Nestlé in the U.S., in partnership with EDP Renewables (Euronext: EDPR), a global leader in the renewable energy sector and one of the world's largest wind energy producers, today announced a 15-year power purchase agreement that will provide approximately 80 percent of the electricity load for five Nestlé facilities in southeastern Pennsylvania. The agreement is a major step forward for Nestlé’s ambition to procure 100 percent of its electricity from renewable sources.
EDP Renewables’ Meadow Lake VI wind farm will generate and deliver 50 megawatts of electricity through the PJM Interconnection grid to manufacturing facilities and distribution centers operated by Nestlé Purina PetCare, Nestlé USA and Nestlé Waters North America in Allentown and Mechanicsburg, Pennsylvania. Because the wind farm and the recipient facilities are located on the same regional grid, the power purchase agreement provides traceability from the Pennsylvania facilities back to the wind farm. With the addition of the energy from the wind farm, 20 percent of the electricity Nestlé uses in the U.S. will come from renewable sources in 2019.
This power purchase agreement is in line with Nestlé’s support and advocacy for state policies to ensure companies have access to renewable energy. This renewable energy project will help Nestlé cut energy costs, avoid the volatility of fossil fuel prices, and stay competitive.
“Our partnership with EDP Renewables propels us forward in our ambition to create zero environmental impact by 2030, and is another example of our business transformation journey,” said Kevin Petrie, Chief Supply Chain Officer at Nestlé USA. “This power purchase agreement perfectly illustrates our creating shared value strategy—that we create value for our business through contributing to a healthier future for the planet.”
Through this power purchase agreement, EDPR will expand the capacity of its Meadow Lake VI wind farm in Benton County, Indiana. The expansion will add 50 MW, enough to power approximately 17,700 homes for one year, to the existing 150 MW EDPR has already secured for the project. Additionally, the wind farm will bring a number of economic benefits to the state of Indiana in the form of jobs, landowner and tax payments, and money spent in local communities. Construction on the expansion project will begin in the next two months, and the facility will be fully operational at the end of 2018. With the completion of the wind farm, the six-phase Meadow Lake project will total 800 MW.
”This power purchase agreement enables EDP Renewables to further expand our presence in Indiana, the state in which we are the leading producer of wind energy,” said João Manso Neto, CEO of EDP Renewables. “EDP Renewables is proud to partner with Nestlé to help in achieving its forward-looking goal of obtaining all of its energy from renewable sources.”
Nestlé Commitment to Environmental Sustainability
Providing climate change leadership is just one of many societal commitments against which Nestlé transparently reports its progress every year. Reducing greenhouse gas emissions by becoming more efficient and switching to cleaner fuels, including renewable energy, is a core focus area for the company. By 2020, Nestlé aims to reduce its global GHG emissions (Scope 1 and 2) per tonne of product in every product category to achieve an overall global reduction of 35% in its manufacturing operations versus a 2010 baseline.
Nestlé has made significant progress towards its environmental sustainability goals in the U.S., as reported in its 2016 Nestlé in the U.S. Creating Shared Value Report:
- 47 Nestlé factories—60% of its total in the U.S.—achieved zero waste to landfill status
- Reduced waste for disposal by 74% per metric ton of product since 2010
- Decreased total water withdrawal by across operations by 11% per metric ton of product since 2010
For more information on this project, hear from our Chief Supply Chain Officer on Nestlé’s U.S. renewable energy investments.
About Nestlé in the U.S.
Nestlé in the United States is committed to enhancing quality of life and contributing to a healthier future—for individuals and families, for our thriving and resilient communities, and for the planet. Our diverse portfolio of foods and beverages provides nutritious options for every member of the family, and supports both the first 1000 days of life and healthy aging for people and pets.
Nestlé in the U.S. consists of eight main businesses: Nestlé USA, Nestlé Waters North America, Nestlé Nutrition, Nestlé Professional, Nespresso, Nestlé Health Science, Nestlé Skin Health and Nestlé Purina PetCare Company. Together, these companies operate in more than 120 locations in 47 states and employ 50,000 people. In the U.S., Nestlé product sales topped $27 billion in 2016, making it the largest Nestlé market in the world.
Nestlé has been recognized as a member of the MIT Technology Review's "Smartest Companies," the top food company on Fortune's "Change the World" List, and the top food company on the Dow Jones Sustainability Index.
About EDP Renewables North America
EDP Renewables North America LLC (“EDPR NA”) and its subsidiaries develop, construct, own, and operate wind farms and solar parks throughout North America. Headquartered in Houston, Texas, with 45 wind farms, five solar parks, and 13 regional and development offices across North America, EDPR NA has developed more than 6,200 megawatts (MW) and operates more than 5,600 MW of renewable energy projects. EDPR NA is owned by EDP Renováveis, S.A. (EDPR).
About EDP Renewables (EDPR)
EDP Renewables (Euronext: EDPR) is a global leader in the renewable energy sector and the world’s fourth-largest wind energy producer. With a sound development pipeline, first class assets and market-leading operating capacity, EDPR has undergone exceptional development in recent years and is currently present in 12 markets (Belgium, Brazil, Canada, France, Italy, Mexico, Poland, Portugal, Romania, Spain, the UK and the US). Energias de Portugal, S.A. (“EDP”), the principal shareholder of EDPR, is a global energy company and a leader in value creation, innovation and sustainability. EDP has featured on the Dow Jones Sustainability Index for ten consecutive years.
For further information, please visit www.edpr.com.
Corporate Communications Team Lead
Head of Corporate Communication & Stakeholders Management
EDP Renewables North America