Packaging solutions business goes ahead with PPA
Allens has advised a leading Australian packaging solutions business on its long-term power purchase agreement with a global renewable energy provider.
Firm: Allens (Orora Limited); Herbert Smith Freehills (Pacific Hydro)
Deal: Orora Limited has been advised on its long-term power purchase agreement (PPA) with Pacific Hydro.
Key player: The team advising Orora Limited was led by Allens partner Kate Axup, with assistance from senior associate Danielle Jones.
Deal significance: Orora is a leading packaging solutions business, while Pacific Hydro is a global renewable energy provider.
According to a statement from Allens, under the terms of the agreement, Orora will acquire renewable energy from Pacific Hydro’s Clements Gap Wind Farm for Orora’s electricity demand for its South Australian operations. This includes the Gawler Glass facility.
Commenting on the PPA, Allens partner Kate Axup said the work with Orora builds on the experience the Allens team has negotiating corporate PPAs, which are an emerging trend in the Australian renewable energy market.
“Corporate PPAs are helping large consumers of electricity to hedge their exposure to high electricity prices, at the same time as adding to their green credentials,” Ms Axup said.
“This emerging form of PPA in the Australian market is great for both generators and large customers.
“We were delighted to work with the team at Orora on this important step.”