Diageo Taps Rondo Energy to Provide Zero-Carbon Heat for Alcoholic Beverage Production Facilities

March 26, 2024
This will support the electrification of the company's production sites in Kentucky and Illinois, known for manufacturing brands such as Johnnie Walker, Guinness, Baileys, and Smirnoff

Diageo North America, an alcoholic beverage company known for manufacturing brands such as Johnnie Walker, Guinness, Baileys, and Smirnoff, has been selected to receive up to $75 million in funding from the Department of Energy. 

This funding will support the electrification of the company's production sites in Shelbyville, Kentucky, and Plainfield, Illinois, with the goal of making both facilities carbon-neutral by 2026 and 2028, respectively. 

To achieve this, Diageo will partner with Rondo Energy to install Rondo Heat Batteries at the production sites. The Rondo Heat Batteries capture and store renewable energy to deliver continuous heat and power that addresses intermittency concerns. This will ultimately provide low-cost, zero-carbon heat and power while eliminating the sites' reliance on natural gas for boilers used in the heating process. 

"Today’s announcement from the Department of Energy marks a milestone for our North American operations and gives us the opportunity to incorporate innovative technologies into our production footprint to make our business more efficient, resilient, and sustainable,” said Marsha McIntosh-Hamilton, President of North America Supply at Diageo North America. “Through our partnership with Rondo Energy, we’ll build a model that can be replicated across our supply operations in the U.S.”

Traditional production methods in the beverage industry - including distilling, bottling, cleaning, pasteurization, and HVAC systems - require large thermal loads, which are typically dependent on natural gas. Diageo's project will replace natural gas use and eliminate nearly 17,000 metric tons of direct greenhouse gas emissions annually across both facilities - the equivalent of removing more than 4,000 gas-powered cars from the road for a year. 

“Rondo is excited to be working with Diageo to power their production operations and cut their costs,” said Rondo Energy CEO John O’Donnell. "The Rondo Heat Battery opens new opportunities for simpler cost reductions and deeper integration with renewable energy sources, and we’re honored Diageo has chosen us to help them achieve their 100% renewable energy goal.” 

About the Author

Breanna Sandridge, Senior Editor

Breanna Sandridge is senior editor for EnergyTech and Microgrid Knowledge, both part of the energy group at Endeavor Business Media.

Prior to that, Breanna was managing editor for Machinery Lubrication and Reliable Plant magazines, both part of Noria Corp. She has two years experience covering the industrial sector.

She also is a 2021 graduate of Northeastern State University (Oklahoma) with a Bachelor's in English. 

Image credit ID 174242889 © Polly In | Dreamstime.com
dreamstime_plastic
Image credit ID 319002872 | Energy © Svetlana Diacenco | Dreamstime.com
carbon_capture_dreamstime
Image credit By Thank You (21 Millions+) views - https://www.flickr.com/photos/prayitnophotography/51150535590/, CC BY 2.0, Wikimedia Commons
sofi_stadium