AVANGRID's Commitment to a Clean Energy Future: Reducing Carbon Footprint and Expanding Renewable Capacity

Strategic Insights -

AVANGRID, a leading clean energy company, is at the forefront of the nation's transformation in addressing climate change. With a strong commitment to reducing its carbon intensity rate by investing in wind and solar generation technologies, AVANGRID aims to keep its level well below the industry average. The company's two primary lines of business, Avangrid Networks and Avangrid Renewables, are driving this initiative forward. Avangrid Networks owns eight electric and natural gas utilities, serving 3.25 million customers in New York and New England, while Avangrid Renewables is the third-largest wind operator in the U.S., owning 7.7 GW of wind and solar generation capacity across 22 states.

Key Takeaways:

  • AVANGRID has pledged to reduce its carbon dioxide (CO2) emissions from electric generation by 25% by 2020 compared to 2015, and to achieve carbon neutrality by 2035.
  • The company has updated its emissions reduction goals, committing to decrease GHG emissions intensity from owned or controlled sources by 35% by 2025, and to achieve carbon neutrality from owned or controlled sources by 2035.
  • Avangrid Networks is investing $1.6 billion in 2020, with a focus on building the grid of the future through electric and gas distribution, hardening the system, enabling customers to adopt distributed energy solutions, and supporting local economic development.
  • Avangrid Renewables has grown its renewables capacity in 2019, commissioning 831 MW of wind projects, and plans to substantially expand its utility-scale solar portfolio, with at least 734 MWdc planned to enter service by 2022.
  • The company has implemented various programs to reduce CO2 emissions, including energy efficiency programs, demand response, electric peak reduction, and a new wind program, which supported enough clean, renewable wind energy to offset the equivalent of 29,838 metric tons of CO2 in 2019.

Statistics:

  • AVANGRID invested $1.6 billion in 2019, completing several projects, including two new substations and $225 million in system automation and technology upgrades.
  • Avangrid Networks has invested nearly $6.4 billion in building safe, stable, and secure electric networks over the last five years.
  • In 2019, Avangrid's gas system upgrades resulted in the replacement of over 100 miles of old, leak-prone pipes with modern plastics and other materials.
  • Avangrid Renewables plans to invest over $8 billion between 2021 and 2025, with $3 billion in offshore wind projects and around $1 billion per year in onshore wind and solar.
  • The company's offshore wind projects, including Vineyard Wind and Park City Wind, will provide over 2.6 GW of clean energy to the U.S. power grid.

Sources:

  • AVANGRID: WORKING TOGETHER FOR A CLEAN ENERGY FUTURE (New York State Department of Public Service, 2020)
  • 2016 Sustainability Report: "Delivering Energy in a Sustainable Manner" (AVANGRID, 2017)
  • Global Clean 200 list (Global Reporting Initiative, 2020)
  • FTSE4Good Index Series (FTSE, 2020)
  • Carbon Disclosure Project (CDP, 2020)