Salzgitter Group, true to its strategic mission “Partners for Transformation,” works closely with its customers and partners to achieve its climate goals, as evidenced by its collaboration with Spanish energy producer Iberdrola.
Salzgitter Flachstahl GmbH and Iberdrola Deutschland have signed a long-term power supply contract. The electricity will be supplied by the “Baltic Eagle” offshore wind farm, currently under construction in the German Baltic Sea.
Salzgitter aims to produce carbon-neutral steel
Through this power purchase agreement (PPA), Salzgitter Flachstahl GmbH has secured the delivery of 114 megawatts (MW) of green electricity over a 15-year period from the new offshore wind farm, which is expected to be operational by the end of 2024. Once commissioned, the total capacity of Baltic Eagle, currently under construction about 30 km northeast of the island of Rügen, will be 476 MW. The sustainably produced energy will be used to secure the SALCOS® – Salzgitter Low CO2 Steelmaking processing program. The green electricity produced by the wind turbines will be used to produce green hydrogen. Green hydrogen is a key element for Salzgitter AG to produce virtually carbon neutral steel.
“Through strong partnerships and long-term APPs, we are contributing to the transformation of German industry, among other initiatives, while supporting the rise of green hydrogen in the market. Our intention is to work together with other key players in this field in the German business sector to help them achieve their climate goals with economically viable solutions in the market, such as APPs,” said the Salzgitter spokesperson.
Two companies involved in the production of renewable energy
Salzgitter Group is already active as a partner for renewable energy production in many areas of its business. For example, Ilsenburger Grobblech GmbH (ILG), as a full-range supplier, has been supplying plates to the onshore wind energy market since 1996 and increasingly also to the offshore segment since 2010. The group’s other products for wind turbines include HFI longitudinally welded steel, pipes, precision steel tubing for cable cars and large diameter pipes for offshore wind farm substructures.
Iberdrola Deutschland is the largest operator of offshore wind farms in the German Baltic Sea. In the onshore sector, Iberdrola is active in the planning, construction and operation of onshore wind farms and photovoltaic projects.In addition to the “Wikinger” offshore wind farm, which was already connected to the grid in the German Baltic Sea in 2017, two further wind farms, “Baltic Eagle” and “Windanker”, will go into operation in 2024 and 2026 respectively. Energy partnerships with leading German companies such as the Salzgitter Group are a key element of Iberdrola’s integrated growth strategy in the German market.
