TotalEnergies to Supply STMicroelectronics with Renewable Energy for 15 Years

France, January 2025 - STMicroelectronics has signed a 15-year renewable energy deal with TotalEnergies, its first long-term deal of this kind in France. The agreement is the latest component in STMicroelectronics' far broader strategy to transition to renewable energy and reach carbon neutrality by 2027.

TotalEnergies will generate 1.5 terawatt-hours of renewable energy to power green electricity for the operation of the manufacturing and sales offices and research-and-development offices STMicroelectronics holds in France.

Wind and Solar Energy
Electricity sourced from STMicroelectronics will be obtained from two other renewable energy-based power plants that TotalEnergies will undertake. These are both wind as well as a solar plant capable of generating electricity to the power of 75 MW each. Wind and sunlight-based power suffer from weather factors; hence TotalEnergies will offer a range of solutions for energy management so that electric power is steady.

This agreement will further support the sustainability initiatives of STMicroelectronics: 100% renewable electricity supply by 2027. Besides global decarbonization, the company has also secured similar renewable energy deals in Italy and Malaysia.

Decarbonization and Carbon Neutrality Goals
This will be a direct and indirect Scope 1 and Scope 2 carbon emission commitment for STMicroelectronics. This contract with TotalEnergies on renewable energy supply will do much to meet this, but the group has ensured a clean electricity supply into the future.

Semiconductors consume a lot of power; thus, reduction in emissions leads to a natural step in focusing on renewable energy. Indeed, it would be said that the long-term contracts with suppliers stabilize power at STMicroelectronics while moving toward sustainability.

First in France
It was the first-long term renewable contract signed in the country of France, and future precedents related to similar transactions are expected from the country also. It increases the commitment for industrial players and the transition in terms of fuel usage towards green sources of fuel and lesser to fossil fuel dependents.

Now with increasing regulatory pressure and global targets of sustainability, firms sign long-term PPAs of this nature in order to abate emission and avail renewable energy at stable costs.

Global Renewable Energy Strategy
STMicroelectronics, apart from France, has enlarged its strategy about renewable energy across the world. In Italy and Malaysia and a host of other regions, it has inked similar agreements that are compatible with the broader company strategy for reaching carbon neutrality.