Gap Signs Renewable Energy Agreement With Enel Green Power

Global apparel retailer, Gap Inc., has signed a 12-year, 90 MW, virtual power purchase agreement (VPPA) for the Aurora Wind Project with Enel Green Power, marking one of the largest offsite renewable energy contracts by an apparel retailer. The company also announced it has set a goal to reach 100 percent renewable energy across its owned and operated facilities across the globe by 2030.
Gap Signs Renewable Energy Agreement With Enel Green Power
Courtesy of NREL

Gap Inc. operates more than 3,300 stores worldwide, however the vast majority of its distributed store fleet are leased sites located in buildings and malls owned by landlords, limiting the company’s ability to implement onsite renewable energy assets. The agreement with Enel Green Power allows Gap Inc. to meet its renewable energy goal by aggregating its distributed electricity load in the US and purchasing wind energy equivalent to the energy needs of over 1,500 retail stores in its global real estate portfolio.

The wind electricity output purchased by Gap Inc. from the 90 MW portion of Enel’s 299 MW Aurora project is expected to total approximately 374 GWh each year. It will reduce GHG emissions equivalent to the carbon reduction of removing an estimated 60,000 passenger cars from the road annually.

Gap Inc. was advised on this VPPA by Schneider Electric Energy & Sustainability Services, who assisted the company in its project selection and negotiations.

Enel Green Power will build, own, and operate the Aurora Wind Project located in Williams and Mountrail counties in North Dakota. Once completed, the total project will be able to generate approximately 1.3 TWh annually, while avoiding the emissions of around 880,000 tons of CO2 per year. The project is expected to enter operation by the end of 2020.

 “With partnerships like this one, which create immediate returns while furthering emission reduction strategies, Enel Green Power once again reaffirms the strong bond between sustainability and value creation,” said Antonio Cammisecra, Global Head of Enel Green Power

This announcement is the third renewable energy contract signed by Gap Inc. Earlier this year, the company joined with Bloomberg, Cox Enterprises, Salesforce and Workday to sign a joint 42.5-MW renewable energy deal, with Gap Inc.’s share of the project addressing the energy footprint of all Athleta stores and operations. Previously, Gap Inc. signed a 20-year power purchase agreement with SunPower for 3 MW of onsite solar at its distribution center in Fresno, California.


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