy provided. Under this approach, the renewable power is sold onto the grid with the business user providing a guaranteed strike price – providing income stability for the renewable project while guaranteeing clean energy benefits for the corporate buyer.



Notes to editors

GIG Carbon Score for this project

Carbon -score -GIG-2019-news

GIG’s Carbon Score is a measure of a project’s lifecycle greenhouse gas emissions compared to the emissions of the baseline that it displaces. Projects with the lowest lifecycle emissions relative to the baseline would score the highest ratings from AAA to B. Projects with lifecycle emissions similar to the baseline would score a C, and projects with greater emissions would score a D or E.

For further information on how we assess the green impact of our investments, please see www.greeninvestmentgroup.com/green-impact

Media enquiries

Green Investment Group

Tel: +44 20 3037 4014
Email: mediauk@macquarie.com

Signify Corporate Communications
Elco van Groningen
Phone: +31 6 1086 5519
E-mail: elco.vangroningen@signify.com

About Green Investment Group and Macquarie Group

Green Investment Group Limited (GIG) is a specialist in green infrastructure principal investment, project delivery and the management of portfolio assets, and related services. Its track record, expertise and capability make it a global leader in green investment, dedicated to supporting the growth of the global green economy.

The business was launched initially by the UK Government in 2012 as the first institution of its type in the world. The organization was acquired by Macquarie Group in 2017, creating one of Europe’s largest teams of dedicated green infrastructure investors, and now operates under the name Green Investment Group.

Macquarie Group Limited (Macquarie) is a diversified financial group providing clients with asset management and finance, banking, advisory and risk and capital solutions across debt, equity and commodities. Founded in 1969, Macquarie employs 15,715 people in 30 markets. At 31 March 2019, Macquarie had assets under management of £305.8 billion.
For more information, visit www.greeninvestmentgroup.com and www.macquarie.com.

About Signify

Signify (Euronext: LIGHT) is the world leader in lighting for professionals and consumers and lighting for the Internet of Things. Our Philips products, Interact connected lighting systems and data-enabled services, deliver business value and transform life in homes, buildings and public spaces. With 2018 sales of EUR 6.4 billion, we have approximately 28,000 employees and are present in over 70 countries. We unlock the extraordinary potential of light for brighter lives and a better world. We have been named Industry Leader in the Dow Jones Sustainability Index for three years in a row. News from Signify is located at the Newsroom, Twitter, LinkedIn and Instagram. Information for investors can be found on the Investor Relations page.

For more information on Signify’s commitments to sustainability, visit our website.

About Schneider Electric

At Schneider, we believe access to energy and digital is a basic human right. We empower all to do more with less, ensuring Life Is On everywhere, for everyone, at every moment. We provide energy and automation digital solutions for efficiency and sustainability. We combine world-leading energy technologies, real-time automation, software and services into integrated solutions for Homes, Buildings, Data Centers, Infrastructure and Industries. We are committed to unleashing the infinite possibilities of an open, global, innovative community that is passionate with our Meaningful Purpose, Inclusive and Empowered values. schneider-electric.com/ess.