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Welcome to the latest issue of Customer Renewables Monthly
from David Gardiner and Associates!
Customer Renewables Monthly 
June 2021 Renewable Energy Policy and Market Action Alert

Large commercial and institutional buyers are changing the energy landscape as we know it. In the last five years, Fortune 500 companies and other large institutions, such as the military, cities, and universities, have transformed electricity markets by ramping up their purchases of renewable energy.

David Gardiner and Associates (DGA) publishes this newsletter to identify and analyze the policy and market trends that define this historic change.
To all our monthly readers, 
 
We continue to track developments in the renewable energy industry and provide our readers with updates on pertinent state and market news. This month, we focus on two recent reports outlining the latest climate commitments of Fortune 500 companies and recapping the growth of the renewable energy industry over the last year. DGA released a study looking at various city and utility climate and clean energy commitments, notably comparing Miami to other major cities throughout the Southeast.
 
Our team hopes that this monthly review continues to be a useful resource.

Until next month,
Will Sherman
WWF Releases Power Forward 4.0 Report on Transition to a Net-Zero Economy

At the beginning of the month the World Wildlife Fund (WWF) released the latest edition of their Power Forward report series, Power Forward 4.0. In this year’s publication, WWF analyzed the Fortune 500’s climate commitments, and highlighted the growth, trends, and gaps to achieving a net-zero economy that have developed over the past two years since the third edition of the report. Some of WWF’s key findings from the report include:
  • 60% of Fortune 500 companies (2020) have set a climate or energy-related commitment, up from 48% in 2017.
  • 17% of Fortune 500 companies possess net-zero or carbon-neutral commitments.
  • Ninety-four companies have set goals to buy or invest in renewable energy.
  • Only 1 in 5 Fortune 500 companies have set or committed to science-based targets.
  • GHG emission reduction targets are the most popular form of action, with 54% of Fortune 500 companies committing to reduce their direct, purchased energy, and/or value-chain emissions.
Power Forward 4.0 emphasizes the fact that gaps in corporate climate action remain despite significant advancements that have occurred in the past two years. The limitations of voluntary corporate climate action are demonstrated by the fact that 40% of the Fortune 500 companies, including many large emitters, lack any climate commitment to begin with. In their report, WWF provided the following recommendations to achieve a net-zero world by 2050:
  • Establishment of economy-wide policies that create incentive for corporate action.
  • Implementation of sector-based approaches to reduce emissions from electricity, transportation, buildings, manufacturing, and land use change.
  • Endorsement of the new U.S. goal of reducing emissions by 50%-52% by 2030
  • Application of science-based targets aligned with a 1.5ºC decarbonization pathway and validated by the Science Based Targets initiative.
S&P 2021 Corporate Renewables Outlook

A few weeks ago, S&P Global released their 2021 Corporate Renewables Outlook Report, covering growth of the renewable energy industry over the past year. This study found that 2020 was the most active year for the corporate renewables sector, with 20,000 MW of corporate wind and solar capacity being added to the market. Corporate PPAs in wind and solar have acted as a motivation for companies worldwide to focus on transitioning to 100% renewable energy due to their ability to generate thousands of megawatt hours in a single contract. Wind PPAs emerged as the preferred technology, with these agreements making up over 82% of new corporate renewable capacity in the U.S. S&P Global Market Intelligence found that some of the most notably active companies that signed renewable PPAs in 2020 include Amazon, Facebook, McDonald’s Corporation, and PepsiCo, who all added between 1,100 and 6,000 MW of renewable energy in 2020.
What we're reading:

TCS targets new zero emissions by 2030 — Business Wire

Burberry to be climate positive by 2040 — Burberry Corporate Website

DS Smith announces commitment to science-based target for 2030 and net zero emissions by 2050 — Business Wire

Oracle Targets 100% RE for Operations and Cloud Systems — Smart Energy Decisions

SBTI-approval of Volvo Group’s industry-leading climate targets — PR Newswire

Anheuser-Busch celebrates early achievement of 2025 renewable electricity sustainability goal — Global Newswire News Room

IKEA Foundation launches $1B project to bring RE to emerging economies — Smart Energy Decisions

Colgate-Palmolive’s sustainability & social impact report: Delivering a healthier, more sustainable future — Business Wire

Smithfield Foods expands sustainability program in new report, builds on industry-leading carbon reduction efforts and underscores commitment to worker health and safety and diversity, equity and inclusion — PR Newswire

UMC pledges net zero emissions by 2050 — Business Wire

Facebook reaches net-zero goal — Smart Energy Decisions

Rolls-Royce launches pathway to power net zero economy — Rolls Royce Press Room

O9 Solutions commits to science-based targets pledge — Business Wire

Equinix sets 2030 global climate-neutral target — PR Newswire
STATE POLICY AND MARKET NEWS 
_______________________

DGA Releases Miami Carbon Competitiveness Report

Earlier this month, DGA published its Miami Carbon Competitiveness report, which analyzes how the sources of electric power in the Miami area may affect the city’s competitive position for attracting new businesses. The report found that corporations are not only increasingly looking to procure renewable and low- or zero-carbon electricity, but they are also stepping up their efforts to focus investment and new facilities in areas that offer those electricity resources.
 
Analysis of Florida Power and Light’s resource planning and greenhouse gas reduction commitment, as well as the corresponding integrated resource plans for the utilities serving the Miami area’s competitor cities, shows the Miami-area grid generation mix and associated carbon emissions are falling short of its competitor cities in two key areas: fewer greenhouse gas reductions and less carbon free energy. The report recommends the Miami area commit to more ambitious carbon reductions and increase its planned renewable and zero carbon energy capacity to attract new business investment.

SEIA Publishes 2021 Q2 Solar Market Insight

On June 15, the Solar Energy Industry Association (SEIA) and Wood Mackenzie released the U.S. Solar Market Insight Q2 2021 report showing the major trends in the U.S. solar industry to date. Key highlights include:
  • In Q1 2021, the U.S. solar market installed just over 5 gigawatts (GW) of solar capacity, a 46% increase over the first quarter in 2020 and the largest Q1 on record.
  • Cumulative solar capacity in the U.S. has officially surpassed 100 GW, doubling the size of the industry over the last 3.5 years.
  • Solar accounted for 58% of all new electricity-generating capacity added in the U.S. in Q1 2021.
  • Texas led all states with over 1.5 GW of new solar capacity in Q1, three times more than any other state. Indiana, Virginia, Michigan, and Iowa were among the top 10 solar states this past quarter.
Click here to read the Q2 2021 Executive Summary.

South Carolina Regulators Approve Revamped Dominion Energy IRP
 
This month the South Carolina Public Service Commission accepted Dominion Energy’s revised 2020 Integrated Resource Plan (IRP) after rejecting the previous version in December. The new preferred plan calls for Dominion to shutter its coal-fired power plants in the state within the decade ­– shutting down two by 2028 and shifting the third to natural gas-fired by 2030. Dominion also plans to ramp up its solar capacity, adding 100 MW by 2028 and an additional 300 MW by 2032. Dominion would further bolster its solar power lineup from 2030 to 2048, potentially adding as much as 2,000 MW by mid-century, compared to the 973 MW of utility-scale solar power that Dominion currently has under contract.
 
State Lawmakers Pass Bill That Aims to Get Oregon to 100% Clean Energy by 2040
 
On June 26, the Oregon state Senate passed HB 2021, known familiarly as the 100% Clean Energy for All bill, which calls for the state to target 100% emissions-free power by 2040. The bill includes interim carbon targets, requiring retail electricity providers – notably Portland General Electric and Pacific Power – to reduce greenhouse gas emissions associated with electricity sold to Oregon consumers to 80% by 2030 and 90% by 2035. HB 2021 heads to Governor Kate Brown’s desk, who is expected to sign it into law.
ICYMI
 
On June 22, 2021, the Renewable Thermal Collaborative (RTC) — the leading global coalition to accelerate the use of renewable thermal solutions — was announced as the winner of Lever for Change’s 2030 Climate Challenge. The RTC will deploy the Challenge’s $10 million prize to scale the use of renewable thermal energy in the United States’ industrial sector by 150% this decade, slashing U.S. industrial thermal emissions by 30% and creating a pathway to full decarbonization by mid-century that supports a just transition.
 
To learn more about the RTC and how you can get involved, visit their website here.
EVENTS

October 13-15 Climate Leadership Conference 

The Climate Leadership Conference, hosted annually by Center for Climate and Energy Solutions and The Climate Registry, is the premier event for addressing climate change through policy, innovation, and business solutions. In its 10th year, the conference will be taking place in New Orleans, LA, from October 13-15, 2021. To learn more about the event, visit here.

September 29-30 Renewable Thermal Collaborative Summit 

After the success of their 2020 inaugural summit, the Renewable Thermal Collaborative (RTC) is happy to announce that they will be holding their second annual event this fall. More information about the program will be available soon. To learn more about the RTC, visit here.
PROFILES OF CUSTOMERS CHANGING THE ENERGY LANDSCAPE

On June 9th, Tyson Foods Inc. announced that they will achieve net-zero greenhouse gas emissions across their global operations and supply chain by 2050, expanding the company’s current target of achieving a 30% greenhouse gas emissions reduction by 2030. Tyson plans to meet this goal by making a transition to only purchase livestock feed from lands specifically engaged in environmental stewardship practices by 2025, and by operating on 50% renewable energy by 2030. Other measures include reducing the practice of deforestation across their supply chains and further investing in grazing land for sustainable beef production. Tyson is the first meatpacker in the U.S. to set greenhouse gas reduction targets that have been approved by the Science Based Targets Initiative.
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