BASF has entered into virtual power purchasing agreements (VPPAs) for wind and sun power, totalling 250 MW to power its facilities across the United States. They are designed to offset the carbon-intensive grid-supplied electricity being used at more than 20 of BASF’s manufacturing sites in several states across the country, from Texas to Michigan.
BASF has partnered with several partners to drive sustainable energy sector change. Dawn Solar will supply 100 MW of power to the chemical company. Through transactions with EDF Energy Services, 150 MW more renewable energy capacity can be added.
“Renewable energy is an essential tool to reach BASF’s ambitious goal of net zero emissions by 2050,” says Michael Heinz, member of the board of executive directors for BASF SE and BASF Corp.’s chairman and CEO. “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.”
The purchase of 660,000 MWh annually of electricity will be possible thanks to the combined agreements covering 250 MW of the renewable generation capacity. With these agreements in place, the share of renewable energy in BASF’s total North American electricity consumption will rise to more than 25%.
“These agreements help us reach our clean energy goals in areas where the local electric utility does not supply adequate renewable power,” mentions Tobias Dratt, president of 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.”
Last year, a collaboration with EDF Energy Services added 35 MW of wind capacity to the energy mix for BASF’s manufacturing sites in Freeport and Pasadena, Texas. In another joint project with EDF Renewables, BASF’s property in Toms River became home to New Jersey’s largest solar project and the largest solar project built on a Superfund site in the United States.
BASF plans to reduce greenhouse gas emissions by 25% by 2030 compared to 2018, and reach net-zero emissions in 2050.