Autoliv, Inc., the Swedish specialist in automotive safety systems, has signed two long-term virtual power purchase agreements with renewable energy producers Alight and Eurowind Energy. These strategic partnerships aim to strengthen the energy resilience of its European operations while mitigating risks linked to electricity price volatility. The contracts span a 12-year period, from 2027 to 2039.
The first agreement was signed with Alight, a Swedish solar energy producer. It covers the construction of a 100 MWp solar park in Eurajoki, Finland. The site, expected to be operational in 2026, will generate approximately 100 GWh annually, equivalent to the electricity consumption of around 20,000 households. Autoliv has committed to purchasing the majority of this electricity, thereby ensuring long-term price stability.
Technological and geographical diversification
The second contract, signed with Danish wind energy producer Eurowind Energy, involves a 48 MW wind park located in Pecineaga, Romania. This facility, scheduled to become operational by 2027, will produce approximately 176 GWh per year. The combination of solar and wind energy allows Autoliv to benefit from continuous production, covering both daytime and nighttime consumption cycles.
The location of the facilities in two different European countries enhances Autoliv’s energy procurement flexibility. This strategy helps offset potential local disruptions or production fluctuations due to weather conditions.
A contractual model adapted to market challenges
The virtual agreements signed by Autoliv allow for a decoupling of renewable energy production from its point of consumption, while ensuring a fixed purchase price. This contractual model meets growing demands for budget predictability in an unstable energy context. By locking in pricing terms at the time of signing, Autoliv secures long-term protection against market electricity price fluctuations.
Magnus Jarlegren, President of Autoliv Europe, stated that these projects strengthen the group’s ability to deliver competitive products in an environment where energy performance is becoming a key criterion for clients. Both agreements are part of a defined trajectory to transition the group’s European operations to 100% renewable electricity consumption.
