How are Equinix & Neoen Promoting Renewable Energy in Italy?
Power Purchase Agreements (PPAs) play a pivotal role in stabilising the finances of projects, promoting corporate sustainability, and reducing carbon emissions through the accelerated deployment of renewable energy sources.
By creating an alignment between corporate and environmental objectives, PPAs enhance global climate resilience and spearhead the shift towards a more sustainable future.
Neoen & Equinix's partnership
Renewable energy producer Neoen and digital infrastructure provider Equinix have embarked on a significant 10-year renewable energy PPA, signifying their first collaboration of this scale in Italy.
This initiative will see the construction of seven new-build solar projects, collectively contributing 53MW of solar energy across the span of the agreement.
Xavier Barbaro, Chairman and CEO of Neoen, says: “I congratulate Neoen’s team on the signing of this new contract with Equinix, whose continued trust is an honour.
“Our diversified geographic footprint and the rapid growth of our asset portfolio enable us to meet our clients' increasing needs. We are committed to sustaining this strong growth in the coming years, in Italy and around the world."
This venture with Equinix’s mandate to maintain 100% renewable energy coverage in its International Business Exchange (IBX) data centres located in Genoa and Milan, Italy.
Catalysing Italy's energy goals
Italy is on a determined path to achieve carbon neutrality and incorporate 30% of renewables into its total energy consumption by 2050, with an intermediate target of 55% renewables in electricity generation by 2030.
In 2022 alone, Italy successfully sourced 34.3% of its power generation from renewable resources and observed a 26% reduction in energy-related CO2 emissions.
The PPA between Neoen and Equinix is set to further this progression as part of Italy’s Integrated National Plan for Energy and Climate, outlining the nation's strategy to reach its climate and energy objectives between 2021 and 2030.
Andrea Massimo Bartolini, Director and Head of Business Development at Neoen Italy, says: “We are very pleased to sign our first PPA in Italy, less than 36 months after our establishment in the country and less than 10 months after launching the construction of our first assets in the country.
“This agreement demonstrates Neoen’s ability to provide reliable, long-term and competitive renewable energy to our local clients. We are very proud to play our part in building a more competitive and sovereign Italy”.
The partnership between these two organisations is not confined to Italy. Over the past three years, Neoen and Equinix have inked four other PPAs across Europe, making this Italian contract their fifth, cumulatively accounting for a contracted capacity of 210MW.
This PPA elevates Equinix’s global capacity under long-term renewable energy contracts to around 1.2GW, with Neoen's worldwide capacity under corporate PPAs topping more than 2.8GW.
Equinix's sustainability strategy
Equinix has not only invested more than US$129m in its data centres to implement improvements, retrofits, and energy efficiency upgrades, but it has also committed to being climate-neutral by 2030 through its Future First initiative.
This encompasses a broad strategy integrating ESG principles. In 2023 alone, Equinix signed 15 PPAs, reflecting a strong dedication to expanding its renewable energy resources.
By concentrating its PPAs in regions where significant reductions in greenhouse gas emissions can be realised, Equinix extends its sustainable influence across multiple global locations including India, France, Italy, Iberia, Singapore, Australia, the US, and the Nordics.
Marco Matarazzo, Director of IBX Operations, Italy at Equinix, says: “Equinix is proud to continue its global programme of sustainability initiatives with the signing of our first power Purchase Agreement in Italy.
“The backing of the development of seven new solar projects in the country contributes to Italy’s decarbonisation targets and aligns with our goal of achieving 100% renewable energy coverage globally by 2030.
“This is as well as our commitments to driving positive change and advancing sustainability in the data centre industry as a whole.”
Explore the latest edition of Sustainability Magazine and be part of the conversation at our global conference series, Sustainability LIVE.
Discover all our upcoming events and secure your tickets today.
Sustainability Magazine is a BizClik brand
