Salzgitter Flachstahl GmbH has inked a 10-year power purchase deal with UK-based Octopus Energy in order to support green steel production, according to the statement released by Salzgitter Flachstahl GmbH’s parent company Germany-based steelmaker Salzgitter AG.
As part of the deal, Octopus Energy will supply 126,000 MWh of clean electricity per year from the Schiebsdorf solar farm in Brandenburg to Salzgitter Flachstahl for 10 years. With the help of the deal, the German steelmaker intends to support its decarbonization program.
Since the Schiebsdorf solar farm, which is currently under construction, will be commissioned later this year, the long-term deal will start at the same time.
As SteelOrbis reported previously, Salzgitter aims to cut its carbon emissions by 95 percent through using green hydrogen electrolyzed with renewable energy.