Hydro Energi and Varberg Energi Sign 18-Month Hybrid Power Agreement for Stable Renewable Supply

Published: Aug 19, 2026 16:57 (GMT+8)

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[SMM Aluminum Express News] Hydro Energi and Sweden’s Varberg Energi have signed an 18-month pilot hybrid power purchase agreement combining wind and solar generation with energy storage to provide a more stable renewable electricity supply for industrial use. The agreement covers a total of 10 GWh of electricity in Sweden’s SE3 price area, with deliveries having started in July 2026. The pilot is designed to test whether different renewable generation sources and energy storage can be combined to reduce the variability associated with intermittent wind and solar power. Hydro said the arrangement will serve as a proof of concept, with the potential for similar hybrid supply structures to be used more broadly to provide industry with long-term, competitive and sustainable electricity. The companies will also exchange operational knowledge on how generation and storage technologies can be optimised for industrial demand.

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