Microsoft has announced a significant step towards bolstering Ireland’s renewable energy sector with the signing of a long-term Corporate Power Purchase Agreement (CPPA) with SSE Renewables and FuturEnergy Ireland. This partnership will result in the addition of 30MW of wind energy capacity to Ireland’s electricity grid through the newly commissioned Lenalea Wind Farm near Letterkenny.
The Corporate PPA secures a sustainable market route for one of Ireland’s latest onshore wind farms, jointly developed by SSE Renewables and FuturEnergy Ireland. The agreement entails that the renewable electricity generated by the seven Vestas V117-4.3MW onshore wind turbines at Lenalea Wind Farm will contribute towards Microsoft’s ambitious goal of powering its data center operations with 100% renewable energy by 2025.
This announcement comes as an addition to Microsoft’s previously announced 900MW of renewable energy CPPAs in November 2022. Over 216MW of onshore wind and solar energy projects have already commenced commercial operation, providing clean energy to Ireland’s grid, with an additional 250MW expected to come online this year.
Notably, this agreement marks the first long-term Corporate PPA jointly entered into by SSE Renewables and FuturEnergy Ireland. CPPAs like this one are crucial in providing pathways to market for renewable energy projects and contribute significantly to accelerating the development and delivery of renewable energy generation, aligning with Ireland’s decarbonization goals.
Furthermore, Microsoft’s collaboration will include the establishment of a Community Benefit Fund, amounting to approximately €150,000 per year. This fund will be managed by a locally appointed Community Committee, which has already been formed, and will oversee the allocation of annual grants. A funding strategy will be developed collaboratively with the Community Committee to shape the structure of the fund.
The announcement follows the successful completion of construction at Lenalea in December 2023. The 30.1MW onshore wind farm is now fully operational, generating renewable electricity for export to the national grid and contributing to Ireland’s 2030 targets for onshore wind. The delivery of the Lenalea Wind Farm required a total capital investment of over €40 million by SSE Renewables and FuturEnergy Ireland.