Norsk Hydro secures renewable energy future with Statkraft partnership

Leading Norwegian aluminium and renewable energy giant Norsk Hydro has embarked on a long-term power purchase agreement (PPA) with Statkraft through its clean energy division, Hydro Energi AS. The provision for the contract includes the delivery of 1.28 TWh throughout the timespan of May 2024 to 2027.

This strategic alliance with Statkraft marks a significant milestone in their quest for sustainability. With a captive power production of 9.4 TWh annually and a formidable long-term contract portfolio of approximately 10 TWh, Norsk Hydro stands tall as a beacon of eco-consciousness in the industry.

Key highlights of the partnership

The contract, valid from May 1, 2024, to December 31, 2027, ensures delivery in the price area NO3, amplifying Norsk Hydro's influence in the Nordic power market. Inextricably linked to Norsk Hydro's energy endeavours is its aluminium production, a process heavily reliant on renewable power sources.

Renowned for its eco-friendly practices, Norsk Hydro's aluminium production boasts a carbon footprint 75 per cent lower than the global average. This emphasis on sustainability aligns seamlessly with Hydro's ambitious technology roadmap, charting a course towards zero emissions by 2050.

If you are interested in learning more about sustainable practices in the international aluminium industry, please have a look at AL Circle's specially curated report, Sustainability in the Global Aluminium Sector.