Amazon has signed a corporate power purchase agreement (CPPA) with Engie to secure the 473MW output from the Moray West offshore wind farm in Scotland.

The agreement is part of the e-commerce giant’s goal of powering all of its operations with 100% renewable energy by 2025.

The wind farm, set to become operational in 2024, will supply energy equivalent to that required by 650,000 UK homes annually.

Amazon Web Services, Europe, Middle East and Africa energy director Lindsay McQuade stated: “Transitioning to carbon-free energy sources is one of the most impactful ways to lower carbon emissions and is part of our Climate Pledge commitment to reach net-zero carbon across our operations by 2040.

“We are on track to meet our ambitious goal of powering our global operations with 100% renewable energy by 2025, and in 2022, 90% of electricity consumed by Amazon was attributable to renewable energy sources.

“Projects like Moray West will play a critical role in decarbonising Amazon’s operations and the UK grid, with this agreement demonstrating Amazon’s commitment to this ambition.”

The Moray West offshore wind farm, with a total capacity of 882MW, is situated in the Moray Firth, north-east Scotland.

Financial close on the project was achieved in April 2023 and it is currently under construction.

Moray West is being developed by Ocean Winds, a joint venture between EDP Renewables and Engie.

The wind farm will contribute £500m ($634m) to the Scottish economy over its lifetime.

The construction phase alone is expected to create and sustain more than 1,000 jobs in Scotland, with 70 permanent operational roles to follow.

The wind farm is also a significant component of Ocean Winds' ambition to achieve 5–7GW of operational or under-construction projects and 5–10GW of advanced development projects by 2025.

Engie renewables and energy management senior executive vice-president Paulo Almirante stated: “Moray West reflects our strategy to accelerate the transition towards a carbon-neutral world, through investing in renewable generation technologies.

“Furthermore, the innovative character of this CPPA shows that it is possible to create, together with Amazon, the conditions to achieve the UK objectives of renewables deployment and net-zero economy.

“This deal strengthens Engie’s leadership position for CPPAs, through which Engie has sold a substantial capacity of renewable electricity generated by its wind and solar assets.”

In 2023, Engie secured 19 new CPPAs in five countries, adding more than 1GW of clean energy capacity.

The deals expanded the company’s CPPA portfolio to 7.3GW.

Amazon also signed 39 new renewable energy projects across Europe, contributing more than 1GW of clean energy to the region's grids.

Amazon's strategic investments in solar and wind energy have established the company as one of the largest corporate buyers of renewable energy across Europe and the UK since 2021.