Covestro Achieves Major Sustainability Milestone in the U.S.
Four Covestro U.S. Sites Transition to Renewable Energy
Covestro, a leading provider of advanced polymer materials, has made a significant leap toward sustainability. Recently, four of its U.S. establishments have successfully transitioned to running entirely on renewable electricity.
Details of the Renewable Energy Agreement
This transformation is made possible through a virtual Power Purchase Agreement (vPPA) with Ørsted, a recognized leader in renewable energy. Through this partnership, Covestro has secured 90 MW of renewable energy capacity, contributing to a reduction of approximately 90,000 tons of CO2 emissions each year.
Highlights of the Achievement
The four locations achieving net-zero Scope 2 electricity emissions include sites in Channelview, South Deerfield, New Martinsville, and Pittsburgh. Among these, South Deerfield, New Martinsville, and Pittsburgh have fully attained net-zero emissions, while the remaining renewable credits have been allocated to the Baytown facility.
Commitment to Climate-Neutral Production
"Despite the ongoing challenges in the market, our commitment to climate-neutral production by 2035 remains firm," said Thorsten Dreier, CTO of Covestro. The company is not only committed to reducing its carbon footprint but also aims to foster a sustainable future for the industry, aligning closely with circular economy principles.
The Impact of Ørsted Partnership
Samir Hifri, chairman of Covestro LLC, emphasized the importance of collaboration in driving significant changes within the chemical sector. The arrangement with Ørsted exemplifies how innovation can lead to transformative practices that are both effective and sustainable.
Investments in U.S. Operations
This recent achievement follows Covestro's substantial investments across various U.S. sites, showcasing its dedication to growth and sustainability in North America. The company has allocated low triple-digit million euros to enhance its operations and support the renewable energy transition.
About Covestro
Covestro is a prominent name in the manufacture of high-quality polymer materials. Their products contribute to improved sustainability across several industries, from mobility to electronics. With a focus on the circular economy, the company is on a clear path to achieving climate neutrality for its Scope 1 and Scope 2 emissions by 2035, with plans for Scope 3 emissions to follow by 2050.
In the last fiscal year, Covestro generated significant revenue, totaling around EUR 14.4 billion. Employing approximately 17,500 individuals worldwide, the company operates 48 production sites, demonstrating its vast global reach.
Frequently Asked Questions
What are the key benefits of Covestro's renewable energy transition?
The transition allows Covestro to reduce its CO2 emissions significantly, supporting their climate-neutral production goals and promoting sustainable practices in the industry.
What is a virtual Power Purchase Agreement?
A virtual Power Purchase Agreement (vPPA) is a financial contract between a buyer and a seller of renewable energy that helps companies like Covestro secure stable energy prices while promoting renewable energy production.
How does this initiative align with Covestro's long-term goals?
This initiative is part of Covestro's overarching strategy to achieve climate neutrality by 2035 while embracing circular economic principles, enhancing sustainability throughout their operations.
Who leads the renewable energy partnership?
Ørsted, an established leader in renewable energy, partners with Covestro to facilitate the supply of renewable energy and support their sustainability efforts.
What sectors benefit from Covestro's high-quality polymer materials?
Covestro supplies materials to various industries, including mobility, construction, electronics, sports, leisure, and healthcare, demonstrating their extensive market reach and commitment to innovation.
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