McDonald’s and the members of its North American Logistics Council announced that they have signed virtual power purchase agreements (VPPA) sufficient to cover 100% of the restaurant giant’s U.S. logistics supply chain’s electricity load with renewable electricity.
The deals, signed with Enel North America, will provide McDonald’s and its partners with renewable energy and the associated renewable energy certificates (RECs) totaling 189 MW from Enel’s Blue Jay solar project in Texas.
McDonald’s and its suppliers anticipate purchasing more than 470,000 MWh of renewable energy annually from the deal, equivalent to avoiding over 170,000 metric tons of carbon emissions, or 80 million trucking miles of greenhouse gas emissions, per year.
The agreements follow McDonald’s announced commitments last year to achieve net zero emissions across its global operations by 2050, and to increase its 2030 emissions reduction targets across all scopes, including its goal to reduce the emissions intensity of its supply chain by 31%. Scope 3, or value chain emissions, account for nearly 99% of McDonald’s GHG footprint.
Bob Stewart, SVP and Chief Supply Chain Officer, North America, at McDonald’s, said:
“This deal is a unique example of how McDonald’s and its logistics partners are combining efforts to leverage their reach and scale to tackle supply chain emissions together. We are excited about our collective potential to help address climate change and drive continuous improvement.”
Based in Grimes County, Texas, Enel’s Blue Jay solar project will feature over 658,000 solar panels situated across 2,700 acres, combining a 270 MWdc solar photovoltaic and a 59 MWdc battery storage system. The project is expected to be fully operational in 2023.
Paolo Romanacci, head of Enel Green Power, said:
“This innovative deal demonstrates how Enel is helping major companies take a hands-on approach in helping their partners decarbonize their operations. We’re honored to be part of such a monumental deal and look forward to helping McDonald’s and its suppliers achieve their supply chain emission reduction goals through this tailored solution.”