Axpo and Petrol sign first long-term PPA to deliver physical power in Slovenia
09.10.24 - Axpo has signed a long-term corporate power purchase agreement (PPA) with Petrol, the largest energy company in Slovenia, it was announced today. The five-year deal is Axpo’s second PPA in Slovenia and the first in the country that will deliver physical power to one of Petrol’s end customers. Under the agreement, Axpo will supply electricity to Petrol, a major energy distributor and a leading energy market player in South-Eastern Europe. The power will be used to support the company’s core activities.
The five-year agreement will support Petrol in planning its long-term energy supply, securing a fixed average price for the entire period. As part of the agreement, Petrol has the option to purchase matching Association of Issuing Bodies (AiB) Guarantees of Origin (GoOs) from any AIB country for solar, wind or hydro power. In addition, Petrol may choose to purchase additional tranches of power over time, giving the company further flexibility and the assurance of long-term fixed prices.
Philip Schmid-Lossberg, Senior Originator for South-Eastern Europe at Axpo, said: “We’re delighted that Axpo has been chosen by Petrol, Slovenia’s leading energy company. I’m particularly pleased that we’ve been able to support them in securing their long-term energy needs. This agreement provides the company with the stability and assurance that is essential in business planning, protecting against volatile markets and energy prices through strategic hedging. Axpo has extensive experience and expertise in the PPA and risk management field. Combined with our strong balance sheet and credit worthiness, in-depth knowledge of the Slovenian market and the wider region, we’re ideally positioned to develop the best risk management solutions for the specific needs of our customers.”
Marko Bregar, Executive Director for Electricity Supply and Trading at Petrol, stated: “At Petrol Group, we deliver approximately 3 TWh of electricity to end customers annually, and we are constantly striving to enhance our service offerings to meet the evolving needs of our customers in Slovenia and beyond. As the largest electricity supplier to the business sector, we understand that long-term contracts, such as Power Purchase Agreements (PPAs), are highly valued by business customers, as they provide stable and predictable energy costs. Additionally, by purchasing Guarantees of Origin (GoOs), customers can significantly reduce their carbon footprint, aligning with their environmental, social, and governance (ESG) objectives.”
More information about the business:
Media contact:
Axpo:
Axpo Holding AG, Corporate Communications
Tel. 0800 44 11 00 (Switzerland), Tel. +41 56 200 41 10 (International) medien@axpo.com
Petrol:
Brigita Zorec, Director of Corporate Communications
E-mail: brigita.zorec@petrol.si, petrol.pr@petrol.si
Phone: +386 41 757 885
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Axpo Holding AG
Corporate Communications