Global Corporations Pledge to Increase Renewable Energy Purchases, Launch European Partnership

A group of the world's largest companies, including Alcoa, The Dow Chemical Company, DuPont, FedEx Kinko's, General Motors, IBM, Interface, Johnson & Johnson, NatureWorks LLC, Pitney Bowes, Staples, and Starbucks, have collectively purchased 185 new megawatts (MW) of renewable energy, bringing their total to 360 MW, which is the equivalent size of a coal-fired power plant. This partnership is part of the Green Power Market Development Group, a commercial and industrial partnership dedicated to building corporate markets for green power. The group aims to purchase 1000 MW of new, cost-competitive green power in the United States by 2005. At a United Nations' climate change meeting, the World Resources Institute (WRI) announced the launch of a similar corporate renewable energy purchasing partnership in Europe, called the Green Power Market Development Group Europe.

Key Takeaways:

• The Green Power Market Development Group consists of 12 companies, including Alcoa, General Motors, and IBM, which have collectively purchased 185 new MW of renewable energy, bringing their total to 360 MW.
• Seven of these companies now purchase at least 10% of their annual U.S. electricity consumption from renewables.
• Johnson & Johnson is the largest corporate buyer of green power products in the United States, and General Motors and DuPont are the nation's two largest corporate users of landfill gas for thermal energy.
• The partnership aims to purchase 1000 MW of new, cost-competitive green power in the United States by 2005.
• The Green Power Market Development Group Europe was launched at a United Nations' climate change meeting, with the participation of four European companies, including British Telecom, Holcim, IKEA, and Tetra Pak.
• The partnership will explore opportunities to install renewable energy generation systems, such as solar, wind, and biomass, at their facilities in Europe and to purchase green electricity from their utilities.

Statistics:

• 185 new MW of renewable energy purchased by the Green Power Market Development Group.
• 360 MW total renewable energy under contract by the Green Power Market Development Group.
• 1000 MW goal for new, cost-competitive green power purchases in the United States by 2005.
• 10% of annual U.S. electricity consumption from renewables purchased by 7 of the Green Power Market Development Group's member companies.
• 42 MW new capacity installed by Alcoa at its Tapoco hydroelectric facility in eastern Tennessee.
• 150 million kWh per year of wind RECs purchased by Starbucks Coffee Company.
• 96 million kWh per year of wind RECs purchased by IBM.

Sources:

• World Resources Institute (WRI)
• Green Power Market Development Group
• United Nations' climate change meetings
• The Climate Group
• World Resources Institute (www.wri.org)
• Green Power Market Development Group (www.thegreenpowergroup.org)