McDonald's to cut supply chain emissions with Enel's help

The North American arm of Italian utility group Enel SpA (BIT:ENEL) has clinched deals to supply the US logistic operations of McDonald's Corporation (NYSE:MCD) with power from a 189-MW solar park in Texas.

The virtual power purchase agreements (VPPAs) were signed with the five members of the restaurant chain's North American Logistics Council, namely Armada, Earp Distribution, Martin Brower, Mile Hi Foods and The Anderson-DuBose Company. The contracts entitle them to receive power and related renewable energy certificates (RECs), Enel North America said on Thursday.

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The deals are tied to the Blue Jay solar project in Texas’ Grimes County, which is slated to go online in 2023 and will be coupled with an 88.2-MWh battery storage facility.

The solar farm will be supplying an average of 470 GWh of electricity annually to McDonald's and its suppliers, enabling the electricity load of McDonald's USA's entire logistics supply chain for all US restaurants to be 100% supported by renewables.

"Adding Blue Jay solar to our US renewable energy portfolio is one of the many important steps in our journey to achieving our net zero aspirations," said Bob Stewart, SVP and Chief Supply Chain Officer North America at McDonald's.

The combined procurement exercise was facilitated by Coho Climate Advisors.