Borregaard and Norwegian hydropower producer Hafslund have entered into a new long-term hydro power purchase agreement (PPA) for the period from 2025 to 2034.
Borregaard operates a biorefinery that uses natural, renewable raw materials to produce biochemicals meant to replace oil-based products. The annual contract volume is 88 GWh, representing 10% to 15% of the Borregaard Sarpsborg site’s annual consumption.
“This agreement is part of Hafslund’s commitment to long-term power contracts and PPAs. As Norway’s second-largest power production company, we want to be a partner for Norwegian industry and facilitate market-relevant power contracts”, says Håvard Hvarnes, director of power markets at Hafslund Kraft.
“This agreement will be a part of our long-term power supply and is also important for our strategy for electrification and reduced GHG emissions,” said Per A. Sørlie, president and CEO of Borregaard.
Hafslund is Norway’s second-largest power generation company. The group “has a conscious environmental profile by only owning renewable power production.” Hafslund wholly or partially owns 80 hydropower plants with average annual production of 17.4 TWh from its ownership share and two wind farms.
On its website, the company said it wants to strengthen its position in industrial development through a stronger focus on long-term power contracts and PPAs. The company said it wants to facilitate market-relevant power contracts with a special focus on long-term power contracts with industry and other players in the market with a similar long-term perspective.
