Intermoney | Acciona Energía (ANE) (Buy, Target Price 41 euros/share) has signed a 10-year Power Purchase Agreement (PPA) with Australian electricity distributor ZEN Energy. The Spanish company said on Monday, while the market was open, that it will supply 200 GWh/year of 100% renewable energy from its Waubra wind farm.
Located in the state of Victoria, the wind farm produces energy equivalent to the demand from over 138.000 homes. Through this PPA, 34% of the wind farm’s generation will be supplied to ZEN. Acciona Energía has not provided information on the sale price of the energy in this contract.
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This is significant news for Acciona. Australia is one of its growth markets. In H1’22, it generated revenues of some 39 million euros and Ebitda of 24 million, approximately 10% of its international business. The average price for the sale of energy in Australia was 83 euros/MWh in this period, practically the half of that in Spain. In June, Acciona had signed PPAs for a total of 1.700 GWh/year, so this contract represents a significant volume. Acciona’s electricity production is over 10.000 GWh, of which almost half is under the regulated regime or with derivative coverage ahead of 2023.
