- Both companies have signed an agreement to study the joint production of green hydrogen as part of the project of up to 1 GW in the Bay of Algeciras in the framework of the Andalusian Green Hydrogen Valley
- The project also covers the supply of renewable electricity and possible collaboration to produce sustainable marine fuels
- Under the agreement, Cepsa and EDP are creating synergies and reinforce their commitment to accelerate the energy transition towards a zero-emission future, promoting the decarbonization of industry and heavy land, air, and maritime transport
According to the company’s website press release on January 30, 2023, Cepsa and EDP have signed an agreement to work together on large-scale green hydrogen production in the Bay of Algeciras. Under this partnership, EDP, a leader in renewable energies through its subsidiary EDP Renewables and the fourth largest renewable energy producer in the world, has become a partner in the project to develop up to 1 GW in Campo de Gibraltar, Cádiz, as part of the Andalusian Green Hydrogen Valley, the largest green hydrogen project in Europe promoted by Cepsa.
Miguel Stilwell d'Andrade, CEO of EDP, said: "This agreement with Cepsa is an important step in EDP's plans to convert its thermal power plant in Los Barrios and to propel industrial decarbonization through the use of green hydrogen, and is another move to strengthen energy independence in Europe."
“To accelerate the energy transition, it is necessary to seek partners and synergies that enable us to move forward in this process in an agile and competitive way. It is with this ambition that we are today signing this agreement with EDP, one of the leading global companies in renewable energy production, which will provide us with the electricity needed to produce green hydrogen competitively”. Maarten Wetselaar - CEO of Cepsa
The partnership is part of both companies’ ambition to promote the decarbonization of industry and heavy land, air, and maritime transport. In addition to the supply of renewable electricity, the agreement also includes the possibility of collaboration on the production of sustainable marine fuels.
Decarbonizing the economy is a priority for both EDP and Cepsa, which each have a significant presence in the Bay of Algeciras and a strong commitment to the local community. The agreement allows the two companies to maximize the complementary characteristics and synergies of their sector knowledge, technical capabilities, and the proximity of their facilities.
This new partnership is part of Cepsa's 2030 Positive Motion strategy, through which the company is transforming itself to become a leader in the energy transition, leading sustainable mobility in Spain and Portugal, as well as the production of renewable hydrogen and advanced biofuels to help decarbonize not only its clients’ activity but also its own.
EDP, in its mission to lead the energy transition, has a unique and realistic program of projects in Spain to transform its thermal power plants into sites linked to renewable energies, green hydrogen, energy storage, and the flexibility of the electricity system. This agreement will facilitate the conversion of EDP's thermal power plant in Los Barrios, Cádiz, into a green hydrogen plant.
This partnership contributes to several of the 2030 Agenda’s Sustainable Development Goals: SDG 7 (Affordable and clean energy), SDG 8 (Decent work and economic growth), SDG 12 (Responsible consumption and production), and SDG 13 (Climate action).
