Waga Energy / FR0012532810
28.05.2024 - 19:30:07Veolia, Waga Energy and ENGIE join forces to contribute to the development of the Renewable Natural Gas industry in France
| Waga Energy 28-May-2024 / 19:30 CET/CEST Dissemination of a French Regulatory News, transmitted by EQS Group. The issuer is solely responsible for the content of this announcement. Since May 1, 2024, Waga Energy has been selling the Renewable Natural Gas (RNG) produced at Veolia's Val Pôle in Claye-Souilly (north-central France), to ENGIE under a Biomethane Purchase Agreement (BPA), without recourse to the feed-in tariff subsidized by the French government. This 13-year contract is the longest BPA signed in France to date. With the growing need to develop local, low-carbon energies, Veolia, a leader in bioenergies, Waga Energy, a global expert in the production of Renewable Natural Gas (RNG) from landfills, and ENGIE, a world leader in low-carbon energy and services, have created an unprecedented partnership to take a significant step forward in the development of the RNG industry in France. Since March 2022, Veolia has been supplying Waga Energy with biogas from the Claye-Souilly landfill site in the Île-de-France region to produce RNG using its patented WAGABOX® technology. This RNG was initially sold to ENGIE under the feed-in tariff subsidized by the French government. A Biomethane Purchase Agreement (BPA), valuing RNG at a higher price than the subsidized price, came into force on May 1, 2024, for a period of 13 years. This is the longest BPA signed in France to date, which enabled Waga Energy to retain the financing of the RNG production unit through a long-term loan from the CIC and Arkéa Banque Entreprises et Institutionnels banks. Through this agreement, ENGIE will be able to market unsubsidized RNG to its customers, who will thus be able to demonstrate a reduction in the environmental impact of their activities and the carbon footprint of their products. The green value of this renewable gas is underpinned by the resale of Guarantees of Origin ("GO") and Proof of Sustainability ("PoS") certificates issued as part of ISCC1 certification. Veolia's Claye-Souilly site is home to one of France's largest RNG production units, with an annual capacity of 120 GWh of RNG per year, equivalent to the consumption of around 20,000 households. Its commissioning avoids the emission of around 20,000 tonnes of CO2eq by reducing the use of fossil natural gas. Estelle Brachlianoff, CEO of Veolia: "Veolia is a key player in the production of bioenergy, already producing 1.6 terawatt-hour of biogas from waste anaerobic digestion in France alone. Through this partnership with Waga Energy and ENGIE, we are contributing to the development of a genuine green gas production industry at the European level, essential for the ecological transformation. This is perfectly aligned with our GreenUp strategic plan, which aims to accelerate the deployment of local, low-carbon green energy.” Miya Paolucci, member of ENGIE's Global Energy Management & Sales Executive Committee: "Veolia and Waga Energy are excellent industrial partners who, like ENGIE, are driven by the desire to develop RNG, a renewable, local and sovereign energy, which is one of the pillars of the energy transition. The signing of this new BPA contributes to ENGIE's goal to supply 30 TWh of RNG per year to our customers by 2030". Mathieu Lefebvre, Chief Executive Officer of Waga Energy: "The signing of this 13-year BPA with ENGIE is a first of its kind in France! The performance of the WAGABOX® technology and its ability to produce RNG at competitive prices on large-capacity landfills such as Veolia's Val Pôle in Claye-Souilly, have enabled us to conclude an agreement that creates value for all stakeholders involved in the project, without calling on the state-subsidized tariff. We are delighted with this major first in the world of renewable gas, the result of close collaboration with the Veolia and ENGIE teams, and would like to thank CIC and Arkea Banque Entreprises et Institutionnels for their renewed confidence in this new stage of the project". 1 The ISCC (International Sustainability & Carbon Certification) label proves that a RNG production facility complies with the sustainability and greenhouse gas emission reduction criteria defined by the European RED II directive. About Veolia Veolia’s ambition is to become the benchmark company for ecological transformation. With nearly 218,000 employees on five continents, the Group designs and deploys useful, practical solutions for managing water, waste and energy that help to radically change the world. Through its three complementary activities, Veolia contributes to developing access to resources, preserving available resources and renewing them. In 2023, the Veolia group served 113 million people with drinking water and 103 million with wastewater services, produced 42 terawatt-hours of energy and recovered 63 million metric tons of waste. Veolia Environnement (Paris Euronext: VIE) generated consolidated sales of €45.3 billion in 2023. About ENGIE ENGIE is a global reference in low-carbon energy and services. With its 97,000 employees, clients, partners and stakeholders, the Group strives every day to accelerate the transition towards a carbon-neutral economy, through reduced energy consumption and more environmentally friendly solutions. Inspired by its purpose (“raison d’être”), ENGIE reconciles economic performance with a positive impact on people and the planet, building on its key businesses (gas, renewable energy, services) to offer competitive solutions to its customers. Turnover in 2023: €82.6 billion. The Group is listed on the Paris and Brussels stock exchanges (ENGI) and is represented in the main financial indices (CAC 40, Euronext 100, FTSE Euro 100, MSCI Europe) and nonfinancial indices (DJSI World, Euronext Vigeo Eiris - Europe 120 / France 20, MSCI EMU ESG screened, MSCI EUROPE ESG Universal Select, Stoxx Europe 600 ESG-X). About Waga Energy Waga Energy (EPA: WAGA) produces competitively priced Renewable Natural Gas – RNG – (also known as “biomethane”) by upgrading landfill gas using a patented purification technology called WAGABOX®. The RNG produced is injected directly into the gas distribution networks that supply individuals and businesses, providing a substitute for fossil natural gas. Waga Energy finances, builds and operates its WAGABOX® units under long-term contracts with landfill operators for the supply of raw gas, and generates income by selling the RNG it produces or by offering a purification service. Waga Energy operates 24 units (owned or sold) in France, Spain, Canada and the USA, representing an installed capacity of 940 GWh per year (3,207,400 MMBtu). Each project initiated by Waga Energy contributes to the fight against global warming and helps the energy transition. Waga Energy is listed on Euronext Paris. Contacts:
Regulatory filing PDF file File: Download the press release |
| Language: | English |
| Company: | Waga Energy |
| 5 Rue Raymond Chanas | |
| 38320 Eybens | |
| France | |
| Phone: | (33) 772 771 185 |
| E-mail: | laurent.barbotin@waga-energy.com |
| Internet: | www.waga-energy.com |
| ISIN: | FR0012532810 |
| Euronext Ticker: | WAGA |
| AMF Category: | Inside information / Other releases |
| EQS News ID: | 1912971 |
| End of Announcement | EQS News Service |
1912971 28-May-2024 CET/CEST
