FX.co ★ Air Liquide, Sasol Sign New PPAs With Enel JV To Supply Renewable Energy To Secunda Site

Air Liquide, a French industrial gases firm, along with Sasol Limited, a South African energy and chemicals conglomerate, have revealed that they have inked new Power Purchase Agreements (PPAs) with Enel Green Power RSA.

The PPAs entail the long-term supply of an additional capacity of 110 MW of renewable power to Sasol's Secunda facility in South Africa. As part of this agreement, Enel Green Power RSA, a collaboration between Enel's renewable division Enel Green Power and the Qatar Investment Authority, will establish a local company tasked with constructing a wind farm in South Africa's Eastern Cape province. The renewable energy production plant is set to commence operations by 2026.

Air Liquide took over the operation of Sasol's 16 oxygen production units in Secunda in June 2021. The two companies have already signed three rounds of PPAs, collectively amounting to approximately 690 MW of renewable power capacity.

Air Liquide now estimates these deals will lead to an annual decrease in CO2 emissions of about 1.2 million tonnes. They will also help lower CO2 emissions linked to Secunda's oxygen production by 30% to 40% by 2031.

Nicolas Poirot, Air Liquide's CEO for Africa, Middle-East & India, commented, "These new renewable energy supply agreements demonstrate our joint dedication to reduce oxygen production emissions in Secunda since Sasol's units were handed over to Air Liquide in 2021. These long-term contracts will actively assist in promoting renewable energy in South Africa, benefiting the country's electric system and ultimately the South African society in a Just Transition context."