Schneider Electric supports Kimberly-Clark’s decarbonization with new energy storage deals

Schneider Electric, a global leader in digital energy management and automation, has announced its role in facilitating several new tax credit transfer (TCT) deals for Kimberly-Clark Corporation, a major manufacturer of personal care and hygiene products, which includes well-known brands like Huggies, Kleenex, Scott, and Kotex.

Since 2016, Schneider Electric has acted as a strategic advisor to Kimberly-Clark, supporting the company’s ambitious decarbonization goals. These include a commitment to reducing absolute greenhouse gas emissions by 50% by 2030, as well as achieving 100% renewable electricity usage in North America by the same year.

Recently, Schneider Electric advised Kimberly-Clark on funding multiple battery energy storage projects, contributing to efforts to green America’s energy grid. These TCT deals reflected Kimberly-Clark’s broader strategy to adopt sustainable solutions. The projects also highlighted how voluntary market participation can assist in developing initiatives that utilize the Inflation Reduction Act’s (IRA) tax credit transferability mechanism.

The projects, focused on battery energy storage in Texas, align with Kimberly-Clark’s commitment to supporting renewable energy storage and generation. Kimberly-Clark’s current virtual power purchase agreements (vPPAs), which Schneider Electric has also advised on, generate clean energy from wind power in Texas, accounting for 40% of the company’s U.S. operations’ renewable electricity usage.

“Today’s announcement is just one example of Kimberly-Clark’s dedication to decarbonization and the promotion of renewable energy solutions. We hope that these innovative collaborations will continue to drive the green transition”, said Lisa Morden, chief sustainability officer at Kimberly-Clark.

Steve Wilhite, president of Schneider Electric’s Sustainability Business, emphasized the importance of Kimberly-Clark’s involvement in advancing battery storage technology through tax credit transferability: “Kimberly-Clark’s dedication to supporting the renewable energy landscape is evident. By working with Schneider, the company is setting the stage for future investments from the voluntary market to support developers and innovative projects”.

Wilhite further noted that Kimberly-Clark’s commitment to the clean energy transition, driven by the IRA, reflects its long-term sustainability priorities. “Tax credit transfers allow corporations to offer substantial financial backing to developers, helping to accelerate critical projects that are key to America’s energy transition. Schneider Electric is proud to support these efforts”, he added.