Iberdrola España has announced a significant long-term power purchase agreement (PPA) with Tubos Reunidos Group, a leader in seamless steel tube production. This partnership will deliver 120 GWh of renewable energy, enough to power approximately 16,000 average American households. It will be supplied from Iberdrola España’s 10 megawatt (MW) solar photovoltaic pipeline. Meantime, the clean electricity will directly power Tubos Reunidos Group’s Álava and Biscay, Spain-based factories.
This collaboration is particularly noteworthy as it directly supports the production of Tubos Reunidos Group’s O-Next net zero seamless steel tube range, advancing both companies’ sustainability goals. The announcement underscores Iberdrola España’s intense dedication to consistently delivering renewable energy to its customers. Simultaneously, it works to drive decarbonization in the industrial sector.
David Martínez, director de Iberdrola Clientes España, on what this agreement means, said,
“Iberdrola España and Tubos Reunidos Group are aligned in their joint commitment to driving a more sustainable and efficient future. Both companies play a key role in accelerating the energy transition and promoting decarbonisation in the industrial sector. Collaborations like this are essential to support the development of renewables within the electricity generation mix.”
At the same time, Iberdrola España is taking steps to become a global leader in renewable power generation. They are divesting their smart metering business, SP Smart Meter Assets (SPSMAL), in the UK to Macquarie for £900 million. The assurance of better drugs notwithstanding, the UK’s competition authority still needs to approve this transaction first. If approved, it would wrap up in the third quarter of 2025. Though SPSMAL is still in its early days, it now oversees 2.7 million smart meters throughout the UK.
Carlos López de las Heras, a representative from Tubos Reunidos Group, commented on the broader impact of the agreement:
“We are undergoing a continuous improvement process that involves the entire organisation to ensure that our processes and products are more sustainable. With this agreement, we are advancing our strategy to be a driver of industrial decarbonisation, achieving a green value chain for businesses and supporting climate neutrality.”
Iberdrola España and Tubos Reunidos Group have partnered to lead Iberdrola’s sustainable development into the future. Together, they are blazing trails for energy-efficient industry leaders. This initiative not only highlights the role of renewable energy in modern manufacturing but reflects the ongoing commitment of both companies to contribute positively to their respective sectors.