Mars, Incorporated has entered into a long-term virtual power purchase agreement (PPA) with European Energy to secure the majority of the output from the upcoming Skuodas Wind Farm in Lithuania. The agreement marks a significant expansion of the Mars Renewables Acceleration Program, aimed at decarbonising the company’s full value chain and supporting its global net zero ambitions.
The contract includes bundled guarantees of origin from new-build capacity, providing Mars with verified renewable electricity to cover both its operational consumption and broader value-chain requirements in the region.
Scaling Renewable Infrastructure in the Baltic Region
The Skuodas Wind Farm is projected to have an installed capacity of 158.4 MW. Once operational, the site is expected to generate approximately 490 GWh of renewable electricity annually—a volume equivalent to the energy required to power 250,000 households.
By committing to a long-term financial agreement before construction is finalised, Mars is acting as a catalyst for new infrastructure. This "additionality" ensures that the partnership brings new green energy onto the Lithuanian grid rather than simply drawing from existing renewable sources. According to Kevin Rabinovitch, Global VP of Sustainability at Mars, the focus is on converting climate commitments into measurable progress through real-world infrastructure.
Impact on Regional Manufacturing Operations
The project, which is scheduled to go live in 2028, will directly support the Mars pet food manufacturing facility located in Lithuania. This facility is a key contributor to the company’s export performance, and the PPA provides a secure, long-term source of clean energy to maintain its operations.
Jens-Peter Zink, Deputy CEO of European Energy, noted that corporate PPAs are essential for strengthening national energy independence. He stated that the collaboration brings the Skuodas project forward, adding substantial domestically produced capacity to Lithuania’s energy mix.
The Renewables Acceleration Program Roadmap
The Lithuania agreement follows a series of high-volume clean energy commitments made by Mars over the last 24 months. The Renewables Acceleration Program has reached several key milestones recently:
2025 Poland and US Projects: Launch of over 100 solar projects in Poland and three major initiatives in the U.S. in partnership with Enel.
Sweden Wind Agreement: Earlier this year, Mars secured 70% of the output from the Kölvallen Wind Farm in Sweden.
Carbon Footprint Goals: Mars expects these collective investments to contribute to an estimated 10% reduction of its total carbon footprint by 2030, measured against a 2015 baseline.
Corporate PPAs as a Decarbonisation Mechanism
The use of virtual PPAs allows large-scale enterprises like Mars to manage energy price volatility while ensuring their sustainability efforts lead to the creation of new renewable assets. By providing the long-term financial certainty required for project financing, Mars is utilising its balance sheet to accelerate the energy transition across its European operational footprint.
This latest milestone reinforces the brand's shift toward a "circular" and "sovereign" energy model, reducing exposure to traditional fossil fuel commodity markets and aligning its industrial output with its publicised environmental, social, and governance (ESG) targets.
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