DHL inks offtake deal tied to RWE’s Kaskasi offshore wind farm

German logistics company Deutsche Post AG (ETR:DHL), trading as DHL Group, has agreed to buy about 104 GWh of wind power annually from a unit of energy group RWE AG (ETR:RWE).

The 10-year power purchase agreement (PPA) will come into force from 2026. The contracted volumes cover about 19% of DHL Group's current annual electricity needs in Germany, according to a statement released Thursday.

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The electricity will be sourced from the 342-MW Kaskasi offshore wind farm in the German North Sea which was commissioned in early 2023. It is RWE’s sixth wind farm off the German coast.

DHL Group intends to spend up to EUR 7 billion (USD 7.58bn) for sustainability initiatives by 2030, seeking to decarbonise its entire logistics chain as much as possible.

In October, the group’s express mail and delivery service DHL Express agreed with US fuel producer World Energy the supply of about 668 million littres (176 million gallons) of sustainable aviation fuel (SAF) via certificates. A month earlier, DHL Group and South African chemicals and energy company Sasol Ltd teamed up with green energy firm HH2E AG for eSAF production in Germany.

(EUR 1 = USD 1.083)