H&M has begun sourcing renewable electricity from Sweden’s largest solar farm, marking a significant step towards its climate goals.
The fast-fashion retailer will procure 95% of the energy generated at the Hultsfred Solar Farm under a power purchase agreement (PPA) signed in 2022 with French renewables firm Neoen and Swedish developer Alight. The site, which became operational last week, is expected to generate 100 gigawatt-hours of electricity annually — equivalent to the consumption of around 18,000 Swedish households.
Spread across 130 hectares and fitted with 174,000 low-carbon solar panels, the plant has a peak capacity of 100 megawatts. Neoen and Alight described the project as a major milestone in Sweden’s renewable energy transition. “Bringing this solar farm into operation with our partner Neoen and PPA offtaker H&M represents a milestone for us and demonstrates that the Swedish market can deliver large-scale, unsubsidised renewable energy fast,” said Alight chief executive Warren Campbell.
For H&M, the deal supports its target of running all operations on renewable electricity by 2030, with at least half sourced through PPAs. “As a global fashion player, we have both the power and the responsibility to drive the energy transition, and with the solar park in Hultsfred, we are taking another step on that journey,” said Marcus Hartmann, the group’s Northern Europe head of sustainability.
The project was financed by Danske Bank and built by a consortium led by Equans Energy and Storage – Solkompaniet.
