How Cisco is Using Solar Energy Deal to Hedge Cost & Carbon

Technology giant Cisco has entered into a 15-year virtual power purchase agreement (VPPA) with R.Power for 470GWh of solar energy from four new projects in Poland. This long-term agreement will support Cisco’s operations in the country, including the planned expansion of its lab facilities in Krakow.

The deal marks the latest in a series of major investments in renewables across Central Europe, a region where solar capacity is growing at a rate arguably twice as fast as anywhere else in the EU. According to industry data, the Visegrad Group – Poland, Hungary, Slovakia and Czechia – saw solar output increase sixfold between 2019 and 2024.

Cisco’s VPPA has been facilitated by SR Inc’s Net Zero Consortium for Buyers and will support the development of solar farms at Wydartowo, Bieżyce, Ostrzeniewo III and Nowy Zagór III, which are targeting commercial operation in 2027.

The agreement represents purchaser-caused renewable energy capacity, meaning the projects are being directly enabled by Cisco’s long-term commitment rather than supporting existing infrastructure.

"We are proud to support the growth of renewable energy in Europe through this partnership," says Evan Scott Brown, Renewable Energy & Utilities Manager at Cisco.

"This agreement not only aligns with Cisco's commitment to powering a more resilient energy future, but also directly supports operational needs, including the expansion of our lab facilities in Krakow."

Corporate renewable procurement trends

The deal between Cisco and R.Power highlights the central role that technology companies continue to play in the development of renewable energy through long-term purchase agreements.

Virtual power purchase agreements have become an increasingly popular mechanism for companies in recent years, allowing them to support new renewable capacity while managing price risk, particularly in markets where direct procurement presents a challenge.

"Cisco's leadership reflects the growing role of global enterprises in catalysing regional renewable energy development," adds Jim Boyle, CEO of SR Inc, whose organisation helped to see the deal across the line. According to Jim, the involvement of major corporate buyers is essential for high-quality energy investments.

"This agreement showcases how corporate buyers can drive impact through diversified, high-quality clean-energy investments."

For Jim, this new partnership serves as evidence of how important procurement platforms can be in facilitating deals between corporate buyers and renewable developers.

Supporting regional energy transition

Poland’s electricity grid remains one of the most carbon-intensive in Europe, which makes corporate renewable commitments particularly significant for the country’s energy transition.

The four solar projects will contribute to increasing clean energy capacity in a market still heavily reliant on coal-fired generation.

"Partnering with Cisco reinforces R.Power's position as a leading multi-technology renewable energy producer in Central Europe," says Rafał Hajduk, Chief Commercial Officer at R.Power.

"Cisco's long-term commitment directly enables new solar capacity in Poland and supports the wider adoption of clean energy underway across the region."

Rafał emphasises that such deals can support broader clean energy adoption efforts across Central Europe, potentially accelerating the shift away from traditional power sources.

Developing renewable infrastructure assets

R.Power, based in Warsaw, has evolved from a Central & Eastern European renewable producer into a pan-European independent power producer, with 1.4GW of projects operational or under construction. Its pipeline includes over 10GW of grid-secured battery energy storage systems, both standalone and hybrid with solar PV, across Poland, Romania, Germany, Italy, Portugal and Spain.

R.Power’s equity investment partners include the European Bank for Reconstruction and Development and Three Seas Initiative Investment Fund, while debt finance has come from institutions including BNP Paribas and ING.

The company’s commercialisation strategy spans contracts for difference, capacity auctions and long-term offtake agreements with corporate buyers such as the one signed with Cisco.

This deal adds to R.Power’s corporate offtake portfolio as it continues to scale its multi-technology renewable platform across European markets.