Arvato invests in solar energy for logistics facilities in the USA

Arvato continues to invest consistently in the sustainability of its distribution centers. The first solar power system in the focus market has now been put into operation on the roof of the distribution center in Ontario, California. The solar power plant has 1,160 solar panels and generates more than 800,000 kilowatt-hours (kWh) of green electricity per year. This not only reduces electricity costs but also the greenhouse gas emissions of the logistics center. Previously, the internationally operating supply chain and e-commerce service provider had converted five other distribution centers in the USA to green electricity.

(Gütersloh/Ontario) The project started back in November 2019 with an intensive examination of the site, as a comprehensive catalog of measures and criteria had to be addressed for the installation and commissioning of the solar power plant on the roof. After a strict process involving numerous stakeholders, the new solar modules were installed in August 2022. However, before the solar system could officially be put into operation, further permits and approvals were required. After the official approval for operation was granted, the switch could be flipped in February 2023, and production of environmentally friendly solar power began. The photovoltaic system is operated under a Power Purchase Agreement (PPA).

US states offer unique financing mechanism

This is a unique financing mechanism available in twenty-six US states, including California. While a third-party developer installs, owns, and operates the solar modules, Arvato purchases the generated electricity. This allows companies in the USA to obtain clean and cost-effective electricity without having to finance the upfront costs. “The PPA and the resulting benefits were crucial for the success of this project,” explains Christina Greenwell, Microsoft AOC F&L Client Services Manager at Arvato, who led the project from start to finish. “This way, we can reduce our electricity costs while supporting Bertelsmann’s ambitious goal of becoming climate-neutral by 2030.”

The 1,160 solar modules were added to an existing system with 920 modules owned by the landlord of the logistics center. In total, the panels now cover 45 percent of the roof area of the distribution center in Ontario. The emissions caused by the logistics center are now reduced by 72 percent due to the new solar modules and the generation of clean electricity. As Bertelsmann aims to switch all locations worldwide to 100 percent green electricity, the remaining emissions will be offset with renewable energy certificates.

Step towards climate neutrality

“The new solar power plant is a significant step on our path to climate neutrality and demonstrates our commitment to finding innovative solutions that reduce our CO2 footprint,” says Mitat Aydindag, President of North America at Arvato. “All employees at the site are pleased that our distribution center in Ontario is now among the pioneers and is making effective contributions to achieving our ambitious climate goal by 2030.”

Photo: © Arvato