Syngenta and Statkraft Sign Five-Year Virtual Power Purchase Agreement
29 January 2026, Germany: Syngenta and Statkraft have signed a five-year virtual power purchase agreement covering Syngenta’s Crop Protection and Seeds operations in Europe. The agreement covers 125 GWh of electricity per year, totalling 625 GWh by 2030.
Under the agreement, Statkraft will supply electricity through a virtual power purchase structure, supporting Syngenta’s efforts to reduce emissions associated with its European operations. This is Syngenta’s first virtual power purchase agreement.
“This agreement represents a step in Syngenta’s carbon reduction efforts,” said Rachel Stenson Bugnon, Global Head CP Sourcing at Syngenta. “The structure enables progress toward Syngenta AG’s emission reduction targets while maintaining existing operational arrangements across Europe.”
According to Statkraft, virtual power purchase agreements are increasingly being used in Germany. Sascha Schröder, Vice President Central European Origination at Statkraft, said the agreement links wind farm operators whose subsidy periods have ended with companies seeking long-term electricity procurement aligned with existing sourcing strategies.
The agreement is based on a modelled wind portfolio that reflects the generation capacity of onshore wind turbines in the German market. This allows Statkraft to offer electricity volumes linked to market prices. Syngenta will receive guarantees of origin for the agreed electricity volume, indexed to the electricity spot market for the duration of the contract.
The virtual power purchase agreement is a financial contract and does not involve physical delivery of electricity. This structure allows Syngenta to pursue emission reduction targets without changes to its power supply contracts or operational processes. The agreement also supports the continued operation of wind facilities after the expiry of government subsidies.
Also Read: ISARC Director Awarded with Uttar Pradesh’s Highest Civilian Award
Global Agriculture is an independent international media platform covering agri-business, policy, technology, and sustainability. For editorial collaborations, thought leadership, and strategic communications, write to pr@global-agriculture.com
