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New Donegal windfarm at centre of Microsoft renewable energy deal

MICROSOFT has announced that it has entered into a long-term Corporate Power Purchase Agreement (CPPA) with SSE Renewables and FuturEnergy Ireland that will add 30MW of wind energy capacity to Ireland’s electricity grid by way of the newly commissioned Lenalea Wind Farm near Letterkenny.

The renewable energy Corporate PPA secures a sustainable route to market for one of Ireland’s newest onshore wind farms, which was jointly developed by SSE Renewables and FuturEnergy Ireland.

Under the terms of the Corporate PPA, the renewable electricity produced by the seven Vestas V117-4.3MW onshore wind turbines at Lenalea Wind Farm will contribute towards Microsoft’s goal of powering its data centre operations with 100% renewable energy by 2025.

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Thursday’s announcement is additional to 900MW of renewable energy CPPAs that Microsoft announced in November 2022.

Of that capacity, more than 216MW of onshore wind and solar energy projects have already reached commercial operation, delivering clean energy to Ireland’s grid, with a further 250MW due to reach commercial operation this year.

This agreement is the first long-term Corporate PPA to be jointly entered into by co-development partners SSE Renewables and FuturEnergy Ireland.

CPPAs, such as this one, provide important routes to market for renewable energy developments, and play a valuable role in enabling the development and accelerated delivery of renewable energy generation to underpin Ireland’s decarbonisation targets.

The deal with Microsoft will also provide for a Community Benefit Fund of approximately €150,000 per year.

The allocation of funds by way of annual grants will be overseen by a locally appointed Community Committee, which has already been established.

A funding strategy will be developed in conjunction with the Community Committee to inform and shape the structure of the fund.

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The announcement follows the 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 towards Ireland’s 2030 targets for onshore wind.

Delivery of the Lenalea Wind Farm represented a total capital investment of more than €40 million by SSE Renewables and FuturEnergy Ireland.

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