J.C. Penney Announces Solar and Wind Power Projects with SunPower Corp. and Broadstar Wind Systems
J.C. Penney Company Inc. (NYSE:JCP) announced September 30 its plans to supply electricity to 10 stores and one distribution center in its initiative to utilize renewable power. The company also announced its intentions to be awarded ENERGY STAR certification for more than 200 stores.
“Hosting these solar and wind projects will add to our knowledge of the benefits and potential applications of renewable energy programs at our facilities,” Myron E. Ullman, III, chairman and CEO stated in the press release. “Together with the energy-saving initiatives we already have in place in our stores and distribution centers, this is another significant step toward achieving our environmental objectives. With enthusiastic support from J.C. Penney Associates nationwide, we are constantly looking for opportunities to contribute to a cleaner environment and run our business more cost effectively.”
SunPower Corp. (Nasdaq; SPWR) was contracted to install solar power systems at 10 J.C. Penney stores located in New Jersey and California. The planned systems produce 4 megawatts of electric power, avoiding pollutants of approximately 146,000 tons of carbon dioxide during the 30 years of the systems’ expected life. The greenhouse gas emissions avoided are equivalent to the emissions of 800 cars each year for 30 years.
Under a third-party agreement, J.C. Penney will not own, finance or operate the panels, but instead will buy the solar-generated electricity contracted under a SunPower Access power purchase agreement. The installations to the 10 stores are scheduled to be completed in November, immediately generating energy savings and a hedge of approximately 25% of the electricity costs consumed at the stores. In addition, the stores will be outfitted with energy-efficient lighting and state-of-the-art energy management systems.
The stores in California planned for the solar power systems are located in El Cajon. Palmdale, Redlands and Santa Clarita; the New Jersey stores are located in Cherry Hill, Deptford, East Brunswick, Freehold, Wayne and Woodbridge.
In addition to its solar power initiative, J.C. Penney contracted with Broadstar Wind Systems to supply electricity via wind turbines to J.C. Penney’s 1.6 million square-foot distribution center in Reno, Nevada. Under the terms of the contract, Broadstar will install its proprietary building-mounted AeroCam wind turbines, which improve efficiency over convectional three-blade turbines. J.C. Penney will buy the electricity from Broadstar generated by the wind-powered system.
“These projects further our commitment to incorporate sustainability into all aspects of our operations. We will closely monitor the results to determine how we can best leverage these innovative methods to increase our participation in renewable energy projects while also benefiting our business,” Jim Thomas, vice president and director of corporate social responsibility for J.C. Penney stated. “We are proud of what we are accomplishing as an organization to reduce energy consumption and extend J.C. Penney’s legacy of social responsibility, and our Associates remain focused on seeking new ways to protect the environment.”
About J.C. Penney
J. C. Penney Company Inc., through its subsidiary, J. C. Penney Corp. Inc., sells merchandise and services to customers through its department stores and catalog/Internet channels. It markets family apparel, jewelry, shoes, accessories, and home furnishings.
About SunPower Corp.
SunPower Corp. designs, manufactures and delivers high-performance solar electric systems worldwide for residential, commercial and utility-scale power plant customers. SunPower high-efficiency solar cells and solar panels generate up to 50% more power than conventional solar technologies and have a uniquely attractive, all-black appearance. With headquarters in San Jose, Calif., SunPower has offices in North America, Europe and Asia. SunPower is a majority-owned subsidiary of Cypress Semiconductor Corp. (NYSE: CY)