Constellation, Toyota Sign Renewable Energy Agreement

Constellation and Toyota Motor North America (TMNA) have signed a 15-year renewable energy agreement to support new solar development and advance Toyota’s sustainability goals. Under the deal, Toyota will receive renewable energy certificates (RECs) generated by the Milano Solar project. Ferrovial Energy, a division of Ferrovial, is developing the project. Toyota will receive the RECs through Constellation’s Offsite Renewable (CORe) solutions product.

Backed by Toyota’s commitment, Constellation has separately entered into a long-term power purchase agreement (PPA) with Ferrovial’s Milano Solar project for more than 115 MW of solar capacity, or about 246,000 MWh of renewable generation annually. The agreement represents a portion of the total output from Milano Solar, a 204 MW project in Milam County, Texas.

“Companies are looking for practical ways to meet their sustainability goals while supporting the development of new clean energy resources,” said Dan Verbanac, senior vice president, Retail and Solutions, Constellation. “By connecting Toyota with a large-scale renewable project like Milano Solar, Constellation is helping deliver meaningful environmental benefits and bring additional clean energy to the grid.”

Toyota will receive project-specific RECs generated by Milano Solar, which Constellation will retire throughout the agreement’s 15-year term. The project is expected to begin commercial operation in September 2027.

“Toyota works to embody our core value of Respect for the Planet through carbon neutrality programs, including power purchase agreements such as this,” said Tim Hilgeman, Toyota general manager of environmental sustainability. “With Constellation and Ferrovial, we appreciate the science-based approach to one of the most complex challenges of our time.”

As part of TMNA’s 8th Environmental Action Plan, the company aims to match 100% of its electricity consumption with renewable energy through a combination of Virtual Power Purchase Agreements, Renewable Energy Certificates, and onsite solar.

“Milano Solar is a strong example of how large-scale renewable projects create lasting value beyond the power they generate,” said María José Esteruelas, Ferrovial Energy chief executive officer. “We’re proud to deliver durable, long-term benefits to the communities and workforces that make these projects possible, while supporting growing demand for reliable energy infrastructure.”