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Headwind and Progress: How De Paauw is Making Plastic Recycling More Sustainable with a Solar CPPA
The plastic recycling sector is under pressure. Low prices for virgin materials, international imports, and postponed demand are squeezing margins. Precisely for that reason, De Paauw Sustainable Resources (DPSR) is accelerating its sustainability efforts. Not by installing its own solar panels, which is not possible at its current locations, but through a Corporate Power Purchase Agreement (CPPA) that significantly increases the share of renewable electricity and visibly reduces the environmental footprint of its products.
“Our product is already very green, but it can be even greener,” says CFO Jeroen Orriëns. “We want to show that you can keep moving forward, even in headwind.”
De Paauw is a Dutch recycler fully focused on plastics. The company combines trading in plastic fractions with its own production facilities in Hengelo and Enschede and supplies European processors that depend on reliable, high-quality recycled feedstock. De Paauw has LyondellBasell (LYB) as a shareholder. LYB strongly supports the sustainability program and sees it as a model for the rest of its portfolio when scaled further.
The past few years have been turbulent for recyclers. Cheap virgin granulate has driven prices down, while demand and regulation have not grown at the same pace everywhere. De Paauw chooses not to sugarcoat that reality but also not to be ruled by it. The company’s focus remains on investing in product development, reliability, quality, and reduced impact so that customers can continue advancing toward their own sustainability and compliance goals.
At its current sites, installing solar panels is not (yet) possible. That is exactly why De Paauw sought alternatives that are both scalable and verifiable. The company chose a Corporate Power Purchase Agreement (CPPA): a long-term contract for purchasing renewable electricity directly from producers.
“We take a practical view: what can we do now? We cannot install solar panels, so we are greening our electricity with a CPPA, and we will not stop at 25 percent,” says Jeroen Orriëns.
Ecorus developed and built the solar rooftop in Assen, where the renewable electricity is generated, and played a key role in shaping the entire agreement. Thanks to the long-term certainty provided by the CPPA, Ecorus was able to finance and construct the PV project, while De Paauw is assured of a stable supply of renewable electricity.
“I meet many industrial energy users, and almost all of them have the desire to transition to solar power. But often, their locations lack suitable rooftops for their own panels. So I was not surprised that De Paauw chose to decarbonize through a solar CPPA. What really impressed me was their clear intent and strong motivation to involve their customers and suppliers in their sustainability journey and their CPPA. They are already addressing their Scope 3 emissions,” says Mike Dusseldorp, Head of PPA & Energy Markets at Ecorus.
Scholt Energy is the energy supplier that ensures the delivery, balancing, and operational control of the green power. For a production company, that reliability is essential. Machines must run and orders must be fulfilled. The collaboration ensures that De Paauw enjoys the benefits of the CPPA within its familiar energy supply framework.
For buyers of recycled material, proof matters. The CPPA translates into improved LCA profiles for De Paauw’s products. This supports customers in their Scope 3 reporting, tenders, and future-proof procurement strategies. It is no longer just about the amount of recycled content, but also about how the material is produced. Specifically, the indirect emissions from electricity use (Scope 2) during production decrease, which lowers the CO₂ per ton of recycled granulate.
This CPPA is only the first step. The ambition extends much further: toward 50 percent green electricity consumption, and ultimately 100 percent, depending on market developments, grid capacity, and new collaborations. That includes scaling up with additional solar CPPAs and, once possible, integrating on-site renewable solutions.
“We do not only want to be better today, but to become better every year. Continuous improvement is what recycling is all about,” says Jeroen Orriëns.
Sustainability is alive within De Paauw. Employees take pride in knowing that their work directly contributes to lowering environmental impact. Instead of merely discussing the sector’s challenges, De Paauw tells a human story—of operators, quality specialists, and logistics teams who make a difference every day. The company wants to share that pride more broadly, as an invitation to the rest of the value chain to join in.
For customers, proof is key. Lower Scope 1, 2, and 3 emissions, improved LCAs, and supply reliability make recycled material more future-ready. Through solar CPPAs from Ecorus projects and power delivered via Scholt Energy, De Paauw is choosing a path that works today and can scale tomorrow. The sector does not have to stall in headwind; it can set course for measurable progress.
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