Shell New Energies and Eneco will supply Amazon with output from a 380MW portion of their subsidy-free 759MW Hollandse Kust Noord Hollandse Kust Noord (759MW) Offshoreoff Egmond aan Zee, Netherlands, Europe Click to see full details wind farm being built in Dutch waters.
The deal will help the online shopping giant towards its goal of powering its operations with 100% renewable energy by 2025 – five years ahead of its initial target.
Hollandse Kust Noord will consist of 69 Siemens Gamesa turbines and after its expected commissioning in 2023 will generate 3.3TWh per year.
Amazon will buy power from a 250MW portion belonging to Shell and a 130MW portion belonging to Eneco from 2024.
The Crosswind consortium of Shell’s clean energy unit and Belgian utility Eneco secured the rights to build Hollandse Kust Noord in the Dutch offshore wind tender last year.
They will not receive a subsidy and so are fully exposed to the wholesale market price. However, power purchase agreements (PPAs), such as those with Amazon, can help guarantee their revenue from the project in the long-term.
Kees-Jan Rameau, chief strategic growth officer at Eneco, added: “This collaboration enables us to invest in more renewable energy projects and, thus, accelerate the energy transition.”
Amazon and Shell have previously signed deals to help each other reach net-zero emissions by 2040 and 2050 respectively. This includes Shell Aviation agreeing to supply “sustainable aviation fuel” for Amazon’s air cargo network last year.
Shell told Windpower Monthly that it aims to amend its future operating plans and budgets to better reflect its transition to net-zero emissions.