Kriegers Flak to Power Healthcare Company and Bio Innovator

Global healthcare company Novo Nordisk and bio innovator Novozymes have signed a long-term Power Purchase Agreement (PPA) with Vattenfall to source their electricity from the Kriegers Flak offshore wind farm, currently under construction off Denmark.

Novo Nordisk's plant in Hillerød, Denmark. Photo: Novo Nordisk

The deal enters into force from 1 January 2020 and will cover approximately a fifth of the production of the wind farm.

Since Kriegers Flak is scheduled to be in full operation by the end of 2021, the two companies will source electricity from other Vattenfall wind farms in Denmark until Kriegers Flak is fully up and running.

The sourced power will have Environmental Product Declaration (EPD), which provides full transparency of the environmental performance and enables comparison between products from a life-cycle perspective (LCA), Vattenfall stated.

“We are experiencing an increasing demand from businesses to buy 100 percent renewable energy. This agreement is a result of that, and we are looking forward to cooperating with Novo Nordisk and Novozymes,” says Branislav Slavic, Vice President of Business Sales Nordic at Vattenfall.

Novo Nordisk and Novozymes are independent companies part of the Novo family with the Novo Nordisk Foundation as a major shareholder through its holding company Novo Holdings A/S.

Dorethe Nielsen, Head of Corporate Environmental Strategy from Novo Nordisk said an important element in the cooperation with Vattenfall was the ability to supply renewable energy for its international production sites.

“The agreement with Vattenfall moves Novo Nordisk one step closer to reaching our ambition: That all Novo Nordisk production facilities worldwide will run on renewable power by 2020. With the Vattenfall agreement all of Novo Nordisk European production will run on renewable power,” Dorethe Nielsen said.

According to Novozymes, all its power consumption for production in Denmark has come from renewables for several years, and its entire supply of energy in Denmark will come from other sources than oil and coal.

Lene Aabo, Vice President for Sourcing and Facility Management at Novozymes, said the new agreement was a way to support sustainability in the whole value chain, from production to products.

“Novozymes’ products help tackle the world’s major problems, such as climate change. This makes it only natural to take responsibility for our own impact on the environment. This new agreement gives us a stable supply of renewable power at competitive terms. In this way, it supports an efficient production in Denmark with good jobs,” Lene Aabo said.

Once commissioned, the 600MW Kriegers Flak will be Denmark’s largest wind farm and will comprise 72 turbines installed in the Baltic Sea, 15-40 kilometres from the Danish coast.