Statkraft and Hydro sign new long-term power deal
Statkraft and Hydro Energi have signed a new long-term power purchase agreement. The deal will see Statkraft supply 876 GWh of electricity annually to Hydro from 2031 to 2040 in Norway's NO5 price area.
Norwegian energy companies Statkraft and Hydro Energi have entered into a new long-term power purchase agreement (PPA). Under the terms of the contract, Statkraft will deliver 876 gigawatt-hours (GWh) of electricity annually to Hydro between 2031 and 2040. The total volume covered by the agreement amounts to approximately 8.8 terawatt-hours (TWh) over the full period.
The electricity will be supplied within Norway's NO5 price area. This latest contract is the third long-term PPA Statkraft has signed with Hydro this year. Two earlier agreements, signed in April 2026, cover annual deliveries of 0.9 TWh for 2029–2030 and 1.3 TWh annually from 2031 to 2038.
Statkraft stated that the new agreement will ensure a stable and competitive power supply for Hydro's aluminium plants in Norway over the next decade. Hydro emphasized that predictable electricity pricing is vital for its low-carbon aluminium production aimed at European customers.
Long-term power contracts are intended to reduce market risks and provide price predictability for industrial customers, thereby supporting competitiveness, jobs, and value creation in Norway. For Statkraft, these agreements secure stable revenues and reinforce its role as a key supplier to energy-intensive industries.