MP2 Energy, a full-service power company based in The Woodlands, Texas, has been awarded a five-year retail electricity contract with Toyota Motor North America to provide 100 percent renewable energy solutions to Toyota's new North American headquarters in Plano, Texas.
The contract takes into consideration the forecasted hourly energy consumption for the approximately 2.1 million square-foot campus comprised of office space and office support, a data center and light industrial and light automotive service facilities. The five-year deal also supports 7.75 megawatts of on-site solar generation at the new headquarters through MP2 Energy's Net Energy Billing program for the purchase of all excess solar generation. The remaining electricity MP2 procures for Toyota will be 100 percent renewable, sourced from various resources including local Texas wind and offsite solar.
MP2 will also provide Toyota with supply flexibility and innovation for risk management, including the possibility of future integration of demand response and other onsite generation.
Traditionally, solar energy has been offered exclusively through long-term contracts, most of which begin at 20-year terms. This deal, however, is a shorter five-year agreement, improving Toyota's ability to forecast its energy costs and adjust accordingly. By taking this purchase position on solar energy, Toyota is able to consume reliable energy and meet its electric needs without being exposed to the price movement associated with natural gas and the real time spot market for power.
As part of its overall sustainability effort, Toyota engaged Priority Power Management to negotiate a comprehensive retail electricity supply contract with MP2 Energy, including the integration of a 7.75 MW solar-generated power system located behind the utility meter.
Construction of Toyota's new North American headquarters is estimated to open in May 2017. It will house 4,000 employees that will manage 14 regional offices across the United States. The approximately 2.1 million square feet of conditioned space will include 1.9 million square feet of office and office support, 20,000 square feet of data center and IT support and approximately 350,000 square feet of light industrial, quality control and testing, and light automotive service. Oncor will serve as the chosen Transmission Distribution Service Provider (TDSP).