Kimberly-Clark, Energy Partners Sign PPA for One of Cape Town's Largest Rooftop Solar Systems
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Insights
The signing of a Power Purchase Agreement (PPA) between Kimberly-Clark and Energy Partners for the installation of a 2.2MW rooftop solar photovoltaic system represents a strategic move in the energy procurement sector. The decision to harness renewable energy at one of its key manufacturing sites aligns with global trends towards sustainable operations. This initiative not only reduces the company's dependency on traditional energy sources but also mitigates the volatility of energy prices.
The projected annual energy production of 3,478 MWh and the subsequent CO2 emissions reduction of over 3,130 tonnes per year is a significant environmental milestone. From an energy market perspective, this contributes to the diversification of energy sources and enhances the stability of the local grid by reducing peak demand pressures. Moreover, the long-term nature of the PPA provides a hedge against future energy price fluctuations, which can result in more predictable operating costs for Kimberly-Clark.
Kimberly-Clark's commitment to reducing its environmental footprint through the installation of a large-scale solar PV system is a tangible demonstration of corporate responsibility in the face of global climate change. The move towards renewable energy sources is not only environmentally beneficial but also aligns with consumer expectations for more sustainable products. The company's goal to reduce total emissions by 50% by 2030 is ambitious and places it at the forefront of industry efforts to combat climate change.
Furthermore, the reduction in CO2 emissions is equivalent to the energy consumption of 1,030 median residential homes in South Africa, which showcases the potential of corporate renewable initiatives to make a substantial impact on national carbon footprints. The collaboration with Energy Partners also indicates a growing trend of public-private partnerships in achieving sustainability goals, which can serve as a model for other corporations.
The financial implications of Kimberly-Clark's investment in renewable energy through the PPA with Energy Partners are multifaceted. Initially, the capital expenditure for the solar PV system installation may impact the company's short-term financials. However, the long-term savings on energy costs and the potential for government incentives for renewable energy use could lead to significant financial benefits over time.
The investment in green technology may also enhance the company's brand value and corporate image, potentially leading to increased consumer loyalty and market share. Investors and stakeholders are increasingly looking at environmental, social and governance (ESG) factors when making investment decisions and Kimberly-Clark's initiative could positively influence its ESG ratings. This, in turn, could impact the company's stock market performance as ESG-driven investing continues to gain traction.
Epping manufacturing facility will be home to new 2.2MW system
NORTHAMPTON, MA / ACCESSWIRE / March 1, 2024 / Kimberly-Clark and integrated energy solutions company, Energy Partners (EP), have signed a long-term Power Purchase Agreement (PPA) to install one of the largest rooftop solar photovoltaic (PV) systems in Cape Town, South Africa.
According to the terms of the agreement, EP will install a 2.2MW rooftop system at Kimberly Clark's Epping manufacturing site of well-known brands Huggies® and Kotex®.
Once the project is completed, the rooftop system at Epping facility will allow an annual energy production of 3,478 MWh per year which will save over 3,130 tonnes of CO2 emissions each year[1], equivalent to powering 1,030 median residential homes in the country every year[2]
Collaboration
Charl du Plessis, General Manager of EP Power, confirms that the design of the system was developed in close collaboration with Kimberly-Clark's local and international engineers and project managers to ensure compliance with regulatory and design specifications.
"The new rooftop solar photovoltaic (PV) systems will enhance Kimberly-Clark's capacity to manage electricity consumption, whilst also enabling them to substantially increase their renewables penetration. This is especially exciting to us, and we are proud to be part of the Kimberly-Clark journey to meeting their 2030 sustainability goals," says du Plessis.
Steven Hayes, General Manager of Kimberly-Clark Sub-Saharan Africa says, "We are committed to reducing our environmental footprint and this project will contribute toward helping us meet our 2030 goal to reduce total emissions by
[1] Emission Factor in 2023 from IEA and in SOFI = 0.9 kg/kwh
Contact Info:
Spokesperson: Kimberly-Clark Corporation
Website: https://www.3blmedia.com/profiles/kimberly-clark-corporation
Email: info@3blmedia.com
SOURCE: Kimberly-Clark Corporation
View the original press release on accesswire.com
FAQ
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Who confirmed the collaboration between Energy Partners and Kimberly-Clark for the rooftop solar PV system installation?
