Orica's path to 100% Renewable Electricity by 2040

In support of its ambition to achieve net zero emissions by 2050, Orica has established a target to power the business by 100% renewable electricity by 2040, with an interim goal of 60% by 2030. To progress towards this renewable energy target, Orica has secured a Power Purchase Agreement (PPA) for its NSW operations and advanced the sourcing of renewable electricity for its Carseland facility in Canada, effective from 1 January 2025.

Lightsource bp Partnership

As part of this journey, Orica has entered into a PPA with Lightsource bp for renewable electricity generated by the Wellington North solar farm. This solar farm, located approximately 50 kilometres southeast of Dubbo, New South Wales, will generate 915 GWh of renewable electricity per year, saving over 730,000 metric tonnes of carbon emissions. 

Orica’s PPA with the Wellington North solar farm has the capacity to supply around 50% of the company’s Australian electricity needs, and 30% of its global requirements, with an equivalent reduction in global Scope 2 emissions of approximately 60,000 metric tonnes of carbon emissions annually. This is equivalent to powering 19,000 NSW residences each year.

What is a Power Purchase Agreement

A Power Purchase Agreement (PPA) for renewable electricity is a contract between an electricity generator and a customer, in this case Orica, enabling the company to secure long-term renewable electricity at stable prices. By entering into PPAs, such as the agreement with Lightsource bp for the Wellington North solar farm, Orica not only mitigates exposure to volatile electricity markets but also supports the development of renewable energy projects. This approach ensures a reliable supply of renewable energy, fosters job creation, and contributes significantly to Orica's goal of achieving 100% renewable electricity by 2040. Through these strategic partnerships, Orica is committed to driving the clean energy transition and making a meaningful impact on global sustainability.

Figure 2: The reduction of Scope 2 emissions is integral to Orica’s broader sustainability goals. We aim to power our business with 100% renewable electricity by 2040, with an interim goal of 60% by 2030

Discover how Orica is reducing emissions, enhancing safety, and driving positive change in the mining and infrastructure sectors.

Follow Our Path to a Sustainable Future visit: orica.com/sustainability