Covestro invests in renewables

Covestro has signed power purchase agreements (PPA) with Chinese energy specialist CGN New Energy, to increase its use of renewable energies to power its production sites.

Under the agreements, the company’s facility in Shanghai, China will buy around 300 gigawatt hours of green power annually from CGN's wind and solar farms in the town of Lenghu in the country’s Qinghai province. According to the company, this agreement will reduce Covestro's carbon emissions in China by around 126,000 metric tons of CO2 per year. The PPA is scheduled to take effect in January 2023.

"This new contract is a milestone in the Shanghai site's journey to net-zero emissions,” said Holly Lei, president of Covestro China. “We have increased energy efficiency and significantly reduced emissions over the years, and the use of green power and alternative raw materials will be a key focus as we strive for carbon-neutral production in the next decade."

"Covestro aims to become climate-neutral by 2035 and is systematically converting its production worldwide to renewable energies to achieve this goal," added CEO Dr Markus Steilemann.