PPG signs RECs agreement with Direct Energy
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PPG signs RECs agreement with Direct Energy

Tramandai wind farm, Rio Grande do Sul, Brazil on May 14, 2016. Late afternoon light.

PPG has entered an agreement with NRG Energy’s brand Direct Energy that will sell renewable energy certificates (RECs) generated by the Crockett County wind facility to four of PPG paints and coatings manufacturing facilities and 62 PPG PAINTS stores in Texas.

This 5-year agreement, comprised of 126,000MWh and spanning across the Gainesville, Temple, Dallas and Grand Prairie manufacturing sites in addition to the Texas paint retail locations, is aligned with the company’s carbon emission reduction initiative. The US Environmental Protection Agency’s (EPA) greenhouse gas (GHG) equivalencies calculator has estimated the initiative to reduce PPG’s total GHG emissions by more than 9,4000 metric tons a year.

PPG vice president of global sustainability Diane Kappas said: “PPG has a strong history of focusing on energy efficiency and renewable energy sourcing, which has resulted in a 17% reduction in absolute GHG emissions since 2017 – but we know we must strive for more. As a result, we are continuing to make significant strides toward our renewable energy strategy and furthering our climate mitigation impact across our value chain.”

PPG set year 2030 science-based targets with a 2019 baseline year. These goals included a 50% reduction in scope 1 and 2 GHG emissions topping a 30% reduction in scope 3 GHG emissions. The figures were recently validated by the Science Based Targets initiative (SBTi).

"With validated science-based targets, we plan to invest additional resources to support an ambitious and consistent reduction in emissions from our own operations (scope 1 and 2)," said Mike Corcoran, PPG global manager of operational sustainability. "This includes planning to devote additional funding to renewable energy sources and identifying cleaner energy solutions."

Scott Hart, head of sales at NRG business said of the deal: “We are pleased to connect with PPG to help them achieve a more sustainable future through our renewable energy services.”

Recently, PPG announced a PPA with energy firm Constellation for the Adrian, Michigan facility, expected to help PPG with an annual carbon footprint reduction of 2,400 metric tons. As part of an agreement with constellation, PPG’s Carrollton, Texas facility is powered by the 200MW Big Star Solar Project.

PPG is a Pennsylvania-headquartered fortune 500 company and international supplier of paints, coatings, and other specialty materials.

NRG Energy is a US power company serving 7.3 million customers. The company recently sold its 44% stake in the South Texas Electric Generating Station, a 2,654MW dual-unit nuclear plant, to Constellation Energy in a $1.75 billion deal. (IJGlobal, 6/23). In addition to Direct Energy, NRG’s subsidiaries include Reliant Energy, Stream Energy, and Green Mountain Energy.

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