USA – Tate & Lyle PLC, a global leader in food and beverage ingredient solutions, has announced a significant move to enhance its climate efforts by signing a long-term Power Purchase Agreement (PPA) with Enel North America, a clean energy company.
This agreement, set to begin in October, will provide approximately 256,000 megawatt hours (MWh) of renewable electricity annually from the Ranchland wind farm in Texas.
The 12-year deal is expected to cover all of Tate & Lyle’s electricity needs for its North American manufacturing operations, except for its facility in McIntosh, Alabama, which already has a separate renewable energy agreement with its utility provider.
Once the PPA comes into effect, 100% of the purchased electricity for Tate & Lyle’s North American plants will be sourced from renewable energy.
This is projected to reduce the company’s global Scope 2 greenhouse gas (GHG) emissions by over 80% and cut its Scope 1 and 2 emissions by more than 25%, compared to its 2019 baseline.
The initiative is part of Tate & Lyle’s wider sustainability strategy, which aims to reduce energy consumption, increase the use of renewable energy, and promote sustainable agricultural practices.
The company’s climate goals are aligned with the 1.5°C global warming limit and have been approved by the Science Based Targets initiative.
This latest agreement follows a separate deal signed by Tate & Lyle with Alabama Power to source renewable energy for its sucralose production facility in McIntosh.
Through that agreement, Tate & Lyle will receive renewable energy certificates (RECs) and electricity via Alabama Power’s REC program.
Tate & Lyle has set a target to power all its global operations with renewable electricity by 2030.
Sign up to receive our email newsletters with the latest news updates and insights from Africa and the World HERE