Energie Friesland supplies green electricity for Salzgitter’s future “green” steel production. The two companies have concluded a long-term supply contract for this purpose.
The Salzgitter Group works closely with customers and partners to achieve its climate targets, including Friesen Elektra PV I Sande GmbH & Co. KG. Salzgitter Flachstahl GmbH and Friesen Elektra have now concluded a long-term electricity supply agreement (PPA). The electricity is to come from the “Hybrid Energy Park Sande” in the district of Friesland in Lower Saxony, which is currently under construction.
“The long-term electricity supply agreement between Salzgitter Flachstahl and Friesen Elektra marks a milestone for Lower Saxony as an industrial location. It underlines the strategic importance of renewable energies for our location, promotes competitiveness and sends a strong signal for a sustainable future for Lower Saxony – in line with the transformation. Such initiatives show how the economic interests of our region can be combined with responsibility for the environment,” praised Lower Saxony’s Economics Minister Olaf Lies.
Solar power from ground-mounted photovoltaic system for virtually CO2-free steel
With this so-called Power Purchase Agreement (PPA), Salzgitter Flachstahl is securing the long-term supply of around 80 megawatts (MW) of green electricity from the new Hybrid Energy Park Sande from May 2024, which is expected to be connected to the grid at the beginning of 2024. The existing “Sande wind farm” is currently being expanded to generate energy from wind power and photovoltaic systems. In the final expansion stage, the Sande Hybrid Energy Park will achieve a total output of more than 120 MW.
First option for the supply of green hydrogen
The energy produced sustainably near Sande further secures the Salcos – Salzgitter Low CO2 Steelmaking transformation program. The green electricity from the photovoltaic systems is initially part of Salzgitter Flachstahl’s normal electricity procurement portfolio. The long-term plan is to use the electricity to produce green hydrogen. At the same time, the contract includes the option to purchase locally produced hydrogen. Green hydrogen is a core element in the Salzgitter Group’s production of virtually CO2-free steel.
Focus on the sustainable transformation of the industry
“The partnership with Friesen Elektra is another important part of our strategic path to producing steel in Salzgitter almost CO2-free in the future,” says Gunnar Groebler, CEO of Salzgitter AG. “The implementation of sustainable steel and energy production is becoming increasingly important not only for us, but also for our suppliers and customers. The conclusion of this new PPA brings us another big step closer to our goal of producing steel in a climate-neutral way.”
Regional added value
Maximilian Graf von Wedel, Managing Director of Friesen Elektra Green Energy AG: “Our family has been producing green energy in Friesland for 25 years. The expansion of our hybrid energy park in Sande and the long-term contract with Salzgitter AG takes regional value creation based on green energy to an unprecedented new level.” In addition to factors such as environmental protection and technological developments, Count von Wedel sees positive impetus for the local green economy as a result of the alliance with Salco’s transformation program. Graf von Wedel: “Reducing dependency on energy imports and fossil fuels while at the same time ensuring competitiveness and the widespread availability of green energy will secure and strengthen Germany as a business location.”
Economics Minister Olaf Lies emphasizes the exposed location of the region on the Jade Bay: “Friesland plays an important role not only for the energy state of Lower Saxony, but for the whole of Germany due to its geographical location alone. Here in the district, we are the gateway to clean energy for the entire country. And in this context, the Sande Hybrid Energy Park is a prime example of innovative energy concepts that use locally generated renewable energy. This project underlines Friesland’s pioneering role in the implementation of environmentally friendly energy solutions and shows how local partnerships are paving the way to a sustainable and climate-neutral future.”
