The Fashion Pact collaborated with Lightsource bp's Power Markets team to devise a tailored Power Purchase Agreement (PPA) structure that aligns with the needs of its members and meets the collective demand for renewable electricity.
This customised and practical approach resulted in a swift agreement by all parties, creating an equitable platform for members to accelerate their transition to clean energy.
The CVPPA, associated with Lightsource bp's solar portfolio in Spain, aims to supply renewable energy adoption for 12 fashion brands.
The participating brands include Bally, Capri Holdings, Ermenegildo Zegna Group, Farfetch, Ferragamo, Kering, PRADA Group, PVH Corp., Ralph Lauren, Tapestry, Under Armour, and Zimmermann.
The Fashion Pact aims to bring leaders in the fashion industry together to promote sustainability and work on sustainable solutions and says it is committed to driving progress towards a nature-positive and net-zero future.
As part of its mission, The Fashion Pact encourages its members to achieve 100% renewable energy usage across their own operations by 2030. To reach this goal, 12 members of The Fashion Pact worked with technical partners Guidehouse, a global consultancy firm, and international law firm Baker McKenzie.
Zosia Riesner, director of Power Markets, Europe at Lightsource bp, explained: “This collective deal means businesses that don’t necessarily require huge volumes of electricity on their own can combine their demand to still find a simple and efficient way to transition towards renewables and support the development of new solar projects.”
Eva von Alvensleben, executive director and secretary general of The Fashion Pact, emphasised the pivotal role of collaboration in fast-tracking the fashion industry's transition to renewable energy. She said: “The Fashion Pact’s unique model with strong CEO leadership has allowed brands to move forward together quickly. This has been critical to ensuring the success of this collective virtual power purchase agreement, a first for the industry.”
Lightsource bp is currently progressing over 10 gigawatts (GW) of utility-scale solar projects at various stages of development across Europe. These projects will be made available to corporations and utilities seeking to reduce greenhouse gas emissions linked to their electricity supply.
