Corporate Power Purchase (320GWh) Renewable Electricity

Gwynt y Môr Offshore Wind Case Study

Region, Route & Location: National | Route Services | Gwynt y Môr Offshore Wind Farm

Who:  

Engineering Services Transition to Renewables (T2R), working with RWE

What: 

Network Rail have signed a contract for 320 GWh of renewable electricity per year for five years at a fixed cost from Gwynt y Mor offshore wind farm.

The deal will provide around 65 of the electricity needed for Network Rail offices, depots, and managed stations. The estimated emissions reduction over five years is 168,000 tonnes of carbon dioxide, equivalent to planting 6.5 million trees. 

This is an innovative approach, ensuring that the electricity Network Rail uses comes from named renewable sources while securing price stability in a volatile market.

Why: 

Carbon emissions must be reduced to net zero by 2050 to minimise global warming and meet legislative targets. Network Rail consumes over 1.5% of the UK’s electricity, placing it in a strong position to make a significant contribution to this target. By ensuring that the electricity used is generated from reliable renewable sources Network Rail can significantly contribute to national decarbonisation goals. 

Historically Network Rail purchased energy from a grid mix comprising of some renewables, imports and generation from nuclear, coal and gas fired power stations.  Renewable power purchase agreements mean each unit of electricity used can be traced back to a named renewable source of generation.

With this project Network Rail has demonstrated a first of a kind for public sector, proving that large scale electricity usage can be transitioned into renewables, providing reliable, green, stable electricity to the railways and setting the direction for future transition. 

What were the benefits?

Supports the Greener Railway strategy:

Cutting carbon so that the railway will be net zero emissions by 2045 in Scotland and by 2050 in the rest of Britain.

Supports public value for money:

Greater cost stability for electricity, mitigating exposure to market volatility

Anticipated benefits of the procurement to passengers and freight users

The project will deliver tangible benefits to passengers and freight users by enabling a more reliable, lower‑cost and environmentally sustainable railway. By securing long‑term renewable electricity at fixed, below‑wholesale prices, the scheme strengthens affordability, resilience and confidence in rail as a modern transport system.

• Enhanced environmental credibility: Sourcing electricity from clearly identifiable renewable generation provides assurance that rail journeys are genuinely low‑carbon, strengthening customer confidence and supporting modal shift from more carbon‑intensive transport.
• Greater cost stability and value: Fixing energy costs over the long term reduces exposure to wholesale market volatility, helping to manage operating costs and support more efficient, affordable rail services for passengers and freight customers.