Weir Minerals Australia has signed a landmark agreement with ENGIE Australia & New Zealand to source renewable energy for its operations in New South Wales and Queensland.
The deal will deliver significant carbon reductions in line with Weir Group Plc’s Sustainability Roadmap goals, while locking in energy supply and price stability.
The renewable energy from Weir Minerals’ Power Purchase Agreement (PPA) represents a reduction of more than 100,000 tonnes of carbon emissions (CO2
e) over the lifetime of the five-year agreement. The PPA is one of the first of its kind between a renewable energy provider and a major supplier to the Australian resources sector.
Weir is targeting a 50% reduction in CO2
e emissions by 2030 and achieving zero by 2050 across the globe. Beyond the carbon reduction, the PPA will also provide Weir Minerals with security of supply, price stability and significant cost savings within an often-volatile energy market.
The agreement introduces several innovations to the electricity supply sector in Australia, including integration of energy generation and supply components in the same agreement. This simplified model means that Weir can spend less time managing complex agreements and cashflows and more time focussing on core business.
Jazib Farid, Weir Minerals Australia Environmental Engineer, said:
“Weir’s clear focus on making mining more sustainable and efficient includes leading by example and reducing the footprint of our own operations. Through our agreement with ENGIE, we are able to increase our use of renewable energy: a key factor in building a more sustainable business.
The agreement with Weir Minerals Australia underlines ENGIE’s position as the leading provider of innovative, cost-effective and sustainable renewable PPAs, supporting Australian businesses to meet their overall carbon reduction goals.
ENGIE ANZ Executive General Manager of Energy Management, Mr Andrew Hyland, said:
“ENGIE is in a unique position to utilise our understanding of the wholesale energy market to design solutions for customers transitioning to a carbon-neutral economy. For the Australian mining sector specifically, renewable PPAs offer price and stability benefits which can underpin and enable investments and the greening of supply chains.
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