Energy Procurement, Industrial, Power Prices, Industrial, Sourcing Renewables - March 21, 2017
Meat producer inks energy management deal
Dallas-based Standard Meat Company has entered into a new agreement for an energy management solution that includes onsite generation and renewable energy credits.
The meat producer, processor and seller expects to better manage its electricity costs and quantity risk through the agreement with ENGIE Resources, will offset 10% of its total electricity consumption with Green-e certified RECS. Standard Meat Company's solution also includes energy services from DaCott Energy Services and Enchanted Rock Ltd., according to a March 21 joint news release from the companies.
In a statement, Standard Meat Company CFO Jim McCoy said the agreement allows the company to buy competitively priced power while maintaining the critical onsite generation capabilities needed to maintain the company's inventory in the event of a sudden disruption in supply.
"[The parties involved in the agreement] have given us the flexibility we need to pursue the energy strategy that makes the most sense for our company, allowing us to focus on our core business strategy of offering our customers a continuous, uninterrupted supply of the best-crafted meat products," McCoy said.
Green-e certified RECs represents the environmental attributes or benefits associated with a specific quantity of energy generated from a renewable source, such as solar or wind. The standards mandate a rigorous accountability for retail products sold to consumers, bringing a level of transparency that can bolster consumer confidence in the industry.