Swiss generic and biosimilar medicine pharmaceutical company Sandoz announced that it has signed a new 10-year virtual Power Purchase Agreement (PPA) with Elawan Energy for new-build solar projects in Spain, anticipated to cover the vast majority of Sandoz’s electricity use in Europe.

Under the new partnership, Sandoz and Elawan Energy will jointly develop solar projects with a total installed capacity of 150 MW. Once operational, the initiative is expected to supply nearly 90% of the electricity demand for Sandoz’s European operations, which account for the majority of the company’s global footprint.

According to Sandoz, the new partnership marks a significant step in the company’s decarbonization strategy. Sandoz has set a goal to achieve net zero emissions by 2050, and the company announced a commitment in 2024 to set science-based carbon emission reduction targets, and to submit its plan to SBTi for validation by the end of January 2026.

Glenn Gerecke, Chief Manufacturing and Supply Officer at Sandoz, said:

“At Sandoz, environmental sustainability is a core part of how we operate – reflecting our responsibility to both the planet and our people. Our collaboration with Elawan Energy to develop this new solar project in Spain marks a concrete step toward decarbonizing our operations. By covering nearly 90% of electricity demand for our current European operations, we will reduce our environmental footprint and advance our commitment to a more sustainable future.”

The new solar capacity from the agreement will be developed in developed in Castilla y León, Spain. According to Elawan Energy, the new partnership will allow key projects in its development portfolio to reach commercial operation.

Diego Garcia, Head of Revenue Management and PPAs at Elawan, said:

“We are proud to partner with Sandoz, the global leader in generic and biosimilar medicines, in this corporate PPA. Supporting Sandoz on their path toward sustainability aligns with our core mission.”