Danfoss North America
From left, Rodney Mumm, head of Danfoss Global Services in North America; Soren Revsbech Dam, head of ESG, Global Services Real Estate; and Leart Berisa, category manager, Global Services.

Danfoss to Power All North America Facilities with Solar Energy by 2025

May 9, 2023
Aiming to decarbonize operations by 2030, manufacturer has signed a purchase agreement to start buying 75 MW of solar power from a solar farm in Texas in 2025.

PRESS RELEASE 

Baltimore MD, May 2, 2023 – With an eye toward global decarbonization goals, Danfoss North America recently signed a power purchase agreement with CIG Capital, a U.S.-based project financing firm, to purchase about 75 MW of solar power from a solar farm in Texas, starting in 2025.

The initial agreement term is 12 years, allowing Danfoss to fully replace its annual electricity usage in North America with green energy through at least 2037.

The new agreement will provide Danfoss with green certificates, signifying that they are supplying the North American electrical grid with the full amount of green electricity needed to power all 24 factories and 36 locations in North America, and will reduce Danfoss’ carbon footprint in the region by 75%.

CIG Capital will be building the 6-sq-mi. farm in the panhandle region of Texas. Groundbreaking is scheduled for November of 2023, with the farm becoming fully operational by the spring of 2025. The solar farm capacity is projected to be 509 MW of solar power, of which Danfoss will utilize 15%.

The next focus for Danfoss in its decarbonization journey will be on reducing and reusing energy across its North America locations, employing various Danfoss technologies, such as oil-free, variable-speed compressors and other heating and cooling solutions that support heat recovery and energy efficiency.

As part of the Science-Based Targets initiative (SBTi), Danfoss is committed to become carbon neutral in its global operations (scope 1 & 2) by 2030 and says it will reduce its value chain emissions (scope 3) with 15% by 2030. This commitment is included in the targets of Danfoss’ three step-change initiatives on Decarbonization, Circularity, and Diversity, Equity & Inclusion.

Already Danfoss has seen progress in decoupling environmental impact from business growth by delivering 7% decrease in scope 1 and 2 emissions while growing 15% organically in 2022.

Additionally, the 250,000 sqm Danfoss headquarters campus site in Denmark became carbon neutral in 2022. Carbon neutral­ity was achieved through energy saving pro­jects, utilization of excess heat from processes and data centers, sourcing of green energy, and offsetting residual emissions.

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For further information, please contact:

Lisa Tryson, Director, Corporate Communications and PR, [email protected].

About Danfoss:

Danfoss engineers solutions that increase machine productivity, reduce emissions, lower energy consumption, and enable electrification. Our solutions are used in such areas as refrigeration, air conditioning, heating, power conversion, motor control, industrial machinery, automotive, marine, and off- and on-highway equipment. We also provide solutions for renewable energy, such as solar and wind power, as well as district-energy infrastructure for cities. Our innovative engineering dates back to 1933. Danfoss is family-owned, employing more than 40,000 people, serving customers in more than 100 countries through a global footprint of 97 factories.

www.danfoss.com