Industrial facility signs PPA for onsite solar energy - Smart Energy Decisions

Demand Management, Energy Efficiency, Industrial, Distributed Generation, Finance, Industrial, Solar, Sourcing Renewables  -  February 8, 2017

Sun Chemical turns to onsite solar to save $400k

Sun Chemical, one of the world's largest producers of printing inks and pigments, has turned to renewable energy to save an estimated $400,000 in electricity costs at one of its production facilities in New Jersey. 

Through a 20-year power purchase agreement, Sun Chemical will utilize energy from onsite rooftop and carport photovoltaic arrays to generate about 30% of the facility's total electricity needs, according to a Feb. 8 news release.

"At Sun Chemical, we've challenged ourselves to look for ways we can improve our processes at individual sites by monitoring key metrics to understand and manage our environmental impact," Sun Chemical Corporate Vice President of environmental affairs Gary Andrzejewski said in a statement. "Our decision to build PV arrays at our Carlstadt facility is the latest example of how our own facility managers have been challenging themselves with regard to eco-efficiency."

Through the PPA, which was structured and brokered by Schneider Electric, Onyx Renewables will design, install, own and operate the arrays and sell the associated electricity to Sun Chemical. Andrzejewski credited Schneider Electric for their help on the project and its work in helping the New Jersey-based company, which also produces pressroom materials, develop its progressive approach to energy management that he said is making Sun Chemical a more sustainable and profitable business. 

The project came about in response to Sun Chemical's sustainability policy, which requires a data-driven approach to identify targets for efficiency and environmental improvements, according to the project announcement from Schneider Electric. Looking for options to trim consumption costs at its Carlstadt, N.J., facility, the company took that model to Schneider Electric, who completed a comprehensive bid analysis for an onsite PPA, helped negotiate the contract and assisted in securing credit support.

Engineering at the Carlstadt site is underway, and construction is expected to be complete by fall 2017.

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