Chemical firm BASF has signed virtual power purchase agreements (VPPAs) with Dawn Solar and EDF Energy Services for wind and solar power totalling 250 MW to offset carbon-intensive grid-supplied electricity used at over 20 of its manufacturing sites in the U.S.
A total of 100 MW of power will be purchased from Dawn Solar and another 150 MW will be sourced from EDF Energy Services.
The agreements for 250 MW of renewable generation capacity will result in buying more than 660,000 MWH of electricity annually, which will be equivalent to electricity consumed by over 90,000 average U.S. households. The VPPAs will offset over 472,500 metric tons of CO2 emissions annually.
“These agreements help us reach our clean energy goals in areas where the local electric utility does not supply adequate renewable power,” said Tobias Dratt, President, BASF North America. “At the same time, our financial commitment enables the realization of large solar and wind power projects and adds clean energy to the grid.”
Virtual power purchase agreements don't directly link the renewable energy produced to the manufacturing site. Instead, the contracts helped invest in adding wind and solar into the electricity mix overall.
More of the role of VPPAs in the C&I Energy Transition
Kraft Heinz signs virtual Wind Power PPA with Berkshire Hathaway Energy
Brunswick Corp. contracts virtual PPA for 500-MW Vester Solar Project
Subscribe to our free, tri-weekly newsletter
“Renewable energy is an essential tool to reach BASF’s ambitious goal of net zero emissions by 2050,” said Michael Heinz, Member of the Board of Executive Directors, BASF SE and Chairman and CEO of BASF Corporation. “We are committed to further improving our energy footprint in the region and we are eager to drive the energy transition for chemical manufacturing in North America.”
BASF Corp. is the North American affiliate of German-based BASF SE. The global company is the biggest chemicals producer in the world and produces materials for the plastics, agricultural, industrial, nutrition and materials industries.
