Shoosmiths advises five UK co-operatives and RWE sign PPA to supply renewable energy across over 400 locations

Shoosmiths has led on legal negotiations for five co-operative independent society members (ISMs) - Lincolnshire Co-op, Scotmid Co-op, East of England Co-op, Southern Co-op and Central Co-op, who led on the deal - have signed a landmark 10-year corporate power purchase agreement (CPPA) with RWE, the UK's largest power generator and a global leader in renewable energy, to supply electricity from renewable energy sources to over 400 locations across the UK.

Starting the 1st of April 2025, the long-term contract will provide up to 53 gigawatt hours (GWh) of green electricity per year, enough to power over 400 retail stores, funeral homes, travel agents and more. Sourced from the London Array offshore wind farm in the outer Thames Estuary, this agreement will see significant savings for the five co-operatives throughout the lifetime of the CPPA.

This pioneering agreement was made possible with the help of Inspired PLC, the UK’s leading energy and sustainability advisor, who negotiated the CPPA, and a Shoosmiths team who led the legal negotiations with E&I sector and PPA specialist James Wood-Robertson. Notably, this deal was executed in just three months, less than half the usual timeframe, demonstrating the expertise and efficiency of the partnerships involved.

This agreement is a significant milestone in the co-operative movement’s journey towards sustainability. By securing long-term renewable energy, these five independent co-operatives are not only reducing their carbon footprint but also reinforcing their commitment to ethical business practices and environmental responsibility.

Olaf Lubenow, Head of Commodity Solutions UK, North & South Europe of RWE Supply & Trading, said: “We are pleased to support these five independent co-ops in their ambitious climate protection targets. This agreement shows how our clean energy solutions contribute to climate protection in all areas of the economy and ensure cost control by securing a long-term power price.”

Paul Lockwood, Head of Procurement and Net-Zero at Central Co-op, said: "At Central Co-op, our purpose is to create a sustainable Society for all, and this landmark agreement is a crucial step in that journey. By securing 20% of our energy needs from renewable sources, we are actively reducing our reliance on traditional energy and moving towards our ambition of becoming self-sufficient in green energy by 2030. We’re thrilled to have led on this deal on behalf of a consortium of Co-op societies, and working alongside RWE, Inspired and Shoosmiths, are proud to drive ethical and responsible energy sourcing - ensuring a more sustainable future for our communities.”

Mark Smith, Chief Executive at Southern Co-op, said: “We're thrilled to join forces with other independent Co-ops on this Power Purchase Agreement. Working together in this way means we can benefit from clean energy, achieve cost certainty and reduce our carbon usage, while also driving the important message that a greener future starts with collective action.”

Andrew Turner, Procurement and Sustainability Manager at Lincolnshire Co-op, said: “We're delighted to come together with other co-operatives with this CPPA to underscore our commitment to a sustainable future while delivering long-term financial stability for the society. By securing clean energy at predictable rates, we're reducing our carbon footprints and protecting our businesses from the fluctuation of electricity pricing.”

Steven Fendley, Head of Sustainability at the East of England Co-op, said: “We’re really pleased to have joined other co-operatives in partnering with Inspired PLC to provide low-carbon energy across our business. This move is an important step for us to help reduce carbon emissions as well as controlling costs across our 225 branches in East Anglia.”

Craig Strachan, Chief Financial Officer at Scotmid Co-op, said: “At Scotmid, we are proud to join forces with other co-operatives through this innovative Corporate Power Purchase Agreement. This collaboration not only strengthens our commitment to sustainability but also ensures we are securing reliable, clean energy at predictable rates for the long-term benefit of our members and communities. By working together, we are not only taking meaningful steps towards reducing our carbon footprint but also contributing to the UK’s collective efforts to reach net-zero. This agreement exemplifies the power of co-operation and collective action in driving real change for a sustainable future.”

Karen Hosking, PPA Manager at Inspired, said of the project: “We have facilitated a unique collective Corporate Power Purchase Agreement (CPPA), bringing together multiple parties to achieve a common goal. Typically, such projects take 18 months, but we accelerated execution to just three months, seizing market opportunities—which is a real achievement within our industry.

“By investing in this existing renewable asset, the ISMs secure traceable renewable energy on a long-term basis, support their sustainability targets, and contribute towards the UK’s net-zero journey.”

London Array is operated by RWE and owned by a consortium of four partners: RWE (30%), Caisse de dépôt et placement du Québec, Greencoat UK Wind PLC, and Masdar Energy UK Limited. It has 175 wind turbines and an installed capacity of 630 Megawatts. From the time of its fully commissioning in 2013 until September 2018, it was the largest offshore wind farm in the world.

Inspired PLC provides market-leading commercial energy and sustainability advisory services to help clients achieve net-zero and thrive in the future low-carbon global economy.

David Cockshott, Chief Commercial Officer at Inspired, added: "Inspired is proud to have built a long-standing partnership with ISM Co-operatives as their dedicated energy consultant. Together, we are committed to driving sustainability and transforming the lives of their members and local communities. Our comprehensive energy management services, including flexible energy buying, invoice validation and data management, alongside supporting with compliance, are helping various ISM Co-operatives work towards their ambitious net-zero goals.

“By working together swiftly and effectively, we’ve achieved something monumental that will help each Co-operative take a significant step forward in their carbon reduction journey.”

Shoosmiths LLP,  leading UK law firm with 1,500+ colleagues across fourteen locations and a wide breadth of E&I sector expertise, provided legal counsel for the negotiations.

Head of Shoosmiths’ E&I sector and PPA specialist, James Wood-Robertson said: “It has been a privilege to support this group of independent Co-ops as they take this significant step towards running clean, sustainable operations across hundreds of stores. Our firm is committed to helping our clients navigate the shift towards renewable energy and we are thrilled to able to use our expertise in CPPAs to move the dial forward for businesses like these cooperatives that shape our community.”

For over 180 years, co-operatives have championed ethical business, community ownership and sustainability, following the co-operative values and principles that guide their operations. This landmark renewable energy deal reinforces the co-operative movement’s long-standing commitment to fairness, environmental responsibility and collective action.

The United Nations has declared 2025 as the International Year of Co-operatives. This agreement highlights how co-operatives continue to lead by example in tackling global challenges like climate change. By working together, these co-op societies are securing sustainable energy solutions that will benefit their members, customers and communities for years to come.

As the world transitions towards a low-carbon economy, this collaboration sets a precedent for how businesses can work together to drive meaningful change.

For more information on the London Array windfarm, visit londonarray.com.