Enel Green Power North America is to supply dairy company HP Hood with 25MW of electricity from the Azure Sky wind farm in the US state of Texas, under a 12-year virtual power purchase agreement (VPPA).
Hood will purchase 90 gigawatt-hours each year, marking its first renewable energy VPPA.
The VPPA will cover about 33% of the electricity used across all 13 of Hood’s owned manufacturing facilities.
Hood was advised on the selection and negotiation process by Schneider Electric.
The Azure Sky wind and storage project includes a 350MW wind farm paired with approximately 137MW of battery storage and is expected to be operational in the first-half of 2022.
In addition to Hood, Enel Green Power will also sell the electricity produced by a portion of the Azure Sky Wind project to Kellogg Company, MilliporeSigma, Akamai Technologies, Synopsys and Uber.
Enel Green Power US and Canada head Georgios Papadimitriou said: “The partnership with Hood demonstrates how industry leading businesses are putting sustainability directly into the hands of consumers.
“Increasingly companies like Hood are turning to renewable energy as an immediate and cost-effective way to help achieve their sustainability goals, creating value for their business and customers alike.”
Hood president and chief financial officer Gary Kaneb said: “At Hood, sustainability means evolving and developing our business for the long-term.
“This VPPA is an important investment in our future and a significant step in reducing our climate impact.
“We believe sustainability strengthens relationships and consumer trust, and we are committed to the environmental actions to help us achieve that vision.”