Mercedes-Benz announced its plans to build a wind farm with over 100MW output at its test track in Papenburg, northern Germany with an intention to meet over 15% of its annual electricity demand in the country.

The German luxury vehicles company intends to sign a long-term power purchase agreement worth three-digit million euros with a partner.

As part of the wind farm in Papenburg, Mercedes-Benz aims to put up a double-digit number of wind turbines by 2025 to expand its green electricity portfolio.

Additionally, Mercedes-Benz is reviewing the large-scale installation of solar panels at the test site in close coordination with stakeholders and local authorities.

According to Mercedes-Benz, since 1998, the nearly 800ha site has been an integral part of its research and development works.

Mercedes-Benz claimed that since 2022, production at its factories has been carbon neutral. The automaker said that it is focusing on increasing the use of solar and wind energy at its own locations and by executing more power purchase agreements.

Mercedes-Benz Group production and supply chain management member of the board of management Jörg Burzer said: “The targeted expansion of renewable energies at our own locations is an integral part of our sustainability strategy.

“With the realisation of the planned wind farm project in Papenburg, we are taking an important step in this direction. We make an active contribution to the energy transition and the expansion of onshore wind power in Germany.

“By installing photovoltaic systems on the roofs of our plants on a large scale, we are gradually reducing our external energy requirements.”

By 2025, the company intends to inject an amount in triple-digit million euros for increasing the installation of photovoltaic systems.

The company further stated that it is working towards the objective of meeting more than 70% of the energy needs of its production with renewable energy by 2030.