ATCO GROUP AND MICROSOFT ANNOUNCE LONG-TERM RENEWABLE ENERGY POWER PURCHASE AGREEMENT
CALGARY, AB, April 19, 2022 /CNW/ - ATCO Ltd. (TSX: ACO.X) (TSX: ACO.Y) / Canadian Utilities Limited (TSX: CU) (TSX: CU.X)
The ATCO Group, through its investment in Canadian Utilities Limited, today announced that it has entered into a 15-year power purchase agreement with Microsoft Corporation. Under the terms of the agreement, Microsoft will purchase all renewable energy generated by ATCO's Deerfoot solar facility in Calgary, Alberta. Once operational, the Deerfoot solar facility will be one of the largest solar installations in a major urban centre in Western Canada, contributing to ATCO's goal of owning, developing or managing more than 1,000 megawatts (MW) of renewable energy by 2030.
"This agreement represents ATCO's desire to be a leader in decarbonization and enable the energy transition for our customers," said Bob Myles, Executive Vice President, Corporate Development, ATCO. "We're very pleased to work with Microsoft to achieve our shared objectives around renewable energy. Our focus, in a transitioning world of energy is to provide energy in a safe, affordable and reliable manner."
"Renewable energy supply contracts like this agreement with ATCO are key to meeting our goal of contracting 100% of our energy consumption with renewable sources by 2025." said Kevin Peesker, President, Microsoft Canada. "This agreement with ATCO is an important step in helping Microsoft deliver on our renewable energy commitments in Canada.
Located within the City of Calgary, the 37-MW Deerfoot solar project is adjacent to ATCO's 27-MW Barlow project. Construction for both projects is set to begin later this spring, with energization in the fourth quarter of 2022. Combined, the facilities will generate enough renewable electricity to offset 68,000 tonnes of carbon a year.
For ATCO, sustainability is more than an aspiration; it is interwoven into our strategy, our day-to-day operations, the products and services we provide, and the fabric of our people. It manifests across our family of companies in countless ways, both in how we conduct our day-to-day activities and in the contributions we make to society through our operations and the community spirit of our people. Our enduring and holistic commitment is clearly reflected in our efforts to cost-effectively and reliably accelerate the energy transition; enhance our environmental performance and reduce our greenhouse gas emissions; champion the safety, inclusivity, and equity of our people, communities, and customers; foster Indigenous and community partnerships based on trust, equity and mutual respect; and ensure uninterrupted, resilient, and reliable access to essential products and services—anytime, anywhere.
Building upon our long track record of sustainability leadership, ATCO has a comprehensive set of 2030 environmental, social and governance (ESG) targets and a commitment to achieve net zero greenhouse gas (GHG) emissions by 2050. ATCO's 2030 ESG targets include reducing our operational and customer emissions, growing our renewable energy footprint, increasing economic benefits for Indigenous partners, continuing our focus on safety, and further promoting diversity, equity, and inclusion in the workplace.
With approximately 6,400 employees and assets of $23 billion, ATCO is a diversified global corporation with investments in the essential services of Structures & Logistics (workforce and residential housing, innovative modular facilities, construction, site support services, workforce lodging services, facility operations and maintenance, defence operations services, and disaster and emergency management services); Utilities (electricity and natural gas transmission and distribution, and international electricity operations); Energy Infrastructure (electricity generation, energy storage and industrial water solutions); Retail Energy (electricity and natural gas retail sales); Transportation (ports and transportation logistics); and Commercial Real Estate. More information can be found at www.ATCO.com.
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Certain statements contained in this news release constitute forward-looking information. Forward-looking information is often, but not always, identified by the use of words such as "plan", "expect", "will", "intend", "goals", "targets", "strategy", "objectives", "aspirations", "commitments", and similar expressions. In particular, forward-looking information in this news release includes, but is not limited to references to: the renewable energy to be generated and purchased from the Deerfoot solar project; the GHG emissions to be offset by that project; the electricity to be generated from the Barlow project; the commitment to achieve net zero GHG emissions by 2050; and the 2030 ESG targets that are described herein.
Although we believe that the expectations reflected in the forward-looking information are reasonable based on the information available at the date hereof and the processes used to prepare the information, such statements are not guarantees of future performance and no assurance can be given that these expectations will prove to be correct. Forward-looking information should not be unduly relied upon. By their nature, these statements involve a variety of assumptions, known and unknown risks and uncertainties, and other factors, which may cause actual results, levels of activity, and achievements to differ materially from those anticipated in such forward-looking information. The forward-looking information reflects our beliefs and assumptions with respect to, among other things, the ability to successfully achieve our net zero GHG target by 2050; the development and performance of technology and technological innovations; the ability to access and implement technology necessary to achieve GHG and other ESG targets; continuing collaboration with certain government agencies, regulatory bodies and environmental groups; the performance of assets and equipment; future energy demand and use; future production rates; future revenue and earnings; the ability to meet current project schedules; and other assumptions inherent in our expectations in respect of the forward-looking information identified herein.
Actual results could differ materially from those anticipated in this forward-looking information as a result of, among other things, risks inherent in the performance of assets; capital efficiencies and cost savings; applicable laws and government policies; regulatory decisions; competitive factors in the industries in which we operate; prevailing economic conditions; credit risk; interest rate fluctuations; the availability and cost of labour, materials, services, and infrastructure; the development and execution of projects; prices of electricity, natural gas, natural gas liquids, and renewable energy; the development and performance of technology and new energy efficient products, services, and programs, including but not limited to the use of zero-emission and renewable fuels, carbon capture, and storage, electrification of equipment powered by zero-emission energy sources and utilization and availability of carbon offsets; the occurrence of unexpected events such as fires, severe weather conditions, explosions, blow-outs, equipment failures, transportation incidents, and other accidents or similar events; and other risk factors, many of which are beyond our control. Due to the interdependencies and correlation of these factors, the impact of any one material assumption or risk on a forward-looking statement cannot be determined with certainty. Readers are cautioned that the foregoing lists are not exhaustive. For additional information about the principal risks that the Company faces, see "Business Risks and Risk Management" in ATCO Ltd.'s Management's Discussion and Analysis for the year-ended December 31, 2021, which is available at www.sedar.com and ATCO.com. Any forward-looking information contained in this news release represents our expectations as of the date hereof, and is subject to change after such date. We disclaim any intention or obligation to update or revise forward-looking information whether as a result of new information, future events or otherwise, except as required by applicable securities regulations.
SOURCE ATCO Ltd.