MOSCOW (MRC) -- PPG announced a 1.5 megawatt (MW) agreement with Constellation that will help PPG purchase clean, renewable energy equivalent to the annual electricity use of its Adrian, Mich., automotive adhesives and sealants manufacturing facility beginning in 2024, said the company.
Through a 12-year agreement, PPG will receive energy and project-specific renewable energy certificates (RECs) from Swift Current Energy’s Double Black Diamond Solar Energy Project. This deal is made possible by a long-term agreement between Constellation and the project developer and long-term owner, Swift Current Energy, under which Constellation will purchase a portion of the energy and RECs generated by Double Black Diamond. Construction of the solar project is expected to start by the end of 2022.
PPG’s Adrian facility manufactures adhesives and sealants for automotive original equipment manufacturers (OEM) and has more than 65 employees. The facility will procure approximately 3,500 megawatt hours of energy per year from the Double Black Diamond solar project, which is expected to help PPG reduce its carbon footprint by more than 2,400 metric tons annually. This is the equivalent emissions of more than 530 gasoline-powered passenger vehicles driven for one year, according to EPA greenhouse gas equivalencies.
“We recognize the pivotal moment we are facing for climate change and how much work there is to be done to reduce our collective carbon impact,” said Diane Kappas, PPG vice president, Global Sustainability. “Our collaboration with Constellation and Swift Current Energy will allow us to continue making progress against our near-term decarbonization goals and enable us to operate our Adrian facility in a more energy efficient manner. We look forward to identifying additional renewable energy opportunities globally to meet our greenhouse gas emission reduction targets."
“Constellation is proud to complete its second offsite renewable agreement with PPG in as many years, and we commend PPG on taking proactive steps to reduce its carbon footprint,” said Jim McHugh, chief commercial officer, Constellation. “As our customers’ carbon free energy needs evolve, we are committed to providing them with what they need now and into the future. That is why our suite of sustainable power options will soon include an hourly carbon-free solution, to help our customers reach their zero emissions goals 24 hours a day, 7 days a week and 365 days a year."
PPG recently announced the startup of a high-efficiency power-generation facility at its Automotive OEM manufacturing site in Quattordio, Italy. The company also made a commitment to the Science Based Target initiative (SBTi) to create new reduction targets for greenhouse gas emissions that define a pathway to reduce the impacts of climate change.
We remind, PPG will invest USD11 million to double the production capacity of its powder coatings plant in San Juan del Rio, Mexico. The expansion project is expected to be completed by mid-2023 and will allow the plant to meet the expected future demand for powder coatings in Mexico.
PPG is a leading supplier of powder coatings to the automotive, transportation, appliance, furniture and other markets. The company expanded the business with its 2020 acquisition of Alpha Coating Technologies, which manufactures powder coatings for light industrial applications and heat-sensitive substrates, and its 2021 acquisition of Worwag, which makes liquid, powder and film coatings for industrial and automotive applications. PPG recently agreed to acquire the powder coatings business of Arsonsisi, including a manufacturing plant in Verbania, Italy.