Nuon's wind farm is based in south-west Wales in the UK and will provide roughly 14.3 gigawatt hours per year of power to Tarmac. The deal will operate from October and is only the second PPA to occur in the UK.

Rob Turner, senior manager for direct material sourcing at Tarmac, says the agreement will help reduce the risks associated with energy costs. "Through a PPA, Tarmac can guarantee a supply of renewable energy at a discounted or fixed rate and thereby benefit from a cost reduction as well