EDPR supplies power to Facebook and Walmart in US and sells Portuguese portfolio

Renewables unit of Portuguese energy giant had signed PPAs with internet and retail giants, and earns $625m from asset rotation

. EDP CEO Miguel Stilwell d'Andrade.
. EDP CEO Miguel Stilwell d'Andrade.Foto: EDP

Renewables major EDPR has reached commercial operations at its 198MW Headwaters II project and has started supplying power from the wind farm in the US state of Indiana to internet and retail giants Facebook and Walmart.

The renewables unit of Portuguese energy giant EDP also said it has sold a 221MW wind portfolio in Portugal to Onex Renewables for €530m ($625m) as part of an asset rotation programme.

The second phase of the Headwaters wind farm joins the already operational 200MW first phase of the project in Indiana, where EDPR says it is the largest wind farm operator with a total operational capacity of 1.2GW.

Facebook is buying electricity from 139MW of generation capacity at Headwaters II under a 15-year power purchase agreement (PPA), helping the internet firm support is operations with 100% renewable energy. Walmart buys the output of the remaining 60MW of capacity under a long-term PPA that EDPR says advances the retailer’s 100% renewables goal.

EDPR claims it is the world’s fourth-largest renewable energy producer, in great part thanks to its large US operations.

But the Iberian company also is making good business in its home region.

The sale of the Portuguese wind portfolio to Onex Renewables is part of an €8bn asset rotation programme the company had announced at its recent capital markets day.

Mirroring the strategy of other European renewables majors such as Danish offshore wind champion Orsted, EDPR sells off part of its renewables assets in operation or advanced development to free cash for new projects elsewhere and accelerate value creation.

The Portuguese transaction involves five wind farms with an average age of 1.4 years as of the end of 2021, out of which three are in operation and two under construction.

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Published 22 July 2021, 08:13Updated 20 October 2023, 15:40
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