General Motors (GM) has signed a power purchase agreement (PPA) with Enel Green Power to purchase 34 MW of wind energy from a soon-to-be-constructed wind farm located in the Mexican state of Oaxaca.
According to GM, the PPA not only provides nearly 75% of the electricity needed to power its Toluca, Mexico-based production facility but allows the company to achieve its corporate goal of renewable energy use four years early.
When complete, more than 12% of GM's North American energy consumption will come from renewable energy sources, up from the current 9%. The PPA marks GM's first foray with wind procurement. The company's current renewable energy use – solar, landfill gas and waste-to-energy – totals 104 MW against a goal of 125 MW by 2020. The use of clean energy reduces greenhouse-gas emissions and GM's impact on climate change.
Construction of the wind farm will begin in the second quarter with project completion slated for 2016.
GM notes that the remaining output from the wind farm will help power its Silao, San Luis Potosi and Ramos Arizpe complexes.