Home Food News General Mills inks heat and power agreement expected to save $30M

General Mills inks heat and power agreement expected to save $30M

by amazonskylers

General Mills Partners with Unison Energy for Sustainable Energy Solution

General Mills has recently announced a 25-year energy services agreement with Unison Energy to implement an on-site combined heat and power system at their manufacturing plant in Hannibal, Missouri. This partnership is expected to save over $30 million over the agreement’s life cycle, showcasing a commitment to sustainability and cost-effectiveness.

The on-site CHP system will provide approximately 90% of the facility’s annual electric load and 70% of its steam load, significantly reducing emissions and utility costs. Unison Energy will handle the financing, design, construction, ownership, operation, and maintenance of the system, ensuring a seamless transition to sustainable energy.

Mariko Meier, CEO of Unison Energy, emphasized the alignment of this agreement with General Mills’ sustainability goals, stating, “We have created a blueprint for reliable, cost-effective, and low-carbon energy solutions that benefit both parties involved.”

This collaboration between General Mills, Unison Energy, and the Hannibal Board of Public Works marks a significant step towards reducing emissions and enhancing energy efficiency. The agreement provides General Mills with a predictable, long-term energy supply, with rate escalation fixed at 2.5% annually, resulting in substantial energy savings.

The CHP system is projected to reduce the facility’s Scope 1 emissions by 57% and total site emissions by 28% per year, contributing to General Mills’ global sustainability efforts. This project exemplifies the power of public-private partnerships in creating sustainable solutions that benefit both businesses and the environment.

Daren Kaiser, Global Energy Strategy Leader for General Mills, praised the collaboration, stating, “These forward-thinking organizations developed a plan that will allow us to balance the challenge of reducing emissions and adding needed power to the grid.”

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Overall, the partnership between General Mills and Unison Energy showcases a commitment to sustainable energy solutions, cost-effectiveness, and environmental stewardship, setting a positive example for other companies looking to reduce their carbon footprint.

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