Gap targets 100% renewable energy by 2030

Fashion giant Gap Inc has made a new commitment to meet 100% of the energy consumption of its owned and operated facilities globally with renewable energy by 2030.

Gap targets 100% renewable energy by 2030

Gap Inc now holds three PPAs - one for onsite solar generation

The commitment will cover all stores, distribution centres and offices used by Gap, as well as Gap Inc’s other brands Banana Republic, Old Navy and Athleta. In total, Gap Inc operates more than 3,300 stores worldwide, with most being leased.


Gap Inc’s president and chief executive officer Art Peck announced the new 100% renewables target late last week, after the company signed a 90MW virtual power purchase agreement (PPA) with Enel Green Power North America. The 12-year deal will see the retailer procure enough energy from the 300MW Aurora Wind Project in North Dakota to match the energy consumption of 1,500 of its stores – around 374 GWh annually.

Peck claims that Gap Inc’s deal with Enel Green Power North America alone will enable the company to reach its 2020 goal to halve its Scope 1 (direct) and Scope 2 (power-related) emissions by 2020, against a 2015 baseline.

“For Gap Inc., being a part of the climate solution means making strategic investments in clean energy generation,” Peck said.  “Today, we have secured a path to achieving our 2020 goal, but we must do more.”

Gap Inc’s other recent moves in the renewable energy space include signing a 20-year PPA with SunPower for 3MW of onsite solar generation at its distribution centre in Frenso, California, and it’s decision to sign a joined 42.5MW renewables deal with Bloomberg, Cox Enterprises, Salesforce and Workday earlier this year. The latter of these deals has already enabled all Athleta stores to switch to 100% renewable electricity.


Unlike many other big-name companies, Gap Inc has made its commitment as a standalone entity, and has not joined The Climate Group’s RE100 initiative.

As of November 2018, 155 companies across 140 global markets had joined the RE100 initiative, with the group collectively sourcing 188TWh of clean power annually. RE100 members leverage a combined annual revenue of $4.5trn or 5% of global GDP, making the group a powerful source of financing for clean energy infrastructure.

This week, Bloomberg New Energy Finance (BNEF) predicted in its Corporate Energy Outlook report that RE100 members will collectively need to purchase an extra 189TWh of clean power by 2030 if they are to meet their 100% targets.

The BNEF report notes that 33 new companies joined the RE100 between January and July 2019, including the likes of Barclays, 3M, JD Sports and the City of London Corporation.  It also states that, if RE100 members do step up to the challenge of purchasing enough wind and solar to meet the 189TWh shortfall, £80bn of new investment will be used to deploy an additional 94GW of renewable generation capacity globally.

edie Explains: Corporate Power Purchase Agreements (CPPAs)

Those looking for more information on which organisations are most suited to adopting CPPAs,and what the business benefits of doing so are, now have access to a free edie explains guide on the topic. 

The guide includes an industry viewpoint provided by Ørsted, and a CPPA case study focused on a partnership between the Danish energy giant and Northumbrian Water. Download it for free here. 

Sarah George

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