In 2017, we announced the construction of two new waste-heat recovery plants that will help power two manufacturing facilities in Mobile, Alabama, and Puente Piedra, Peru. The combined investment of more than $80 million into these new combined heat-and-power plants will improve the energy efficiency of both operations and will transform the financial performance of these mills by providing significant cost savings. Scheduled for start-up in 2019, these investments support our global 2022 Energy and Climate strategy to minimize climate change impacts and reduce greenhouse gas (GHG) emissions by 20 percent over 2005 levels.
The new co-generation plant at Puente Piedra will generate about 95 percent of the electricity and 50 percent of the process steam needed for the mill at lower cost than the electricity procured from the national grid and the natural gas burned in the steam boilers; translating into $2.9 million in annual savings. This new co-generation facility will also be more energy efficient.
The co-generation plant will also provide a more stable and flexible energy supply, since operations will no longer depend solely on the national grid. Its modular design will allow us to expand the plant as needed to accommodate a growth in manufacturing.
In Mobile, our investment will modernize the energy plant with innovative gas-turbine technology, replacing a decades-old facility. It will also benefit the community of Mobile, helping establish the city as a strong manufacturing center. “[Kimberly-Clark’s] continued growth and investment in Mobile is evidence of their commitment to the region and to Mobile’s business climate,” said Troy Wayman, the Mobile Area Chamber of Commerce Vice President of Economic Development.
Ultimately, these projects make sense for the environment and for our business. “Energy projects like these contribute to our vision for sustainability in that we’re creating both environmental and financial value for our business,” said Lisa Morden, Vice President Safety and Sustainability.
Both state-of-the-art energy plants will begin operating in 2019.
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