Ford has made the country’s largest renewable energy purchase from a utility, putting it 10 years ahead of schedule on its carbon-neutral goal.
In partnership with the Detroit automaker, DTE will add 650 megawatts of new solar energy capacity for the state by 2025.
Once installed, the purchase will increase the total amount of installed solar energy in Michigan by nearly 70%, according to the Solar Energy Industries Association. Based on Bloomberg NEF New Energy Outlook, this marks the largest renewable energy purchase from a utility in U.S. history.
“Just because something’s never been done in the history of the country, the way that I hear that means that it just hasn’t been done in Michigan yet,” said Lt. Gov. Garlin Gilchrist II.
Ford set a global carbon neutrality goal for 2050. One of the interim goals within that plan was all Ford manufacturing plants be powered by 100% locally sourced renewable energy by 2035.
The DTE partnership gives the automaker a 10-year head start on its goal. By 2025, every Ford vehicle manufactured in Michigan will be assembled with the equivalent of 100% carbon-free electricity.
“A goal really isn’t anything if there isn’t a plan. It’s just a wish. Today is an example of what it looks like to actually get off our butts and do something about it and take action,” said Jim Farley, president and CEO of Ford.
Ford is purchasing carbon-free electricity through DTE’s MIGreenPower program, which is among the largest voluntary renewable energy programs in the country. DTE electric customers receive a daily energy generation fuel mix that includes 15% renewable energy.
To date, more than 600 businesses are enrolled in the program along with more than 62,000 residential customers. On an annual basis, MIGreenPower customers have enrolled 2.8 million megawatt hours of clean energy in the program, according to DTE.
The MIGreenPower program has the environmental benefit equivalent to avoiding 2.2 million tons of carbon dioxide emissions, based on the Environmental Protection Agency calculations.
Dan Scripps, chair of the Michigan Public Service Commission, said Michigan will be “leading in the clean energy economy and showing the world how it’s done.” Scripps sees this as setting a precedent for partnerships between utilities, corporations and the state.
“Growing up in Michigan, I know that when Ford leads, the world follows,” he said.
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