September 13 (Renewables Now) - Mexican cement producer Grupo Cementos de Chihuahua SAB de CV (BMV:GCC) will supply its Odessa, Texas, cement factory entirely with electricity from renewable energy sources.
The company said on Thursday it has signed a 10-year power purchase agreement (PPA) with an unnamed energy provider in the US to buy wind and solar power for the facility that will cover the site’s entire electricity consumption. The move will help Grupo Cementos save around 45,000 tonnes of carbon dioxide (CO2) emissions per year, based on estimates by the US Environmental Protection Agency.
The fixed-price offtake deal, further details about which were not provided, will come into effect in July 2022. It will bring Grupo Cementos some USD 4.6 million (EUR 4.2m) in total savings during the contracted period, resulting from a 22% reduction of the current electricity prices for the Odessa plant, the company said.
(USD 1.0 = EUR 0.902)