Toyota’s PHL factory now uses 100% green energy
AS IT WORKS toward carbon neutrality, Toyota Motor Philippines Corp. (TMP), signed a Retail Supply Contract (RSC) with a local supplier to provide sustainably sourced electricity for its manufacturing operations. This move allows TMP to achieve 100% Renewable Energy (RE) ratio by supplying approximately 90% of the company’s total electricity requirement, complementing the rest of RE sourced onsite from an existing 1.46-megawatt rooftop solar power system.
The supply from Team (Philippines) Energy Corp. started last Dec. 26, 2023. Based on the RSC, every megawatt hour will be backed by an International Renewable Energy Certificate or I-REC(E), which verifies its sourcing from a domestic RE plant.
In a statement, TMP President Atsuhiro Okamoto had said, “This energy transition will neutralize TMP’s Scope 2 Emissions, particularly the indirect carbon dioxide emissions from purchased electricity for manufacturing operations. Such is a significant milestone for TMP and its mission to address climate change, making its automotive manufacturing plant in Santa Rosa City, Laguna the frontrunner and early achiever of 100% RE ratio target for Toyota in the ASEAN region.”
Until 2035, TMP is looking at decarbonizing the rest of its energy sources for manufacturing, particularly for petrol-type generators, ovens and boilers for painting processes. In 2020, Toyota globally committed that its manufacturing plants will be carbon-neutral by 2035 under the company’s overall net-zero commitment: the Toyota Environmental Challenge (TEC) 2050.
In pursuing carbon neutrality, Toyota not only sets its eyes on expanding options of accessible electrified vehicles for diversified customers but also on reducing the environmental impact of the automotive industry’s value chain through appropriate life cycle actions. Toyota actively engages its supply chain, logistics and dealer networks in decarbonization.
Doing their part in tackling the TEC 2050 in the Philippines, local Toyota suppliers and dealers have followed TMP’s lead and implemented energy efficiency and RE initiatives. To date, several companies also have undertakings to achieve the 100% RE ratio, either by investing in onsite solar power facilities and or procuring RE through the Philippine government’s Green Energy Option Program or GEOP. These companies include Denso Ten Philippines Corp., Hino Motors Philippines Corp., Denso Philippines Corp., and International Wiring Systems Philippines for suppliers, as well as Toyota Global City, Toyota Mabolo City, and Toyota Pasong Tamo for dealers.
In terms of compliance with strict environmental standards, Toyota suppliers and all established Toyota dealers nationwide (including Lexus Manila) are certified under ISO 14001, as part of Toyota environmental management systems’ (Toyota Green Purchasing Guidelines and Asia Pacific Eco-Dealership Program) mandates.