Yettel and Cetin Bulgaria sign а 10-year green energy contract with Electrohold
Yettel and Cetin Bulgaria have signed a 10-year power purchase agreement (PPA) contract for the supply of renewable energy with Electrohold. The main part of the consumption of both companies will be provided by a 123 MW photovoltaic plant, which is due to be completed in the spring of 2023. Overall management of the purchase and implementation of the delivery will be in charge of the leading energy trading Electrohold Trade. The company is part of Electrohold Bulgaria, owned by the largest public holding in Bulgaria – Eurohold.
Yettel Bulgaria and CETIN Bulgaria carry out their business in close integration with each other, following the general strategy for sustainable development of PPF Telecom Group. In August 2022, PPF Telecom Group committed to publicly set targets for the reduction of greenhouse gas emissions in accordance with the evaluation criteria of the Science Based Targets Initiative (SBTi). At the moment, the Group is preparing a comprehensive program to allow the reduction of greenhouse gas emissions, and the transaction between Yettel Bulgaria, CETIN Bulgaria and Electrohold Trade is the first step in the companies’ decarbonization.
“Electricity used for business needs is one of the main sources of carbon emissions in the telecom industry. Therefore, the agreement with Electrohold will bring Yettel closer to the implementation of the decarbonization plans and the intention to have a completely green network and commercial operation powered by renewable sources,” said Jason King, CEO of Yettel. “This is an extremely important aspect of the implementation of Yettel Bulgaria’s ESG strategy,” he added.
“This remarkable deal is an important milestone in our partnership with Electrohold and a huge step towards reducing our environmental footprint. With this project we hope to become a role model when it comes to doing business in a modern and sustainable way”, said Petar Mudrinich, CEO of CETIN Bulgaria.
“We would like to thank Yettel and CETIN for their trust in Electrohold. The deal is one of the first in Bulgaria for a period of 10 years at freely negotiated prices and shows the beginning of a new market trend in line with the green transition. A team of traders, financiers, engineers, internal and external consultants has been working on the project for several months. With the assistance of the law firm Wolf Theiss, we implemented the best practices in the field of long-term PPA (power purchase agreements) contracts. The contract will guarantee stable and predictable income for investors and lenders on the one hand, as well as competitive prices and fixed electricity costs for the customer on the other hand,” Karel said Kral, CEO of Electrohold Bulgaria.
“The contract with Yettel and CETIN is part of Electrohold’s strategy for development in the field of management of production from RES. We have developed a product specifically for industrial and corporate customers who want to be green, independent of the price volatility of fuels and responsible to nature and society. We have the necessary material, technical and financial resources, as well as an experienced and professional team with an energy focus management of a portfolio of clients and RES”, added Atanas Dimov, executive director of Electrohold Trade.