Thomas Lyons 
Medtronic, the healthcare technology company, has signed a unique agreement with a Galway wind farm to directly supply 50% of power for its Irish sites. The Corporate Power Purchase Agreement (CPPA) was signed with Flogas Enterprise, which will provide renewable energy from a wind farm located 30 minutes from the company’s Galway location. The agreement will meet half of the annual electricity requirements for its five sites in Ireland across Galway, Dublin, and Athlone. The deal is the first of its kind in Ireland as it is a multi-buyer CPPA, meaning Medtronic is one of a number of customers bundled together by Flogas Enterprise under the agreement and enabled to partner with a wind farm they otherwise could not have partnered with due to scale.
A CPPA is a contract that allows a company to procure renewable electricity through a direct agreement with a renewable electricity developer. It is expected that demand for CPPAs will grow over the next few years as companies seek to lower their carbon footprints, and also seek certainty in energy prices. CPPAs are typically signed over long periods, guaranteeing both the renewable generator and corporate consumers a fixed electricity price and hedging against market risks.
The CPPA agreement was completed with Shane Cannon and the energy management team at Medtronic, with support from energy management consultant, NUS Consulting Group. Flogas Enterprise, previously Naturgy Ireland, is a supplier to large energy users across Ireland and Northern Ireland, providing renewable electricity as well as natural gas, biomethane, and energy services.
Anita Tuch, Vice President, Facilities, Risk, and Environmental Health and Safety at Medtronic, said that the deal is a “significant milestone” for the company. “We look forward to working with Flogas Enterprise. Renewable electricity is a vital pillar in our commitment to sustainability, and this momentous occasion marks a significant milestone,” she said. “The guarantees of origin realized from the arrangement will also be utilized to support our Scope 2 emissions reporting,” she added.
Medtronic’s commitment to renewable energy and sustainability is evident in their efforts to reduce carbon emissions. The company’s sites in Ireland have already reduced their carbon emissions by 34% since 2014, and the new agreement with Flogas Enterprise will help the company achieve its goal of becoming carbon neutral by 2030. The agreement will also provide long-term price certainty for Medtronic, which will help the company to plan for the future and invest in new technologies and innovations.
The agreement between Medtronic and Flogas Enterprise is a significant step forward in the transition to a low-carbon economy in Ireland. It demonstrates that companies can work together to achieve their sustainability goals and reduce their carbon footprints. As more companies adopt renewable energy and sign CPPAs, the demand for renewable energy will continue to grow, and Ireland will become a leader in the transition to a low-carbon economy.
