Universal Corp secures green power under VPPA with Clearway

US agri-products supplier Universal Corporation (NYSE:UVV) has signed a power offtake agreement to procure about 70,000 MWh per year from a large-scale solar facility to be built by Clearway Energy Group in Texas.

The parties have entered into a long-term virtual power purchase agreement (VPPA) which is expected to come into force in 2026. The power offtake deal covers a portion of the output of the facility, the constriction of which is set to start later this year.

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With the deal, Universal addresses emissions from 100% of its annual purchased electricity demand in the US, the company noted in a press release.

“This is a meaningful step towards meeting our science-based environmental target to reduce operational greenhouse gases emissions by 30 percent by 2030. When the solar project is operational, we expect to hit this target for our US operations ahead of schedule,” Universal's CEO George Freeman III said.

Also this week it was announced that Clearway had signed a Renewable Energy Credit (REC) purchase contract with Swedish bearings manufacturing SKF AB related to a 452-MW solar park in Texas’ Kent County.