Novartis Inches Closer To 100% Renewable Energy With 5 VPPA’s

Novartis Inches Closer To 100% Renewable Energy With 5 VPPA’s

In a move that has made Novartis the first pharma company to attain the 100% renewable electricity user status for its European operations, the firm recently signed up for five virtual power purchase agreements (VPPAs). 

Novartis renewable energy

These agreements together will be generating around 275 MW or more of clean power to the electrical grid, serving as an important point in the environmental sustainability quest of the company. They aim to be carbon neutral across operations by 2025 and by 2030, across its supply chain.

Montse Montaner, Chief Sustainability Officer at Novartis, said, “At Novartis, environmental sustainability is aligned with our purpose to reimagine medicine to improve and extend people’s lives. Energy efficiency and renewable energy solutions are the cornerstones of our strategy for reducing emissions. These agreements mark a major milestone on the Novartis environmental sustainability journey to be carbon neutral across its operations by 2025 and across its value chain by 2030.”

Agreements have been signed with three providers, namely Acciona (Spain), EDP Renewables (Portugal) and Enel Green Power (Italy). Electricity will be sourced from a total of six projects which are currently under development in Spain.

John Powers, Vice President of Global Renewables and Cleantech at Schneider Electric, said, “Novartis has demonstrated tremendous and ongoing sustainability leadership in the pharmaceutical industry. Executing five deals allows Novartis to diversify risk across technology, location, counterparty and deal structure making for a balanced portfolio of Spanish renewable energy. We want to congratulate Novartis on this sustainability milestone and shaping a clean energy future.”

Schneider Electric was the advisor for this project. They are a global specialist in energy management.

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