The employees of the power stations in the IJmond region will also be employed by Tata Steel, the companies announced. They do not say what amount is involved in the takeover.
Tata Steel previously received permission from the Netherlands Authority for Consumers and Markets for the takeover. This concerns two power stations in Velsen-Noord and a combined heat and power station on the site of the steel manufacturer itself. The three power stations run on residual gases that are created during the production of steel.
For Tata Steel, the plants are important for the transition to more sustainable steel production methods, says CEO Hans van den Berg. For Vattenfall, the sale of the power stations fits in with its aim to reduce its own CO2 emissions.
“By becoming the owner of the power plants, Tata Steel Netherlands can better manage the complex, step-by-step transition from the current steel production process to low-CO2, green steel production,” says Hans van den Berg, CEO of Tata Steel Netherlands. “This transfer of ownership is therefore an important and tangible step in the transition of Tata Steel Netherlands to green steel.”
The parties do not disclose what the acquisition price is.