Graphic Packaging secures 250 MW solar VPPA in Texas with NextEra to cut emissions and expand renewable electricity use.
Graphic Packaging Holding Company has secured a 250-megawatt virtual power purchase agreement (VPPA) with NextEra Energy Resources to support a new solar project in Texas, with operations expected by the end of 2027. The deal marks the company’s largest renewable electricity agreement to date.
The project, known as the Selenite Springs Energy Center, will be developed in West Texas within the Electric Reliability Council of Texas (ERCOT) market. Graphic Packaging will purchase the facility’s renewable energy attribute certificates under the VPPA.
Once operational, the project is expected to cover approximately 43% of the company’s electricity consumption in the United States and Canada, based on 2025 levels.
This North American agreement follows a similar initiative in Spain, where three solar plants backed by the company are expected to supply around 70% of its electricity demand in Europe.
The Texas project is a key component of Graphic Packaging’s decarbonization strategy. The company targets a 50.4% reduction in Scope 1 and 2 greenhouse gas emissions by 2032 and net-zero emissions by 2050. With the addition of this VPPA, total purchased renewable electricity is expected to reach about 49% globally, while Scope 1 and 2 emissions could decline by roughly 20% from a 2021 baseline.
For industrial operations such as paperboard and packaging production, electricity sourcing remains a major driver of both cost structure and emissions performance. Long-term VPPAs provide price visibility while enabling access to large-scale renewable capacity without direct ownership.
The Selenite Springs Energy Center is also expected to add new solar generation capacity to the Texas grid, where electricity demand continues to increase. Additional capacity can support grid reliability while contributing to a broader shift toward lower-carbon energy sources.
Graphic Packaging produces paperboard-based consumer packaging from renewable or recycled materials. It operates a global network serving food, beverage and consumer goods markets.
