Amazon has signed a new long-term clean energy purchase agreement with RWE, one of Europe’s largest renewable energy developers. The deal is a Power Purchase Agreement (PPA) for 110 megawatts (MW) of power. This electricity comes from RWE’s Nordseecluster B offshore wind project in the German North Sea.
RWE and Amazon stated that the contracted power would produce enough clean electricity for over 139,000 German households every year.
For Amazon, the deal supports its climate commitment to reach net-zero carbon across its operations by 2040 under The Climate Pledge. For RWE, the contract helps finance a large new offshore wind build-out and adds a stable, long-term buyer for the project’s output.
Rocco Bräuniger, Amazon Country Manager for Germany, Austria, and Switzerland, stated:
“Germany is transitioning toward a modern, carbon-free energy system, and this agreement with RWE helps advance that vision. As Amazon works toward net-zero carbon by 2040, we continue enabling projects that strengthen Germany’s renewable energy capacity for generations to come.”
Nordseecluster: A Two-Phase Offshore Wind Giant in the North Sea
Nordseecluster is a major offshore wind development that RWE is building in two phases. The project sits in the German North Sea. Nordseecluster B is the phase tied to Amazon’s new 110 MW contract.
According to reporting based on company details, Nordseecluster A has a total capacity of 660 MW and is currently under construction. It is scheduled to begin operations in early 2027. Nordseecluster B adds another 900 MW and is expected to begin commercial operation in 2029.
- RWE said Nordseecluster is a joint project between RWE (51%) and Norges Bank Investment Management (49%).
The Amazon deal is a corporate PPA. That means the tech giant agrees to buy a defined amount of clean electricity tied to a specific project over a long period. These long-term contracts often help developers secure financing because they reduce revenue uncertainty. RWE’s press statement also framed PPAs as important tools for accelerating decarbonization while supporting supply security.
Ulf Kerstin, CCO at RWE Supply & Trading, noted:
“Power Purchase Agreements like this one with Amazon are crucial for accelerating Germany’s decarbonisation while strengthening long-term security of supply. By enabling large-scale offshore projects such as Nordseecluster, we can bring more reliable, carbon-free electricity onto the grid and support a resilient energy system.”
The image below shows RWE’s offshore wind portfolio in the German territory.
Rising Power Demand Meets Long-Term Clean Energy
Amazon’s electricity needs are rising, especially from logistics and fast-growing data infrastructure. Data centers also require reliable electricity 24 hours a day. That creates demand for large amounts of power, and it increases pressure to source cleaner electricity.
Amazon has made carbon-free energy a key part of its climate strategy. The company’s sustainability site states it plans to use more carbon-free energy. This is part of its goal to achieve net-zero carbon emissions by 2040.
The company has also expanded its renewable energy procurement rapidly. In its 2024 Amazon Sustainability Report, Amazon said that as of January 2025, it had invested in 621 renewable energy projects globally. It said 124 of those projects were added in 2024. Together, these projects represent 34 gigawatts (GW) of carbon-free energy capacity.
Amazon reported that for the second year in a row, it matched 100% of the electricity used in its global operations with renewable energy. This was highlighted in its 2024 report and summaries. This does not mean every Amazon site runs on renewables every hour.
The company usually buys enough renewable energy to cover its yearly electricity use. This is done through PPAs and certificates, which vary by region and structure.
In Germany, Amazon has built a growing clean energy portfolio. RWE and Amazon said the Nordseecluster agreement is the tech company’s fourth large-scale offshore wind PPA in Germany.
Amazon also has six on-site solar projects in the country. Together, Amazon’s 10 renewable projects in Germany total more than 790 MW of capacity. When fully operational, they should generate enough renewable electricity to power over 1,000,000 German homes each year.
That “homes powered” figure is an equivalency used to help readers understand scale. It does not mean Amazon supplies those homes directly. It means the wind and solar output from these projects is similar to what many households would use.
Amazon’s Net Zero Goals: Powering Growth While Cutting Carbon
Amazon has pledged to achieve net-zero carbon emissions by 2040. This goal is part of The Climate Pledge, which it helped create in 2019 with Global Optimism. The goal is ten years ahead of the Paris Agreement’s target. More than 500 companies have now signed the pledge.
In its 2024 Sustainability Report, Amazon announced it matched 100% of the electricity used in its global operations with renewable energy. This is the second year in a row it achieved this goal, hitting the target five years early.
Amazon’s total carbon emissions increased from about 64.4 million tonnes of CO₂e in 2023 to around 68.3 million tonnes of CO₂e in 2024. This rise is partly due to business growth and the expansion of data centers. However, the company reduced its carbon intensity (emissions per dollar of sales), showing improved efficiency.
The company is also moving to reduce emissions in other ways. It is growing its electric delivery fleet. It increased from around 19,000 to over 31,000 electric vans in 2024. The goal is to reach at least 100,000 electric delivery vehicles by 2030.
Amazon also works to cut packaging waste, improve energy efficiency, and support suppliers in reducing their emissions. These efforts connect to Amazon’s rising energy demands. This is particularly true as it expands its data centers and logistics sites.
By scaling renewable energy, electrifying transportation, and improving energy efficiency, Amazon aims to balance growth with long-term climate progress.
Corporate PPAs Power the Next Wave of Offshore Wind
Germany continues to expand offshore wind because it can produce large volumes of electricity near major demand centers. Offshore wind also tends to generate more consistently than onshore wind, although it still varies with weather and season.
Corporate PPAs have become an important part of this market. They add demand from buyers beyond utilities and heavy industry. They also help fund projects by guaranteeing long-term revenue streams.
The Amazon–RWE deal also connects to a broader partnership between the two companies. The agreement builds on a Strategic Framework Agreement signed in June 2025. RWE backs Amazon’s goal for carbon-free energy. In return, Amazon helps RWE with digital changes using cloud services, AI, and data analytics from Amazon Web Services (AWS).
This pairing is becoming more common in the clean energy market. Utilities need digital tools to manage grids with higher shares of wind and solar. Tech firms need reliable clean energy for data infrastructure and long-term contracts can serve both sides.
What’s Next? Delivery Timelines, Grids, and the Next Energy Mix
The 110 MW deal adds another major offshore wind purchase to Amazon’s Germany portfolio. It also shows that long-term corporate PPAs remain important for financing offshore wind.
Several practical issues will shape the outcome. Nordseecluster B is due to start operating in 2029, but delays could shift when Amazon receives power. Grid integration is another challenge. Offshore wind output varies, and matching electricity use hour by hour is harder as data center demand grows.
Amazon’s broader energy strategy also matters. By January 2025, it had 621 clean energy projects and 34 GW of carbon-free capacity worldwide. The company is expanding beyond wind and solar, including nuclear investments, to support round-the-clock power needs.
Overall, the Amazon–RWE deal signals continued demand for long-term clean electricity as offshore wind expands in Germany’s North Sea and beyond.
- READ MORE: Amazon’s $38B OpenAI Deal That Sent Its Stock Soaring, Powering the Next Wave of AI Growth
The post Amazon Signs 15-Year Offshore Wind Deal with RWE in Germany as Energy Demand Rises appeared first on Carbon Credits.
Insetting program design starts with your supplier map. The carbon claim comes much later.
Consider a coffee procurement team that funds a farm intervention before checking its sourcing data. The supplier aggregates coffee lots from several regions. The buyer lacks farm-level traceability. Another purchaser expects to report the same outcome. A more attractive project brochure solves none of these problems.
If the distinction between a value-chain intervention and a purchased credit is still open, read CCC’s Insetting vs Offsetting guide before you set the brief.
Insetting program design begins with the purchasing relationship and works outward. You need to decide 1) where an intervention belongs, 2) what business problem it addresses, 3) who pays for it, 4) how results will be measured, and 5) what the evidence will let you say about them. This five-step playbook turns that sequence into a procurement plan.
Step 1: Insetting program design starts with supplier mapping
Start with the commodities that matter most to your Scope 3 inventory and sourcing continuity. Ask finance for spend by supplier, sustainability for the emissions baseline, and category managers for origin and volume records. Then identify which suppliers can trace material to a jurisdiction, sourcing region, producer group, or individual land-management unit.
The level of traceability affects what you can account for. Under the GHG Protocol Land Sector and Removals Standard, the spatial boundary for purchased land-based products depends on the traceability associated with each volume. Farm-specific factors or removals require physical traceability through an acceptable chain-of-custody model. A contract with a tier-one trader, by itself, does not establish a link to the farms behind its deliveries.[1]
Build a first-pass table with five columns: commodity and annual volume; supplier and origin; current traceability level; land-use and production risks; and the business owner who can change the purchasing terms. Mark missing data plainly. A blank cell is cheaper to fix before a program starts than after a claim is drafted.
If your company sets an SBTi Forest, Land and Agriculture target (FLAG), keep its land-related target boundary separate from energy and industry emissions. The current FLAG guidance also requires relevant companies to assess primary deforestation-linked commodities in their value chains.[2]
Step 2: Choose a commodity and jurisdiction for a pilot
Select one supply corridor where the sourcing connection can be established and procurement has a reason to stay. A useful pilot has repeat purchases, suppliers willing to share records, an intervention matched to a diagnosed problem, and a defined plan to measure the result. Carbon potential alone is a poor selection rule if the supplier cannot deliver the crop your business needs.
Compare candidate regions on land-use risk, supplier concentration, local rights and tenure, the availability of baseline data, and exposure to drought, erosion, or forest conversion. Check the relevant legal requirements separately. A nature project does not satisfy a due-diligence obligation merely because it has a carbon method attached.
Consider a coffee buyer sourcing from two districts. In the first, producer-group records identify the farms, while recent dry seasons have increased rejected green coffee lots. In the second, deliveries pass through several intermediaries and farm origins are unknown. Pilot shade management in the first district, with local agronomic advice and quality checks built into the plan. The buyer can trace purchases there and test the intervention against a defined sourcing problem.
Use a short decision memo to record why the selected corridor beats the alternatives, what remains uncertain, and what would stop the pilot. That memo is the first control against a project drifting toward whatever happens to photograph well.
Step 3: Design the supplier engagement and commercial model
The intervention needs an owner on each side of the contract. Decide who supplies planting material or training, who maintains the practice, who bears the cost if a harvest disappoints, and how long the buyer expects to purchase from participating suppliers. Where smallholders participate, budget cash flow and technical support for practices that offer a later return.
Put these terms in a supplier agreement or pilot addendum. It should cover eligible farms and volumes, consent to data collection, access for monitoring, any land or carbon rights that matter, benefit sharing, and what happens if the purchasing relationship ends. Ask local counsel and producer representatives to review the arrangement. The Accountability Framework is a useful reference for supply-chain work involving forests, ecosystems, and human rights.[3]
Avoid assigning an automatic carbon benefit to the buyer. The contract should say which party has the right to report each outcome, how overlapping claims will be checked, and how any issued credits will be handled. A reduction reported in a buyer’s inventory cannot simply be sold for someone else’s offset claim without an accounting review. SBTi FLAG guidance excludes purchased credits used as offsets from near-term FLAG target achievement.[2]
Set commercial measures beside environmental ones: delivered volume, rejection rate, supplier retention, and procurement cost. They tell you whether the program works as a supply-chain investment, even if carbon accounting takes longer to resolve.
Step 4: Build monitoring, reporting, and verification before rollout
Agree on the baseline and data flow before paying for a full rollout. Identify the land units or sourcing regions in scope, the practices that change, the records suppliers already keep, and the additional measurements the program requires. Decide which data can come from field visits, transaction records, or remote sensing, and who checks each source.
For carbon, separate three questions. Did the practice happen? Did emissions or removals change under an applicable method? Can the buyer attribute a defensible share to its purchased goods without double counting? The GHG Protocol’s 2026 guidance includes dedicated chapters on spatial boundaries, data and methods, evaluating actions, credited outcomes, and assurance.[1] These are distinct jobs. A photograph of a planted tree answers only part of the first.
CCC’s MRV and Additionality article explains the separate evidence questions a project reviewer will ask.
Create an evidence file for every reporting period: dated supplier and farm records, purchase volumes, methods and emission factors, uncertainty, quality checks, and changes from the baseline. Specify who can challenge the data and how corrections are recorded. If a project also seeks credit certification, keep project accounting and corporate inventory accounting separate. The GHG Protocol says its land standard focuses on entity-level inventories and does not set the rules for credit certification.[4]
Start with the minimum viable measurement design that can survive review. Add complexity when the pilot tells you which data actually changes a decision.
Step 5: Decide what can be reported and claimed
Insetting program design needs reporting rules before the marketing copy. Procurement, sustainability, finance, and legal should agree on four distinct outputs: operational performance; observed land or nature outcomes; inventory effects, if the accounting criteria are met; and any separately issued credits. One dashboard can display them, but they should not share a single unqualified headline.
SBTi FLAG guidance allows certain land-based removals within a company’s operations or supply chain to contribute to FLAG pathways, subject to criteria including permanence, traceability, data quality, and allocation. It does not allow purchased offsets to meet near-term FLAG targets.[2] Eligibility therefore depends on evidence and the applicable target rules, not on calling an activity “insetting.”
Draft a claims register. For each proposed sentence, record the period, boundary, data owner, calculation method, reviewer, and whether the result is measured, estimated, or still a goal. If the evidence supports only “we funded a pilot with 200 farms,” say that. Do not turn a funding fact into a verified emissions reduction.
What good looks like by year three
Treat year three as a review point, not a promised payback date. A mature pilot should have mapped participating supply volumes, a stable supplier agreement, a repeatable data collection process, and a comparison of commercial and environmental results against the baseline. It should also have a documented answer for outcomes that cannot be included in the buyer’s inventory.
Scale only where the pilot improves a sourcing decision and the evidence can follow the product. If neither condition holds, redesign the intervention or change the corridor. A disciplined program can conclude that a site is unsuitable. That is useful procurement intelligence.
Discuss your insetting program with CCC
Carbon Credit Capital designs nature-based supply chain investments around sourcing needs and measurable sustainability outcomes. Schedule a consultation with our carbon and sustainability experts to map your tier-one supplier network, FLAG exposure, and first pilot decision.
Sources
[1] GHG Protocol, Land Sector and Removals Standard, version 1.1, and companion Guidance, June 2026: https://ghgprotocol.org/land-sector-and-removals-standard ; https://ghgprotocol.org/land-sector-and-removals-guidance
[2] Science Based Targets initiative, Forest, Land and Agriculture Science-Based Target-Setting Guidance, version 1.2, March 2026, especially pp. 16–17, 37, and 41: https://sciencebasedtargets.org/resources/files/SBTiFLAGGuidance.pdf
[3] Accountability Framework initiative, Accountability Framework and guidance for companies: https://accountability-framework.org/
[4] GHG Protocol, Frequently Asked Questions: Land Sector and Removals Standard, questions 10 and 18: https://ghgprotocol.org/blog/frequently-asked-questions-land-sector-and-removals-lsr-standard
Nature-based carbon investments deserve consideration when they address a specific business dependency and produce outcomes you can measure. Imagine Moonbucks, a global coffee roaster planning next season’s espresso blend. It is considering natural Grade 4 coffee from Jimma, in southwestern Oromia, Ethiopia. Its sourcing decisions affect the roasting schedule and the cash tied up in coffee purchases. Moonbucks needs to understand which measures could protect that supply, what they would cost and how it would judge the results.
1. Define the sourcing problem before choosing a project
Moonbucks needs a dependable component for its espresso blend. Its procurement team wants continuity of volume and an agreed cup profile. Replacing a shipment at short notice could require new sample approval and changes to the blend, and given the schedules for cultivation, processing, and freight delivery, is practically impossible. Moonbucks needs to get this right, and its initial concern is inconsistent deliveries. It commissions an assessment of the supplying farms and post-harvest chain. The questions cover land condition, harvest availability and whether drying or storage problems are affecting saleable lots.
This distinction changes the investment brief. A tree-planting proposal cannot be assumed to fix drying problems. Better storage cannot restore eroded land. The team must establish which problem exists before selecting the response.
CCC’s guide to finding nature-based solutions in your supply chain explains where to look. Here, the next task is to turn a broad concern into a testable proposal.
2. Develop nature-based carbon investments around the actual supply chain
The assessment would trace Moonbucks’ purchases back through the exporter and supplying producer groups. Which farms supply the contracted lots? Who controls land-management decisions? How long does the buyer expect to maintain the purchasing relationship?
Furthermore, Jimma natural Grade 4 cannot be treated as interchangeable with every Ethiopian coffee. Moonbucks would need to test any substitute against its own blend and quality requirements.
Suppose Moonbucks’ assessment identifies an opportunity to maintain shade trees and restore vegetation along exposed streambanks. The IPCC describes agroforestry as a way to store carbon in vegetation and soil, with potential benefits for erosion control and water quality.1 Moonbucks would need local advice on species, growing conditions and maintenance before deciding how these measures fit its sourcing plan.
The proposal now has a defined sourcing connection and a candidate intervention. The next steps are to test its effect on production, assess carbon eligibility and build the financial case.
3. Compare the proposal with other ways to protect supply
WBCSD’s Nature-based Solutions Blueprint recommends comparing nature-based options with other responses across their benefits and costs.2 For Moonbucks, that means evaluating the landscape proposal alongside drying improvements, storage controls and alternative sourcing arrangements.
The product’s natural-process designation matters. Moonbucks should examine the drying and dry-milling chain alongside land conditions. Its team would check storage practices, contamination risks and incoming-lot quality to see whether problems arise before or after the coffee leaves the farms.
The revised proposal might combine land stewardship with separate post-harvest controls. Each component needs its own purpose and budget. A sustainability label should not obscure which activity is expected to solve which problem.
The project develops as the evidence improves. Its scope should follow the diagnosis rather than preserve the first idea unchanged.
4. Establish what the carbon outcome could count toward
Moonbucks’ sustainability team now tests the proposed carbon case separately from the sourcing case. Is the objective a measurable change in Moonbucks’ value-chain emissions, verified credits for separate voluntary use, or distinct outcomes under carefully defined arrangements?
Scope 3 covers value-chain emissions. A purchasing relationship alone does not prove that a farm intervention can be included in Moonbucks’ inventory. The team needs an applicable accounting method, defensible boundaries and evidence supporting attribution.
SBTi’s FLAG Guidance (forest, land and agriculture), version 1.2, says purchased credits used as offsets cannot meet near-term FLAG or energy and industry targets. Eligible land-based removals are subject to accounting requirements.3 Moonbucks needs to test its proposal against those rules before including an outcome in its targets.
For Moonbucks’ Jimma proposal, maintaining existing trees and establishing new vegetation could involve different carbon questions. Specialists must examine the baseline and additionality, meaning what changes because the project proceeds. They must also assess measurement and the risk that stored carbon is lost. CCC’s MRV and additionality article introduces those tests.
Until that work is complete, Moonbucks should not budget an assumed Scope 3 reduction or credit-sale receipt. Direct emissions reductions remain the priority.
5. Build a financial case that survives weaker assumptions
Moonbucks’ finance team would now build a multi-year budget. UNEP’s State of Finance for Nature 2023 compares current finance with the investment needed to meet climate, biodiversity and land-restoration goals.4 The company would cost its proposed activities, farmer participation and ongoing monitoring. Verification, where required, is a separate expense. Maintenance and responsibility for replacing failed plantings must remain visible after the initial establishment budget ends.
Operational benefits need equally careful treatment. If fewer rejected lots reduce emergency purchasing, count that saving once. Do not add “supply resilience” as another financial benefit when it represents the same avoided cost.
Moonbucks should compare a base case with slower benefits, higher implementation costs and no carbon revenue. It should also distinguish production outcomes from quality and shipment outcomes. A single good harvest would not prove that the landscape intervention caused better delivery performance.
A project can remain worth funding even when its carbon case needs more work. That decision must rest on the operational evidence and the company’s objectives, without unsupported environmental claims.
6. Fund a pilot with a clear expansion decision
Moonbucks’ first approval would fund a bounded pilot, rather than commit the entire sourcing program. Before spending, Moonbucks would agree on participating farms, responsibilities and the evidence needed at review.
Its scorecard could track farmer participation, implementation costs and plant survival, alongside accepted coffee volumes and lot-quality results. Carbon measurements would follow the selected method. Farm-level traceability must connect the intervention to the actual sourcing relationship.
Suppose Moonbucks’ review later finds that storage changes explain most quality improvements, while the land measures need longer observation. Those findings would shape the next decision: expand the proven component, adjust the landscape work or pause further spending. They would not justify crediting all improvements to tree planting.
This gives nature-based carbon investments a practical place in a multi-year strategy. Funding increases as the evidence supports it, and the project can change direction before a larger commitment.
Discuss a sourcing opportunity with CCC
Carbon Credit Capital’s nature-based supply-chain investment service uses its Dual-Value Model to examine supply-chain economics alongside potential sustainability outcomes.
Schedule a consultation to discuss your sourcing exposure and the questions to resolve before allocating capital.
Sources
- Intergovernmental Panel on Climate Change (IPCC), Climate Change 2022: Mitigation of Climate Change, Chapter 7, Agriculture, Forestry and Other Land Uses, section 7.4.3.3 (Agroforestry).
- World Business Council for Sustainable Development (WBCSD), Nature-based Solutions Blueprint, 5 June 2024.
- Science Based Targets initiative (SBTi), Forest, Land and Agriculture Science-Based Target-Setting Guidance, version 1.2, March 2026, section 3.1.4, pp. 37–38.
- United Nations Environment Programme (UNEP), State of Finance for Nature 2023, 2023.
A plastic credit funds the collection of plastic waste in places where no formal system exists to collect it. Each credit represents a measured, independently audited quantity of plastic taken out of the environment or returned to use, tracked on a public registry.
