BAKU, Azerbaijan, December 3. Hydro Energi has signed a ten-year power purchase agreement (PPA) with Axpo Nordic to supply 2.63 terawatt hours (TWh) of electricity from 2026 to 2035, Trend reports via Axpo.
Under the contract, Axpo will deliver renewable power to Hydro’s operations in Sweden’s SE2 price area, bolstering the aluminium giant’s commitment to sustainable production.
Long-term power agreements are critical for Hydro, a global leader in low-carbon aluminium, to maintain its competitive edge in the industry. Renewable energy is a cornerstone of aluminium production in Norway, where Hydro operates with a carbon footprint approximately 75% lower than the global average. The new agreement supports Hydro’s technology roadmap to achieve net-zero emissions by 2050.
The contract will integrate into Hydro’s Nordic power portfolio, which includes 9.4 TWh of captive annual power production and approximately 10 TWh from long-term contracts. With several existing agreements set to expire by 2030, Hydro is proactively seeking new renewable energy sources to sustain its operations and meet future demand.
Axpo Nordic, a subsidiary of Switzerland-based Axpo Group, is a key player in the Nordic and Baltic energy markets. The company specializes in electricity trading, renewable energy solutions, and energy-related services, managing 24 TWh of renewable power from wind and solar annually. With nearly 20 years of experience in power purchase agreements in the Nordics, Axpo Nordic currently oversees 3.5 GW of renewable power in the region.
This agreement marks a significant step in Hydro’s efforts to secure long-term access to clean energy, ensuring continued progress toward sustainable aluminium production while strengthening its leadership in the global transition to a low-carbon future.
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