Graphic Packaging, NextEra to build 250 MW solar plant in Texas

Graphic Packaging Holding

29/04/2026 12:40

April 29 (Reuters) - Graphic Packaging Holding GPK.N said on Wednesday it has signed an agreement with NextEra Energy Resources NEE.N to build a 250-megawatt solar power plant in Texas, aiming to source renewable electricity and cut greenhouse gas emissions.

Shares of the packaging company were up 1.7% in premarket trading.

The deal comes amid rising electricity demand in Texas, fueled in part by data centers and industrial growth, putting pressure on the state's electricity grid operator ERCOT to add new generation capacity.

As part of the virtual power purchase agreement, the energy produced by the plant will be sold to ERCOT, and Graphic Packaging will receive renewable energy credits along with financial exposure related to the project.

The solar plant, Selenite Springs Energy Center, would be located in the ERCOT power market and is expected to start commercial operations by the end of 2027.

The deal is Graphic Packaging's largest virtual power purchase agreement to date and forms part of its target to cut global Scope 1 and 2 emissions by 50.4% by 2032 and reach net zero emissions by 2050.

Graphic Packaging added the deal would increase its total global purchased renewable electricity to roughly 49%.

NextEra has been increasing investments in natural gas, alongside its solar and wind portfolio, to help meet rising power demand from data centers.

Corporate buyers are an important source of contracted revenue for power developers such as NextEra for financing and development of new energy projects.

 (Reporting by Dharna Bafna in Bengaluru; Editing by Vijay Kishore)

 ((Dharna.Bafna@thomsonreuters.com))