X-ELIO has signed a landmark virtual power purchase agreement (VPPA) with Salesforce, its first renewable energy offtake agreement in Australia.
The VPPA in the Western Downs region of Queensland is a key achievement for X-ELIO in Australia and its 200 MW Blue Grass solar farm.
For Salesforce, the VPPA supports the target of achieving 100 percent renewable energy by 2022. Under the deal, the Blue Grass project will include certificates for generation to meet Salesforce’s criteria for renewable energy.
It is estimated that the MWs contracted under the VPPA will effectively displace 80,000 tonnes of CO2 emissions over the duration of the agreement every year.
“We are proud to team up with X-ELIO on the Blue Grass solar farm, a project which will bring jobs to regional Queensland, support the local community and deliver new renewable energy generation. Salesforce is on a path to 100% renewable energy and we have a plan to get there by 2022. This is an important step on this path and one which we hope inspires other leaders. The climate crisis requires bold action, today.”Pip Marlow, CEO, Salesforce Australia and New Zealand.
The project will generate 420 GWh of renewable energy per year, power 80,000 homes in Queensland and reduce over 320,000 tonnes of CO2 emissions. It will also build up to 400 new jobs in construction and provide Queensland with more than $200 million in capital investment.
The Blue Grass Solar Farm project represents the long-term interests of X-ELIO in Australia, where it aims to leverage its 15 years of experience as a global leader in the production, construction and operation of solar PV projects, with more than 2 GW of solar PV plants being installed and 25 plants currently operating in 10 markets worldwide.
“This partnership with Salesforce is a significant milestone for X-ELIO in Australia, furthering our ambitions in Australia’s renewables market. In Salesforce, we have found a like minded partner who shares our community-focused goals and emissions reduction ambitions.
“While X-ELIO powers many global businesses across our international portfolio, this VPPA strengthens our position in Australia where we will continue to pursue new growth opportunities to expand our national footprint in the renewables market. This includes 400MW of pipeline currently in development, which is growing exponentially each year.
“Solar is going from strength to strength in Australia and we’re thrilled to be a part of the nation’s renewable energy future.”Belinda Fan, X-ELIO’s country manager in Australia.
“With Australia being a key future strategic market for X-ELIO, we are extremely excited to announce this landmark agreement with Salesforce. X-ELIO is continuously looking to grow its presence in attractive markets like Australia, where our local team will leverage the significant capital and global industry expertise of X-ELIO to grow our local presence and realize our ambitions in the market.”Lluis Noguera, CEO of X-ELIO.
X-ELIO will contribute a portion of the annual gross income of the Blue Grass solar farm to a Community Support and Benefit Sharing Program, in addition to the economic and social benefits of the project for the region.
“We are tremendously proud to be a part of the community in Queensland’s Western Downs region and contribute to the region’s economic and social development. This Community Support and Benefit Sharing Program will support local community projects in areas such as education and community renewable projects.”Belinda Fan, X-ELIO’s country manager in Australia.