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Speciality chemicals group LANXESS and VERBUND, Austria’s leading energy company and one of the largest producers of hydroelectricity in Europe, have signed a green electricity supply contract for the next three years. The contract ensures a fully sustainable electricity supply for German LANXESS production sites in Bergkamen, Bitterfeld, Brunsbüttel, Mannheim and Wietmarschen using purely Bavarian hydropower.
From 2026 to 2028, VERBUND will supply LANXESS with a total of around 200,000 MWh of green electricity from existing German hydropower plants on the Inn River in Bavaria. Compared to the German electricity mix, this electricity emits around 60,000 tonnes less CO2, allowing LANXESS to reduce its carbon footprint and that of its products from the sites – another step on the Group’s path towards becoming climate neutral in production by 2040.
“Our production facilities run around the clock, which is why we need electricity at all times of the day and night. VERBUND hydropower plants in Bavaria can guarantee this. And they are also supporting us on our path towards climate neutrality,” explains Alexander Sonnenberg, head of energy purchasing at LANXESS.
Andreas Lanz, Centre Manager Industrial Customers at VERBUND Energy4Business, is pleased with the collaboration: “Growing demand for sustainable electricity is a clear trend and a prerequisite for greater climate action, security of supply and reliability. With the VERBUND Climate Transition Plan, a clearly defined pathway to reduce greenhouse gas emissions with the goal of achieving net zero greenhouse gas emissions by 2050, we are pursuing a science-based reduction pathway and using our green electricity solutions to help industrial companies lower their carbon footprint and achieve their climate targets.”
In Bavaria and on the Bavaria/Austria border, VERBUND operates a total of 22 run-of-river power plants with an installed capacity of 1,040 MW and a generation volume of 5.9 TWh/a, of which 4.0 TWh/a is for Bavaria.
To boost Bavarian production, VERBUND has already implemented or is implementing projects costing around EUR 600 million. In addition, projects totalling around EUR 1 billion are being planned or approved.
When it comes to the environment, VERBUND also has high environmental standards in its Bavarian hydropower plants. These include comprehensive measures to protect aquatic ecology, such as ensuring passability for fish, implementing extensive restoration measures, preserving natural habitats and continuously improving water quality. Around EUR 100 million has been earmarked for this purpose up to 2030 in Bavaria and on the border, of which around EUR 30 million has already been utilised.
VERBUND is already one of Europe’s most sustainable energy producers and is pursuing ambitious goals. With scheduled investments of EUR 5.9 billion by 2027, VERBUND is planning to shape a sustainable energy future. Around EUR 400 million will be invested in environmental projects by 2030, of which around EUR 200 million has already been utilised. In addition to species protection and fish migration, requirements are the preservation of intact ecosystems, the consideration of planetary boundaries and adaptation to climate change. In its business activities, VERBUND therefore makes a significant contribution to protecting, conserving and promoting biodiversity and near-natural habitats.
In addition to climate neutrality in production by 2040, LANXESS is also pursuing the aim of making the entire upstream and downstream value chain climate-neutral by 2050 (Scope 3), for example through products with a low carbon footprint. The prestigious Science Based Targets initiative (SBTi) has confirmed that these targets are in line with the 1.5°C reduction pathway of the Paris Agreement. Just recently, LANXESS was also included in the Climate A List by the CDP climate protection initiative for the ninth time in a row.
LANXESS is a leading speciality chemicals company that generated sales of EUR 6.4 billion in 2024. It currently employs around 12,000 people in 32 countries. LANXESS’ core business is the development, manufacturing and marketing of chemical intermediates, additives and consumer protection products. LANXESS has achieved top positions for its commitment to sustainability, including in the Dow Jones Best-in-Class Index and MSCI ESG and ISS ESG ratings.
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