Power generator RWE has signed a corporate power purchase agreement (CPPA) with five UK retail co-operatives – Lincolnshire, Scotmid, East of England, Southern, and Central – to supply renewable electricity to over 400 locations.
Starting the 1 April 2025, the contract will provide up to 53 gigawatt hours (GWh) of green electricity per year, enough to power over 400 retail stores, funeral homes, travel agents and more. Sourced from the London Array offshore wind farm in the outer Thames Estuary (pictured: Getty Images), this agreement will see significant savings for the five co-operatives throughout the lifetime of the CPPA.
The offshore wind farm London Array is operated by RWE and owned by a consortium of four partners: RWE (30%), Caisse de dépôt et placement du Québec, Greencoat UK Wind, and Masdar Energy UK Limited. It has 175 wind turbines and an installed capacity of 630mW.
From the time of its fully commissioning in 2013 until September 2018, it was the largest offshore wind farm in the world.
RWE says the agreement is “a significant milestone in the co-operative movement’s journey towards sustainability“.
It added: “By securing long-term renewable energy, these five independent co-operatives are not only reducing their carbon footprint but also reinforcing their commitment to ethical business practices and environmental responsibility.
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The agreement was made possible through a collaboration with Inspired plc, the UK’s leading energy and sustainability advisor, who negotiated the CPPA, and Shoosmiths LLP, who led the legal negotiations.
Paul Lockwood, head of procurement and net zero at Central, said: “At Central Co-op, our purpose is to create a sustainable society for all, and this landmark agreement is a crucial step in that journey. By securing 20% of our energy needs from renewable sources, we are actively reducing our reliance on traditional energy and moving towards our ambition of becoming self-sufficient in green energy by 2030.
“We’re thrilled to have led on this deal on behalf of a consortium of co-op societies, and working alongside RWE, Inspired and Shoosmiths, are proud to drive ethical and responsible energy sourcing – ensuring a more sustainable future for our communities.”
Lincolnshire’s procurement and sustainability manager Andrew Turner said: “We’re delighted to underscore our commitment to a sustainable future while delivering long-term financial stability for the society, through this corporate power purchase agreement.
“By securing clean energy at predictable rates, we’re reducing our carbon footprint and protecting our business from the fluctuation of electricity pricing.”
Steven Fendley, head of sustainability at East of England, said: “We’re really pleased to have joined other co-operatives in partnering with Inspired plc to provide low-carbon energy across our business. This move is an important step for us to help reduce carbon emissions as well as controlling costs across our 225 branches in East Anglia.”
Craig Strachan, chief financial officer at Scotmid, said: “This collaboration not only strengthens our commitment to sustainability but also ensures we are securing reliable, clean energy at predictable rates for the long-term benefit of our members and communities. By working together, we are not only taking meaningful steps towards reducing our carbon footprint but also contributing to the UK’s collective efforts to reach net-zero. This agreement exemplifies the power of co-operation and collective action in driving real change for a sustainable future.”
Mark Smith, CEO at Southern, said: “We’re thrilled to join forces with other independent co-ops on this CPPA. Working together in this way means we can benefit from clean energy, achieve cost certainty and reduce our carbon usage, while also driving the important message that a greener future starts with collective action.”
Karen Hosking, PPA manager at Inspired, said: “Typically, such projects take 18 months, but we accelerated execution to just three months, seizing market opportunities – which is a real achievement within our industry.
“By investing in this existing renewable asset, the ISMs secure traceable renewable energy on a long-term basis, support their sustainability targets, and contribute towards the UK’s net-zero journey.”
Olaf Lubenow, head of Commodity Solutions UK, North & South Europe of RWE Supply & Trading, added: “We are pleased to support these five independent co-ops in their ambitious climate protection targets. This agreement shows how our clean energy solutions contribute to climate protection in all areas of the economy and ensure cost control by securing a long-term power price.”
