A2A signs 15-year agreement with ERG for 2.7 TWh of wind energy in Italy

A2A and ERG have concluded a fifteen-year power purchase agreement for 2.7 terawatt-hours, consolidating wind energy supply and price stability for Italian businesses and households.

Share:

Gain full professional access to energynews.pro from 4.90€/month.
Designed for decision-makers, with no long-term commitment.

Over 30,000 articles published since 2021.
150 new market analyses every week to decode global energy trends.

Monthly Digital PRO PASS

Immediate Access
4.90€/month*

No commitment – cancel anytime, activation in 2 minutes.

*Special launch offer: 1st month at the indicated price, then 14.90 €/month, no long-term commitment.

Annual Digital PRO Pass

Full Annual Access
99€/year*

To access all of energynews.pro without any limits

*Introductory annual price for year one, automatically renewed at 149.00 €/year from the second year.

A2A, the country’s second-largest supplier by installed capacity and electricity distribution, and ERG, through its subsidiary ERG Power Generation S.p.A., have finalised a fifteen-year power purchase agreement (PPA). This contract will begin on January 1, 2027, covering a total volume of around 2.7 terawatt-hours (TWh) of renewable wind energy, aimed at strengthening electricity price stability for a broad customer base.

A partnership focused on revenue security and risk management

The agreement specifically concerns the output from the Salemi-Castelvetrano wind farm, located in the province of Trapani, Sicily. This site is the fourth technological renewal project—known as “repowering”—within ERG’s portfolio, increasing installed capacity and productivity while reducing the number of turbines in operation. The renovated facilities comprise 18 Vestas turbines of 4.2 megawatts (MW), totalling an installed capacity of 75.6 MW and an estimated annual output of 208 gigawatt-hours (GWh).

This PPA represents A2A’s first fifteen-year contract with a major operator, providing increased visibility on electricity costs in the medium and long term. A2A’s strategy involves aggregating renewable energy production from its own sites and partners’ assets, in order to offer flexible and stable solutions to both businesses and households.

Optimisation of the renewable portfolio and national perspectives

For ERG, this agreement supports the long-term value of its new wind assets while promoting revenue stability through long-term sales mechanisms. According to the group, such contracts will increase the total volume of electricity traded under long-term private agreements to over 3.5 TWh annually.

The energy generated by the Salemi-Castelvetrano site could meet the annual needs of around 41,000 Italian households, with an estimated 74,000 tonnes of carbon dioxide (CO2) emissions avoided each year. The project is part of A2A’s strategic plan to 2035, which provides for investments of EUR22bn ($23.91bn) to strengthen national renewable energy production and reduce dependence on foreign sources.

Those involved highlight that this long-term contract model could limit electricity market volatility, while addressing the growing demand for decarbonised electricity from industrial and consumer clients.

Shell U.S. president stated that cancelling fully permitted wind projects severely undermines investor confidence in the energy sector.
TotalEnergies could bring EDF into the Centre Manche 2 offshore wind project after RWE’s planned withdrawal, strengthening the industrial and financial prospects of the two neighboring parks scheduled for 2032.
Envision Energy has signed an agreement to equip Kazakhstan’s largest wind power project, marking a strategic step in energy cooperation with TotalEnergies, Samruk-Energo and KazMunayGas.
The Swedish energy group aims to produce 9TWh per year with its Storlandet project, intended to meet rising demand from the mining and steel industries in the north of the country.
The two regional utilities join a JERA-led consortium to support the operation of the Ishikari Bay offshore wind farm, which entered service in early 2024.
Energy group Axpo is considering a new installation of three wind turbines in Wil, aimed at powering around 5,000 households and strengthening Switzerland's winter electricity production.
Encavis strengthens its wind portfolio in Germany with the acquisition of a Schierenberg project and the signing of four new partnerships with ABO Energy, for a joint total capacity of 106 MW.
Boralex rolls out an energy assistance scheme for residents near its wind and solar farms, with a pilot project launched in two communes in Haute-Loire.
Eiffage, through its Belgian subsidiary Smulders, will build three electrical substations to connect offshore wind farms in Brittany and the Mediterranean, under a contract exceeding €1.5bn ($1.59bn).
Envision Energy has published an environmental product declaration for two of its turbines, a milestone certified to ISO standards aimed at strengthening its position in international wind markets.
Yaway, a brand of Kallista Energy, commissions in Breteuil a very high-power charging station directly connected to wind turbines, offering a price of €0.30/kWh ($0.32/kWh) and a maximum power of 400 kW, with no subscription.
Fortescue has selected Envision Energy to supply next-generation turbines in Australia, the first step in a project targeting 2 to 3 GW of renewable generation backed by batteries.
Singapore-based developer Vena Energy has launched operations at its third wind power plant in Japan, located in Saikai, Nagasaki Prefecture, with a grid-connected capacity of 7.5 MW.
Ørsted and Korea South-East Power Co. (KOEN) have signed a memorandum of understanding to explore joint development of the 1.4 GW Incheon offshore wind project, located off South Korea’s west coast.
RWE has finalised the installation of all 72 monopiles at the 1.1 GW Thor offshore wind farm off the Danish coast, marking a key milestone ahead of secondary structure and turbine installation scheduled for 2026.
The Bundesnetzagentur awarded 376 projects totalling 3.45 GW, with a weighted average price of 6.57 cents per kilowatt-hour, without reducing the volume despite an undersubscription risk.
Alternergy strengthens its portfolio by acquiring two wind projects from CleanTech in Quezon Province, expanding its growth strategy beyond the 500MW mark.
Orsted has resumed work on its Revolution Wind offshore wind farm, previously halted by federal authorities, after a court ruling allowed construction to continue despite ongoing legal action from the U.S. government.
No candidate submitted a final offer for the 1 GW project off Oléron Island, despite an initial shortlist of nine consortiums including major European energy groups.
TotalEnergies and RWE secure the Centre Manche 2 contract, France’s largest offshore wind project to date, with an estimated investment of €4.5bn ($4.82bn).