Ford Signs Record Breaking Renewable Energy Deal
Clean energy covering 100% of Michigan vehicle manufacturing
Automotive giant Ford and Detroit-based energy provider DTE Energy announced today an agreement to add 650 MW of solar Energy in Michigan for Ford by 2025.
The deal marks the largest-ever renewable energy purchase from a U.S. utility, and will result in a 70% increase in installed solar in the state.
The agreement follows the launch by Ford last year of a series of sustainability goals, including 2035 commitments to reduce Scope 1 and 2 emissions from operations 76% from 2017, and Scope 3 GHGs from use of the company’s products by 50%, adding to the company’s existing goals to reach carbon neutrality by 2050, and to use 100% locally sourced renewable energy for all its manufacturing plants globally by 2035.
Today’s announcement will significantly support the company’s climate goals, with the deal enabling Ford to attribute its entire electricity supply in Michigan to 100% clean energy – 10 years ahead of its global ambition – and its purchase of carbon-free electricity avoiding as much as 600,000 tons of CO2 emissions.
Jim Farley, President and CEO, Ford Motor Company, said:
“This unprecedented agreement is all about a greener and brighter future for Ford and for Michigan. Today is an example of what it looks like to lead… to turn talk into action.”
Under the new agreement, Ford will purchase carbon-free electricity through DTE’s voluntary renewable energy program, MIGreenPower. DTE is the largest producer of renewable energy in Michigan. The company stated that it aims to add thousands of megawatts of new clean energy projects to support the program.
Jerry Norcia, Chairman and CEO of DTE Energy, said:
“Ford was the first large industrial customer to enroll in our MIGreenPower program in 2019 and we thank Ford for its continued commitment to using MIGreenPower to help decarbonize its operations and meet its sustainability goals.”