TotalEnergies has signed a new 15-year renewable power purchase agreement (PPA) with building materials company Saint-Gobain to support its efforts to decarbonize 125 industrial sites in North America.
Under the 100 MW PPA, TotalEnergies will supply energy from its Danish Fields solar project in Texas, helping offset Saint-Gobain’s North American scope 2 CO2 emissions from electricity by 90,000 metric tons per year.
With a capacity of 720 MW, the project is expected to come online next year and will be the company’s largest utility-scale operated solar farm in the United States.
The contract includes an upside sharing mechanism under which the companies share any potential upside arising from increased market price over the contract term.
“TotalEnergies’ growing solar power generation portfolio in the U.S. provides concrete solutions enabling our industrial customers to decarbonize their electricity consumption,” says TotalEnergies’ Vincent Stoquart.
“With this agreement, Saint-Gobain North America will further reduce its CO2 emissions, demonstrating how fast the manufacturing industry can transform when long term solutions are at hand,” adds Mark Rayfield, CEO of Saint-Gobain North America. “This renewable energy project is a new milestone on the way to meeting Saint-Gobain’s commitment to reduce scope 1 and 2 CO2 emissions by 33% by 2030 – compared to 2017 – and to reach carbon neutrality by 2050.”
TotalEnergies has a portfolio of large-scale solar, storage, onsite B2B solar distributed generation, onshore and offshore wind projects that collectively will generate up to 10 GW of power by 2025 and more than 25 GW by 2030.