France’s Neoen and British-Australian renewable energy enterprise, Simec Zen Energy, part of GFG Alliance, signed a Memorandum of Understanding during French President Emmanuel Macron’s recent visit to Australia, designed to “dramatically reduce energy costs to industry in Australia.”
As a first step, Neoen CEO, Xavier Barbaro, and GFG Alliance Executive Chairman, Sanjeev Gupta, signed a 15-year power purchase agreement for Simec Zen Energy to take most of the output from Neoen’s Numurkah Solar Farm in northwest Victoria. This 100 MW renewable energy project is owned and developed by Neoen and already supported by a 38 MW Green Certificate Purchase agreement by the Victorian Government.
“The switch from fossil fuels to renewable energy is the revolution of this century, transforming our economies and our impact on the environment. Such major change demands sustainable, effective solutions,” Barbaro said.
Gupta said the purchase agreement would help to lower energy costs at GFG’s Laverton steel works in Victoria, placing the operations on the path to GFG’s well-known GREENSTEEL model. In addition, he said the MOU was an exciting opportunity for the companies to work together to find global renewable energy solutions of even greater scale.