BASF to offtake 250 MW of renewable power in US

German chemicals giant BASF SE (ETR:BAS) has struck contracts for the off-take of wind and solar power from 250 MW of total capacity in the US, it announced on Wednesday.

The company has entered into virtual power purchase agreements (VPPAs) to secure the supply for more than 20 manufacturing sites in several states across the country, from Texas to Michigan. In all, BASF will buy over 660,000 MWh of electricity per year, which, based on EPA estimates, will offset more than 472,500 metric tonnes of carbon dioxide (CO2) emissions annually.

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BASF will purchase 100 MW from Dawn Solar and an additional 150 MW through transactions with EDF Energy Services, it said.

“These agreements help us reach our clean energy goals in areas where the local electric utility does not supply adequate renewable power,” said Tobias Dratt, president of BASF North America.

BASF’s goal is to cut its greenhouse gas emissions by 25% this decade compared with 2018 levels and ultimately achieve net-zero emissions by 2050. The latest VPPAs will raise the company’s renewable power share in North America above 25%.