Nucor Corp. signed a 15-year virtual power purchase agreement (VPPA) with EDF Renewables North America (EDFR) for 250 megawatts of solar energy in Texas. According to Nucor, the agreement is its first VPPA and the largest of its kind for the steel industry. Construction on EDFR's solar project is expected to begin in the summer of 2022 with production of electricity estimated to begin in 2023. Once completed, the expected annual output of the solar facility will be the equivalent of the electricity consumed by nearly 50,000 average Texas homes.
The agreement also enables EDFR to add more clean energy to the region's power grid. According to Nucor, the agreement demonstrates its commitment to sustainable steelmaking.