Victorian dairy processor Burra Foods will source up to 90 per cent of its energy from renewable sources after signing a corporate power purchase agreement (PPA).
The Gippsland processor, which specialises in dairy ingredients, signed a 10-year deal with Melbourne-based energy retailer Flow Power.
The renewable power will be sourced from Ararat Wind Farm, and is expected to deliver annual savings in excess of 20 per cent. It can also be used in real time to offset grid electricity consumption.
Burra Foods said it required an energy solution that would support its production schedule, improve its energy efficiency and provide price certainty. During peak periods, it can receive up to 1.5 million litres of fresh milk for processing every day.
“As a business, Burra Foods has very bold sustainability targets and we have invested heavily in renewable energy solutions that fit our usage demand,” Burra Foods general manager supply chain and manufacturing Stewart Carson said.
“Partnering with Flow Power and sourcing a steady supply of clean, renewable energy is a major step toward our facility being powered by 100 per cent renewable energy. We remain committed to playing our part in sustainable dairy manufacturing.”
Burra Foods said the deal will bring it closer to meeting its ambitious energy efficiency goals, and offer access to secure low-cost renewable energy over a ten year period.
Flow Power announced the availability of its renewable Corporate PPAs for Australian businesses last year.
The company's managing director Matthew van der Linden said,”Traditionally the dairy industry is a heavy power user that requires a significant mount of power at all stages of the supply chain.
“This agreement will deliver secure cost-efficient power for the long term without compromising on Burra Foods' sustainability goals,” Van der Linden said.
“Above all else, Australia's dairy industry needs cost-effective sustainable energy. PPAs deliver this.”
