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Ontario — Canada’s Budweiser announced a virtual power purchase agreement (VPPA) with Capital Power.
The agreement includes approximately 51% of the electricity generated by a new solar facility in Taber, Alberta. Of Budweiser’s contracted electricity, approximately one-quarter will be bundled with project-generated RECs directly from the solar facility and three-quarters will be bundled with RECs sourced elsewhere in Canada.
This milestone development is the next chapter in AB InBev’s global sustainability strategy in which Labatt Breweries of Canada plays a significant role, and specifically the Budweiser brand’s commitment to produce every beer it brews using 100% renewable electricity.
“This initiative is solar-powered proof of Budweiser Canada’s commitment to renewable electricity, and it supports Budweiser’s commitment to brew every beer with 100% renewable electricity,” said Andrew Oosterhuis, VP Marketing, Labatt Breweries of Canada. “We’re very proud to be Canada’s leading brewer in renewable electricity and believe that a brighter future is in our hands. We are optimistic that this type of collaborative and innovative partnership will begin to define the model by which Canadian companies can join us in choosing earth.”
The long-term deal supports the addition of Capital Power’s Enchant Solar project to the Alberta market. This is the largest public renewable electricity commitment ever made by a Canadian brewer, with Labatt’s Budweiser brand leading the way in publicly announcing an innovative agreement of this nature. This agreement demonstrates the power of collaboration across industries to advance renewable electricity, for a better world. Construction is set to break ground in the second quarter of 2022 with commercial operations expected by the fourth quarter of 2022.
Globally, Budweiser has brewed over 10 billion beers with renewable electricity and has supported renewable infrastructure projects valued at $1 billion. This long-term partnership marks AB InBev’s (Labatt’s parent company) 12th major virtual power purchase agreement around the world and is the first of its kind in Canada.
AB InBev’s 2025 Sustainability Goals which were introduced in 2018, remain the company’s most ambitious public commitment yet and include:
Smart Agriculture: 100% of our direct farmers are skilled, connected and financially empowered
Water Stewardship: 100% of our communities in high-stress areas have measurably improved water availability and quality
Circular Packaging: 100% of our product is in packaging that is returnable or made from the majority of recycled content
Climate Action: 100% of our purchased electricity comes from renewable sources & 25% reduction of carbon emissions across our value chain
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