Salzgitter Flachstahl and Energiekontor agree to supply green electricity

Salzgitter Flachstahl, a division of steelmaker Salzgitter AG, has signed long-term contracts with Germany’s Energiekontor to supply electricity from two solar parks. The company said in a statement.

Energiekontor has received permits for the construction of two solar park projects in Mecklenburg-Vorpommern in fiscal year 2022/2023 and has recently completed the financial closing of each of them. After the credit assessment, construction work can begin.

Two solar parks with a total capacity of about 113 MW of peak generation will be built in the region. Their commissioning is scheduled for mid-2026.

Against this backdrop, Energiekontor and Salzgitter Flachstahl have signed initial long-term power purchase agreements (PPAs) for 15 years for both projects. Once the plants are commissioned, Energiekontor will supply the steelmaker with more than 120 GWh of green electricity per year.

According to Ralf Schaper, Head of Energy Management at Salzgitter Flachstahl, with the conclusion of these two agreements, the company has taken another important step towards securing its targeted portfolio of green electricity in the long term and diversifying its suppliers.

Energiekontor is one of Germany’s leading developers and operators of wind and solar parks.

In August 2024, German energy company RWE and steel producer Salzgitter agreed on a long-term supply of green electricity. The companies signed a long-term power purchase agreement (PPA). RWE Supply & Trading will supply Salzgitter with up to 64 GWh of electricity per year from the Boitzenburger Land solar park in Brandenburg for seven years, starting in 2027.