Covestro and BP Agree on Ten-Year Solar PPA in Spain

German polymer materials maker Covestro AG has signed a ten-year power purchase agreement (PPA) with BP Plc in Spain, securing solar energy for its production site in the Catalan city of Tarragona.

Under the PPA terms, the UK energy major will provide Covestro with an “annual double-digit GWh volume” of renewable power, matched by an equivalent volume of guarantees of origin. The current plan is to source the electricity from an already operational solar farm in Teruel province as that plant has an off-take contract in place with BP, the energy group’s Spanish unit said.

Covestro has three smaller production sites elsewhere in Catalonia that started running on 100% renewable power in 2022. With the new PPA, the supply of renewable power to Covestro’s Tarragona site will significantly increase, BP Spain said.