AGL signs 15-year renewable energy certificate agreement with Microsoft

AGL Energy has signed a 15-year renewable energy certificate agreement with Microsoft. The agreement will provide Microsoft with renewable energy certificates from the Rye Park wind farm project in NSW. AGL Chief Operating Officer, Markus Brokhof, stated that supply agreements for renewable energy certificates can increase the viability of new renewable energy projects. AGL has a Power Purchase Agreement with Tilt Renewables for the Rye Park Wind Farm in NSW.

Key Highlights:

* Registered owners of renewable energy certificates can choose to on-sell them or surrender them to the Clean Energy Regulator.

* Microsoft ANZ Managing Director, Steven Worrall, appreciates the collaboration with AGL to increase their procurement of renewable energy certificates in Australia.

* AGL aims to add approximately 12 GW of generation and firming by the end of 2035 as part of their Climate Transition Action Plan.

Original Press Release:

Sept. 12 -- AGL Energy Ltd. issued the following news release:

AGL Energy has signed a 15-year renewable energy certificate agreement with Microsoft. The agreement will provide Microsoft with renewable energy certificates from the Rye Park wind farm project in NSW, under AGL’s recently announced Power Purchase Agreement with Tilt Renewables.

AGL Chief Operating Officer, Markus Brokhof, said the signing of this deal marked another example of how AGL is participating in the transition to renewable energy.

“Supply agreements for renewable energy certificates can help to increase the viability of new renewable energy projects by providing the projects with an additional revenue stream," Mr Brokhof said.

Registered owners of renewable energy certificates such as large-scale generation certificates (LGCs) can choose to on-sell them or surrender them to the Clean Energy Regulator to acquit their mandatory liability under renewable energy legislation or voluntarily reduce or offset their existing carbon emissions.

Microsoft ANZ Managing Director, Steven Worrall, said: "We really appreciate the strong collaboration with AGL to increase our procurement of renewable energy certificates in Australia. Beyond this contract we will continue to look for new opportunities to support the transition of the electricity grid in Australia to renewable energy sources and reduce the emissions associated with our operations."

This agreement follows AGL’s Power Purchase Agreement with Tilt Renewables to offtake electricity and environmental products generated from Rye Park Wind Farm in NSW. The 15-year agreement with Tilt provides AGL with an offtake of 45 percent of the output of Rye Park, that share being approximately 513 GWh per year.

As part of AGL’s Climate Transition Action Plan, AGL aims to add ~12 GW of generation and firming by the end of 2035 – comprised of ~6.3 GW of renewables and ~5.9 GW of firming.

Source: AGL Energy Ltd.

[Category: Energy Equipment & Services, Energy, Renewable Energy, Procurement and Sales, ESG]