Major deal will see the Deutsche Telekom companies buy 100GWh of clean power per annum for 12 years

The deal, the first cross-border virtual Power Purchase Agreements signed by Czech or Slovak companies, will enable the construction of the one of Europe’s largest onshore wind farms

T-Mobile Czech Republic, Slovak Telekom and CE Colo Czech Republic, all part of the Deutsche Telekom Group, have signed cross-border virtual Power Purchase Agreements (VPPAs) with Rezolv Energy, the Prague-headquartered renewable energy producer. These are the first cross-border VPPAs that have been signed by Czech or Slovak companies. The power will come from the 461MW ‘VIFOR’ wind farm, which has been developed by Rezolv and Low Carbon in Buzău County, Romania, with the VPPAs enabling the construction of the first phase of the project. In the second phase, a further 700GWh per year will be available for corporate buyers.

The VPPAs will see the three firms buy 100GWh of clean power per year for 12 years. T-Mobile Czech Republic has secured 50GWh per year, Slovak Telekom 40GWh per year and CE Colo Czech Republic 10GWh per year.

A Significant Milestone in Renewable Energy

The VPPAs represent a significant step forward in Central & Southeastern Europe, where most previous PPAs have been physical agreements requiring the buyer and producer to be in the same or neighbouring countries with connected grids. In contrast, a VPPA is a financial arrangement where the buyer receives certificates verifying that the energy came from a specific renewable source, with the clean power being fed into the grid.

About the VIFOR Wind Farm

Once operational, VIFOR will be one of Europe’s largest onshore wind farms. Close to the Carpathian Mountains and benefiting from exceptional wind yields, the project will generate enough clean energy to power more than 270,000 homes and will avoid approximately 540,000 tonnes of CO2e annually. Phase 1 will install 192MW in capacity with planned expansion to 461MW in Phase 2. Construction is scheduled to be completed within 18 months, with VIFOR coming onstream before the end of 2025.

In a region which has historically relied on fossil fuels for most of its energy needs, replacing fossil production with renewables delivers the maximum possible emissions reduction impact. The project will therefore play a crucial role in the region’s energy transition and support Romania in meeting its climate targets.

It will also be built to the highest international sustainability standards to ensure that it leaves a lasting, positive legacy.

Last week, finance loan facilities of up to €291 million were secured to support the Phase 1 construction from a consortium of eight lenders led by Erste Group, UniCredit Group and the European Bank for Reconstruction and Development, as well as the International Finance Corporation (IFC), Intesa Sanpaolo Group, OTP Bank, Raiffeisen Bank International AG and Garanti BBVA Romania. Pavel Hadrbolec, CFO, T-Mobile Czech Republic and Slovak Telekom, said: “We are proud to became an enabler of a new renewable energy site and became a frontrunner in this area. This is a further step in our decarbonisation journey. The deal also brings us relevant risk diversification to our energy procurement strategy and energy prices hedging.”

Alastair Hammond, CEO, Rezolv Energy, said: “The VIFOR project will play a significant role in Romania’s energy transition, and these cross-border PPAs are an important signal to the business community across the region. They do not need to wait for renewable energy capacity to start coming onstream in volume in their home market – they can be supplied from Romanian projects. These agreements will enable Phase 1 of this project, but Phase 2 will make a further 700GWh available per year. The widespread corporate demand for green electricity can therefore be met now.”

Jaroslava Korpanec, Partner, Head of Central and Eastern Europe, Energy Infrastructure at Actis, commented: “Actis launched Rezolv Energy to deliver a new era of clean, sustainable energy in Central and Southeastern Europe. This VPPA demonstrates how Rezolv is leading the CEE market, offering innovative solutions to help corporates decarbonise while meeting their energy needs. Rezolv’s renewable power projects are making a tangible difference and accelerating the energy transition in the region.”

Rezolv Energy was launched 18 months ago by Actis, a leading global investor in sustainable infrastructure, and already has well over 2GW of clean energy being prepared for construction in South Eastern Europe. As well as the VIFOR wind farm, projects include Dama Solar in western Romania which, at 1,044MW, will be the largest solar plant anywhere in Europe once it is built, the 600MW Dunarea East & West Wind Farms in Romania’s Constanța County, and St. George, a 229MW solar project in north-eastern Bulgaria.

ENDS

NOTES:

About T-Mobile Czech Republic

With more than 6.5 million customers, T-Mobile is the largest mobile operator in the Czech Republic. The operator will cover 90% of the population with its 5G network by the end of 2024 and has also been focusing on building and developing fibre-optic infrastructure for a long time. According to Ookla, T-Mobile has the best mobile network. In addition to focusing on end customers, the company also offers services to business partners under the T Business brand. As part of responsible business, the operator focuses on environmental protection and digital inclusion.

About Rezolv Energy

Rezolv is a highly experienced, independent renewable energy producer. We provide subsidy-free clean energy at a long-term, stable price for industrial and commercial users, and other off-takers, operating across Central and South Eastern Europe.

Built on a heritage of 15 years in clean energy, we take renewable projects – wind, solar and storage – from late-stage development through construction and into long-term operation.

With long-term investment backing from Actis, one of the world’s foremost energy investors, we are building a multi-GW portfolio that will help companies and countries meet their energy needs today and in the future.

For more information, please visit: Rezolv.Energy

About Actis

Actis is a leading global investor in sustainable infrastructure, delivering competitive returns for institutional investors and measurable positive impact for the countries, cities and communities in which it operates. Actis invests in structural themes that support long-term, equitable growth in defensive, critical infrastructure across energy transition, digitalization transition, and supply chain transformation.

The firm’s decades of global experience, operational know-how and strong culture allows it to create global sustainability leaders at scale. Since inception, Actis has raised $25 billion to invest in a better tomorrow. Actis is a signatory to the United Nations backed Principles for Responsible Investment (UNPRI), an investor initiative developed by the UNEP FI. The firm has consistently been awarded the highest rating score in the UNPRI independent assessment.

You can learn more about Actis at www.act.is