USA – LyondellBasell has signed two power purchase agreements (PPA) in the US, which will bring the company’s total renewable electricity power to 1,366 megawatts (MW) — accounting for 89% of its goal to procure at least 50% of its electricity from renewable sources by 2030.
USA – LyondellBasell has recently inked two power purchase agreements (PPA) in the United States, propelling the company’s renewable electricity capacity to an impressive 1,366 megawatts (MW), constituting a noteworthy 89% of its objective to secure a minimum of 50% of its electricity from renewable sources by the year 2030.
In the context of a 15-year CPPA, TotalEnergies is slated to provide LyondellBasell with 125MWac of green electricity hailing from the Brazoria solar farm in south-west Houston.
LyondellBasell estimates that this agreement will yield around 300,000 megawatt-hours (MWh) of solar power annually, a quantity equivalent to the annual electricity consumption of over 28,000 American households.
The operational commencement of this project is anticipated by the conclusion of 2025, marking the company’s second PPA collaboration with TotalEnergies.
The initial agreement for 150MWac from the Cottonwood Bayou plant was sealed in 2022, with a commercial launch planned for the end of 2024.
Industrial Sun agreement
Simultaneously, LyondellBasell has entered into a long-term PPA with Industrial Sun, securing 50 MW of renewable electricity from Industrial Sun’s Industrial Bravo solar project in Matagorda County, Texas.
This energy will be supplied to the LyondellBasell Matagorda Complex, a facility dedicated to the production of high-density PE resins used in the manufacturing of diverse consumer products. Operations at this solar project are projected to commence in the first half of 2026.
Chris Cain, Senior Vice President of LyondellBasell Net Zero Transition Strategy, emphasized the strategic significance of these agreements in their pursuit of reducing scope 1 and 2 greenhouse gas emissions.
He stated, “These agreements with TotalEnergies help us accelerate the development of clean energy and shift to use low-carbon energy at our sites.”
LyondellBasell aims to secure a minimum of 50% of its electricity from renewable sources by 2030, building upon 2020 procurement levels.
Notably, about 15% of the company’s 2020 baseline scope 1 and 2 greenhouse gas emissions originate from its electricity consumption.
The integration of renewable electricity is deemed a crucial element in its trajectory towards achieving net zero scope 1 and 2 emissions by 2050.
Vincent Stoquart, Senior Vice President of Renewables at TotalEnergies, highlighted the strategic alignment of the new PPA with their merchant exposure strategy, contributing to the profitable growth of their Integrated Power business.
Wade Gungoll, CEO of Industrial Sun, expressed enthusiasm about the collaboration with LyondellBasell, emphasizing how their solar solution would concurrently reduce the carbon footprint and operating expenses of LyondellBasell’s Matagorda Complex, fostering long-term prosperity for the facility, supporting job creation in Matagorda County, and offering a win-win scenario for the customer, community, and the energy grid.
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