Global sustainability leader Graphic Packaging Holding Company has signed a VPPA with NextEra Energy Resources, LLC, which will help it achieve its goal of reducing greenhouse gas (GHG) emissions. In accordance with this VPPA, NextEra Energy Resources will construct a solar energy generation facility having a capacity of 250 megawatts in West Texas.
The agreement for North America follows the momentum gained through the development of a virtual power purchase agreement (VPPA) by Graphic Packaging in Spain, which will comprise three solar plants capable of meeting 70 percent of the energy needs of Graphic Packaging in Europe. The use of renewable energy is one of the main factors in Graphic Packaging’s sustainability initiative called “Better, Every Day.”
The Selenite Springs Energy Center is in the Electric Reliability Council of Texas (ERCOT) market and is expected to start doing business at the end of 2027. Graphic Packaging will be the only company that buys the facility’s renewable energy attribute certificates. These certificates are expected to cover about 43% of the company’s electricity use in the U.S. and Canada in 2025.
As Graphic Packaging’s largest VPPA to date, the Selenite Springs project in Texas is a strategic component in achieving the Company’s science-based target to reduce global Scope 1 and 2 GHG emissions 50.4% by 2032. It is expected to increase the Company’s total global purchased renewable electricity to approximately 49% and reduce global Scope 1 and 2 GHG emissions by about 20% from the 2021 baseline.
“Our partnership with NextEra Energy Resources will advance our path toward net zero greenhouse gas emissions and a renewable future,” said Michelle Fitzpatrick, chief sustainability officer at Graphic Packaging. “By sourcing renewable electricity for nearly half of our global electricity needs, we are better positioned to support our customers – the world’s leading consumer brands – in making progress toward their sustainability goals.”
The Selenite Springs Energy Center will add new, American-made energy to the ERCOT grid, helping to meet rising electricity demand across Texas while supporting grid reliability and cost efficiency.
“We’re proud to work with Graphic Packaging to help meet their energy goals and bring new energy infrastructure online in Texas,” said Mike DeBock, vice president of origination for NextEra Energy Resources.
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