Colgate-Palmolive has signed a 20-year virtual power purchase agreement (VPPA) for a solar energy project outside of Waco, Texas. With start-up anticipated in 2025, the 209-megawatt (MW) Markum Solar Farm is expected to produce the equivalent of 100% of the company’s U.S.-based operational electricity needs.
This news follows the company’s announcement in 2022, when it shared that it was the first large multinational company in the “consumer durables, household, and personal products sector” to have its net-zero carbon targets approved by The Science Based Targets initiative (SBTi).
“Colgate is committed to making progress toward our ambitious net-zero goals, and we are pursuing this important priority through innovative and diverse ways that are proven and measurable,” said Chief Sustainability Officer Ann Tracy. “Renewable energy agreements are a valuable part of our renewable energy master plan and will help us achieve our targets of net-zero carbon emissions by 2040 and 100% renewable electricity across our global operations by 2030.”
The new solar farm is being developed by Scout Clean Energy, a portfolio company of Brookfield Asset Management. 3Degrees advised Colgate on the VPPA.
Colgate said it has been working to address climate change and disclose greenhouse gas emissions data for over 20 years. As part of its 2025 Sustainability & Social Impact Strategy, the company continues to construct on-site solar projects for operations globally and, in 2022, completed four new on-site solar installations at Colgate facilities in Turkey, South Africa, Argentina, and Brazil, bringing the total number of locations with on-site solar to 17.
As of the end 2022, approximately 52% of Colgate’s global electricity consumption was sourced from renewable energy.