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European Energy has signed a long-term power purchase agreement (PPA) with Mars Incorporated for the majority of the annual power generation from its planned 161 MW Skuodas Wind Farm in Lithuania.
The agreement is expected to support the commercial and financing structure of the Skuodas wind project, which is yet to reach financial close and is scheduled to begin commercial operations in 2028.
Under the agreement, Mars will purchase most of the project’s annual electricity generation, estimated at around 490 GWh per year. The PPA also includes bundled guarantees of origin, providing Mars with certified renewable electricity from newly built generation capacity for its regional operations.
Based on the projected annual output, the Skuodas Wind Farm is expected to avoid approximately 120,000 tonnes of carbon dioxide equivalent emissions each year, contributing to Lithuania’s renewable energy expansion and climate goals.
The project is also expected to support Mars’ pet food manufacturing facility in Lithuania by providing a long-term and reliable source of renewable electricity, reinforcing the facility’s operational sustainability and contribution to the company’s regional export activities.
Jens-Peter Zink, Deputy Chief Executive Officer of European Energy, said the agreement demonstrates how corporate buyers are actively enabling the development of new renewable energy infrastructure through long-term power procurement commitments.
He added that the partnership will help accelerate the development of the Skuodas wind project while increasing domestically produced renewable energy capacity in Lithuania and strengthening the country’s energy independence.
Kevin Rabinovitch, Global Vice President of Sustainability at Mars, said the collaboration aligns with the company’s strategy to secure renewable electricity for its operations and value chain while supporting broader investments in Lithuania’s clean energy infrastructure.
Rabinovitch noted that Mars’ early involvement in the project will also help strengthen the financing framework by providing long-term revenue certainty, which is critical for unlocking new renewable energy capacity.
The agreement reflects the growing role of corporate PPAs as a financing and risk mitigation tool for renewable energy projects, particularly in emerging wind markets across the Baltic region.
The Skuodas Wind Farm is expected to contribute to Lithuania’s broader energy transition by expanding domestic renewable power generation, reducing reliance on imported fossil fuels, and supporting national energy security objectives.
