In 2019, we signed a 12-year, 70 megawatt (MW) virtual power purchase agreement (VPPA) with Enel Green Power North America to purchase renewable energy beginning in 2021. Representing about half of Clorox’s 100% renewable electricity goal for operations in the U.S. and Canada, this agreement helped us achieve that goal in 2021, four years earlier than our original plan. We are committed to maintaining this goal.
The 70MW VPPA is a commitment to purchase renewable energy delivered to the electricity grid from Enel’s Roadrunner solar project in Texas. Roadrunner is a 497 megawatt (MW) solar project capable of generating approximately 1.1 terawatt-hours (TWh) of electricity annually while avoiding an estimated 800,000 metric tons of carbon dioxide emissions per year.
This VPPA allowed us to scale our use of renewable energy, which we invested in at two of our facilities. In fiscal year 2017, we installed solar panels at our Fairfield, California plant and at our regional distribution center in Aberdeen, Maryland. Both solar panel arrays were built with a third-party provider as power purchase agreements, or PPAs. That means we didn’t spend company money to build these projects, and the facilities buy the power produced from the third party instead of from the utility. While both arrays generate renewable energy, we do not claim the use of renewable energy or include the clean energy attributes of the Aberdeen RDC in the calculation of our GHG emissions because the third party retains the renewable energy credit rights in the PPA.
Our Progress: Year-Over-Year Reduction of GHG Emissions (2018–2019)
Since closing out our 2020 goal period in 2018, we continue to report our annual energy use and conduct third-party independent assurance of this metric. We will continue to pursue energy efficiency opportunities with the goal of achieving or exceeding our 2018 baseline levels. In 2019 we achieved an 8% absolute and 6% intensity (per case of product sold) reduction in energy use relative to 2018. This represents a year-over-year energy savings of 56,000 megawatt-hours.